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Today we are exploring the lively land of lotteries.

Are multiplayer lotteries a product destined to dominate this market or doomed to dwell in obscurity?

Let’s find out!

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Multiplayer Lotteries

Australia is witnessing a notable rise in multiplayer lotteries, where individuals can pool their resources and increase their chances of winning substantial prizes.

These lotteries allow players to pool their resources, enhancing their chances of winning while fostering a sense of community and shared excitement. 

This trend has gained popularity through online platforms that facilitate group participation, making it easier for individuals to join together, share costs, and increase their potential payouts.

Potential Impact

The Australian lotteries industry is substantial, with an estimated market size of $13.5 billion in 2024.

Provided they increase in popularity and continue to be profitable, companies are set to offer more and more multiplayer lotteries:

In a low growth scenario, where multiplayer lotteries only come to account for 10% of this industry, the market for multiplayer lotteries would be worth about $1.35 billion AUD.

In a high growth scenario, where multiplayer lotteries come to account for 40% of this industry, the market for multiplayer lotteries could be worth as much as $5.4 billion AUD.

Why this WILL be disruptive:

• Increased Engagement and Accessibility: Multiplayer lotteries are designed to be social and interactive, appealing to younger, tech-savvy demographics who value community engagement. Through digital platforms, these lotteries offer convenient, anytime access, attracting players who might prefer digital interaction over traditional formats.

• Higher Revenue Potential Through Collective Play: By allowing participants to pool resources, multiplayer lotteries encourage larger ticket purchases per group, driving up sales and revenue for operators. This collective purchasing also means players enjoy more competitive odds, making the experience more appealing and increasing participation rates.

• Global Reach and Diverse Options: Many multiplayer lotteries offer access to international lottery pools, allowing Australians to participate in foreign draws with potentially larger jackpots and more frequent play options. This variety and reach not only attract new players but can also revitalise interest in lottery play by providing alternative experiences.

Why this WON’T be disruptive:

• Regulatory and Legislative Challenges: Multiplayer lotteries face regulatory scrutiny, with the Australian government considering restrictions on "synthetic lotteries" and online betting services. Concerns around responsible gambling and fair play could lead to stricter regulations, limiting growth and potentially curbing appeal among players.

• Cannibalisation of Traditional Lottery Sales: Multiplayer lotteries may draw players away from traditional lottery formats, threatening the long-established revenue streams of conventional operators. This shift could reduce participation in traditional lottery games, impacting both sales and state tax revenues that support public services.

• Community and Responsible Gambling Concerns: The widespread availability of multiplayer lotteries, particularly online, raises concerns about gambling normalisation and the potential for problem gambling. The increased frequency and 24/7 accessibility may increase risks for addiction, as well as exacerbate social and community issues tied to gambling.