Company proposes new pooling lottery ticket to fight 'jackpot fatigue'

Feb 9, 2007, 7:00 pm (13 comments)

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An Arizona company has designed a new lottery ticket concept that would enter the purchaser in a pool with other lottery players, at the same time entering chances that are not part of the pool.

The company claims that the increased number of chances to win will combat jackpot fatigue, a sense of dimished player excitement over large jackpots leading to lower ticket sales.

The company hopes to attract state lotteries with its promise of higher sales.  According to the company's press relesse the required technology can be installed alongside existing backend lottery systems and integrated at the storefront.

The company's press release appears below.

New Lottery Ticket Will Bust Myth of Jackpot Fatigue

Relationship Marketing Systems, LLC, a lottery products company in Phoenix, Arizona has a patent-pending lottery ticket designed to increase sales of state lottery jackpot games. According to Andy Amada, president of RMS, "Believing in the myth of 'Jackpot Fatigue' is holding state lotteries back from generating a lot more sales and revitalizing their online games."

Sales of lottery jackpot games are eroding and lottery professionals are becoming more concerned by the continuing drop in player excitement. It is taking a longer and longer time for the jackpots to build up, and even when the jackpots grow to astronomical heights, such as the recent quarter of a billion dollar Powerball prize, there are no long lines to be seen. The industry blames the lackluster sales and player inaction on "Jackpot Fatigue," meaning that the same high jackpots are no longer exciting to the players, and claims that players need to continue seeing higher and higher jackpots to maintain their excitement. But, Amada disagrees, "The underlying problem is not boredom, it's frustration. It's not 'Jackpot Fatigue' it's 'Losing Fatigue,' and until the Lottery Industry recognizes that problem and responds with new reasons to play, the players will continue to drop out and sales of jackpot games will continue to fall."

So, what will rebuild value and bring players back to jackpot games? According to Amada, "The same three things that attracted them in the first place - knowing that there's at least a chance that they might win something significant, the perception that other players like them are winning something of value, and a package of entertaining experiences that keeps them motivated to play all the time."

"Jackpot Fatigue is not the problem, it is the result," states Amada. "Players aren't fatigued or disinterested in the idea of winning $50 million, or $25 million or $5 million. Even $1 million would change the average person's life forever for the better, and they know it. After years and even decades of losing, players are beginning to realize that getting anything back out of these jackpot games is pretty much a lost cause. So they limit their playing to when the jackpots are higher when they feel it's 'worth it' to give playing another chance."

"The recent success of lower odds and smaller prize games like raffles are proof. Players are paying $20 or twenty times the price of the traditional $1 ticket for a prize that pales in comparison to the jackpot game prizes. Thus, the players are still excited about and will support games that they believe give them at least a small chance of winning, even if the payoff is only a million bucks," Amada added.

With all this in mind, RMS has created a winning solution for both the players and the lottery — a pooling ticket. "Pooling gives players exactly what they need to get excited about playing again — an affordable way to get a lot more chances to win. Players with access to office pools have been doing it since lotteries began because they can see the common sense of getting dozens, even hundreds more chances of winning," Amada states. But, putting together pools and collecting the funds has always been a hassle. State lotteries, however, are in the position to take all of the hassles out of pooling, making it simple, secure and available to everyone at all times through a pooling ticket. Players would still be anonymous and they would buy the pooling ticket just like they do any lottery ticket. All of the work would be done by the lottery's software. The software would simply assign each player to a pool of ten tickets and when each pool fills up, another pool would be started.

"The myth of Jackpot Fatigue is completely misleading," Amada adds. "Most players don't have to win hundreds of millions of dollars to see the value in playing; they just need to believe they have a shot at winning something significant. Believe me, even $1 million is significant to most people; and knowing they have a lot more chances to win gives them that shot."

RMS has branded their pooling ticket PoolingPLUS(TM) because it is a combination ticket that includes both traditional 100% owned tickets plus one or more pools of 10 tickets each. Thus, a player who spends $6 could get three 100% owned tickets plus 3 pools of 10 tickets each giving them a total of 33 chances to win for only $6. Amada states, "With PoolingPLUS, the Lottery sells more tickets at full price and the players get the best of both worlds — the opportunity to 'win it all' through their 100% owned tickets and now dozens or even hundreds of chances to win through pools of tickets."

"With PoolingPLUS, players will have a whole new way of playing any jackpot game," Amada states. Current players will play more and those players sitting on the sidelines looking for a reason to return will get back into the game. The PoolingPLUS ticket is simple and economical to install as it requires no game changes and only a small software change.

RMS will soon be launching an advanced information website for PoolingPLUS which will include market research, sample promotions and a downloadable player survey for states to use to with their own players.

Lottery Post Staff

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LOTTOMIKE's avatarLOTTOMIKE

as long as its still a dollar a ticket i don't mind sharing 150 million with 5 or 6 people.

justxploring's avatarjustxploring

Quote: Originally posted by LOTTOMIKE on Feb 9, 2007

as long as its still a dollar a ticket i don't mind sharing 150 million with 5 or 6 people.

I Agree!   Actually, I wouldn't mind sharing $150 million with 10 or 12 people, although winning it all

would be nice too. 

 

"Most players don't have to win hundreds of millions of dollars to see the value in playing; they just need to believe they have a shot at winning something significant. Believe me, even $1 million is significant to most people; and knowing they have a lot more chances to win gives them that shot."

 

Yes,  Many people here have expressed this same sentiment!

JAP69's avatarJAP69

Quote: Originally posted by justxploring on Feb 9, 2007

I Agree!   Actually, I wouldn't mind sharing $150 million with 10 or 12 people, although winning it all

would be nice too. 

 

"Most players don't have to win hundreds of millions of dollars to see the value in playing; they just need to believe they have a shot at winning something significant. Believe me, even $1 million is significant to most people; and knowing they have a lot more chances to win gives them that shot."

 

Yes,  Many people here have expressed this same sentiment!

RMS has branded their pooling ticket PoolingPLUS(TM) because it is a combination ticket that includes both traditional 100% owned tickets plus one or more pools of 10 tickets each. Thus, a player who spends $6 could get three 100% owned tickets plus 3 pools of 10 tickets each giving them a total of 33 chances to win for only $6. Amada states, "With PoolingPLUS, the Lottery sells more tickets at full price and the players get the best of both worlds — the opportunity to 'win it all' through their 100% owned tickets and now dozens or even hundreds of chances to win through pools of tickets."

I said I would never join a pool because of all the backlash you could get of whos in whos out who did not pay up but sues because they were in last week etc,etc,etc,

I would purchase pool tickets like this in a skinny minute. Everything would be whats what.

RJOh's avatarRJOh

There's no such thing as something for nothing.  The states now take 50% of sales for themselves leaving 50% to be split among the players who match 3 or more numbers.  Now that Relationship Marketing Systems wants a piece of the pie, which 50% are they going to share?

Ohio tried that marketing strategy with Lot'O Play and it didn't work. They got rid of SuperLottoPlus that offered one chance to lose for $1 and replaced it with Lot'O Play with twelve chances to lose for $2.  Since the amount paid out decreased the game never caught on and was discontinued two weeks ago after a year and a half run.

Note: I wonder once RMS get a patent for their pooling ideas if local pool managers will have to pay royalties to them for running a pool unofficially.

BaristaExpress's avatarBaristaExpress

Quote: Originally posted by RJOh on Feb 9, 2007

There's no such thing as something for nothing.  The states now take 50% of sales for themselves leaving 50% to be split among the players who match 3 or more numbers.  Now that Relationship Marketing Systems wants a piece of the pie, which 50% are they going to share?

Ohio tried that marketing strategy with Lot'O Play and it didn't work. They got rid of SuperLottoPlus that offered one chance to lose for $1 and replaced it with Lot'O Play with twelve chances to lose for $2.  Since the amount paid out decreased the game never caught on and was discontinued two weeks ago after a year and a half run.

Note: I wonder once RMS get a patent for their pooling ideas if local pool managers will have to pay royalties to them for running a pool unofficially.

I Agree! You know who's 50% would be shared "The players 50%"

You can bet the states won't give up any part of their 50%. And to come to think of it Powerball is less than 50% going to the players as it is now because of the power play option!

I SAY "NO" TO ANY NATIONAL LOTTERY POOL OR STATE LOTTERY POOLS!  

RJOh's avatarRJOh

According to their news release at: http://www.poolingplus.com/news1
RMS came up with the marketing idea and name and trade marked it.  They wrote a program to do a web survey that lotteries can download but they are expecting lotteries or their vendors to write the software to make the idea work and I assume pay them a royalty fee for using it.

In another LP thread a member asked how he could protect his intellectual property, share it and profit from it at the same time, reading this article could give him some ideas.

LckyLary

The only FATIGUE I got was in my legs from standing on line for 3 hours in Connecticut back in 1998. The best way to drum up more sales is to make online play fully legalized and STOP ADDING MORE BALLS!

pumpi76

Quote: Originally posted by LckyLary on Feb 10, 2007

The only FATIGUE I got was in my legs from standing on line for 3 hours in Connecticut back in 1998. The best way to drum up more sales is to make online play fully legalized and STOP ADDING MORE BALLS!

LUcky lary, dude you made me laugh, it was funny LOL...

 

 

"More important than winning the state's lottery is the movie Red Planet.." ..."

rdc137

Quote: Originally posted by LckyLary on Feb 10, 2007

The only FATIGUE I got was in my legs from standing on line for 3 hours in Connecticut back in 1998. The best way to drum up more sales is to make online play fully legalized and STOP ADDING MORE BALLS!

I Agree!

The more monopolistic the lotteries get (no online gambling despite the fact I don't) and the harder the games get to win, the less interested I have become. Not long ago I posted I wouldn't be buying PA tickets anymore and I don't miss it at all. I get my Powerball tickets and that's about it. In fact, I'm considering axing lottery outright because of the way it's being handled lately.

Greg

Jackpot Fatigue is caused by one problem only: Jackpot games that have impossible odds such as PowerRip and MegaRip.

Change the number field, even if it means playing for $5,000,000 per drawing and you will draw players.

"If you lower the number field, the players will purchase tickets." - from Number Field of Dreams

savagegoose's avatarsavagegoose

this is a good plan , but here in sth oz we've been able to do this sort of thingsince the new terminals where installed.

 

u know how some stores run syndicates, well the terminall produces a syndicate of any size u like it to.

and as ea player joins they print a shared ticket.

 

ea player gets their own sydicated ticket, and its worth their share of the syndicate.

 

ie if it was a $100 entry and 10 people where in hed pay $10 and have a 1/10th prize

 

he dont even meet the other players, and his ticket, when claimed will pay up 1/10th of the syndicates wins.

 

the more i hear about usa ran lotteries, apart from the prizes,  the less i like how they are run.

tony95

I wrote to all of the powerball state lottery representatives and warned them about this problem when they raised the powerball odds from an astronomical 120million to 1 to the statistically impossible 145million to 1.  When the odds are raised people expect higher jackpots and when it takes forever for the pot to build up to the expected level, then sales are going to drop.  The pool solution is something I would never participate in simply because it's another hand in the player's money.  My solution is to give players more options.  Have a powerball game and a mini-powerball game.  Give me the option to play a 30million to 1 game or a 100million to game and I guarantee I will be buying more tickets.  Right now, I wait on the powerball to reach $100 million before buying tickets and that takes about a month.  I am definitely buying less tickets since I see the odds as being so long now that I need a huge payout to justify a purchase coupled with the fact that it takes forever for the pot to get to that level.  Essentially, buzz is created when the number of tickets sold nears or exceeds the odds of winning.  They need to lower the odds to restore faith or create a lower odds option for the players.

CASH Only

Quote: Originally posted by tony95 on Feb 13, 2007

I wrote to all of the powerball state lottery representatives and warned them about this problem when they raised the powerball odds from an astronomical 120million to 1 to the statistically impossible 145million to 1.  When the odds are raised people expect higher jackpots and when it takes forever for the pot to build up to the expected level, then sales are going to drop.  The pool solution is something I would never participate in simply because it's another hand in the player's money.  My solution is to give players more options.  Have a powerball game and a mini-powerball game.  Give me the option to play a 30million to 1 game or a 100million to game and I guarantee I will be buying more tickets.  Right now, I wait on the powerball to reach $100 million before buying tickets and that takes about a month.  I am definitely buying less tickets since I see the odds as being so long now that I need a huge payout to justify a purchase coupled with the fact that it takes forever for the pot to get to that level.  Essentially, buzz is created when the number of tickets sold nears or exceeds the odds of winning.  They need to lower the odds to restore faith or create a lower odds option for the players.

Petition Tennesee/North Carolina to join MUSL Hot Lotto. If it comes to either state, the jackpot probably would have longer odds by then.

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