National Lottery sees online sales jump by 43%

The National Lottery generated €225.3 million for good causes last year, the lowest amount in six years, on the back of falling ticket sales.

However, online sales, which is seen a key selling point in the upcoming auction of a new 20-year licence to operate the business, increased by 43 per cent to €8.7 million as the number of registered players rose to 40,000.

While this represents a fraction of overall sales, the company is restricted in the way it operates online, obliging players to go through a cumbersome registration process.

Under the new licensing terms, the rules governing online sales will be relaxed to help the next operator grow the business online.

According to its annual report, published today, overall sales of lotto tickets and scratch cards fell by 3.5 per cent to €735.1 million last year in what the company described as “a challenging retail environment”.

The company’s main lotto draw game, which accounts for 46 per cent of turnover, saw sales fall by 10 per cent to €339.7 million from €379.1 in 2011, reflecting lower average jackpot levels during the year.

The combined sales of Euromillions and Euromillions Plus, however, rose by 3.3 per cent to €176.1 million, compared to €170.4 million in 2011.

Scratch card sales increased 3.2 per cent to €163.5 million.

The business has generated €4.2 billion for good causes since its launch 26 years ago.

Minister for Public Expenditure and Reform Brendan Howlin has pledged to ring-fence at least 30.5 per cent of revenue for good causes.

In 2012, projects supported by the lottery received €225.3million of the €735.1 million generated by the business, representing 30.6 per cent of revenue.

National Lottery players shared total winnings of €406.4 million, representing a 55 per cent prize pay-out level, higher than several other European lotteries.

The biggest single jackpot draw of the year was €11.5 million in March, and was shared by two winning tickets, one of which was bought in Tesco, Bettystown, Co Meath and the other by Giustina Macari in Louis Malone's newsagent in Kildare town.

The largest individual jackpot win of the year was €8.7 million and was won in June by a ticket bought in First Chapter, Golden Island Shopping Centre, Athlone.

Total operating costs for 2012 reduced to €103.4 million, including €45.3 million in agents’ commission.

Chief executive Dermot Griffin said: "2012 will be remembered as the year when Ireland's National Lottery passed the €4 billion milestone in terms of funds raised for good causes."

"The new lottery licence process being undertaken by the Department of Public Expenditure and Reform is expected to modify the restrictions on the Play Online channel which will allow us to expand our business in this increasingly important area," he added.