IDEAS home Printed from
MyIDEAS: Login to save this article or follow this journal

Substitution between games in the UK national lottery

  • David Forrest
  • O. David Gulley
  • Robert Simmons

Virtually all lottery agencies offer a variety of games to suit the tastes of players in an attempt to maximize revenue to the government. Using the UK National Lottery, which offers a variety of on-line and scratchcard games, the extent to which there is substitution or complementarity between games is evaluated Employing weekly data from the three UKNL lottery games offered over the sample period, it is found that own-game characteristics have, by far, the largest influence on sales. Some evidence is found suggesting that the lotto and scratchcard games are partial substitutes for one another. Thunderball sales appear independent of the other two games. Some evidence is also found that the Wednesday and Saturday drawings of the lotto game are substitutes. The overall conclusion is that Camelot has successfully designed and marketed three games that each appeal to bettors in different ways. Thus, sales from one game do not seem to seriously cannibalize the sales of the other games, with the exceptions noted above. Further, the introduction of another, temporary game (Big Draw 2000) contributed to net sales. These results also suggest that the games do not appear to be complements to each other, indicating that the various arguments as to why the games may be so (transactions costs, brand awareness, and the portfolio effect) do not appear to be very strong.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 36 (2004)
Issue (Month): 7 ()
Pages: 645-651

in new window

Handle: RePEc:taf:applec:v:36:y:2004:i:7:p:645-651
Contact details of provider: Web page:

Order Information: Web:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as in new window
  1. Farrell, Lisa, et al, 2000. "The Demand for Lotto: The Role of Conscious Selection," Journal of Business & Economic Statistics, American Statistical Association, vol. 18(2), pages 228-41, April.
  2. Gulley, O. David & Scott, Frank A. Jr., 1993. "The Demand for Wagering on State-Operated Lotto Games," National Tax Journal, National Tax Association, vol. 46(1), pages 13-22, March.
  3. Forrest, David & Gulley, O. David & Simmons, Robert, 2000. "Elasticity of Demand for UK National Lottery Tickets," National Tax Journal, National Tax Association, vol. 53(n. 4), pages 853-64, December.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:taf:applec:v:36:y:2004:i:7:p:645-651. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.