The New York Lottery saw its traditional sales decline nearly 2% in the last fiscal year.
March’s conclusion brought an end to FY 2023-24, and the state finished with $8.14 billion in sales. That was 1.7% lower than the $8.28 billion New York did in FY 2022-23.
Only two of the 10 traditional game options increased in revenue. Overall, lottery draw games and retail instant win games were notably down.
Powerball, Win 4 see growth in New York
Fiscal year 2023-24 ran from April 2023 through March 2024.
New York compiled over $8 billion in traditional retail lottery sales during that time. But, of 10 different game options, eight saw a decline in sales.
| Game | FY22-23 Sales | FY23-24 Sales | Difference |
|---|---|---|---|
| Instant Games | $4.41 billion | $4.36 billion | -1.1% |
| Win 4 | $927.51 million | $937.46 million | 1.1% |
| Numbers | $883.49 million | $867.55 million | -1.8% |
| Quick Draw | $628.49 million | $585.27 million | -6.9% |
| Powerball | $517.35 million | $547.48 million | 5.8% |
| Mega Millions | $486.66 million | $432.34 million | -11.2% |
| Take 5 | $209.80 million | $201.64 million | -3.9% |
| Cash 4 Life | $119.04 million | $115.68 million | -2.8% |
| Lotto | $65.69 million | $59.80 million | -9.0% |
| Pick 10 | $34.74 million | $33.77 million | -2.8% |
| Total | $8.28 billion | $8.14 billion | -1.7% |
The only game sales that increased were Powerball and Win 4. Powerball sales can be hard to predict year to year, as they depend on the size of jackpots. However, a big year of jackpots led to nearly a 6% growth in ticket sales for New York. That equates to over $30 million.
What saw the biggest decline in sales percentage was Mega Millions. That dropped 11.2% year over year. In total, the difference equated to just over $54 million in sales.
NY Lottery uses courier services, subscriptions
Though New York isn’t among the states offering online lottery sites, the state does have more than just traditional retail options.
Residents have the ability to purchase draw games online through a subscription service.
This works for Mega Millions, New York Lotto, and Cash4Life. Residents set up an online account with the state lottery, including banking information.
Players have the option to choose a subscription for the available games from two weeks, up to one full calendar year. They purchase the tickets online and prizes of $600 and below will be deposited right into their account.
New York also is heavily connected with courier services. Jackpocket, Lotto.com, and Jackpot.com all operate within the state.
These courier services allow players to purchase New York retail lottery tickets through a third party.
In the case of courier services and subscriptions, both are still considered retail sales.
Online sports betting growing in New York market
One factor that could be impacting lottery sales in New York is online sports betting.
The state launched the gambling option in January 2022 and has seen massive sales since.
For 2022, New York produced $16.19 billion in wagers online. That was followed up by $19.10 billion in 2023, a growth of nearly 18%.
Through February, New York now sits at $37.25 billion in online sports betting handle. It has generated $3.26 billion in revenue for the respective online operators.
While it’s hard to find the direct correlation between online sports betting and lottery spend, it’s something Massachusetts is looking into.
The state legislators have inserted the addition of an online lottery into their budget for the upcoming year. This is in hopes of improving on declining retail lottery sales, which they correlate to online sports betting launching in the state.
Massachusetts had nearly $6 billion in handle over its first year of online sports betting. At the same time, the state’s lottery sales were down 6.8%.
Recent decisions could impact future NY Lottery sales
The lottery has been a bit of a hot-button issue in New York over recent weeks.
On March 29, a New York Lottery service center in Fishkill was permanently closed. It left one less option for residents to address their concerns and cash in on larger prizes.
Currently, lawmakers are looking into raising the age limit for New York residents to use video lottery terminals.
The legal age right now is 18, but Senate Bill 1557 would push that to 21.
There are 10 different VLT venues throughout the state. While VLTs are not part of traditional lottery sales, changing the age limit would likely lead to a decrease in money brought in for this gaming category, as well.
Photo by PlayiLottery
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