While many people still purchase their lottery tickets at brick-and-mortar locations, the $100 billion-a-year industry is evolving to match modern consumers’ purchasing habits. One startup, Jackpot, is transforming the business by making it possible to purchase lottery tickets online, as well as at bodegas, convenience stores and gas stations. It also handles tax payments for prizes of $600 or more.
Currently, there are 44 states that allow players to play the lottery. Most of them offer a mix of traditional drawing-style games with huge jackpots and instant win scratch-offs. Some of them also offer multi-state lotteries such as Powerball and Mega Millions.
Some of them are even offering subscription services where players can purchase a set number of tickets for multiple drawings in advance. The pricing varies from state to state, but it never exceeds the cost of a ticket purchased at a retail outlet. Even though opponents of online lotteries have valid concerns about problem gambling and the possibility of cannibalization, there is little evidence that this has occurred. In fact, Pennsylvania’s iLottery has seen its traditional game sales grow since it launched in 2018.