Colorado Lottery Tracking Study Presentation March 2012 (W4) for Colorado Lottery by Simon Jaworski

Colorado Lottery Tracking Study Presentation

March 2012 (W4)

for Colorado Lottery

bySimon Jaworski

22

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

GAME SATISFACTION, JACKPOT TRIGGERS

ONLINE LOTTERY PURCHASES & EVENT SPONSORSHIP

COLORADO LOTTERY SEGMENTS ANALYSIS – W4 TRACKING

33

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 Wave 4: February 23 – March 5

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:

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.

44

Methodology

600 Colorado respondents participated in a 15 minute online survey in Wave 4

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%

55

Sample Frame

W1 (N = 596 completes) W2 (N = 601 completes) W3 (N = 604 completes) W4 (N = 600 Completes)

* Percentages total more than 100% as respondents were allowed to select more than one answer choice

o Gender Breaks W1 W2 W3 W4 Colorado Population

- Female 51% 52% 51% 52% 51%

- Male 49% 48% 49% 48% 49%

o Age Breaks (% of adult population)

- 18-24 10% 14% 8% 8% 11%

- 25-34 17% 17% 21% 21% 20%

- 35-44 17% 19% 17% 16% 20%

- 45-54 24% 22% 23% 24% 20%

- 55-64 17% 16% 16% 21% 14%

- 65+ 15% 12% 15% 10% 15%

o Race

- Caucasian 81% 84% 82% 86% 84%

- Asian 3% 3% 4% 4% 3%

- African American 5% 5% 5% 5% 4%

- Other 15% 9% 12% 10% 10%

o Ethnicity

- Hispanic 21% 19% 22% 21% 21%

- Not Hispanic 79% 80% 77% 78% 79%

66

Key Findings

77

Key Findings (1) – Ad Awareness & Social Media

60% of Coloradoans recall viewing or hearing Colorado Lottery advertising within the past month, down from 63% in W3 to the lowest level for two years.

However, Multi-state drawing game unaided ad awareness is up significantly from Wave 3, with Mega Millions at its highest level for more than a year at 15%.

Powerball and Mega Millions total Ad awareness is up significantly, while Ad awareness of other games is down across the board.

80% of Coloradoans utilize social media. 71% are Facebook users and 15% are on Twitter, both up significantly in Wave 4.

Those who have viewed the CO Lottery brand within the Facebook and Twitter social media channels have been impressed with the quality of the content.

The Social Media content areas that stoked the most interest among respondents were related to ‘Winning Numbers’, ‘Current Jackpot Amount’ and ‘Contests and Promotions’.

The CO Lottery website is the most popular communication channels for winning numbers and contest/promo information. Interest in receiving information on contests and promotions via Facebook is up significantly this wave.

88

Key Findings (2) – Multi-State Games & $2 Powerball

Powerball playership is up significantly from Wave 3, from 54% to 59%.

However, only 43% Coloradoans played at least one CO Lottery game in the past month in W4, down from the 50%+ levels in mid-2011. This decline is being driven by Scratch Game playership numbers being down.

Powerball spend, in the $2 game era, is up in for spend per play and in average spend per month.

Mega Millions spend is also up ‘per play’, and also up significantly ‘per month’ from W3.

40% of all Powerball players typically spend more than $10 in a month on new $2 Powerball.

42% of players spent $6 or more the last time they played, up significantly from Wave 3; the highest of any wave to date.

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.

99

Key Findings (3) – $2 Powerball

33% of $2 Powerball ‘lapsed’ players (not played in the past month) wait until the Powerball jackpot hits $100m.

Only 40% of Powerball players are aware of improvements made to the game

The most mentioned examples of improvements were ‘bigger jackpots/higher payouts’ and the ‘price change’.

Among those players who have continued to play Powerball, 82% state that they will continue playing Powerball now that it is a $2 game. Only 6% say they will stop playing.

40% of $2 Powerball players will spend $11 or more on $2 Powerball in a typical month.

40% of Powerball players are aware of the changes to the Powerplay feature, and 75% are not changing their Powerplay playership behavior in Wave 4.

83% of PowerPlay players say they will continue to play Powerplay despite the introduction of the $2 Powerball ticket, (up significantly in W4).

1010

Key Findings (4) – Jackpot info., Spending & Issues

The most effective source of jackpot information is ColoradoLottery.com followed by television news and outdoor advertising.

Facebook is the #1 single source where players would like to hear about Jackpots, with emails #2.

64% of players will spend roughly the same on all games, including Powerball, as Powerball increases to $2, with 53% of these players keeping spend across all games the same, and 11% altering their levels by game.

19% would increase spend overall, 10% would decrease spend overall.

As the $2 Powerball game has become a reality, the percentage of players keeping spend levels the same has risen dramatically in Wave 4.

Average spend figures for Lotto are up significantly in Wave 4.

Satisfaction levels for all games except Lotto are hovering around 40%. Scratch Game satisfaction is down significantly in Wave 4.

1111

Key Findings (5) – Scratch Games

The average Scratch game spend ($) figures (both last time played and per month) are up significantly in Wave 4.

However, Scratch Play for both Past Year and Past Month is down again in Wave 4.

53% of all players spent less than $5 the last time they played Scratch Games, down significantly from Wave 3. Both these facts indicate that the more casual player is not currently coming into the market.

Having less money available to spend is the key driver behind decisions to spend less on Scratch Game, however there was been a bump in those who ‘felt they didn’t win enough’.

Super Lemon-Lime Crossword and Wheel of Fortune are the most preferred $5 Instant Scratch Games among players.

Almost half of Scratch players would be interested in playing Scratch style Lottery games online.

1212

Key Findings (6) – Proceeds, Playership & Purchasing

58% of Coloradoans are aware of Second Chance Drawing. Almost 1/3 of respondents that are aware of Second Chance Drawings, participate in them.

Lottery players are generally very satisfied with the number of outlets available to purchase tickets. Only 6% of players claim there are not enough Lottery outlets

The number of Past Year Lottery players claiming to have experienced an issue due to store employee’s lack of knowledge, declined significantly in W4.

Close to two out of three Coloradoans indicated a likelihood to purchase lottery games in the future, similar to the last two waves.

36% of players would be interested in buying tickets online for other state’s drawing games. 45% of players are interested in purchasing CO Lottery drawing game tickets online.

The most recognized CO Lottery Community Outreach Programs are the Colorado State Fair and the Taste of Colorado. However half of all Coloradoans think none of the programs are in this list.

1313

Recommendations

1. The Colorado market already appears to have adjusted to the $2 Powerball game.

2. Game Awareness, Ad Awareness and understanding of Mega Millions should be the #1 priority for the Colorado Lottery moving forward, as there is a great opportunity to increase player penetration.

3. Looking at days where Players claim to play, the largest opportunity to increase Lottery purchases is Tuesday. Weekends and Wednesdays are already strong (as with most historical Powerball states). This can go hand in hand with a strategic build of Mega Millions.

4. There appears to be a strong case for an increased use of Social Media in Lottery communications, specifically to ensure all players, especially the youngest age group, are aware of ‘Winning Numbers’, ‘Current Jackpot Amount’ and ‘Contests and Promotions’.

5. There does appear to be an opportunity in further educating Coloradoans about where the Lottery money proceeds are spent, especially with the Outreach program numbers from Wave 4.

1414

Ad Awareness

1515

Past Month CO Lottery Ad Awareness

60% of Coloradoans recall viewing or hearing Colorado Lottery advertising within the past month, down from 63% in W3 to the lowest level for two years.

May-10 W1 W2 W3 W4

69%63%

68%63% 60%

Q1. In the past month have you seen or heard any advertising for Colorado Lottery games?

(n = 596) (n = 601)

Note: Solid arrows indicate Wave 4 significantly higher/lower than Wave 3 at 95% confidence levelArrow outlines indicate Wave 4 significantly higher/lower than Wave 3 at 90% confidence level

(n = 604) (n = 600)

1616

20%

5%

8%

15%

1%

4%

4%

0%

1%

1%

13%

6%

10%

5%

1%

3%

4%

0%

2%

0%

Games Advertised Past Month – Unaided Ad Awareness Total Market

However, multi-state drawing game unaided ad awareness is up significantly from Wave 3.

Mega Millions Unaided Ad Awareness is at its highest level for more than a year at 15%.

21%

12%

11%

10%

7%

6%

6%

3%

2%

2%

Q2. Please list which Colorado Lottery games you have seen advertised in the past month?

Powerball

Scratch games/Scratch

tickets/Scratch Off

Lotto

Mega Millions

Crossword/Crossword

Scratch/PuzzleColorado

Lottery/Lottery

CASH 5

Millionaire Raffle/Raffle

MatchPlay

Bingo

21%

10%

11%

8%

1%

7%

7%

3%

5%

1%

(n = 596)

W1(n = 601)

W2(n = 604)

W3

(n = 600)

W4


1717

40%

48%

31%

27%

17%

12%

1%

3%

46%

32%

24%

40%

13%

10%

1%

4%

Games Advertised Past Month – Total Ad AwarenessTotal Market

Powerball and Mega Millions total Ad awareness is up significantly, while Ad awareness of other games is down across the board.

Q2. Please list which Colorado Lottery games you have seen advertised in the past month?Q3. Which of the Colorado Lottery games have you seen or heard advertising for in the past month?

50%

49%

36%

35%

20%

13%

7%

6%

Powerball

Scratch Games

Lotto

Mega Millions

Cash 5

MatchPlay

Crossword/Crossword Scratch/Puzzle

Colorado Lottery/Lottery

49%

47%

35%

30%

19%

22%

1%

7%

(n = 596)

W1

(n = 601)

W2(n = 604)

W3(n = 600)

W4


1818

Colorado Lottery, Social Media, Website, Loyalty Club &

“Sign & It’s Yours” Campaign

1919

71%

29%

4%

15%

17%

15%

3%

6%

3%

20%

58%

26%

4%

10%

13%

20%

3%

NA

NA

29%

Social Media Websites Used

80% of Coloradoans utilize social media.

71% are Facebook users and 15% are on Twitter, both up significantly in Wave 4.

Q7. Which of the following Social Media websites do you actively use (or visit frequently)?

56%

25%

9%

9%

8%

6%

2%

NA

NA

27%

Facebook

YouTube

My Space

Twitter

LinkedIn

Google+

Flickr

Pinterest

Foursquare

Do not followSocial Media

60%

29%

8%

12%

8%

8%

3%

NA

NA

25%

(n = 596)

W1

(n = 601)

W2(n = 604)

W3(n = 600)

W4


2020

2%7%

12%7%

14%

14%

23%

43%

9% 29%

26%14%

Excellent - 10

9

8

7

6

5

4

3

2

Poor - 1

Presence of CO Lottery Brand on Facebook/Twitter

Those who have viewed the CO Lottery brand within the Facebook and Twitter social media channels have been impressed with the quality of the content.

^ Caution small base size*Base=Respondents who actively use/visit Facebook**Base=Respondents who have seen the CO Lottery brand on Facebook/Twitter***Base=Respondents who have “liked”/ “followed” the CO Lottery on Facebook/Twitter.Q7AW4. Have you seen the Colorado Lottery brand on… ?Q7BW4. Have you (IF FACEBOOK INSERT) "liked" (IF TWITTER INSERT) "follow“ the Colorado Lottery on Facebook/Twitter?Q7CW4 On a scale of 1 to 10, where 10 is an excellent quality that offers you everything you need to know about the Colorado Lottery and 1

is poor quality, how would you rate the Colorado Lottery on Facebook/Twitter?

Saw CO Lottery Brand on…

(n = 425*)

W4

Yes19%

No81%

“Liked”/“Follow” the CO Lottery Brand on…

Yes52%

No48%

(n = 82**) (n = 43***)^

Quality of Content on…

New Questions

Mean Rating: 7.6 8.4

Top 3 Box: 58% 86%

(n = 7***)^

Facebook

Twitter

Yes15%

No85%

Yes54%

No46%

(n = 89*) (n = 13**)^

Facebook Twitter

2121

Presence of CO Lottery Brand on Facebook/Twitter

Coloradoans who have not yet ‘liked’/’followed’ the CO Lottery on social media definitely express an interest in doing so in the future (2:1 ratio). (small base sizes)

*Base=Respondents who have not “liked”/ “followed” the CO Lottery on Facebook/Twitter.**Base=respondents who would not be interested in “liking”/“following” the CO Lottery on Facebook/Twitter.Q7DW4 Would you be interested in "liking"/"following" the Colorado Lottery on Facebook/Twitter?Q7EW4 Why aren’t you interested in "liking"/"following" the Colorado Lottery on Facebook/Twitter?

W4

Interest in “Liking”/“Following” CO Lottery on Facebook/Twitter

Yes64%

No36%

(n = 39*)^

Facebook

TwitterYes67%

No33%

21%

21%

43%

21%

Wasn’t aware of it

Not interested in the content offered

Don’t like to follow brands/companies on

Facebook/Twitter

Another reason

Reasons for Not being Interested in “Liking”/“Following” CO Lottery on

Facebook/Twitter(n = 14**)^

50%

50%

50%

0%

Wasn’t aware of it

Not interested in the content offered

Don’t like to follow brands/companies on

Facebook/Twitter

Another reason

(n = 6*)^ (n = 2**)^

New Questions

2222

CO Lottery Content on Social Media

The content areas that stoked the most interest among respondents were related to ‘Winning Numbers’, ‘Current Jackpot Amount’ and ‘Contests and Promotions’.

*Base=Respondents who actively use/visit Facebook/TwitterQ7FW4 What kind of activity would you like to see from the Colorado Lottery on Facebook/Twitter?

52%

25%

51%

43%

13%

10%

12%

35%

7%

25%

52%

39%

47%

51%

17%

11%

18%

31%

8%

21%

Twitter

Facebook

Contests and Promotions

Upcoming events

Winning numbers

Current jackpot amount

Updates and photos of winners

Updates and photos about proceeds

Lottery retailors/where to buy

Updates about new games

Updates about new advertising

Nothing/it shouldn’t be on Facebook

Desired Facebook/Twitter Content

W4

(n = 425*)

(n = 89*)

New Questions

2323

Social Media Access

The overwhelming majority of social media users utilize their PC to access these sites.

37% access social media via mobile phone.

*Base=Respondents who use social mediaQ7c. How do you access social media?

W3

95%

38%

9%

1%

PC (Desktop or Laptop)

Mobile Phone

Tablets (such as IPads)

Other

(n = 427*)

96%

37%

14%

0%

W4

(n = 483*)


2424

Lottery Information Communication Preferences

The CO Lottery website is the most popular communication channels for winning numbers and contest/promo information.

Interest in receiving information on contests and promotions via Facebook is up significantly this wave.

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?

33%

29%

6%

5%

2%

2%

1%

1%

1%

1%

0%

0%

1%

19%

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

(n = 604)

40%

40%

1%

2%

21%

1%

1%

0%

0%

0%

4%

0%

0%

17%

Contest and Promotion Info

(n = 604)

Winning Numbers Info

W3

30%

39%

2%

2%

8%

0%

0%

1%

0%

0%

1%

0%

0%

15%

48%

32%

2%

5%

8%

0%

2%

0%

0%

0%

1%

1%

1%

19%

(n = 600)

W4 W3 W4(n = 600)


2525

12%11%

41%

20%

15%

Extremely Interested

Very Interested

Somewhat Interested

Somewhat Disinterested

Not at all Interested

Second Chance Drawing

58% of Coloradoans are aware of Second Chance Drawing.

Almost 1/3 of respondents that are aware of Second Chance Drawings, participate in them.

*Base=Respondents who are aware of the Second Chance DrawingQ5. Are you aware of the Second Chance Drawing that the Colorado Lottery runs, which allows players to submit their losing tickets for

an opportunity to still win prizes from a separate drawing?Q5BW4. Do you participate in the Second Chance Drawing that the Colorado Lottery runs?Q5AW4. Overall, how interested are you in the Second Chance Drawing that the Colorado Lottery runs?

Aware of Second Chance Drawing

(n = 600)

W4

Yes58%

No40%

DK2%

Interest in Second Chance Drawing

Mean Rating: 3.1

Top 2 Box: 35%

(n = 346)*

Participate in Second Chance Drawing

(n = 346)*

Yes31%

No68%

DK1%

New Questions

2626

Getaway Package Interest

Steamboat Springs, Glenwood Springs and Estes Park are the leading getaway package destinations.

*Base=Respondents who are aware of the Second Chance DrawingQ5cw4. Overall, how interested would you be in the prize of a complete getaway package (including accommodations and activities) to one

of Colorado's most popular resort towns, if you could win it in the Second Chance Drawing that the Colorado Lottery runs?

MeanRating: 3.0 2.9 2.8 2.5 2.5 3.1 2.8 3.2 2.8 3.2 2.6 3.1 3.0 2.9 2.8 3.2 3.1 2.8 Top 2 Box: 38% 33% 31% 21% 23% 38% 31% 44% 30% 44% 24% 42% 39% 35% 30% 44% 37% 31%

(n = 346*)

Vail

Wint

er P

ark

Duran

go

Boulde

r

Denve

r

Tellur

ide

Crest

ed B

utte

Steam

boat

Spr

ings

Keyst

one

Glenwoo

d Spr

ings

Colora

do S

pring

s

Aspen

Breck

enrid

ge

Grand

Lak

e

Pagos

a Spr

ings

Estes

Par

k

Blackh

awk

Centra

l City

21% 22% 24%32% 32%

19% 21% 16% 23% 16%31%

20% 19% 21% 23% 16% 19% 22%

11% 12% 12%

17% 14%

10%17%

10%13%

11%

16%

10% 10% 10%14%

7%11%

16%

30% 33% 33%

29% 31%

33%31%

30%

34%

28%

29%

29% 32% 34%33%

33%32%

32%

23%23% 20%

12% 15%

22%21%

26%

21%

27%

15%

24% 25%25% 18%

27% 20%19%

16% 10% 11% 8% 8%16% 10%

18%10%

16%9%

18% 13% 10% 12% 17% 17%12%

Extremely Interested Very Interested Somewhat Interested Somewhat Disinterested Not at all Interested

W4

New Questions

2727

Overall Lottery Playership

2828

(n = 604)

W3

58%54%

47%28%

23%11%

27%

CO Lottery Games - PlayershipTotal Market

Q13. Have you ever played any of [these] Colorado Lottery games?Q14. Which Colorado Lottery games have you ever played?

74% of Coloradoans have played a CO Lottery game ever in Wave 4. Powerball playership is up significantly from Wave 3, from 54% to 59%.

Ever Played CO Lottery Games

Yes78%

No22%

DK1%

W1

(n = 596)

(n = 601)

W2

60%58%

52%32%

24%11%

23%

Scratch GamesPowerball

LottoMega Millions

Cash 5MatchPlay

None

Games Ever Played

Yes75%No

25%

57%51%

45%24%22%

16%25%


LottoMega Millions

Cash 5MatchPlay

None


LottoMega Millions

Cash 5MatchPlay

None

Yes73%No

26%

DK1%

(n = 600)

W4

54%59%

50%30%

20%12%

26%


LottoMega Millions

Cash 5MatchPlay

None

Yes74%No

25%

DK1%


2929

Games Played In …Total Market

In W4, 64% of respondents have played CO Lottery in the past year.

43% played at least one game in the past month in W4.

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?

68%

48%

47%

37%

28%

17%

9%

31%

66%

46%

43%

33%

21%

15%

12%

34%

65%

45%

45%

34%

21%

14%

7%

35%

64%

41%

44%

32%

26%

12%

10%

36%

Total Lottery Playership

Scratch Games

Powerball

Lotto

Mega Millions

Cash 5

MatchPlay

None

… Past Year … Past Month

54%

30%

33%

24%

18%

9%

5%

46%

51%

31%

28%

22%

12%

8%

6%

49%

45%

26%

27%

21%

13%

6%

4%

55%

43%

23%

28%

19%

15%

7%

4%

57%

69% May-10

W4 (n=600) W3 (n=604) W2 (n=601) W1 (n=596)


3030

44%

33%

6%

1%

3%

Outlets Where CO Lottery Tickets Purchased RegularlyTotal Market

44% of respondents purchase tickets at Convenience Stores regularly.

33% buy at Grocery Stores.

Q18. From which of the following outlets do you regularly purchase your Colorado Lottery tickets?

52%

35%

10%

2%

2%

Convenience Stores

Grocery

Liquor Stores

Restaurant/Bar

Other Outlets

51%

30%

9%

1%

2%

Multiple answers accepted.36% did not state an answer

47%

35%

9%

1%

2%

(n = 596)

W1

(n = 601)

W2(n = 604)

W3(n = 600)

W4


3131

Available Outlets to Purchase Tickets

Lottery players are generally very satisfied with the number of outlets available to purchase tickets.

Only 6% of players claim there are not enough Lottery outlets

*Base=Respondents who have played CO lottery games in the past yearQ18AW4. Do you think that there are enough different outlets available for you to purchase your Colorado Lottery tickets?Q18BW4. Other than Convenience stores, grocery stores, liquor stores and restaurant/bars, where else would you like to be able to purchase

your Colorado Lottery tickets?

W4

Are There Enough Outlets Available to Purchase CO Lottery Tickets?

Yes94%

No6%

(n = 385*)

6%

5%

4%

3%

2%

8%

45%

22%

Department/department discount stores (Target, Wal-Mart)

Online

Gas Stations

Vending Machines

Kiosks

Other

Current places veryaccessible and enough

Can’t think of anywhere else

Where Else Would You Like to Purchase CO Lottery Tickets?

New Questions

3232

22%

9%

18%

9%

6%

2%

2%

61%

Issues Faced at Lottery Retail Stores

The number of Past Year Lottery players claiming to have experienced an issue due to store employee’s lack of knowledge, declined significantly in W4.

The most common issues experienced are out-of-stock games and game terminals/dispensers not working.

*Base=Respondents who have played CO lottery games in the past yearQ19. Which, if any, of the following issues have you faced at Lottery Retail stores over the past year?

27%

18%

16%

13%

7%

4%

1%

51%

28%

16%

13%

10%

7%

2%

3%

51%

Scratch Games you wanted to play were unavailable

Store clerks/employee had little knowledge about games

Drawing Game terminals were not working

Scratch Game tickets in the dispensers were not visible

Lottery Game instruc-tions were unclear

Incorrect numbers were displayed at location

Other

None of the above

22%

13%

16%

9%

6%

3%

2%

58%

(n = 409)

W1

(n = 393)

W2(n = 390)

W3(n = 385)

W4


3333

Likelihood to Purchase CO Games in the Future

Close to two out of three Coloradoans indicated a likelihood to purchase lottery games in the future, similar to the last two waves.

Only 17% stated they would be unlikely (definitely or probably not) to purchase in the future.

5-point scale where ‘5’ means Definitely Purchase and ‘1’ means Definitely Not PurchaseQ23. How likely are you to purchase Colorado Lottery games in the future?

W1 W2 W3 W4

8% 10% 8% 5%

9% 10% 11% 12%

16%17% 18% 21%

23% 22% 25% 23%

45% 41% 38% 40%Definitely Purchase

Probably Purchase

Might or Might Not Purchase

Probably Not Purchase

Definitely Not Purchase

Mean Rating: 3.9 3.8 3.7 3.8

Top 2 Box: 67% 63% 63% 63%

(n = 596) (n = 601) (n = 604) (n = 600)


3434

3535

Amount Spent on Scratch Games…

The average Scratch game spend numbers (both last time played and per month) are up significantly in Wave 4.

53% of all players spent less than $5 the last time they played Scratch Games, down significantly from Wave 3.

*Base=Respondents who have played Scratch games in the past yearQ26. 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?

… Last Time Played … In Typical Month

W1 W2 W3 W4

59%51%

61%53%

20%27%

22%25%

12% 15% 11%13%

9% 7% 5% 8%

$21+

$11 - $20

$6 - $10

$1 - $5

(n = 287*) (n = 279*)

Mean: $10 $11 $8 $10

W1 W2 W3 W4

41% 34%50% 48%

17%19%

19% 17%

18%17%

13% 14%6%

8%

8% 7%6% 7%

3% 5%11% 15%

7% 9%50+

$31-$49

$21-$30

$11-$20

$6-$10

$1-$5

Mean: $21 $24 $14 $23

(n = 273*) (n = 246*) (n = 287*) (n = 279*) (n = 273*) (n = 246*)


3636

Why Spending Less on Scratch Games

Having less money available to spend is the key driver behind decisions to spend less on Scratch Game, however there was been a bump in those who ‘felt they didn’t win enough’.

*Base=Respondents who are spending less on Scratch GamesQ29. Why are you spending less on Scratch games? Is it because…?

75%

37%

16%

8%

4%

5%

3%

85%

39%

13%

6%

3%

2%

0%

78%

34%

10%

2%

6%

6%

0%

76%

45%

11%

7%

2%

2%

0%

Have less money to spend

Felt didn’t win enough

Spending less on principle

Less interested in lottery games

Don’t enjoy it anymore

Other

None

SPENDING LESS

Note: Capital Letters indicate a significant difference across player groups at the 95% confidence levelLowercase Letters indicate a significant difference across player groups at the 90% confidence level

W1 (n = 97*)W2 (n = 87*)W3 (n = 93*)W4 (n = 83*)

3737

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.

* Base=Respondents who have played Scratch games in the past yearQ30. 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.

Q31. Below is a list of reasons that may be important when you’re deciding WHICH Scratch ticket to buy. Please indicate whether any of the following reasons are important to you in choosing which Scratch games to play.

73%

61%

60%

28%

22%

10%

79%

62%

61%

28%

16%

11%

74%

63%

57%

23%

20%

10%

75%

55%

57%

20%

11%

7%

I had spare money

I saw the scratch

tickets

I felt lucky

I saw a lottery sign

I remembered the advertising

The sales clerk mentioned it

PAST YEAR SCRATCH PLAYERSWHY MAKE SCRATCH PURCHASE?

86%

75%

72%

70%

67%

63%

60%

55%

51%

46%

87%

78%

77%

68%

66%

64%

65%

60%

50%

45%

85%

70%

59%

66%

65%

53%

56%

58%

46%

45%

83%

68%

62%

63%

58%

50%

59%

51%

38%

35%

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

PAST YEAR SCRATCH PLAYERSWHAT DRIVES SCRATCH CHOICE?

W1 (n = 287*) W2 (n = 279*) W3 (n = 273*) W4 (n = 246*)

3838

$5 Game Preference

Super Lemon-Lime Crossword and Wheel of Fortune are the most preferred $5 Instant Scratch Games among players.

Base=Respondents who have played $5 games in the past week or past monthQ25cW4. And which of the following $5.00 Scratch Game tickets do you like best?

W4

24%

24%

19%

14%

8%

5%

3%

2%

2%

0%

Super Lemon-Lime Crossword

Wheel of Fortune

Super Special Wild Bingo

Immortal Cash

Rageous Riches

High Octane

Reel Winner$

$Leigh Ride Riche$

Fifty Large

Musical Note

$5 Scratch Game Tickets Like Best

(n = 63)*

New Question

3939

Yes48%

No39%

DK13%

Interest in Online Scratch Games

Almost half of Scratch players would be interested in playing Scratch style online Lottery games.

*Base=Respondents who have played Scratch games in the past yearQ32BW4. Would you be interested in playing Lottery games online, such as specially designed instant win scratch games where you virtually

scratch to see if you have won?

(n = 246)*

W4

New Question

4040

Multi-State Games&

4141

Amount Spent on Powerball & Mega Millions…

Powerball spend, in the $2 game era, is up in for spend per play and in average spend per month.

Mega Millions spend is up per play, and also up significantly per month from W3.

33% of Powerball players who are lapsed players (not played in the past month) wait until the Powerball jackpot hits $100m.

40% of all Powerball players typically spend more than $10 in a month.

42% of players spent $6 or more the last time they played, up significantly from Wave 3- the highest of any wave to date.

More frequent players are less motivated by increasing jackpot sizes.

Weekly players are more motivated to play in $20-30 million jackpots.

*Base=Respondents who have played Powerball in the past yearQ34/47. 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?

Spend Last Time Played – Mean $ Spend In Typical Month - $

W1 W2 W3 W4

$8 $7 $8 $9

$7 $8 $4 $7

W1 W2 W3 W4

$15 $15 $12 $16

$15 $20 $8 $11

4242

20-30 Million

31-50 Million

51-99 Million

100-149 Million

150+ Million

Size of Jackpot doesn’t matter

Don't know

20-30 Million

31-50 Million

51-99 Million

100-149 Million

150+ Million

Size of Jackpot doesn’t matter

Don't know

Jackpot Spend Trends

38% of players will spend more as jackpot size increases

Half of players who spend more when the jackpot size grows increase their spend when the jackpot hits $100 million +.

Is player behavior adjusting to the new, higher jackpots?

*Base=Respondents who have played Powerball in the past year** Base=Respondents who spend more on Powerball tickets as the jackpot growsQ38. 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?

Spend More as Jackpot Grows Amount at Which Spend More


11%11%13%

23%15%18%

9%(n = 271*)

W3Yes43%

No56%

(n = 116**)

Mean = $104m

5%12%

7%28%

22%15%

11%

(n = 261*)

W4Yes38%

No60%

(n = 100**)

Mean = $123m

4343

Reasons for Playing POWERBALL

Half of Powerball players cite the “chance to win” as the key reason they play the game.

Wave 3 Wave 4

9% 10%13% 10%

30% 31%

47% 50%For the chance to win/I want to win

Big jackpot/prizes I could win

The money

For fun/entertainment/I like the game

Base=Respondents who have played POWERBALL in the past yearQ33a What is the key reason that you play POWERBALL?

(n = 271)* (n = 261)*

4444

$2 Powerball Changes – Awareness and Playership

Only 40% of Powerball players are aware of improvements made to the game

The most mentioned examples of improvements were ‘bigger jackpots/higher payouts’ and the ‘price change’.

*Base=Respondents who have played Powerball in the past year** Base=Respondents aware of Powerball improvementsQ39ABW4. Are you aware that the Powerball game has made some improvements recently?Q39ABCW4. What improvements has Powerball made?

ImprovementsAware of Powerball Improvements?

Yes40%No

54%

Don't know6% Bigger jackpots/higher payouts

Price changed (from $1 to $2)

Bigger starting jackpot

Better odds

Jackpot grows faster

More Winners

Few numbers to select from as Powerball

OtherDon’t remember

0% 20% 40% 60% 80% 100%

32%

32%

22%

20%

6%

4%

4%

10%

10%

(n=261*)

W4

(n=105**)

New Questions

4545

Powerball Game Changes

Among those players who have continued to play Powerball, 82% state that they will continue playing Powerball now that it is a $2 game.

Only 6% say they will stop playing.

40% will spend more $11 or more on $2 Powerball in a typical month.

*Base=Respondents who have played Powerball in the past yearQ39BAW4. Now that the Powerball game has made some improvements … will you still play Powerball?Q39e. How much will you spend on a $2 Powerball game in a typical month?

Spend on $2 Powerball in a typical month?

Will you continue playing Powerball now that the games changed to $2 ticket?

Yes82%

No6%

Don't know12%

(261)*

39%

21%

20%

20% $21+

$11-$20

$6-$10

$1-$5

W4

Mean: $16

4646

PowerPlay Feature – Awareness and Playership

40% of Powerball players are aware of the changes to the Powerplay feature.

Of those are of the changes, 75% are not changing their playership behavior in Wave 4.

*Base=Respondents who have played Powerball in the past year** Base=Respondents aware of PowerPlay changesQ39AW4. Are you aware that the PowerPlay feature of Powerball has had some changes recently?Q39BW4. Are you playing PowerPlay feature of Powerball more, less, or about the same now that it has changed?

Playership Since Change Aware of PowerPlay Changes?

Yes40%

No57%

Don't know3% More

About the same

Less

0% 20% 40% 60% 80% 100%

6%

75%

19%

(n=261*)

W4

(n=104**)

New Questions

4747

Yes46%

No51%

Yes51%

No47%

PowerPlay Feature – Now and Future

Just under half of Powerball players play PowerPlay in Colorado.

83% of PowerPlay players say they will continue to play Powerplay despite the introduction of the $2 Powerball ticket, up significantly in W4.

*Base=Respondents who have played Powerball in the past year** Base=Respondents who play PowerPlay feature of PowerBallQ39a. Do you currently play the PowerPlay feature of Powerball for an extra $1…?Q39d. Now that the Powerball game increased from a $1 game to a $2 jackpot game, will you still play PowerPlay…?

Will you will play PowerPlay ifPowerBall increases to $2?

Do you currently play the PowerPlay feature of PowerBall?

Yes

No

Don’t Know

0% 20% 40% 60% 80% 100%

67%

19%

14%

(n=271)*

W3

(n=139)**

Yes

No

Don’t Know

0% 20% 40% 60% 80% 100%

83%

6%

11%

(n=261)*

W4

(n=119)**

4848

53%

12%

7%

6%

3%

4%

4%

11%

51%

20%

7%

5%

4%

4%

4%

4%

54%

14%

6%

8%

5%

0%

5%

9%

54%

5%

8%

5%

1%

6%

4%

17%

Impact of $2 Powerball on Total CO Lottery Spend

64% of players will spend roughly the same on all games, including Powerball, as Powerball increases to $2, with 53% of these players keeping spend across all games the same, and 11% altering their levels by game.

19% would increase spend overall, 10% would decrease spend overall.

(n=261)

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, yearQ39f. How will a $2 Powerball game affect your spending on the range of Lottery games you currently play, including Powerball?

(B)(n=92)*

(C)(n=65)*

(D)(n=101)*

Spend Same on PB and Other

Spend more on PB, keep other same

Spend more on PB, lower other

Spend less on PB, keep other same

Spend more on PB, more on other

Spend less on PB, more on other

Spend less on PB, lower other

Don't Know

Total Past Week Past Month Past Year

D

c

B

D

C

4949

53%

12%

7%

6%

3%

4%

4%

11%

35%

14%

13%

8%

5%

4%

2%

18%

35%

10%

12%

12%

5%

7%

8%

11%

Impact of $2 Powerball on Total CO Lottery Spend

As the $2 Powerball game has become a reality, the percentage of players keeping spend levels the same has risen dramatically in Wave 4.

*Base=Respondents who have played Scratch games in the past week, month, yearQ39f. How will a $2 Powerball game affect your spending on the range of Lottery games you currently play, including Powerball?

(n = 257)

W2

(n = 271)

W3

Spend Same on PB and Other

Spend more on PB, keep other same

Spend more on PB, lower other

Spend less on PB, keep other same

Spend more on PB, more on other

Spend less on PB, more on other

Spend less on PB, lower other

Don't Know

(n = 261)

W4

5050

Powerball and Mega Millions interaction

61% of respondents who play Powerball and Mega Millions spend the same on both games regardless of the size of each game’s jackpot.

15% of those who play Powerball and Mega Millions will increase Mega Millions spend if jackpot is high, while maintaining Powerball spend.

*Base=Respondents who have played Powerball and Mega Millions in the past yearQ50. When the Powerball jackpot is low, and Mega Millions jackpot is high, do you…?

W1 W2 W3 W45% 7% 11% 6%

55% 51%55% 61%

28% 27%21% 18%

12% 15% 13% 15%Spend more on Mega Millions and keep your Powerball spend the same

Spend more on Mega Millions and lower your Powerball spend

Spend the same on both games, regardless of the jackpot size

Don't Know

(n = 152*) (n = 104*)


(n = 112*) (n = 138*)

5151

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.

Only 2% of respondents in W4 “don’t have the money” to play Mega Millions, down dramatically from W3

*Base=Respondents who have played Powerball and not played Mega Millions in the past yearQ51. 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?

W1 W2 W3 W4

(n = 127*) (n = 153*) (n = 159*) (n = 123*)

Not aware of/Familiar with the game 27% 17% 19% 15%Poor odds/hard to win 10% 9% 3% 7%Prefer Powerball/Used to playing Powerball 7% 10% 10% 7%Have not thought/Don't think about playing it 6% 4% 11% 11%I don’t have the money 5% 6% 13% 2%I don’t think I’ll ever win 2% 3% 1% 1%Powerball has a higher payout 2% 4% 1% 2%Just haven’t tried Mega Millions yet 2% 4% 3% 5%Familiar with Powerball 2% 1% 3% 3%I play/Prefer to play other Colorado lottery games (game unspecified) 2% 0% 3% 0%

Don't like Mega Millions 1% 0% 1% 2%Other 16% 10% 6% 8%No reason 8% 7% 9% 9%Don’t Know 11% 10% 9% 18%


5252

Game Satisfaction, Jackpot TriggersOnline Lottery Purchases & Event Sponsorship,

5353

Amount Spent on Lotto, Cash 5 and MatchPlay…

Average spend figures for Lotto are up significantly in Wave 4.

23% of LOTTO players spend more than $10 on the game in a typical month.

*Base=Respondents who have played LOTTO in the past yearQ41/44. 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?

… Spend Last Time Played … Spend In Typical Month

$17 $16 $8 $10

$18 $14 $13 $12

Mean $ W1 W2 W3W4

Mean $ W1 W2 W3W4

$9 $9 $4 $6

$6 $5 $5 $5

5454

Games SatisfactionTop 2 Box % (5 point scale – 5 = Extremely Satisfied, 1 = Not At All Satisfied)

Satisfaction levels for all games except Lotto are hovering around 40%.

Scratch Game satisfaction is down significantly in Wave 4.

51%

42%

42%

41%

40%

34%

52%

41%

46%

39%

38%

37%

52%

38%

43%

39%

36%

39%

41%

41%

41%

40%

42%

35%

Scratch Games

Mega Millions

Cash 5

MatchPlay

Powerball

Lotto

Q59a. 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.

W1 (n =596)W2 (n = 601)W3 (n = 604)W4 (n = 600)


5555

Jackpot Triggers - Media

The most effective source of jackpot information is ColoradoLottery.com followed by television news and outdoor advertising.

Facebook is the #1 single source where players would like to hear about Jackpots, with emails #2.

* Base=Respondents who have played any games in the past yearQ64. Where do you find out about jackpots?Q65. Where else would you like to be able to find out about jackpots?

35%22%

17%16%

10%10%8%7%

4%3%2%2%1%3%

17%3%

WHERE DO YOU FIND OUT ABOUT JACKPOTS

WHERE ELSE WOULD YOU LIKE TO FIND OUT ABOUT JACKPOTS

Coloradolottery.comTV News

Outdoor AdTV Ad

Newspaper (editorial)E-mails from CO Lottery

Radio AdInternet Ad

Newspaper AdFacebook

Text messageMobile Apps

TwitterOther

No specific placeDon't know

11%7%

3%8%

3%14%

5%7%5%

17%6%5%3%2%

33%11%

(n = 385*) (n = 385*)

New Questions

5656

Yes36%

No44%

DK19%

Interest in Playing/Buying Games Online

36% of players would be interested in buying tickets online for other state’s drawing games.

45% of players are interested in purchasing CO Lottery drawing game tickets online.

* Base=Respondents who have played any games in the past yearQ61AW4. Would you be interested in being able to buy tickets for other State's Drawing games online (over the internet)?Q61BW4. Would you be interested in being able to buy Powerball, Mega Millions or other Lottery tickets online?

(n =385*)

W4Yes45%

No40%

DK15%

INTEREST IN BUYING OTHER STATES DRAWING GAMES ONLINE

INTEREST IN BUYING POWERBALL, MEGA MILLIONS OR OTHER LOTTERY

TICKETS ONLINE

New Questions

5757

Events/Sponsorships

The most recognized CO Lottery Community Outreach Programs are the Colorado State Fair and the Taste of Colorado.

However half of all Coloradoans think none of the programs are in this list.

Q67. Which of the following Colorado Lottery community outreach programs are you aware of?

31%

29%

28%

28%

27%

23%

17%

13%

50%

AWARENESS OF CO LOTTERY COMMUNITY OUTREACH PROGRAMS

Colorado State Fair

Taste of Colorado

Rockies

National Western Stock Show

Nuggets

Avalanche

Budweiser Event Center

Mammoth

None of the above

(n = 600)

New Questions

5858

CO Lottery Segmentation:General Lottery

5959

6%

20%

27%20%

11%

16%

Colorado Lottery: 6 Segments Solution

Young, Entitled, Spontaneous Men (YES Men)

Pragmatic, Non-Gaming Conservatives (PRONGs)

Traditional, Older, Small-Splurgers (TOSS)

Jackpot Cheapskates (Jackpot Hounds)

Female Fun Squad (Funzies)

C-$tore Gambler$ (Dreamer$)

Profile of Respondents

6060

YES MEN PRONGs TOSS JACKPOTHOUNDS

FUNZIES DREAMER$

83%

50%

70%76%

87%95%

Ever Played CO Lottery Games

95% of Dreamer$ have played CO Lottery games, along with 87% of Funzies

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G


Ever Played CO Lottery Games?

^ Warning: Small Base SizeQ13. Have you ever played any of [these] Colorado Lottery games?

(n = 119)C

(n = 161)D

C BCDEfC C CDe

6161


FUNZIES DREAMER$

49%

24%

46%34%

54%67%

Powerball Playership

Dreamer$, Funzies and Yes Men are the most likely to play Powerball in the past year/month.


Past Year

^ Warning: Small Base Size*Base=Respondents who have played Powerball in the past yearQ15. 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?

C bCDEf


FUNZIES DREAMER$

46%

14%28%

16%32%

50%

Past Month

CDE CDEF

Ce

CE CE

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

CEc

6262


FUNZIES DREAMER$

29%11%

30%18%

28%46%

Mega Millions Playership

Dreamer$ and YES Men are significantly more likely to play Mega Millions than all other segments in the Past Month.


Past Year


C bCDEF


FUNZIES DREAMER$

29%

5%17% 9% 13%

29%

Past Month

CEf CDEF

CE

CE c

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

C

6363


FUNZIES DREAMER$

46%

17%

38% 39%54%

68%

Scratch Playership

More than half of Funzies have played a Scratch game within the past year.

Dreamer$ and Funzies play at significantly higher levels in the Past Month.


Past Year


C BCDEf


FUNZIES DREAMER$

26%10%

20% 16%35% 41%

Past Month

C CDE

C

C CDE

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

CDeC

6464


FUNZIES DREAMER$

43%

17%29% 27%

42%51%

Lotto Playership

Dreamer$ and Yes Men are the most likely to have played Lotto in the past year/month, as well.


Past Year


Ce CDE


FUNZIES DREAMER$

29%11% 16% 16% 20%

34%

Past Month

Cde CDEf

C

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

CdEc

c

6565


FUNZIES DREAMER$

23%3% 9% 7% 13%

30%

Cash 5 Playership

Cash 5 has lower playership numbers overall, but similar trends in terms of segment play to Lotto (Dreamer$ and Yes Men).


Past Year


CDE CDEF


FUNZIES DREAMER$

20%1% 2% 4%

7% 19%

Past Month

CDEf CDEF

C

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D

C

Cd

6666


FUNZIES DREAMER$

53%

25%

46%31% 32%

48%

Powerball Change- Awareness and $2 Playership

Yes Men, Dreamer$ and TOSS segments have the highest awareness level of the changes.

(n = 17)*^B

(n = 42)*Ê

(n = 37)*^F

(n = 63)*G


Awareness of Powerball Improvements

^ Warning: Small Base Size*Base=Respondents who have played Powerball in the past yearQ39ABW4. Are you aware that the Powerball game has made some improvements recently?Q39BAW4. Now that the Powerball game has made some improvements … will you still play Powerball?

(n = 28)*^C

(n = 74)*D

c Ce


FUNZIES DREAMER$

82%

50%

81% 79%95% 92%

(n = 17)*^B

(n = 42)*Ê

(n = 37)*^F

(n = 63)*G

Continue to Play $2 Powerball

(n = 28)*^C

(n = 74)*D

C CdE

c

C C CdE

6767

Powerball Spend as Jackpot Grows

Yes Men and Dreamer$ are the most likely to spend more as the Powerball jackpot grows.


FUNZIES DREAMER$

71%

25%30%

36% 38%

48%

(n = 17)*^B

(n = 42)*Ê

(n = 37)*^F

(n = 63)*G

Spend More as Powerball Jackpot Grows

(n = 28)*^C

(n = 74)*D

CDEFg CD


^ Warning: Small Base Size*Base=Respondents who have played Powerball in the past yearQ38. Do you typically spend more on Powerball tickets as the jackpot grows?

6868

Reasons for Playing POWERBALL

Over half of the Yes Men, TOSS, Funzies and Dreamer$ segments play for the chance to win.

Not a single Yes Men respondent reported playing for the money, albeit there is a small base size playing Powerball within this segment (n=17).


FUNZIES DREAMER$

6% 7% 11% 14%5% 10%0%

29%9% 7%

8%8%

41%

36%

26%40%

24%29%

53%

29%

54%38%

62%54%

For the chance to win/I want to win

Big jackpot/prizes I could win

The money

For fun/entertainment/I like the game

^ Warning: Small Base Size* Base=Respondents who have played POWERBALL in the past yearQ33a What is the key reason that you play POWERBALL?

(n = 17)*^B

(n = 42)*Ê

(n = 37)*^F

(n = 63)*G

(n = 28)*^C

(n = 74)*D

CCE

C

BDEFG

6969


FUNZIES DREAMER$

59%

36%45%

29% 30%44%

PowerPlay – Awareness and Playership

While Jackpot Hounds have strong PowerPlay playership, they appear to be the segment least likely to be aware of changes.

(n = 17)*^B

(n = 42)*Ê

(n = 37)*^F

(n = 63)*G


Awareness of PowerPlay Improvements

^ Warning: Small Base Size*Base=Respondents who have played Powerball in the past yearQ39AW4. Are you aware that the PowerPlay feature of Powerball has had some changes recently?Q39a. Do you currently play the PowerPlay feature of Powerball for an extra $1…?

(n = 28)*^C

(n = 74)*D

EF


FUNZIES DREAMER$

76%

25%45% 48%

35%52%

(n = 17)*^B

(n = 42)*Ê

(n = 37)*^F

(n = 63)*G

Current PowerPlay Playership

(n = 28)*^C

(n = 74)*D

CDEFg Cf

e

c c

7070

Outlets Where CO Lottery Tickets Purchased Regularly

Almost half of the Dreamer$ segment purchases tickets regularly at the grocery store.

Q18. From which of the following outlets do you regularly purchase your Colorado Lottery tickets?

Convenience Stores

Grocery

Liquor Stores

Restaurant/Bar

Other Outlets

Multiple answers accepted

(n = 35)^B

YES MEN

(n = 119)C

PRONGS

(n = 161)D

TOSS

(n = 122)E

HOUNDS FUNZIES DREAMER$

(n = 69)F

(n = 94)G


63%CDe

43% C

9% C

0%

3%

22%

21%

1%

0%

2%

42% C

35% C

6% C

1%

3%

44% C

29%

6% C

0%

2%

59%CDE

33% c

10% C

0%

3%

60%CDE

47%CdEf

9% C

3% cE

4%

7171


FUNZIES DREAMER$

59%

25%34% 28% 33%

48%

Interest in Playing Buying Lottery Tickets Online

Yes Men and Dreamer$ are the segments most likely to be interested in purchasing other State’s lottery tickets online.

(n = 29)*^B

(n = 76)*E

(n = 54)*F

(n = 84)*G


Interested in Playing Other State’s Online Drawing Games

(n = 44)*^C

(n = 98)*D

CDEF CdEf


FUNZIES DREAMER$

66%

34% 40%30%

50%61%

(n = 29)*^B

(n = 76)*E

(n = 54)*^F

(n = 84)*G

Interested in Being Able to Buy Powerball Online

(n = 44)*^C

(n = 98)*D

CDE CDE

^ Warning: Small Base Sizes* Base=Respondents who have played any games in the past yearQ61AW4. Would you be interested in being able to buy tickets for other State's Drawing games online (over the internet)?Q61BW4. Would you be interested in being able to buy Powerball, Mega Millions or other Lottery tickets online?

E

7272

Coloradolottery.com

TV News

Outdoor Ad

TV Ad

Newspaper

CO Lottery emails

Radio Ad

Internet Ad

In store Ad

Newspaper Ad

Facebook

Text message

Mobile Apps

Twitter

Other

No specific place

Don't know

Jackpot Information Source

The CO Lottery website is the strongest source of jackpot information for the Dreamer$ segment, while Yes Men prefer television advertising.

* Base=Respondents who have played any games in the past yearQ64. Where do you find out about jackpots?

Multiple answers acceptedNote: Capital Letters indicate a significant difference across player groups at the 95% confidence levelLowercase Letters indicate a significant difference across player groups at the 90% confidence level

(n = 35)^B

YES MEN

(n = 119)C

PRONGS

(n = 161)D

TOSS

(n = 122)E

HOUNDS FUNZIES DREAMER$

(n = 69)F

(n = 94)G

BC c BC

eF

CDEg cd

E

DDD d

C C CD

CEFf

E e e e

DE de

BG b BG Bg

c

7373

*Base=Respondents who are aware of the Second Chance DrawingQ5. Are you aware of the Second Chance Drawing that the Colorado Lottery runs, which allows players to submit their losing tickets for

an opportunity to still win prizes from a separate drawing?Q5bw4 Do you participate in the Second Chance Drawing that the Colorado Lottery runs?

Second Chance Drawing

Dreamer$ are significantly more likely to be aware of the Second Chance Drawing, as well as to participate, than other segments.

There seems to be an opportunity to educate the YES Men on 2nd Chance Drawing.

… Awareness of 2nd Chance Drawing

… Participation in 2nd Chance Drawing (Among Aware)

YES MEN PRONGS TOSS JACKPOTHOUNDS

FUNZIES DREAMER$

51% 46%60% 54% 59%

74%

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D


FUNZIES DREAMER$

33%20%

27% 23%37%

49%

(n = 18)*^B

(n = 66)*E

(n = 41)*^F

(n = 70)*G

(n = 55)*C

(n = 96)*D

BCDEF CDEC c


c

7474

Likelihood to Purchase CO Games in the Future

Dreamer$, Funzies and Yes Men are the segments most likely to play CO Lottery games in the future

5-point scale where ‘5’ means Definitely Purchase and ‘1’ means Definitely Not PurchaseQ23. How likely are you to purchase Colorado Lottery games in the future?


FUNZIES DREAMER$0%

18%4% 0% 3% 0%3%

29%

11%12% 1% 1%

14%

27%

26% 25%

13%4%

14%

15%

25% 31%

22%22%

69%

11%35% 31%

61%72%

Definitely Purchase

Probably Purchase

Might or Might Not Purchase

Probably Not Purchase

Definitely Not Purchase

Mean: 4.5 CDE 2.7 3.8 C 3.8 C 4.4 CDE 4.7 CDEFT2B: 83%CDE 26% 60%C 62%C 83%CDE 95%BCDEF

(n = 35)^B

(n = 122)E

(n = 69)F

(n = 94)G

(n = 119)C

(n = 161)D


CDE

C C

CDE

CDEC

BC

FG

FGFG

G

BDEFG

FGFG

EgBDEFGG

7575

Key Reasons for Playing Lottery

YES MEN PRONGS TOSS JACKPOT HOUNDS

FUNZIES DREAMER$

B C D E F G

N 29^ 44^ 98 76 54 84

To win some money 66% 77% 81% b 78% 83% b 86% B

For entertainment or fun 45% C 20% 52% C 55% C 61% C 56% C

As a chance to fulfill my dreams 38% 43% 43% 39% 41% 62% BCDEF

The money goes to good cause 21% 11% 27% C 26% c 19% 29% C

It adds excitement to my life 24% C 7% 19% c 14% 19% c 29% CE

My family or friends play 14% C 0% 6% c 8% c 9% C 11% C

There are always new games to play 0% 2% 4% 1% 22% BCDE 12% bcDE

I play in office pool at work 7% f 7% f 6% f 7% f 0% 4%

I have heard of local winners 0% 0% 1% 1% 7% cDe 7% cDe

Other 0% 5% 2% 1% 2% 1%

^ Warning: Small Base Size*Base=Respondents who are aware of the Second Chance DrawingQ22. Which of the following are key reasons why you play the Lottery?


Documents

Colorado Lottery Tracking Study Presentation March 2012 (W4) for Colorado Lottery by Simon Jaworski