Colorado Lottery
Tracking Study
Presentation
October 2011 (W3)
for
Colorado Lottery
by
Simon Jaworski
Colorado Lottery Tracking Study: Content
BACKGROUND, OBJECTIVES & METHODOLOGY
KEY FINDINGS & RECOMMENDATIONS
AD AWARENESS
SECOND CHANCE DRAWINGS, SOCIAL MEDIA, WEBSITE & BENEFITS
OVERALL LOTTERY PLAYERSHIP
SCRATCH GAMES
MULTI-STATE JACKPOT GAMES – POWERBALL & MEGA MILLIONS
OTHER DRAWING GAMES – LOTTO, CASH 5, MATCHPLAY
KEY LOTTERY DYNAMICS: PLAYER TYPE, DAY PLAYED,
LOTTERY OPINIONS & GAME SATISFACTION RATINGS
2
Background
 TRiG is conducting a point-in-time tracking study for Colorado Lottery
and Scientific Games:

Wave 1: April 18- April 26 (conducted for CO Lottery and Cactus)

Wave 2: June 3- June 13 (conducted for CO Lottery and Cactus)

Wave 3: September 19 - September 29
 TRiG has been conducting this study with the following focal points:
1.
Data Continuity with historical Colorado Lottery tracking studies
2.
Ensuring data collected online comports with previous RDD only studies
3.
Managing sample to be reflective of overall Colorado population
 There are two key goals for this Colorado Lottery Point-In-Time Tracking
Study:
3
1.
To give the Lottery and Scientific Games accurate and relevant information,
to enable both parties to make sound business decisions based upon market
trends.
2.
To enable the Lottery to use the new Tracking Data in conjunction with the
historical information captured over the previous Telephone Tracking Study,
and to make both the study and the data a seamless integration into the
lottery’s business plan, on a weekly, monthly and annual basis.
Methodology
 604 Colorado respondents participated in a 15 minute survey in Wave 3

506 completed online

98 completed by telephone interview
 The respondents:

Must be older than 18 years of age

Must not have moral objections to Colorado running a state lottery

Must not work for an advertising agency, market research company,
marketing consultant, any type of Lottery or a store that sells lottery tickets

Phone respondents must not have internet access
 Margin of Error – Statistical Sample Accuracy at 90% confidence on
n=600 completes is + or – 3.4%
4
Sample Frame
 W1 (N = 596 completes)
 W2 (N = 601 completes)
 W3 (N = 604 completes)




5
Gender breaks
W1
– Female
51%
– Male
49%
Age breaks (% of adult population)
– 18-24
10%
– 25-34
17%
– 35-44
17%
– 45-54
24%
– 55-64
17%
– 65+
15%
Race*
– Caucasian
81%
– Asian
3%
– African American
5%
– Other
15%
Ethnicity
– Hispanic
21%
– Not Hispanic
79%
W2
52%
48%
W3
51%
49%
14%
17%
19%
22%
16%
12%
8%
21%
17%
23%
16%
15%
11%
20%
20%
20%
14%
15%
84%
3%
5%
9%
82%
4%
5%
12%
84%
3%
4%
10%
19%
80%
22%
77%
21%
79%
* Percentages total more than 100% as respondents were allowed to select more than one answer choice
Colorado Population
51%
49%
Key Findings
6
Key Findings (1) – Ad Awareness
 63% of respondents recall viewing or hearing Colorado Lottery advertising
within the past month significantly lower than W2 (but similar to W1).
 Scratch game Unaided Awareness is up significantly due to Wheel of Fortune.
 Wheel of Fortune represented 16% of the total 22% of Scratch Game unaided
Ad awareness.
 Awareness and understanding of Mega Millions should still be a #1 priority for
the Colorado Lottery moving forward as there is a great opportunity to
increase player penetration and trial.
7
Key Findings (2) – Social Media
 Over 70% of Coloradoans utilize social media frequently.
 58% of Coloradoans are Facebook users and Google Talk use is up to 20% in
W3. Social Media users skew younger.
 38% access Social Media via their mobile phone. (95% through laptop or PC).
 Email and the Lottery website are the most popular communication channels
for winning numbers and contest/promo information.
 However, there is still only limited interest in Lottery contests and promotions
information on Facebook (8%).
 95% of Facebook users are unaware of Colorado Lottery Mega Millions
promotions on the Facebook site.
8
Key Findings (3) – Website & Loyalty Programs
 The number of respondents who have visited the CO Lottery website is up
significantly in Wave 3, from 47% to 53%!
 Mean score ratings are up for the CO Website, with only one issue being of
any consequence (Navigation at 8%)
 Almost half of Coloradoans participate in loyalty programs.
 80% of Coloradoans who have a loyalty card belong to a Supermarket loyalty
program and more than half have a Credit Card and/or Frequent Flyer
program they belong to.
 Over half of all respondents rate the appeal of the VIP club as 8 or higher.
 However, among the core players, 70% of Past Month players rate the
Colorado Lottery VIP club as a 8, 9 or 10 in terms of appeal.
 85% of Coloradoans are unaware of the “Sign and It’s Yours” campaign.
 Only 4% claim to recognize the campaign.
9
Key Findings (4) – Lottery outlets & Purchase Days
 47% of respondents purchase tickets at convenience stores regularly.
 35% buy at grocery stores, up significantly in W3 (similar to W1).
 More than half of Past Month players purchase at both outlets.
 The number of Past Year Lottery players to have experienced an issue at
a retail store has declined significantly in W3.
 Playership by day continues to show discrepancies between Past Month
players and more Infrequent players. Playership levels are almost identical
on weekends (Saturday and Sunday)
 However, the largest gaps are Wednesday’s 43% (Past Month) v 31% (Not
Past Month) and of course Tuesday’s 30% (Past Month) v 16% (Not Past
Month).
 Colorado Lottery should attempt to either increase the casual player’s
spend on weekends, or encourage more players into stores on Tuesdays.
10
Key Findings (5) – Scratch Games
 Monthly reported spend on Scratch Games is down from W2.
 Having less money available to spend is the key driver behind decisions to
spend less on Scratch Games.
 About 1/3 of Scratch Game players state their reduction in spend is also
because they don’t win enough.
 Having spare money is the key driver in decisions to purchase Scratch
Games, followed by seeing the scratch tickets and also feeling lucky.
 Crossword is the most commonly played game, as well as the most
preferred, followed by Wheel of Fortune.
 Almost half of all $5 players like Crossword the best.
11
Key Findings (6) – The Lottery & Powerball Futures
 Close to two out of three total Coloradoans indicated a likelihood to
purchase lottery games in the future, similar to W2.
 There is still a 5:1 positive to negative ratio for the Colorado Lottery.
 In W3, 68% of respondents claim they would continue playing Powerball if it
became a $2 game, down from 73% in W2.
 30% would spend more than $10 on $2 Powerball in a typical month.
 Just over half of Powerball players play PowerPlay in Colorado.
 2/3 of PowerPlay players say they would continue to utilize the PowerPlay
feature even if the Powerball game moves to $2 price.
 If Powerball went to a $2 game, 52% of players would spend roughly the
same on all games. 35% of these players would keep spending exactly the
same, with 17% altering their levels by game.
 However, 19% would increase spend overall, 10% would decrease spend
overall.
 Only 1 in 10 claim to play Powerball for the fun/entertainment value.
12
Recommendations
1. Game Awareness, Ad Awareness and understanding of Mega Millions should
be the #1 priority for the Colorado Lottery moving forward.
2. Wheel of Fortune appears to have been a success. Are there similar $5 games
the Colorado Lottery could launch? Are there any plans to expand the range of
the very popular Crosswords games?
3. There appears to be a strong case for an increased use of Social Media in
Lottery communications, specifically to ensure enough of the youngest age
group, 18-34 year olds, are aware of Colorado Lottery games, promotions and
jackpot sizes.
4. However, this needs to be done correctly.
5. There still appears to be an opportunity in further educating Coloradoans about
where the Lottery money proceeds are spent.
6. Days of the week.
13
Ad Awareness
14
Past Month CO Lottery Ad Awareness
 63% of respondents recall viewing or hearing Colorado Lottery
advertising within the past month.
 This is similar to Ad awareness levels seen during W1 2011, significantly
lower than W2.
69%
63%
May-10
15
68%
W1
W2
(n = 596)
(n = 601)
Note:
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Q1.
In the past month have you seen or heard any advertising for Colorado Lottery games?
63%
W3
(n = 604)
Games Advertised Past Month – Unaided Ad Awareness
Total Market
 Scratch game Unaided Awareness is up significantly due to Wheel of
Fortune

WOF represented 16% of the total 22% of Scratch Game awareness

Both Powerball and Mega Millions Ad Awareness figures are down
significantly.
Powerball
16
W1
W2
W3
(n = 596)
(n = 601)
(n = 604)
21%
21%
Scratch games/Scratch
tickets/Scratch Off
12%
10%
Lotto
11%
11%
Mega Millions
10%
8%
13%
22%
10%
5%
Crossword/Crossword
Scratch/Puzzle
7%
Colorado Lottery/Lottery
6%
7%
3%
CASH 5
6%
7%
4%
1%
1%
Millionaire Raffle/Raffle
3%
3%
0%
MatchPlay
2%
5%
2%
Bingo
2%
1%
Note:
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Q2.
Please list which Colorado Lottery games you have seen advertised in the past month?
0%
Games Advertised Past Month – Total Ad Awareness
Total Market
 Scratch Game Total Ad awareness has maintained from wave to wave,
while Ad awareness of other games, notably Powerball and MatchPlay
has fallen.
W1
W2
W3
(n = 596)
(n = 601)
(n = 604)
Powerball
50%
49%
Scratch Games
49%
47%
Lotto
36%
Mega Millions
35%
Cash 5
MatchPlay
17
Crossword/Crossword
Scratch/Puzzle
7%
Colorado Lottery/Lottery
6%
31%
30%
27%
19%
13%
9%
48%
35%
20%
Raffle tickets
40%
17%
22%
12%
1%
7%
Note:
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Q2.
Q3.
Please list which Colorado Lottery games you have seen advertised in the past month?
Which of the Colorado Lottery games have you seen or heard advertising for in the past month?
12%
0%
1%
3%
Colorado Lottery, Social
Media, Website,
Loyalty Club &
“Sign & It’s Yours”
Campaign
18
Social Media Websites Used
 Over 70% of Coloradoans utilize social media frequently.
 58% are Facebook users and Google Talk is up to 20% in W3.
 Social Media users skew younger.
W1
W2
W3
(n = 596)
(n = 601)
(n = 604)
Facebook
60%
58%
Yahoo
27%
30%
26%
YouTube
25%
29%
26%
MSN
13%
14%
My Space
9%
Twitter
9%
LinkedIn
8%
8%
Google-Talk
6%
8%
Do not follow
Social Media
19
56%
8%
4%
12%
27%
11%
10%
13%
20%
25%
Note:
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Q7.
Which of the following Social Media websites do you actively use (or visit frequently)?
29%
Social Media Access
 The overwhelming majority of social media users utilize their PC to
access these sites.
 However, 38% access social media via their mobile phone.
W3
(n = 427*)
PC (Desktop or Laptop)
95%
Mobile Phone
Tablets (such as IPads)
Other
20
*Base=Respondents who use social media
Q7c. How do you access social media?
38%
9%
1%
Lottery Information Communication Preferences
 Email and the Lottery website are the most popular communication
channels for winning numbers and contest/promo information.
 However, there is still limited interest in Lottery contests and promotions
information on Facebook (8%).
W3
Winning Numbers Info
Contest and Promotion Info
(n = 604)
E-mail
Lottery Website
Newspaper
News/TV
Facebook
In store (store unspecified)
Mail
Store where bought ticket
Phone/call
Text message
Twitter
Radio
Other
None of the above
21
(n = 604)
33%
48%
29%
6%
32%
2%
5%
5%
2%
8%
2%
0%
1%
2%
1%
0%
1%
0%
1%
0%
0%
1%
0%
1%
1%
1%
19%
Q7d. How do you prefer to receive winning numbers from the lottery?
Q7e. How would you prefer to receive information about Lottery contests and promotions?
19%
Colorado Lottery Website
 The number of respondents who have visited the CO Lottery website
is up significantly in Wave 3, from 47% to 53%!
 More than one in three respondents has been on the CO Lottery website
in the past month.
Last Website Visit
18%
19%
16%
15%
13%
18%
14%
15%
18%
In the Past Week
In the Past Month
In the Past Year
54%
53%
48%
I have never visited the Lottery website
Note:
22
W1
W2
W3
(n = 596)
(n = 601)
(n = 604)
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have visited the CO website in the past month
Q8. Which of the following best describes when you last visited the Colorado Lottery website?
Q9. Did you notice that the Colorado Lottery website has changed recently?
Rating of Colorado Lottery Website Design
 The website redesign was widely viewed as an improvement with 61% of
respondents who have seen it giving it a rating of 8 or higher on a scale
of 1 to 10. Mean ratings are now up to 7.7/10.
Mean Rating:
Top 3 Box:
7.6
7.5
7.7
57%
55%
61%
18%
17%
12%
18%
18%
15%
Rating 10 - Excellent Website
9
8
Note:
23
21%
25%
29%
18%
20%
17%
12%
11%
8%
6%
9%
3%
12%
6%
4%
W1
W2
W3
(n = 276*)
(n = 283*)
(n = 315*)
7
6
5
Rating 1 - 4 Poor Website
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have visited the CO website
Q10. On a scale of 1 to 10, where 10 is an excellent website that offers you everything you need to know about the Colorado Lottery and its
games, and is easy to use, and 1 is a poorly designed website that is difficult to use, how would you rate the Colorado Lottery website?
Improvement for Colorado Lottery Website
 61% of respondents either believe the website does not need
improvement or can’t think of a way to improve.
 However, 8% reported navigation issues.
W3
(n = 315)*
Nothing, fine the way it is
Make easier to navigate/find things/what I'm looking for
Improve speed/website takes too long to load
Make easier to find/better display of winning numbers
Clean up, make less cluttered
Offer mobile app/better access on mobile access
Show winning numbers on home page
Make more user-friendly
More/better game info/game instructions
Website is not very appealing
Eliminate the sound effects/musical/noise icons
Have information on how money is spent/how helps Colorado
Offer more winning numbers/opportunities to win
Other
Don't know/ can't think of anything
24
Base=Respondents who have visited the CO website
Q11w3. What can be done to improve the Colorado Lottery website?
31%
8%
3%
3%
2%
2%
2%
2%
2%
1%
1%
1%
1%
14%
30%
Loyalty Programs/Clubs
 Almost half of Coloradoans participate in loyalty programs.
 80% of Coloradoans have a Supermarket loyalty program
 More than half have a Credit Card and/or Frequent Flyer programs.
W3
Loyalty Programs
Participate In
(n = 287*)
Supermarket (Safeway,
Aware of Loyalty
Programs/Clubs
Participate in Loyalty
Programs/Clubs
(n = 604)
(n = 604)
80%
Albertson, King Soopers)
Credit card programs (like
57%
American Express, Discover Card)
Frequent Flyer Programs
50%
(Delta, US Air)
Hotel Programs (Marriott, Hilton)
40%
Restaurants
No,
58%
Yes,
42%
No,
52%
Yes,
48%
26%
23%
Specialty Store
(DSW, Toys R Us)
Food/Beverage (Coke)
Drug Stores (CVS, Walgreens)
Video Game Stores
(Game Shop)
25
36%
(Subway, Panera Bread)
Department Stores (Macy's,
Dillard, Kohls)
Casinos (Foxwoods, Cherokee)
19%
15%
15%
8%
Online survey panels
2%
Other
2%
*Base=Respondents who participate in loyalty programs
Q5aw3 Do you know what a Loyalty, VIP, Affinity or Rewards Club is?
Q5bw3 Loyalty, VIP, Affinity or Rewards Club programs are partnerships in which one company offers special rates or services to their
members when their services are used on a repeated basis. Allowing members to earn points, credits or in some cases miles. Do you
actively participate in any such club or program?
Q5cw3 Which of the following loyalty programs do you participate in? Select all that apply
Colorado Lottery VIP Club Appeal
 Over half of respondents rate the appeal of the VIP club as 8 or higher.
 Over 70% of Past Month players rate the Colorado Lottery VIP club as a
8, 9 or 10 in terms of appeal. (8.1 mean score)
Total
Mean Rating: 6.9
Top 3 Box % 52%
Past Month Players
8.1
71%
Lapsed players
6.1
38%
Rating 10 - Extremely Appealing
31%
9
8
9%
7
13%
6
9%
8%
5
12%
3%
5%
2%
10%
3
W3
26
4
2
Rating 1 - Not At All Appealing
(n = 604)
Q5dw3 The Colorado Lottery is thinking about launching a lottery VIP club where players can earn points for entering the serial numbers of
their non-winning tickets. Earned points could then be redeemed for different types of prizes like home entertainment systems, gift
cards from local Colorado restaurants, etc. On a scale of 1 to 10 where 1 is Not at all appealing and 10 is extremely appealing, how
appealing is this type of program to you.
Awareness of Campaigns
 85% of Coloradoans are unaware of the “Sign and It’s Yours” campaign.
 Only 4% claim to recognize the campaign.
W3
Aware of Colorado Lottery's
“Sign and It’s Yours”
Campaign
(n = 604)
Yes, 4%
DK
11%
No, 85%
27
Q62. Just within the last month or so, do you remember seeing any images or hearing any of the …?
Overall
Lottery Playership
28
CO Lottery Games - Playership
Total Market
 73% of respondents have played CO Lottery games ever in W3, down
against W2.
 Scratch Games and Powerball have the highest playership, with 28% of the
population claiming to have ever played Mega Millions in W3 (up from W2).
Ever Played CO Lottery Games
DK
1%
W1
No,
22%
(n = 596)
W2
No,
25%
(n = 601)
W3
(n = 604)
Note:
29
Yes,
78%
Scratch Games
Powerball
Lotto
Mega Millions
Cash 5
MatchPlay
Raffle tickets
None
Yes,
75%
Scratch Games
Powerball
Lotto
Mega Millions
Cash 5
MatchPlay
Raffle tickets
None
DK
1%
No, 26%
Games Ever Played
Yes,
73%
Scratch Games
Powerball
Lotto
Mega Millions
Cash 5
MatchPlay
Raffle tickets
None
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Q13. Have you ever played any of [these] Colorado Lottery games?
Q14. Which Colorado Lottery games have you ever played?
60%
58%
52%
32%
24%
11%
8%
23%
57%
51%
45%
24%
22%
16%
8%
25%
58%
54%
47%
28%
23%
11%
7%
27%
Games Played In …
Total Market
 Past Month playership is down significantly in W3, down from 51% to
45%. This decline is seen across the board, although Scratch Games
and MatchPlay have seen significant declines.
… Past Year
Total Lottery
Playership
Scratch Games
Powerball
Lotto
Mega Millions
Cash 5
MatchPlay
Raffle tickets
None
68%
66%
65%
… Past Month
48%
46%
45%
47%
43%
45%
37%
33%
34%
28%
21%
21%
17%
15%
14%
9%
12%
7%
5%
6%
6%
31%
34%
35%
30%
31%
26%
33%
28%
27%
24%
22%
21%
18%
12%
13%
9%
8%
6%
5%
6%
4%
2%
3%
1%
46%
49%
55%
W1 (n = 596)
Note:
30
54%
51%
45%
69%
May-10
W2 (n = 601)
W3 (n = 604)
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Q15. IN THE PAST YEAR, which of these Colorado Lottery games have you played?
Q16. AND IN THE PAST MONTH, which of these Colorado Lottery games have you played?
Outlets Where CO Lottery Tickets Purchased Regularly
Total Market
 47% of respondents purchase tickets at convenience stores regularly.
 35% buy at grocery stores, up significantly in W3 (similar to W1).
 More than half of Past Month players purchase at both outlets.
W1
W2
W3
(n = 596)
(n = 601)
(n = 604)
52%
79%
64%
Convenience Stores
Liquor Stores
35%
30%
48%
39%
57%
46%
9%
16%
7%
9%
15%
10%
Restaurant/Bar
2%
3%
0%
1%
1%
1%
1%
3%
0%
Other Outlets
2%
3%
5%
2%
2%
6%
2%
3%
5%
Note:
31
10%
17%
7%
76%
64%
80%
67%
35%
52%
49%
Grocery
47%
51%
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
Total
Market
Past Month
Players
Lapsed
Players
Multiple answers accepted
35% did not state an answer
Q18. From which of the following outlets do you regularly purchase your Colorado Lottery tickets?
Issues Faced at Lottery Retail Stores
 The number of Past Year Lottery players to have experienced an issue at
a retail store has declined significantly in W3.
 The most common issues experienced are out-of-stock games (down
significantly in W3), unknowledgeable staff or game terminals/dispensers
not working.
Scratch Games you wanted
to play were unavailable
W1
W2
W3
(n = 409)
(n = 393)
(n = 390)
27%
Store clerks/employee had
little knowledge about games
18%
Drawing Game terminals
were not working
16%
Scratch Game tickets in the
dispensers were not visible
Lottery Game instructions were unclear
Incorrect numbers were
displayed at location
Other
None of the above
Note:
32
22%
28%
13%
16%
16%
13%
13%
9%
10%
7%
6%
7%
4%
1%
2%
3%
3%
2%
51%
51%
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have played CO lottery games in the past year
Q19. Which, if any, of the following issues have you faced at Lottery Retail stores over the past year?
58%
Likelihood to Purchase CO Games in the Future
 Close to two out of three total Coloradoans indicated a likelihood to
purchase lottery games in the future, similar to W2.
 18% stated they might or might not purchase in the future.
Mean Rating:
3.9
3.8
3.7
Top 2 Box:
67%
63%
63%
Definitely Purchase
45%
41%
38%
Probably Purchase
22%
25%
17%
18%
9%
8%
10%
11%
10%
8%
W1
W2
W3
(n = 596)
(n = 601)
(n = 604)
23%
16%
Note:
33
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
5-point scale where ‘5’ means Definitely Purchase and ‘1’ means Definitely Not Purchase
Q23. How likely are you to purchase Colorado Lottery games in the future?
Might or Might Not Purchase
Probably Not Purchase
Definitely Not Purchase
34
Amount Spent on Scratch Games…
 61% of all players spent $5 or less the last time they played Scratch
Games.
 Monthly reported spend is down for both the last time player’s played
and their typical monthly spend.
… Last Time Played
Mean:
$10
$11
$8
9%
7%
12%
15%
5%
11%
20%
… In Typical Month
$21+
22%
27%
$11 - $20
Mean: $21
$24
$14
11%
6%
6%
15%
50+
7%
8%
7%
3%
8%
13%
$31-$49
17%
19%
$21-$30
18%
17%
19%
$6 - $10
59%
51%
61%
41%
$1 - $5
50%
$6-$10
34%
$1-$5
W1
W2
W3
W1
W2
W3
(n = 287*)
(n = 279*)
(n = 273*)
(n = 287*)
(n = 279*)
(n = 173*)
Note:
35
$11-$20
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have played Scratch games in the past year
Q26. How much did you spend the last time you played Scratch games?
Q27. Approximately how much do you spend on Scratch Games in a typical month?
Why Spending Less on Scratch Games
 Having less money available to spend is the key driver behind decisions
to spend less on Scratch Games.
 About 1/3 state it’s also because they don’t win enough.
REASONS FOR SPENDING LESS
Have less money
to spend
75%
85%
78%
Felt didn’t
win enough
Spending less
on principle
37%
39%
34%
16%
13%
10%
Less interested in
lottery games
8%
6%
2%
Don’t enjoy
it anymore
4%
3%
6%
Other
5%
2%
6%
None
3%
0%
0%
W1 (n = 97*)
W2 (n = 87*)
W3 (n = 93*)
Note:
36
Capital Letters indicate a significant difference across player groups at the 95% confidence level
Lowercase Letters indicate a significant difference across player groups at the 90% confidence level
*Base=Respondents who are spending less on Scratch Games
Q29. Why are you spending less on Scratch games? Is it because…?
Importance - Scratch Games Purchase – Why & What
 Having spare money is the key driver in decisions to purchase Scratch
Games, followed by seeing the scratch tickets and also feeling lucky.
PAST YEAR SCRATCH PLAYERS
WHY MAKE SCRATCH PURCHASE?
73%
79%
74%
I had
spare money
I saw
the scratch
tickets
61%
62%
63%
I felt lucky
60%
61%
57%
I saw a
lottery sign
I remembered
the advertising
The sales clerk
mentioned it
28%
28%
23%
22%
16%
20%
10%
11%
10%
PAST YEAR SCRATCH PLAYERS
WHAT DRIVES SCRATCH CHOICE?
Price of
the ticket
Number of
chances to win
Having a
bonus feature
Odds of
winning
Top prize
Game you've
won on before
Having many
win-able
small prizes
Way it is played
Being new game
Graphics/general
look of ticket
86%
87%
85%
75%
78%
70%
72%
77%
59%
70%
68%
66%
67%
66%
65%
63%
64%
53%
60%
65%
56%
55%
60%
58%
51%
50%
46%
46%
45%
45%
W1 (n = 287*)
W2 (n = 279*)
W3 (n = 273*)
37
* Base=Respondents who have played Scratch games in the past year
Q30. Please think about the last time you bought Scratch games. Below is a list of reasons that may or may not have been important to you
in deciding to buy these Scratch games. Please check whether each reason was important or not important in deciding to buy the
Scratch games.
$5 Game Playership / Preference
 Crossword is the most commonly played game, as well as the most
preferred, followed by Wheel of Fortune.
 Almost half of all $5 players like Crossword the best.
$5 Scratch Game
Tickets Ever Played
$5 Scratch Game
Tickets Like Best
W3
(n = 74)*
Crossword
Crossword
72%
Wheel of Fortune
50%
47%
Wheel of Fortune
18%
Rageous Riches
30%
Rageous Riches
8%
Super Special Wild
Number Bingo
30%
Super Special Wild
Number Bingo
7%
High Octane
5%
Reel Winner
27%
High Octane
22%
Musical Notes
4%
Musical Notes
22%
Reel Winner
4%
Fifty Large
20%
Fifty Large
3%
Super Lemon
Lime Crossword
20%
Super Lemon Lime
Crossword
3%
Other
1%
Other
38
(n = 74)*
1%
Base=Respondents who have played $5 games in the past week or past month
Q25b. Which of the following $5.00 Scratch Game tickets have you ever played?
Q25c. And which of the following $5.00 Scratch Game tickets do you like best?
Multi-State Games
&
39
Amount Spent on Powerball & Mega Millions…
 30% of all Powerball players typically spend more than $10 in a month.
 Almost three quarters of players spent $5 or less the last time they
played.
Spend Last Time Played – Mean $
Spend In Typical Month - $
W1
W2
W3
W1
W2
W3
$8
$7
$8
$15
$15
$12
$7
$8
$4
$15
$20
$8
 More frequent players are less motivated by increasing jackpot sizes
 Weekly players are more motivated to play in $20-30 million jackpots
 30% of Powerball players who are lapsed players (not played in the past
month) wait until the Powerball jackpot hits $100m.
 During the field period, the Mega Millions continued to increase, and
probably drew in less frequent players.
40
*Base=Respondents who have played Powerball in the past year
Q34/47.
How much did you spend the last time you played Powerball/Mega Millions?
Q35/48.
Approximately how much do you spend on Powerball/Mega Millions in a typical month?
Jackpot Amount Spent
 43% of players will spend more as jackpot size increases
 38% of players who spend more when the jackpot size grows increase their
spend when the jackpot hits $100 million +.
Amount at Which Spend More
Spend More as Jackpot Grows
DK
3%
W1
Yes,
43%
No,
54%
(n = 279*)
DK
4%
W2
No,
53%
Yes,
43%
(n = 257*)
DK
1%
W3
(n = 271*)
Note:
41
No,
56%
Yes,
43%
20-30 Million
31-50 Million
51-99 Million
100-149 Million
150+ Million
Size of Jackpot
does not matter
Don't know
14%
18%
7%
23%
14%
18%
7%
Mean = $99m
20-30 Million
31-50 Million
51-99 Million
100-149 Million
150+ Million
Size of Jackpot
does not matter
Don't know
19%
9%
9%
23%
11%
20%
9%
Mean = $82m
20-30 Million
31-50 Million
51-99 Million
100-149 Million
150+ Million
Size of Jackpot
does not matter
Don't know
11%
11%
13%
23%
15%
18%
9%
Mean = $104m
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have played Powerball in the past year
** Base=Respondents who spend more on Powerball tickets as the jackpot grows
Q38. Do you typically spend more on Powerball tickets as the jackpot grows?
Q39. At what jackpot amount do you start to spend more on Powerball?
(n = 119**)
(n = 110**)
(n = 116**)
Reasons for Playing POWERBALL
 Almost half of Powerball players cite the “chance to win” as the key
reason they play the game.
 Only 1 in 10 claim to play for the fun/entertainment value.
W3
47%
For the chance to win/I want to win
Big jackpot/prizes I could win
30%
The money
13%
9%
(n = 271)*
42
Base=Respondents who have played POWERBALL in the past year
Q33a
What is the key reason that you play POWERBALL?
For fun/entertainment/I like the game
Potential Powerball Game Changes
 In W3, 68% of respondents claim they would continue playing
Powerball if it became a $2 game., down from 73% in W2.
 30% would spend more than $10 on $2 Powerball in a typical month.
Would you continue playing Powerball
if games changes to $2 ticket?
Don't know
16%
W2
Mean:
34%
40%
Mean:
No, 15%
Yes
68%
$21+
$11-$20
$6-$10
Yes, 73%
Don't know
17%
(n=271)*
$13
11%
16%
No, 11%
(n=257)*
W3
Spend on $2 Powerball
in a typical month?
$1-$5
$13
15%
15%
$21+
34%
$6-$10
$11-$20
$1-$5
36%
43
*Base=Respondents who have played Powerball in the past year
Q39b. If the current Powerball game were to make some improvements …, but the price point moved from a $1 game to a $2
game, would you still play Powerball?
Q39e. How much would you spend on a $2 Powerball game in a typical month?
PowerPlay Feature – Now and future
 Just over half of Powerball players play PowerPlay in Colorado.
 2/3 of PowerPlay players say they would continue to utilize the
PowerPlay feature even if the Powerball game moves to $2 price.
Do you currently play the PowerPlay
feature of PowerBall?
Don't know
3%
W2
Will you will play PowerPlay if
PowerBall increases to $2?
Yes
67%
No
No, 44%Yes, 53%
16%
Don’t Know
17%
0%
20%
(n=257)*
Don't know
2%
W3
40%
60%
(n=136)**
Yes
80%
100%
67%
No
No, 47%
Yes
51%
19%
Don’t Know
14%
0%
(n=271)*
44
20%
40%
60%
80%
(n=139)**
*Base=Respondents who have played Powerball in the past year
** Base=Respondents who play PowerPlay feature of PowerBall
Q39a. Do you currently play the PowerPlay feature of Powerball for an extra $1…?
Q39d. If the current Powerball game increased from a $1 game to a $2 jackpot game, would you still play PowerPlay…?
100%
Impact of $2 Powerball on Total CO Lottery Spend
 52% of players would spend roughly the same on all games with $2,
Powerball. 35% of these players would keep spending exactly the same,
with 17% altering their levels by game.
 19% would increase spend overall, 10% would decrease spend overall.
Total
Past Week
Past Month
Past Year
(n=271)
(B)
(n=78)*
(C)
(n=89)*
(D)
(n=101)*
Spend Same on PB
and Other
35%
Spend more on PB,
keep other same
14%
Spend more on PB,
lower other
13%
Spend less on PB,
keep other same
8%
Spend more on PB,
more on other
5%
Spend less on PB,
more on other
4%
Spend less on PB,
lower other
2%
Don't Know
45
37%
19% D
18% D
8%
6%
9% c
5%
1%
18%
29%
14%
20% BD
10%
41%
6%
10%
9%
2%
5%
4%
3%
3%
2%
12%
25% bC
Note: Letters indicate a significant difference across player groups at the 95% confidence level
*Base=Respondents who have played Scratch games in the past week, month, year
Q39f. How do you think a $2 Powerball game would affect your spending on the range of Lottery games you currently play,
including Powerball?
Impact of $2 Powerball on Total CO Lottery Spend
 There appears to be more confusion about future spending in W3
then there was in W2 with “Don’t know” response rising significantly
 Net lower spending options fell from 20% in W2 to 10% in W3.
Spend Same on PB
and Other
Spend more on PB,
keep other same
Spend less on PB,
keep other same
12%
Spend less on PB,
lower other
Don't Know
46
(n = 257)
(n = 271)
35%
10%
12%
Spend less on PB,
more on other
W3
35%
Spend more on PB,
lower other
Spend more on PB,
more on other
W2
5%
14%
13%
8%
5%
7%
8%
11%
4%
2%
18%
Note: Letters indicate a significant difference across player groups at the 95% confidence level
*Base=Respondents who have played Scratch games in the past week, month, year
Q39f. How do you think a $2 Powerball game would affect your spending on the range of Lottery games you currently play,
including Powerball?
Powerball and Mega Millions interaction
 13% of those who play Powerball and Mega Millions will increase Mega
Millions spend if jackpot is high, while maintaining Powerball spend.
 Over half of all respondents who play Powerball and Mega Millions
spend the same on both games regardless of the size of each game’s
jackpot.
Note:
47
12%
15%
28%
27%
13%
Spend more on Mega Millions and
keep your Powerball spend the same
21%
Spend more on Mega Millions and
lower your Powerball spend
55%
55%
51%
5%
7%
11%
W1
W2
W3
(n = 152*)
(n = 104*)
(n = 112*)
Spend the same on both games,
regardless of the jackpot size
Don't Know
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have played Powerball and Mega Millions in the past year
Q50. When the Powerball jackpot is low, and Mega Millions jackpot is high, do you…?
Reason for Not Buying Mega Millions Ticket
 Awareness and understanding of Mega Millions should be a #1 priority for the
Colorado Lottery moving forward as there is a great opportunity to increase
player penetration and trial.
 30% of non-players are not aware/familiar/have not thought about playing
 13% of respondents in W3 “don’t have the money” to play Mega Millions, up
significantly from W2
Note:
48
W1
W2
W3
(n = 127*)
(n = 153*)
(n = 159*)
Not aware of/Familiar with the game
27%
Poor odds/hard to win
Prefer Powerball/Used to playing Powerball
10%
7%
Have not thought/Don't think about playing it
6%
I don’t have the money
I don’t think I’ll ever win
Powerball has a higher payout
Just haven’t tried Mega Millions yet
Familiar with Powerball
I play/Prefer to play other Colorado lottery games (game
unspecified)
Don't like Mega Millions
Other
No reason
Don’t Know
5%
2%
2%
2%
2%
17%
9%
10%
4%
6%
3%
4%
4%
1%
19%
3%
10%
11%
13%
1%
1%
3%
3%
2%
0%
3%
1%
16%
8%
11%
0%
10%
7%
10%
1%
6%
9%
9%
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
*Base=Respondents who have played Powerball and not played Mega Millions in the past year
Q51. In the PAST YEAR, you said you have played Colorado Lottery’s Powerball game, but not the Mega Millions game. Both games are
very similar, being National Jackpot drawing games, so what is the main reason you have not bought a Mega Millions ticket?
Mega Millions Promotion on Facebook
 95% of Facebook users are unaware of Colorado Lottery Mega Millions
promotions on the Facebook site.
 The Colorado Lottery needs to drive players to their Facebook page.
W3
(n = 350)*
Yes, 4%
Not Sure
1%
No, 95%
49
Base=Respondents who use Facebook
Q49w3 Do you follow Mega Millions promotions on Facebook?
50
Amount Spent on Lotto, Cash 5 and MatchPlay…
 20% of LOTTO players spend more than $10 on the game in a typical
month.
 84% of players spent $5 or less the last time they played.
… Spend Last Time Played
Mean $ W1
51
W2
W3
$9
$9
$4
$6
$5
$5
… Spend In Typical Month
Mean $ W1
W2
W3
$17
$16
$8
$14
$13
$18
*Base=Respondents who have played LOTTO in the past year
Q41/44.
How much did you spend the last time you played CASH 5/LOTTO tickets?
Q42/45.
Approximately how much do you spend on CASH 5/LOTTO in a typical month?
Games Satisfaction
Top 2 Box % (5 point scale – 5 = Extremely Satisfied, 1 = Not At All Satisfied)
 Scratch Games are consistently the No.1 game in terms of player
satisfaction.
 Satisfaction with Raffle has fallen dramatically from W1 being the
highest rated game to the lowest in W2 and W3.
Raffle Tickets
Scratch Games
Mega Millions
Cash 5
MatchPlay
Powerball
Lotto
Note:
52
Q59a.
26%
23%
58%
51%
52%
52%
42%
41%
38%
42%
46%
43%
41%
39%
39%
40%
38%
36%
34%
37%
39%
W1 (n =596)
W2 (n = 601)
W3 (n = 604)
Solid arrows indicate Wave 3 significantly higher/lower than Wave 2 at 95% confidence level
Arrow outlines indicate Wave 3 significantly higher/lower than Wave 2 at 90% confidence level
For the following games that you have played in the past year, how satisfied are you with each game you have played? Please use a
scale from 1 to 5 where 5 is Extremely satisfied and 1 is Not at all satisfied.