Our customer is a part of the reputed group of companies, which is one of the leading Indian business houses with interests in Media, Entertainment, Gaming, Packaging and Amusement Parks. Our customer has a presence in all inhabited continents and employs more than 8,000 employees worldwide.
Business Overview & Gaps
Like other countries of the world, Lotteries have been in existence in India for a long time. Paper Lotteries run by state Governments were the only forms of lotteries available to the playing public. Lotteries in India are regulated through the Lotteries (Regulation) Act of 1998, which allows State governments to decide on approving lotteries in their state.
Paper lotteries in India were run in most un-transparent manner which caused two evils – depriving the State Government of its share of income and cheating the poor people, who were the only buyers of lotteries.
The annual sale of lotteries, both official and unofficial, in India is estimated to be in the range of Rs 25,000 crores with approximately 25 million people buying lotteries everyday. The bulk of these sales are for the conventional paper lottery in Online mode, which attracts people from the lower income groups. While the paper lottery caters to the lower income groups the average price per ticket is only Re.1.10. This is a market with high volumes but low margins for the states selling these lotteries.
As the traditional paper lottery suffers from lack of transparency and credibility and a large percentage of tickets are believed to be counterfeit, Online lotteries seek to overcome these problems. Seeing the opportunity in lottery business in India our customer collaborated with State Governments to introduce online lotteries to various Indian States. Online lottery was estimated to provide following benefits to the State Government:
- Revenue Generation
- Employment Generation
- Control of Revenue Leakage due to lack of transparency