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Downturn in the Economy Also Affecting Lottery Players E-mail

As the global economic crisis rages on, it appears that Americans are reducing their spending on lottery products as a method of cutting back personal expenses. A recent Ipsos survey conducted in March among lottery players indicated that nearly half (46%) have reduced their lottery spending, with 38% admitting to spending less on lottery games and 8% cutting them out entirely. This coping strategy mirrors that of the general U.S. population as a whole. When it comes to spending less or cutting out purchases of non-essential low cost items, Americans have reduced spending.

Lottery players seem to be employing similar coping strategies as average Americans are when it comes to the purchase of non-essential, low cost items. For those Americans who may be struggling during this recession, it is clear that part of their coping strategies include reducing their spending on lottery games as these items are viewed by some as having a lower priority.

Reasons cited for cutting on lottery purchases also mirrors the reasons cited for cutting back on purchases of non-essential items, except that more people cited the specific reasons for cutting back on lottery purchases. For example, about one-third (34%) of past year lottery players (and 37% of those from households earning under $50,000 per year) who acknowledged stopping or spending less on lottery games reported that they now have less money or disposable income than in the past, and nearly one in five past year players (19%) stated lottery purchases were not priority items for them. Among past year lottery players, significantly more women (52%) than men (40%) reported stopping or spending less on lottery game purchases. Similarly, significantly more respondents from households earning under $50,000 a year in household income (54%) or with children in the household (56%) reported stopping or spending less on lottery game purchases compared with respondents from households earning more than $50,000 a year in household income (40%) or households without children (41%).

 
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