At first glance, there would not seem to be much of a connection between the world of lotteries and the world of sports. Aside from potential for sponsorship, these would seem to be two industries that would work largely in different spheres. Lotter-ies are thought of as games of chance, while sports are more (although not entirely) predictable.
There is no doubt that these two industries, or sectors, play important roles in most major countries. They both have a lot to do with acting as a communal activity and something that people of all ages and backgrounds can come together for. But the link between lotteries and sports may still feel a little tenuous.
The rise in popularity of online sportsbooks and sports betting might suggest a potential for crossover, however. Games of chance are enjoyed in both areas and remain popular. But there is even more of a connection to this. In this article, we will take a look at how the worlds of lotteries and sports crossover, and how developers can strengthen that bond with their own projects.
Funding of Sports
There are numerous examples, in countries all over the world, of lotteries directly funding sports, especially at a grassroots level. In most places, sports play a major societal role, and their national leagues and representative teams are shown as an example of success. But these organizations need funding that is not always as easy to find as for healthcare and other areas deemed more worthy.
States and governments recognize the power of sports, though, so having a team that can compete at the highest level is a good look. Lotteries have, therefore, been used as an ideal way of funding sports in a way that the general public agrees with. The UK, in particular, sets aside a large portion of its state lottery revenue for what it calls “good causes”. As well as arts and community needs, sports takes its percentage to spend on grassroots initiatives, funding of elite athletes, and also major sports events.
History of Sports Lotteries
It is not as though the connection between lotteries and sports is anything new, however. Some activities that may not have been explicitly thought of as being a lottery have long been sports-centered, proving that the history of the two goes way back. Lotteries have not always been just random ball draws.
State lotteries, and those in the Nordic countries in particular, have always had a connection with sports. There are also examples of how lottery developers have used sports as a theme to attract more attention. Bringing the two together now is, perhaps, not quite as strange a move as initially thought.
Sports Sponsorship
One of the most obvious ways that lotteries and sports work together is through direct sponsorship. We have already outlined this, but when you consider the longer history and closer ties the two have, lottery sponsorship is simply a natural way to keep the relationship intact.
Lottery brands commonly sponsor sports events, leagues, and teams, when the laws and regulations of the country or state in question allow. We have seen more sports betting companies involved in sponsorship and funding in recent years, but that is really only copying the playbook of lotteries over time.
Lottery Expansion
Now that sports betting has become such a big business, especially in the US, thanks to a relaxation of the law, there have been moves to expand the way lotteries work to further cement them within the world of sports. Lotteries can already offer bigger prizes than many betting opportunities, so there must be some potential for growth.
State lotteries are already intertwined with sports in many countries, but there is the opportunity to introduce, or increase the use of, pool-based betting, which is closer aligned to traditional lotteries. Most sports betting companies concentrate on fixed odds, so there is definitely a market waiting to be explored in many places.