Lotterywest, the body that regulates the lottery in Western Australia, revealed its decision to review its brand and marketing strategy as it considers its market share at risk due to stiff competition from other gaming services providers.
The statutory authority of the Government of Western Australia has issued a warning that smaller population growth and the slow-moving local economy could affect its future revenue growth. In its annual report to State Parliament, Lotterywest said that the more relaxed regime for online companies to get operating licenses had resulted in a sharp increase in the number of competitors in the local gambling sector.
According to Susan Hunt, the Chief Executive Officer of Lotterywest, it is not only the tight economic environment which made the situation more complex but also the fact that both WA Lotteries Commission and other State lotteries were facing the rivalry of global gambling companies offering what she called “synthetic” lotteries.
In addition, Ms. Hunt shared that both Lotterywest and the government advocacy group Healthway intended to continue to seek “synergies” thanks to the merger of the two grant bodies, which was ordered after the Labor Party came to power. Moreover, the statutory regulatory body explained that it would continue to work hand in glove with Lotterywest retailers.
— Lotterywest (@lotterywest) August 17, 2018
Lotterywest Reports Ticket Sales Growth in 2017/2018
Earlier in 2018, the Federal Government passed some new pieces of legislation which are expected to be enacted in 2019. Under the newly-passed laws, services such as the ones offered by operators that allow local players to place bets on the outcome of a lottery rather than purchasing a standard lottery ticket will be officially suspended. As a result, such foreign operators have hinted that they are trying to find a way of bypassing the pending ban.
Still, not all has been bad for Lotterywest. The body regulating Western Australia’s lottery managed to generate a 3.4% growth in its ticket sales over the 2017/2018 fiscal year, with overall lottery ticket sales accounting for an amount of AU$855 million. An AU$260-million portion of that overall amount was returned to local communities in funding for various projects and good causes. On the other hand, the prize money paid by Lotterywest during the 2017/2018 financial year amount to a total of AU$463 million.
Thanks to our players & retailers, over $8M in #Lotterywest grants has supported the incredible work @parkervilleCYC do to care for abused children. Check out our latest #blog: https://t.co/uWqhddMwvc pic.twitter.com/nYduluiBjn
— Lotterywest (@lotterywest) September 5, 2018
The annual report of Lotterywest does not mention last year’s decision of the State Government to dismiss Paul Andrew, the then-boss of the statutory body.
At the time when that happened, Premier Mark McGowan refused to make any comments on the matter, as well as on the rumours that he had certain disagreements with Mr. Andrew regarding the Lotterywest grants’ allocation. The former boss of the regulatory body received a compensation amounting to AU$339,000, with the figure being included in the annual report of the authority.