Charitable Bingo Operations Business Plan - Texas Lottery

Planning for the Future
Product Mix
Background
There are 46 jurisdictions in the United States conducting government-run lotteries, including 43 states,
plus the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. Some lotteries are structured as
corporations, while the majority, including the Texas Lottery, are structured as traditional state agencies.
The Texas Lottery is situated in a mature market where it competes primarily for the discretionary
entertainment dollars of adult Texans age 18 and older. It is within this general environment that the Texas
Lottery must tailor its products to appeal to its customers.
The Texas Lottery Commission strives to provide the citizens of Texas with the best entertainment
experience available through its products. New games and game enhancements are continually being
developed to keep Texas Lottery games innovative and exciting for Texas players. The agency uses market
research to help ensure that any changes made to the current game mix will effectively meet the needs of
Texas players, as well as serving the agency’s mission of generating revenue to support public education.
Historically, the Texas Lottery has consistently ranked among the top selling lotteries in the United States,
most recently ranking fourth and exceeded only by Massachusetts, New York and Florida. 1
The Games of Texas is the body of games that the Texas Lottery makes available to the playing public.
These include instant games and on-line games 2 . As of August 31, 2011, seven on-line games, four with
add-on features, and approximately 85 instant games constituted the current game portfolio.
Instant Ticket Games
Background
Also referred to as “scratch-off” or “scratch” games, instant ticket games consist of preprinted tickets with
symbols hidden under a latex covering. The player scratches off the latex and determines “instantly”
1 LaFleur’s 2011 World Lottery Almanac. 2011. 19th edition. Edited by Teresa La Fleur, Bruce La Fleur, Byron La Fleur, and Claire La Fleur.
Rockville, Maryland: TLF Publications, Inc. P. 329.
2 The industry term “on-line game” does not refer to an Internet-based game, but rather to the fact that the game tickets are
generated from a terminal connected to a central system.
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