Sports Toto's Special Draw Will Be Less Than Expected
PETALING JAYA (Dec 6) The government's decision of reducing special draws based on number forecast operators (NFO) to eight per year from 22 is likely to impact earnings of Sports Toto Bhd, which is less than what was anticipated. Hong Leong Investment Bank Research said it was not overly concerned since special draws generally have lower sales, and frequently reduce sales from normal draws.
Lotteries in India
The revenues from lottery games are a significant part of the budgets of a variety of states. It is also a popular type of entertainment in India's growing, mobile-savvy, and tech-enabled population. This market is hampered by a variety of structural obstacles which prevent it from expanding. The fine-tuning of taxation issues and pushing for mass digitization could go a long way toward solving these problems.
The legal position of the State on lotteries ranges from allowing them to banning them entirely. While some states have a more permissive approach but the majority are strict regarding ticket pricing and technology and jackpot size as well as public image. These restrictions hinder the performance of lotteries run by governments and private lotteries. Regardless, their popularity persists thanks to affordable tickets and widespread availability, granting them an advantage over illegal gambling operations and offshore operators.
As the digital boom transforms all other sectors of the economy, it's expected that the lottery industry will also be transformed. Digitalization will not only provide new ways to play, but also allow Indian customers to purchase tickets. This will have an impact on the offline lottery, a parallel dimension, where a lot of players are still accustomed to buying tickets in person at local sales points.
In the past, the lack of a digital infrastructure in India and high cost of internet access impeded the development of the lottery business in India. Today, 750 million Indians have access to internet at a low cost, which increases their purchasing power and ease of use. This will result in an alteration in the structure of markets, with both online and offline segments coexisting.
Lottery players will be able to buy tickets online and play from anywhere in the country. In addition the Consumer Protection Act offers a legal framework for resolving complaints regarding deceptive advertising and other business practices. This guarantees that lottery players aren't abused by unscrupulous operators.
While the majority of lotteries approved by the State are administered by central government authorities There are a few States have licensed private companies that are independent and able to conduct their draws. Private lotteries are more flexible in the terms of their ticket pricing, jackpot sizes, and other aspects, and could be more appealing to investors from overseas. websites can also avoid restrictions of legislation that is a state-level including the prohibition on cross-State sales.
One notable case involves the Essel Group's Playwin, licensed to operate the Sikkim state lottery. The company was facing financial challenges after the introduction of GST. This resulted in a decline in ticket sales. The company is now in the process of filing for bankruptcy proceedings. Private lotteries are still very popular in India despite the risks especially for younger generation. They can be played from mobile devices, computer browsers as well as TVs and the prizes are generally greater than those offered by regular lotteries. However, many consumers are concerned about the security and safety of these platforms. They are also concerned about the risk of sharing their personal data. The government is trying to tackle these concerns by implementing new regulations and promoting responsible gaming. The act of reporting any suspicious activity could assist the public.