$13.5bn
$X.Xbn
3,500
443
$XXX.Xm
The Lotteries industry has expanded over the past five years, industry revenue is expected to grow at an annualised 7.6% over the five years through 2023-24, to an estimated $13.5 billion. The industry has benefited high levels of government stimulus that boosted spending gambling services unaffected by lockdowns, like lotteries. The development of online selling capacity also accelerated revenue growth, enabling lottery sales to expand to previously untapped markets, especially in the younger demographics. Nonetheless, gambling in Australia is highly saturated. Lottery operators face strong external competition from alternative forms of gambling, especially horse and sports betting and casinos. These trends are expected to limit revenue growth in 2023-24, with growth slowing to an estimated 1.7%. The easing of COVID-19 pandemic restrictions fuelled a jump in competition from pubs, clubs and casinos in particular, which were heavily restricted during periods of prolonged city-wide lockdowns.The industry has become increasingly concentrated over the past decade. In 2017, Tabcorp and Tatts Group merged, which significantly increased market share concentration. Before the merger, the Tatts Group held the rights to or owned the lottery operations of all states and territories in Australia except Western Australia. In 2022, TabCorp completed a demerger of its wagering and gaming division and its lottery and keno division. This development enabled the new entity to focus entirely on the Lotteries industry, driving down costs and fostering profitability expansion through cost savings and greater sales capacity, especially in the online sphere.The industry is forecast to continue growing over the next few years, albeit at a slower rate. Industry revenue is projected to increase at an annualised 2.4% over the five years through 2028-29, to total an estimated $15.2 billion. Lottery operators are likely to benefit from an increase in real household discretionary income over the period. Yet, consumers are forecast to spend more on sports betting services and other online gambling platforms over the next five years, which is likely to constrain industry revenue growth. Nevertheless, lottery-style products that may appeal to younger demographics, like online instant-win lotteries, could provide opportunities for the industry to expand.
Industry revenue has grown at a CAGR of 7.6 % over the past five years, to reach an estimated $13.5bn in 2023.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2024 | Revenue ($m)
2024 |
---|---|---|
Lottery | 9,959.9 | |
Lotterywest | 1,351.0 |
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Industry revenue is measured across several distinct product and services lines, including Lotto , Instant lotteries and Keno. Lotto is the largest segment of the Lotteries in Australia.
Frequent use of jackpots fuels greater consumer interest in lotto
Industry firms primarily operate lotteries and sell lottery tickets. A lottery is a prize draw that players pay to enter, with winners drawn randomly by lot. Firms that operate lotto-style games and football pools are also included in the industry.
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ANZSIC 9202 - Lotteries in Australia
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Revenue has grown substantially over the past decade, as lottery operators have sold more tickets online. The ability to drive sales through multiple channels has opened up t...
Learn about an industry's products and services, markets and trends in international trade.
Lotto has maintained a dominant share of overall revenue and embraced online distribution. Other forms of gambling in the industry, like keno and scratchies, are less able to...
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
The distribution of lottery operators follows the distribution of population. The largest states naturally have the most lottery outlets, as they rely on high volumes of Aust...
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
The Lottery Corporation has amassed a dominant share of lottery licenses, restricting outside competition. The long-dated nature of these licenses protects the market share o...
Learn about the performance of the top companies in the industry.
Mergers and demergers have heavily affected structure of the industry. Tabcorp acquired Tatts Group, and then underwent a demerger that created the dominant entity in this in...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Rising inflation led to a fall in discretionary income since 2021-22. This trend has threatened the industry has many households have opted not to purchase a lottery ticket w...
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Lottery operations are cheap to run and revenue is high, which heavily structures the cost structure. Profit margins are high and rising, especially as jackpot pools have inc...
Including values and annual change:
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Key data sources in Australia include:
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The market size of the Lotteries industry in Australia is $13.5bn in 2024.
There are 443 businesses in the Lotteries industry in Australia, which has grown at a CAGR of 2.8 % between 2018 and 2023.
The market size of the Lotteries industry in Australia has been growing at a CAGR of 7.6 % between 2018 and 2023.
Over the next five years, the Lotteries industry in Australia is expected to grow.
The biggest companies operating in the Lotteries market in Australia are Lottery and Lotterywest
Lotto and Instant lotteries are part of the Lotteries industry.
The company holding the most market share in Australia is Lottery.
The level of competition is moderate and increasing in the Lotteries industry in Australia.