Louisa's news [1 item]

In an uncertain financial climate, the Sector needs to look at existing funding streams and consider what the likely impact of a recession may be on these. One area of interest is the Lottery. Is it recession proof?

Unsuprisingly there is little UK evidence due to the relatively short time the Lottery has operated in this country. However, evidence from the US suggests that Lottery spending may not necessarily decline in a period of hardship. In fact, an article I read recently quotes research by John Mikesell, a professor at Indiana University published in 1994 showing that from 1983 to 1991, lottery sales tended to rise with unemployment rates.

However, the same article goes on to refer to a survey of regular players by Independent Lottery Research, a consulting firm based in Chicago, which found that last month 20 percent of them were already playing less or buying less expensive tickets.

Either way, a combination of this uncertainty and less Lottery money followng the diversion of funds to support the Olympics, makes the need for VCOs to diversify their income streams, ever more important.

Details of the article:
New York Times, September 13, 2008 – ‘Sweet Dreams in Hard Times Add to Lottery Sales’ www.nytimes.com/2008/09/13/us/13lottery.html?_r=1&scp=1&sq=Independent%20Lottery%20Research.&st=cse&oref=slogin