BUSINESS

China lottery sales plummet 9.4% in February

TAGs: China, dji holdings, Jasmin Solana, Lottery, Qingdao, sports lottery

China lottery sales plummet 9.4% in FebruaryLottery sales in mainland China continues its downward trend in the first two months of 2016.

New data from the country’s Ministry of Finance revealed that total lottery sales for February amounted to RMB22.454 billion (US$3.45 billion), down 9.4 percent or RMB2.335 billion compared to last year’s figures. Welfare lottery sales was also lower by 5.2 percent at RM12.341 billion compared to the same period last year, while sports lottery dropped 14.1 percent year-on-year to RMB1.663 billion.

No explanation was given on the lottery sales dip, but it’s worth noting that sales of lottery products, except for instant lottery, were suspended during the Chinese New Year holiday, which lasted for a week.

Still, 16 of the 31 provinces that are authorized to sell lottery products reported an increase in sales for the February period. Majority of the said provinces—including Hubei, Jiangsu, Henan, Sichuan and Yunnan—saw double-digit increase in sales year-on-year, according to the finance ministry.

Last year, lottery sales fell 3.8 percent due to the sputtering economy in the mainland as well as the government’s suspension of online sales. So far, only two operators are allowed to participate in an online sales pilot program.

DJI Holdings rolls out mobile lottery app in China

The suspension, however, is not deterring DJI Holdings from launching its mobile lottery app in the country.

The London Stock Exchange-listed company announced that its first Chinese Ministry of Finance-approved mobile lottery application has been launched in the province of Shandong. The lottery app was a product of a DJI Holdings’ joint venture with Chinese sports and welfare lottery products company Qingdao Baifa Network Science Technology Service Co. Limited.

Under the partnership, Qingdao will collaborate with local lottery authority Shandong Sports Lottery to promote the app, while DJI is in charge of the marketing strategy for the launch.

Late last year, DJI and Qingdao tried selling sports lottery products via mobile phones in Qingdao City, which has a population of 90 million and contributes almost 10 percent of total sports lottery sales in the country.

DJI said the mobile lottery app launching is a “major development and revenue opportunity while online sales of lottery products remain suspended in China.”

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