• The China Sports Lottery, state-run lottery services, witnessed sales worth $30.65 billion in 2017.

An online lottery is a form of gambling, which picks up a winner among the participants through draws. Unlike the conventional offline lottery, online lottery allows the customer to extend its outreach and participate in the draws globally. Online gambling is highly popular in developed economies such as the US, the UK, and other Western European countries. Several countries are considering legalizing gambling given its high contribution toward economy and taxes.

While the online lottery industry has evolved over the period, it is an integral part of the overall lottery business. The rise of digital and online gambling is witnessing a huge adoption due to the significant interest of the millennial population in digital gambling worldwide.

Further, the APAC region is witnessing the increased awareness about online lottery games due to the increased penetration of smartphones.The inclination toward gambling, the growing number of millennials and tech-savvy population, and the rise in per capita incomes are boosting the online lottery industry in the region.

Growing number of blockchain-based platforms

  • With the increasing internet and smartphone penetration, the total sale of lotteries from the mobile-based apps reached over $45 billion in 2017.
  • Kibo Lotto becomes the world’s first smart contact-based gaming Ethereum platform and combines over 6,000 independent lotto offices worldwide.

Blockchain is emerging as a game-changing technology for several businesses and sectors. The emergence of blockchain in the lottery industry has offered promising solutions to resolve challenges such as security and transparency. Blockchain technology offers a reliable and secure method for vendors to verify users on the online platform.Also, a blockchain-powered online lottery platform could give players more control over their information and allow its access the approved parties only.For instance, FireLotto’s online blockchain-based lottery platform is built on Ethereum smart contracts for collecting and distributing funds. The winning number will be chosen by random number generator (RNG) based on the blockchain technology of Bitcoin.

Increasing gamification

  • Vendors use gamification as a tool to understand human psychology

Gamification has helped online gaming vendors to overcome the customer retention challenge. It helps to increase the player’s interaction and improved sign-up rates. Currently, many online gambling companies have started to use game-like elements such as avatars, narratives, story-telling, power-ups, leaderboards, unlockable contents, and tournaments. Gamification also imparts competitive instincts such as earning special ranks on loyalty reward tier, increasing social connections and receiving exclusive bonuses. Further, several online gaming websites are offering loyalty points as reward programs as part of their gamification process, which takes the customer’s experience to a new level. Vendors are also using gamification as a tool to understand human psychology.

Read: Online Lottery Market - Global Outlook and Forecast 2018-2023

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