Michigan Hitting 10th Anniversary Of Online Lottery Sales

Image showing online lottery gaming with lotto balls connected to a computer mouse along with the Michigan state outline featuring the Michigan Lottery logo for a story about Michigan celebrating its 10th anniversary of its online lottery debut.

In the gambling industry, iLottery is still relatively new and developing.

However, it is nothing new to the Michigan Lottery.

In August, the Michigan online lottery will be celebrating its 10th anniversary.

Starting with nine instant games on Aug. 11, 2014, Michigan now features over 200 different options.

When the decision was made to jump into the new venture a decade ago, it was just about giving customers as much convenience as possible, according to Michigan Lottery Player Relations Manager Jake Harris:

“It was about meeting players where they were at, with the existing product lines that we had. That is what drove that decision. We still look at that today, when we are looking at games to launch. We always ask ourselves, how are we meeting what the market is dictating from a player standpoint.”

Over 1 million have played Michigan iLottery

The first decade of Michigan iLottery got underway in 2014 when the state decided to make instant win games available on its lottery website.

It was a slow-building process, but by 2016, lottery draw games were also added to Michigan’s available inventory.

That move made the Michigan Lottery the first state to offer both variations of games online.

Over its history, here are some of the key figures from Michigan’s online lottery:

  • 2.2 million registered account holders
  • 1.1 million players have purchased online games
  • On average, approximately 500,000 unique users per month
  • $1.7 billion in total sales online

Online purchases are making up about 10% of the total lottery sales in Michigan right now.

While that number may be small compared to more recent locations that have launched iLottery, Michigan is one of the most open-gambling states in the US.

Not only does it have online sports betting, but online casinos are also legal in the state. That makes building iLottery a challenge, according to Harris:

“The marketplace is very competitive in Michigan. That’s why when we’re launching games, whether that’s retail or online, we’re always trying to find those games that are going to be appealing to Michiganders.”

Still, the iLottery platform has led to $1.4 billion going toward the School Aid Fund in Michigan over the last decade. That is something Harris believes sets the lottery apart from its gambling counterparts:

“One thing that really holds the lottery above some of those other opportunities is we’re impacting the School Aid Fund. If you’re playing an iLottery game, if you don’t win a prize, that money is going to support Michigan schools and public education in the state, which is very important.”

Keeping peace between retail and online lotteries

Throughout the last 10 years, the Michigan Lottery has focused on avoiding the perception that retail and online are competitors.

It has worked hard to make them fluid with one another, according to Harris:

“We certainly, over the years, have focused on how can we provide opportunities for players who choose to be online to experience the retail side of things? I think we’ve been pretty successful at doing that.”

Those efforts have been accomplished by free play coupons for retail games being offered through iLottery play.

The Michigan Lottery provides winning vouchers to be printed for online players who want to cash in their winnings at a retail location, too.

The Michigan Lottery mobile app has also been important in keeping the connection between retail and online available.

Michigan’s app was released in 2018. The platform allows players to enjoy games from their mobile device, but also gives the ability to scan retail tickets and enter second-chance drawings.

In fiscal year 2023, over 58 million retail tickets were scanned using the mobile lottery app. In addition, more than $9 million of iLottery winnings were cashed at retail locations during the year.

“Creating those opportunities is important. I think as we go along, we’ll still be looking for those opportunities to create one lottery universe that players can enjoy. We know that most of our sales occur at retail. But, there are people though, who like to play online. Whether that’s for convenience, they like the offerings that are out there, or what have you, it’s important to be able to provide that lottery product to those individuals as well.”

Michigan Lottery first to get iCAP certification

In 2015, Michigan became the first state lottery to receive Internet Compliance Assessment Program (iCAP) certification from the National Council on Problem Gambling.

Since then, it has maintained that certification year after year. That’s a major point of pride for the Michigan Lottery, says Harris:

“We were the first lottery to achieve that iCAP certification back in 2015. I think, goes to show our commitment to responsible gaming. We have a very strong responsible gaming program, and a lot of great tools online for those players to utlilize. We have a lot of tools and options that are available for players to utilize to make sure that they are enjoying the games, but doing so responsibly. That’s really the cornerstone of the iLottery program.”

With its iLottery, Michigan offers a number of responsible gaming options for players. These include self-exclusion settings, loss-limit settings, deposit limits, cool-off tools, and more.

The site and app also provide direct links and information to gambling addiction services around the state.

 

Photo by Talaj via Shutterstock
Graphic from the Michigan Lottery

About the Author

Drew Ellis

Drew Ellis

Lead Writer
A member of Catena Media since 2020, Drew Ellis is the Lead Writer at PlayiLottery, where he handles coverage of the online lottery industry in the US. He previously spearheaded news content at PlayMichigan, where he covered one of the most prominent online lottery industries in the US — among the many other aspects of Michigan's sprawling iGaming market. You can email him at [email protected].
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