A groundbreaking study is creating a stir in the lottery sphere, indicating that charitable and state-run lotteries are not competitors but rather collaborators, each contributing to a broader fundraising network. This is the central finding of the “Charity Lotteries and the European Lottery Market: An Impact Assessment” study, commissioned by the European Charity Lottery Association and conducted by Regulus Partners.
The study delved into lottery sales across Europe, analyzing data to determine if charity lotteries were overshadowing (and outselling) national lotteries. The conclusion? Not quite.
“This isn’t a matter of rivalry,” states Paul Leyland of Regulus Partners. “Our investigation clearly demonstrates that charity lotteries actually enhance the total sum of money generated for worthy endeavors through lottery games.”
To reach these findings, Regulus examined sales figures from lotteries (both draw-based and instant-win) operated by 12 distinct national lottery monopolies in Europe. They categorized these monopolies into three groups: those with a substantial charity lottery presence, those with a smaller charity lottery presence, and those without a national charity lottery.
The key takeaway? “We found no indication that the presence of a charity lottery negatively impacts the performance of the national lottery,” Leyland clarifies.
Indeed, the study suggests that charity lotteries are achieving the reverse. They are invigorating the entire lottery sector, drawing in players who might not otherwise participate, and ultimately contributing to increased fundraising for vital causes. Furthermore, when it comes to revenue growth, charity lotteries are frequently surpassing their national counterparts.
Eva Struven, the leader of the European Charity Lotteries Association, emphasized that new studies validate their longstanding belief: charity lotteries enhance, rather than detract from, national lottery revenues. She voiced optimism that this analysis will illuminate the supplementary advantages of charity lotteries for government representatives, regulators, and philanthropic organizations, particularly given prevailing patterns in the lottery sector.
Struven further conveyed her aspiration that this will prompt their counterparts in national lotteries to contemplate collaborative strategies for optimizing lottery-driven fundraising, ultimately bolstering charitable causes, localities, and nations throughout Europe.