Lottery outlets seem to be doing okay in retail sales


Yesterday many of you would have got the newsletter about Tatts Group FY15/16 Report for those that did not it's available here.

If you look at the FY16 Investor Presentation there, the relevant pages for retailers are pages 6 & 7. From that I created this table.

I double checked and the figures match the report.

Overall sales went up by 8.2%, clearly, online sales went up rapidly by $69 million but Bricks and motor outlets went up even more - $93 million. For retailers as the number of outlets went up slightly the average sales for their outlets went up over $22,000 or 5% to $473,559 an outlet, which is a terrific result for a mature industry in today's retail environment at the point of sale.

Clearly though many of these retailers would have concerns with digital, I still think this though is a long-term threat, here are some figures from the page.

On a graph, it looks like this, as you can see the growth currently is not that rapid and there does not appear to be that much of a relationship between the digital and the Bricks and motar customer.

Looking at this, I would say that the retailers still have more good years before being replaced by digital.

For those that have a mathematical interest, I did an S curve calculation to 2020 based on these figures and got about 25% of the market will be digital then.



I would not be surprised if it higher but I think it gives an idea.