Over the past 10 years, the Massachusetts lottery's fortune has grown exceptionally. Gross profits have improved at a yearly rate of 4%, exceeding the $4.5 Billion mark in 2006.
The only year that the Massachusetts lottery lost 0.2% was in 2003. But this year, lottery sales have been slow, especially with the scratch tickets. Through the first 10 months of this year, lottery profits loss around 2.3% prevent or about $142 million compared to the same period last year.
The state lottery has launched 3 new games and is cutting back on expenses to close the margin. Any sign of trouble in the lottery is taken seriously as the lottery is a major source of cash for different community services in Massachusetts. The lottery contributes $920 million in community funds and is planning to contribute a total of $935 million next year.
But when most communities are cutting back on their expenses, seeking tax cuts and requesting for more cash from the state, the lottery is having a hard time increasing their contributions.
Treasurer Timothy Cahill, the Head of the State Lottery, commented that they are exploring new ways to counter the slow growth. One option that they are exploring is to allow their customers to play from their mobile phones. He added that you can now play scratch tickets and even bingo by simply using your mobile phone.
The State Treasurer also said that they are still contemplating whether or not to pursue the mobile gambling idea. They will also consult the legislature before making any additional plans. Geoffrey Beckwith, the Executive Director of the Massachusetts Municipal Association, commented that people are expecting this change in the lottery.
May 24, 2007
Matt Gross