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Media: Behind the hype - Camelot sales boost belies falling lottery interest.

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| May 07, 2004 | COPYRIGHT 2004 Haymarket Business Publications Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Can Camelot sustain a rise in sales if it is based on new games?

Camelot, the operator of the National Lottery, has reported an increase in sales for the first time in six years. It follows a tumultuous period characterised largely by declining sales and negative publicity.

It sold an extra pounds 40 million in tickets in the year to the end of March - boosting annual takings to pounds 4.6 billion. Punters now spend pounds 88 million each week on the lottery.

And Camelot has this week announced plans to sell tickets via mobile phones, which it hopes will generate further interest and call time on a string of lacklustre financial performances.

While ticket sales for the main Lotto draw continue to fall, Camelot is attributing the overall turnaround to the introduction of extra games (including Hotpicks, Lotto Extra, Daily Play, scratchcards and the most recent addition, the pan-European game, EuroMillions).

These now account for 30 per cent of sales, following a 17 per cent rise in ticket purchases outside of the main draw in the past 12 months.

Dianne Thompson, the chief executive of Camelot, believes she has reason to be optimistic. She says: 'I think we will see a slow, steady increase from here on. The lottery has definitely turned the corner.'

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