[Case] How to collect contacts of website visitors using a free service

05/30/2020 970 Business plans

Author: Emin

The first "real" lotteries appeared in ancient Rome, they were used as a fundraising tool for the repair of buildings, bridges and roads. In the fifteenth century, lotteries began to spread throughout Europe and gradually took over the whole world. The lottery business in Russia received a second wind after the introduction of restrictions on the gambling business. In order for the chosen business to be profitable, you need to figure out how to organize a lottery.

Starting investments	3,300,000 rubles	Staff	5 people
Income monthly	600,000 rubles	Competition	Average
Expenses monthly	1,200,000 rubles	Payback	12 months

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Business Description

Before you start organizing a business, you should familiarize yourself with the norms and rules of its conduct, determined by current legislation.

In the Russian Federation, the legal regulation of the conduct and organization of lotteries is determined by the following regulations:

Civil Code of the Russian Federation, second part, chapter 58: “Games and betting”;
Federal Law of the Russian Federation No. 138: “On Lotteries”.

In Ukraine, the main document regulating the activities of lotteries is the law “On State Lotteries of Ukraine”.

An entrepreneur can become an operator of his own lottery or a distributor of lottery tickets.

Operator

Applicants for organizer status are subject to the following key requirements:

The management must not have a criminal record, including for crimes in the economic sphere.
They must have exclusive rights to lottery programs.
The untarnished reputation of the company, its managers and its founders. It is important that they are not previously associated with other lotteries in which serious violations of the law were recorded.
Availability of an agreement with a credit institution on the provision of a bank guarantee.

After receiving the status of a lottery operator, you will need to organize the process of ticket distribution.

The prize fund being drawn is formed from proceeds from ticket sales. One half of the proceeds is distributed among the owners of winning lottery tickets, and the second goes to cover the operator’s costs and its profit. Among the standard costs of running a lottery, such as ticket printing, distribution, advertising, salaries and taxes, you need to include charitable contributions.

Distributor

Not every businessman will be able to immediately organize a lottery, because he will need impressive starting capital. The distributor acts as an intermediary between the operator and the buyer. Along with selling tickets, it can also pay out winnings. Today such distributors are, for example, Russian Post, Magnit and Yandex. Money".

An entrepreneur will receive the following benefits from cooperation with a lottery operator:

stable profits, since most buyers are regular;
low costs, since selling tickets does not require a large premises, storage warehouse, complex and expensive equipment;
there is no need to buy terminals, since they can be rented from the operator;
great reward due to high interest rate.

Ticket distribution can be an addition to the main activity. For example, a food, household chemicals or clothing store. A business selling lottery tickets can be the first step of a novice entrepreneur, and after gaining work experience, he can retrain as an operator.

Services

The lottery business is focused on selling special tickets. Lottery tickets are printed products corresponding to protection class “B”. They must have watermarks, a background grid and a microshift, since without security marks tickets will be easy to forge.

They can be:

Material. A simple lottery ticket and receipt are paper documents certifying the right of their owners to participate in the game. A lottery receipt is issued automatically by a special terminal, and a simple ticket can be purchased at a kiosk, post office, etc.
Electronic. A virtual document also certifying the right of its owner to participate in the drawing. This type of ticket contains secure information about the registered lottery bet and is stored in the lottery processing center. An electronic ticket allows you to identify a participant in the game. Information must be stored in accordance with the requirements of Federal Law of the Russian Federation No. 149 “On information, information technologies and information protection.”

Relevance

A lottery is a type of gambling that can be legally conducted throughout Russia. The demand for gambling in Russia is traditionally high and current legislation does not provide for serious restrictions on the organization of lottery business.

In 2020, there was an increase in the volume of lottery tickets sold through Russian Post by 46 percent compared to 2015. sold 81 percent more tickets in 2020 than in 2015. Confident positive dynamics of ticket sales are observed at all points of sale.

Favorable conditions for organizing a lottery have not been created in all countries. For example, in Ukraine it will be very difficult for a newcomer to organize a lottery business and obtain a game operator license. Competition in the Ukrainian lottery market can be described as an oligopoly.

What is needed to organize a lottery?

Having decided to organize such a business, you need, referring to the law on lotteries:

register an enterprise;
go through the registration procedure with the Federal Tax Service;
receive a certificate stating that you have no tax arrears;
obtain a license;
organize a method of notification of lottery results;
Make sure you have printed and electronic tickets.

First you need to decide on your target audience.
Based on this, choose the type of lottery, method of implementation, ticket design, and so on. First of all, you should monitor the market and draw up a business plan, carry out the necessary calculations or, at a minimum, make a feasibility study on the feasibility of holding a lottery. It is also necessary to think through and draw up the rules for the lottery. In accordance with Russian legislation, the lottery winnings fund must be at least half of the amount received as a result of ticket sales. In addition, it is worth taking into account the costs of renting premises, the salaries of ticket sellers, and the services of ticket designers. After all, the attractiveness and brightness of tickets directly determines their saleability, and therefore business revenue. The printing house in which the tickets will be printed must also be challenging. After all, tickets must be printed on special paper using various watermarks and other security elements.

Having carried out all the necessary preparatory processes, you should then register your individual entrepreneurship and collect the papers to obtain the appropriate license.

Basic ways to implement an idea

You can open a lottery business in one of two ways:

by issuing a certain number of paper tickets - this is the traditional way;
through the installation of special devices.

According to the law of the Russian Federation “On Lotteries”, all lotteries are divided into:

circulation;
non-circulation

Replication of printed tickets

The printing of tickets should be entrusted to a professional printing house, which can apply all the necessary security elements to them. After this, you should take care of delivering tickets to points of sale. If an entrepreneur plans to sell tickets in several regions of the country, then he will need partners and distributors. It will be quite difficult to organize the sale of tickets over a large area alone.

Tickets can be sold through printing houses, distribution companies and distributors. Only a large circulation needs to be distributed throughout the country. To start a business, it is recommended to start small and cover a specific region of the country. In this case, a large-scale marketing campaign will not be needed.

After the lottery is held, its results are published in the media, and then the process of issuing the winnings is organized. Small amounts can be issued at ticket sales points, and large winnings can be issued through credit institutions that are ready to cooperate. Paper tickets also allow you to earn money from advertising by placing it on the back of each form.

Electronic terminals

Progress in information technology has also affected the possibilities of holding lotteries. The use of electronic terminals saves the organizer from printing tickets. But the entrepreneur will need to purchase and install special machines - lotoma machines.

All terminals are divided into two categories:

Lotto machines that print tickets. Must be equipped with a built-in printer.
Lotto machines that do not print tickets. Refers to electronic games and the tickets here are virtual.

The receipt received from the first type terminal must contain:

circulation number;
government number;
ticket price;
date and time of ticket issue;
size of the prize fund;
lottery logo;
name of the lottery.

Ready business

A lottery business can be organized through a franchise. In this case, the entrepreneur will receive a ready-made turnkey business. The franchisor will reveal the secrets of a successful business and help you organize it correctly. The cost of the franchise will be offset by stable demand and lower risks.

The most famous franchise offers in this field of activity:

Bingo Boom;
Stoloto;
Lotobest;
LOTTO MARKET.

The main advantage of the franchise is the recognition of the lottery brand; customers trust this game more.

Is it possible to create an online lottery?

Today it is possible to organize a lottery operating online. Anyone can make their own game on the Internet, but it is important to comply with the requirements for conducting a drawing. Online lotteries are not prohibited by law, but the main condition is to refuse money bets, otherwise the electronic “quiz lottery” will be recognized as gambling. The organizer should decouple payment from the possibility of winning.

Creating a lottery widget

At the first stage, we register with HoverSignal, it takes a couple of minutes.

Then, in the admin panel, select the desired type of widget – “Lotteries”.

Click “Create new”.

We choose the desired niche, we will show everything using the example of “Ecommerce”, but you can create a widget for any industry in the same way.

Click on one of the ready-made lottery widget templates.

Right on the page that opens, in the “Design” tab, we look at the result and change the appearance.

To change the names of prizes and calls to play, edit the corresponding fields in the “Content” and “Coupons” tabs, then click on “Save and Exit”. The creation process is complete!

To launch a lottery, a trigger is used on the page; for example, you can make it in the form of a sticker like this (1).

The lottery can also be shown automatically - at a specified time interval, for example, 12 seconds after the visitor opens the page. This is all configured in the “Where to show” tab.

You can also specify a list of required site pages on which you plan to collect visitor contacts using lotteries.

All collected contact information will be sent to your email and saved in the Leads database.

To activate the display of the lottery trigger on the pages of your site, install the html code of our widget on them.

To do this, copy it in the admin panel and paste it into the footer code of your Internet resource.

After completing this task, if everything is done correctly, a confirmation will be displayed in the admin panel.

To quickly create a lottery widget, choose one from a large catalog of templates.

Types of lotteries

The lottery business involves organizing several types of games.

Instant

The instant lottery is attractive because you can find out about your winnings immediately after purchasing a non-draw ticket. To do this, you will need to erase the protective layer on the ticket. Instant lotteries also include playing on a lotto machine.

A business based on instant lotteries attracts entrepreneurs with a simplified process of obtaining a license. In this case, money is also saved due to the absence of the need to publish the results of the drawing in the media.

circulation

Draw lotteries do not allow the ticket owner to instantly find out about the winnings. The buyer is forced to wait until the end of the drawing in order to learn about the result of the game. Often lotteries are held in the form of a television broadcast.

Promotions, competitions, quizzes

Contests and quizzes are a stimulating type of lotteries. This type of gambling is now actively used by product manufacturers as a marketing tool. It is a good advertisement and attracts buyers' attention to the company's products. Promotions do not qualify as incentive lotteries, as they do not have a drawing element. The incentive lottery prize fund is created from the company's own funds.

Since 2014, the issuance of licenses for conducting incentive lotteries has been stopped.

In the video, the author talks about how to conduct incentive lotteries without violating current legislation. Filmed by the Effective Promotions channel.

Existing types of lotteries

There are two main types. The first, very popular among the Russian population, is printing lottery tickets. This method of implementation allows you to receive additional profit from advertising, because each individual ticket is a platform for placing various advertisements.

High-quality production of lottery tickets is possible only in a specialized certified printing house. There are a number of requirements for this printed product:

presence of watermarks;
background grid of continuous lines;
micro font printing.

The second way to implement this type of business is through lottery terminals. Their use allows you to save on printing tickets and renting premises. To place the machine, just a square meter of space and the presence of an outlet in the immediate vicinity is enough.

In addition, unlike slot machines, a lottery machine is a completely legal type of business. This is due to the fact that the result of the drawing is included in the ticket, and is not calculated by special equipment, as is done in slot machines. In this case, the machine performs the functions of both issuing tickets and paying out winnings. Instant payment of winnings is one of the advantages of terminals, which makes them very popular.

Today in Russia you can buy a lottery terminal, both new and used. Due to the ban on gambling, they are now sold without the appropriate software. For each terminal sold, regardless of its condition, documents, a certificate and a nameplate are provided.

This industry is gaining more and more popularity, as it is chosen by people who were previously regulars at slot machines. The average person does not feel much difference between them, but from a legal point of view there is a difference.

For an entrepreneur, this is a very successful source of income, since an electronic lottery does not require large expenses, and one machine pays for itself in a maximum of six months. If it is in a good location, then this period can be reduced to three months.

In addition, an electronic lottery ticket makes it possible to reduce costs, since there is no need to use printing services or pay for printing supplies. Another advantage of using terminals is the ability to control the process from a distance. You can log into your personal account via the Internet at any point where there is access, using a computer, tablet or your personal smartphone.

It is better to install lotoma machines in those places where slot machines were previously located. It is also important that the places where they are installed have sufficiently high traffic flow. An excellent accommodation option would be nightclubs, cafes, train stations, parks and other places with large crowds of people.

Lotteries for which tickets are printed are, in turn, divided into several types:

Instant lottery – these are tickets with a protective coating applied; to check the winnings, you need to remove the coating using a coin.
A draw lottery is a type of lottery in which, in order to find out whether a ticket is a winning one, you need to wait for a specific draw to be drawn. The results of the drawing are published in the newspaper or broadcast live on a TV channel. The draw cannot be held on the Internet, since hackers may influence the result.
Incentive lottery is a type of lottery in which participation is free, but to participate in the lottery you must purchase a specific product. This is one of the subtypes of instant lottery, but it has its own specific features.

Description and analysis of the sales market

The success of the lottery ticket distribution process depends on the planned advertising campaign. And also on how well the entrepreneur understands the target audience and knows the competitors.

The target audience

The target audience of the lottery business has increased significantly in recent years. Mostly due to the fact that gambling fans switched from prohibited gambling to lotteries. Potential buyers are those people who dream of a big win and want to get emotions from the game.

Competitive advantages

Even in large cities, few companies operate lotteries. The most serious competitors are well-known all-Russian organizations, which, as a rule, promise large rewards. However, a significant number of consumers are choosing faster and less global games.

The competitive advantages of the lottery operator should be:

frequent updates of lottery products;
affordable price;
attractiveness of playing conditions;
advertising strategy based on the psychological portrait of the target audience;
encouraging customers to return to the ticket distribution point;
convenient places to buy tickets.

Promotion and advertising

The lottery business needs promotion and a proper advertising campaign. The company must have a corporate website developed. Here you should place all the necessary information about the game, methods of playing it, and conditions for receiving winnings. It should be presented in the simplest and most demonstrative form that is understandable to the target consumer.

Advertising in local media should not be neglected. Information about the lottery should be placed on the pages of newspapers and magazines. You can also organize an advertising campaign on the Internet. Lottery banners should be placed on sites that are frequently visited by potential customers. You can also use television advertising, posting notices on street information boards and free boards on the Internet.

If an entrepreneur uses lotto machines, then they must attract the attention of the target audience and be understandable to them. It is important that the information system has an intuitive interface. The client should have a desire to return to the terminal again.

How does one obtain a license to operate a lottery?

A license to conduct a lottery is issued subject to the following conditions:

clearly defined conditions;
revenue distribution plan from ticket sales;
an approved lottery ticket layout with a detailed description of all the requirements put forward for it;
methods for recognizing tickets when paying out winnings;
description and technical characteristics of the equipment used;
methods of accounting for all tickets sold;
procedure for working with tickets: storage, return, destruction;
a copy of the company's charter certified by a notary;
the procedure for the safety of winnings not received by the winner on time, the conditions for their payment after the expiration of the payment period;
accounting balance of the lottery organizer;
certificate of absence of tax debts.

If the documents are completed correctly, no later than two months later, you will be issued a license. Its validity period is no less than three years. When the license is ready, the organizer will receive written notification of this, as well as bank details for the necessary payment of a license fee of six thousand rubles.

Obtaining a license to operate instant lotteries is much easier and faster than for any other type of lottery business.

Knowing how to open a lottery business in Russia, all that remains is to choose the type of lottery to run. The law prohibits such a thing as an Internet lottery. This is due to the fear of using hacker attacks to influence the results of the circulation.

What do you need to open?

The stage of company registration also depends on the decision to become an operator or distributor.

Documentation

Operating in the lottery market requires the entrepreneur to register a company and obtain appropriate permission from the state. This process is slightly different in different countries.

Russia

The company should be registered with the tax office, social funds and State Statistics Committee.

The operator must obtain permission to conduct the game - a license. To do this, the organizer needs to apply for permission to hold the game. The application is accepted by the authorized body, which can approve or deny the game. The authorized body in Russia is the Federal Tax Service.

The process of obtaining a license involves preparing the following package of documents:

Application for holding a lottery.
Conditions of the game.
An example of a lottery ticket or receipt describing the requirements for them, as well as methods of protection against counterfeiting. Here you need to describe the hidden inscriptions, drawings or other security features on the ticket.
The procedure for identifying a ticket when winning.
Rules for recording sold and unsold tickets.
Rules for storing, returning, using or destroying uncirculated tickets.
Rules for the withdrawal of unsold tickets.
Rules of conduct with unclaimed winnings.
Description of the lottery equipment used and its technical characteristics.
Feasibility study for organizing a lottery. The source of its funding is indicated here, as well as the calculation of the estimated revenue from the game.
Percentage distribution of game revenue.
A certified copy of the company's charter.
A certificate certifying that the company has no tax arrears.
The company's balance sheet as of the latest reporting date.

The state duty charged is 6,000 rubles. For a novice entrepreneur with little knowledge of the intricacies of obtaining a license, we recommend contacting a specialized company that deals with such issues. Such a company can take upon itself the preparation of documents for obtaining permission to conduct a lottery business, as well as the development of a ticket layout.

The authorized body will review documents for obtaining a license for two months. After this, the future lottery organizer will be sent a notification about the issuance of a license. The permit is valid for at least three years.

The lottery ticket distributor will need:

Conclude a contract with operators.
Buy or rent space for a retail outlet.
To print tickets, you may need a special terminal - a lottomat.
Obtain from the operator such materials as: thermal tapes, forms, etc.

The operator may request the following documents from the distributor:

certificate of state registration of the company;
extract from the Unified State Register of Individual Entrepreneurs (for individual entrepreneurs);
charter and memorandum of association of the company (for legal entities);
tax return for the previous period.

Ukraine

The process of obtaining a license in Ukraine is similar to that described earlier, but the stage of reviewing an application from a newcomer can take a very long time. The likelihood that it will be approved is minimal. Similar issues are considered in the Cabinet of Ministers of Ukraine.

In Ukraine today licenses are issued to three operators:

"Ukrainian National Lottery";
"Patriot";
"M. S. L."

Premises requirements

A small retail outlet is suitable for distributing tickets. The main factor that is worth paying attention to is the high traffic volume of potential customers. It is best to install terminals where slot machines used to be.

They can be rented:

in shops;
in markets;
in nightclubs;
in shopping centers;
at train stations;
In the underground;
in car services;
at the gas station.

To determine the best places to open ticket sales points, an analysis of the most traveled and visited places should be carried out.

The format of the point of sale can be:

island construction;
separate stall;
a display window in a store selling something.

Island construction

Lottery kiosk

Showcase in a store

A lottery kiosk is the most expensive format for organizing a point. Its cost depends on the equipment (for example, heating, reinforced flooring, air conditioning).

A lottery operator can open an office in any convenient location. The main factors in its choice should be low price, a standard set of communications and convenient location for company employees.

Equipment and inventory

The operator must have specialized lottery equipment at its disposal. It is a complex of technical means that are capable of generating winning combinations. For example, a rotating sphere that throws out barrels of numbers, or a computer with special software. It is important that lottery equipment passes inspection. An option is possible when the entrepreneur does not need to purchase this equipment, and the game can be run by a competent third-party company.

Approximate cost of equipment and inventory for organizing a lottery business:

lotoma machines: from RUB 50,000/piece;
equipment for playing the game (computer and software): from RUB 150,000;
booths for selling tickets: from RUB 50,000/piece;
office equipment: from RUB 150,000;
office furniture: from RUB 200,000;
other inventory and equipment: from RUB 150,000.

The total cost of investment in equipment and inventory for an entrepreneur who wants to become a game operator will be about two million rubles.

Staff

At the first stage, the lottery operator will need the following list of employees:

supervisor;
lawyer;
marketer;
technical specialists;
sellers.

Important points to remember

Before opening points of sale of lottery tickets, you need to analyze the places with the highest traffic. In addition, you need to identify your future clients, select the appropriate game conditions and the amount of winnings.

When opening a lottery business, you need to take care not only of the required amount to start the business, but also of the availability of the winning amount, which must be immediately paid to the winner.

During the launch phase, the following employees will be needed:

Technician.
Economist.
Salesman.

Lottery tickets can be sold on your own, as well as at the points of competitors or partners. Often such tickets are sold at points of sale or various newsstands.

Step-by-step instruction

Summarizing the above, consider the sequence of actions of an entrepreneur who wants to open his own lottery in the city:

Market monitoring.
Target audience analysis.
Determining the business format.
Calculation of a business plan or feasibility study.
Registration of a company and its registration.
Game development.
Search for partners, including printing houses.
Obtaining a license to organize lottery activities.
Concluding agreements with distributors of lottery tickets.
Marketing campaign.
Personnel selection.
Selection of sites for your own retail outlets.
Purchase of equipment and inventory.
Start of work.

Opening costs

To open a lottery business and calculate approximate costs, you should decide whether it will be a regular lottery or on the Internet. In this business plan, we will consider the costs of opening our own lottery in a physical format. In order to know exactly how to open an enterprise in this area, it is better to obtain a complete list of required documents from the federal authorities. Advertising should be given in local information resources.

The stage of company registration also depends on the decision to become an operator or distributor.

Documentation

Operating in the lottery market requires the entrepreneur to register a company and obtain appropriate permission from the state. This process is slightly different in different countries.

The process of registering the form and obtaining the necessary permits will take at least three months. In addition, the activities listed above will also take quite a lot of time, about two months. As a result, it turns out that it takes about six months to start a lottery business.

Financial plan

To start a lottery business you will need to make the following investments (in rubles):

registration of a company and obtaining a license: 150,000;
purchase of equipment, inventory: 2,000,000;
development of a ticket layout: 50,000;
first edition of tickets: 500,000;
marketing expenses: 200,000;
development of a corporate website: 50,000;
rent of ticket sales points (10 points) and office: 250,000;
other costs: 100,000.

As a result, in order to become a lottery operator you need to invest about 3,300,000 rubles in the business. The size of the initial investment and ongoing costs depends on how exactly the game itself is played and its scale.

Regular investments

Current costs of the lottery operator (rubles/month):

rental of retail outlets and office: 250,000;
salary with accruals (per 15 people): 400,000;
ticket issue: 250,000;
marketing costs: 30,000;
utility costs: 10,000;
publication of the drawing results in the media: 30,000;
charitable contributions: 40,000;
wages for third-party implementers: 150,000;
other costs: 50,000.

As a result, it turns out that regular monthly investments will be about 1,200,000 rubles.

Required starting capital

To simplify the process of starting a business, a ready-made franchise of a well-known lottery can be used. In this case, you don’t need to invent anything, you just get a ready-made guide to action. If you want to organize everything yourself from scratch, it is worth assessing the minimum level of investment to start.

The main expenses include:

Payment of advertising expenses (from 50 thousand rubles);
Costs for obtaining the necessary documents (maximum 20 thousand rubles);
Obtaining permits (up to 15 thousand rubles);
Lottery equipment (from 50 thousand rubles);
Layout design with security watermarks (from 50 thousand rubles);
organization of staff (from 200 thousand rubles);
opening ticket sales points in various shopping centers (from 150 thousand rubles per point).

As a result, we have the minimum required amount of half a million rubles. The approximate procedure for holding lotteries is prescribed by law. However, you can form your own scheme based on the main one.

In addition to calculating the required investments and theoretically possible income, it is also worth calculating the risks and possible problems.

The main risks are:

counterfeit lottery tickets;
hacker attacks on servers containing lottery data;
negative feedback from players;
audits by tax authorities;
lawsuits from disgruntled lottery participants.

Do not forget also that the entrepreneur is responsible for the transparency of the lottery procedure. If fraud in the conduct of sweepstakes is detected and proven, he will be punished as provided by law.

It is also worth remembering that lotteries are divided into municipal, regional and all-Russian. Permission to hold a nationwide lottery must be obtained from the Ministry of Finance, but at the moment it is not issued. Keep in mind that the All-Russian lottery can only be non-commercial and at least a quarter of the proceeds must be donated to charity.

Legal regulation of all controversial issues related to the conduct of drawings, payment of winnings to the winner, and so on occurs through legal proceedings in accordance with the law.

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Risks and payback

The lottery business pays off quite quickly. It is possible to return the initial investment within a few months after starting the business. In extreme cases, the business pays for itself in over 12 months.

Business risks:

all tickets will not be sold;
the likelihood of tightening legislation in relation to the process of organizing lotteries;
the likelihood of the electronic lottery being hacked by hackers;
likelihood of ticket counterfeiting;
leakage of information about ticket circulation and other trade secrets;
negative customer reviews.

Business organization

On average, the cost of a lottery machine will be up to 5 thousand dollars. Printing costs depend on the complexity of the forms and the quality of printing. They make up 15% of revenue. You should also consider the costs of the services of sellers and designers. On average, 25% of revenue is spent on salesperson salaries. The costs should also include renting space for a kiosk or lottery machine.

It is best to install terminals in markets and shopping centers, in entertainment centers and nightclubs, and in recreation areas. Lottery machines pay for themselves very quickly, up to one year.

Instant electronic lotteries allow you to save on publishing results in the media. In addition, the process of issuing licenses is also simplified, unlike traditional lottery tickets on paper forms.

How to open a lottery business

The lottery business is known as a promising area of business activity, providing the owner with a constant and stable source of profit.

A business plan for a lottery business is a step-by-step guide to organizational and preparatory activities, registration procedures, selection of types of lottery tickets, and also contains analytics of the financial indicators of a business project.

When wondering how to open a lottery business, you need to carefully and competently work out a business plan and development strategy for the company. Before considering organizational, preparatory and registration activities, it is necessary to find out the history of the emergence and development of the lottery business.

Lottery history

The history of the emergence of the lottery business dates back to the times of Ancient Rome and China, when the state acted as an entrepreneur, using the proceeds from the sale of tickets to the population to meet its own needs and implement state policy. For example, in Ancient Rome, funds received from the sale of lottery tickets were used for the construction of government buildings, repair of bridges and facades, and the Great Wall of China was built entirely with funds raised from the sale of tickets to the public.

The domestic lottery dates back to 1782, when the capital watchmaker Gassenus received the first official permission to hold a lottery among the population.

The post-revolutionary period is characterized by a complete ban on lotteries until 1921, when they were again legalized by the state.

Then, during the crisis, thanks to the proceeds from the sale of tickets, the state was able to significantly replenish the budget and tickets began to be printed on a regular basis.

Features of the lottery business in Russia

Modern Russian legislation establishes a number of prohibitions and restrictions on the organization and conduct of lotteries, enshrined in the Federal Law “On Lotteries”. For example, modern sale of tickets is possible only in post offices or branches of Sberbank, as well as in specialized stalls.

Despite the existing restrictions, in the conditions of a total ban on the gambling business, domestic drawings are a promising area of business activity.

circulation

A drawing lottery implies the announcement of its results only after the end of the prize draw. Draws are implemented in the form of television quizzes.

This is one of the most popular types of modern lotteries.

In addition, draw lotteries imply an increased level of start-up capital investment - from three to four million dollars, so not every aspiring entrepreneur can afford to organize them.

Instant

Unlike draw lotteries, with instant lottery games, the ticket holder immediately knows whether he has won or not. These lottery games do not require you to wait for prizes to be drawn on a game show.

In instant lotteries, the ticket has a special protective layer, which can be erased to reveal whether the lottery participant has won anything.

Thanks to this form of implementation of the drawing, instant lottery games imply a wider range of prizes and options for using winnings.

Stimulating

This type of lottery games is actively used by entrepreneurs to attract the attention of the target audience to the products of their own enterprise. It is a mistake to believe that promotions held by various companies and firms are also types of incentive lotteries, since there is no element of a drawing.

Electronic

Such lotteries have become widespread and universally popular due to the absence of the need for large initial investments and the simplified format for organizing and conducting drawings.

The sale of electronic tickets is carried out through an automated system, which also simplifies the process of selling tickets and minimizes the cost of human labor.

In addition, the flow of sold tickets is much easier to track, and the company’s current costs are also saved due to the absence of the need for printing costs.

Registration of activities

After carrying out the preparatory activities and choosing the type of lottery, you need to take on the task of going through the mandatory procedure for state registration of business activities. To carry out activities in the field of lottery games, you can choose any available form of business registration:

individual entrepreneur without forming a legal entity;
limited liability company;
public corporation;
closed joint stock company.

After selecting and submitting the necessary documentation to the state registration authority, you should proceed to obtain a license to conduct lotteries, as well as register with the local tax authority.

Lottery organization

A mandatory and legally established option for organizing a lottery is to allocate no more than half of the proceeds from the sale of “lotteries” to the prize fund.

The remaining part of the income will be used to generate net profit, as well as to the current expenses of the company, expressed in the cost of printing services, if we are not talking about electronic lotteries, as well as the need to regularly pay tax deductions and pay salaries to company employees. The process of directly organizing a lottery depends on the chosen form of drawing.

Ticket selling

Direct sale of tickets in accordance with current domestic legislation is possible at specialized kiosks, post offices and branches of Sberbank. If we are talking about organizing an electronic drawing, tickets are sold through the use of an automated system, which does not require the establishment of a physical point of sale of “lotteries”.

Financial calculations: how much can you earn in the lottery business?

Taking into account the average size of the starting capital investment, their payback period will be from six months to a year, and income indicators vary within varying limits from 100 to 500 thousand rubles.

In conclusion, it should be noted that the modern popularity of the lottery business is due to the possibility of relatively quickly and at the same time stable receipt of high income, as well as the organization of business activities with a minimum level of initial investment when it comes to conducting electronic lotteries.

How to open a lottery business in Russia?

The lottery business in Russia is attracting more and more interested parties. This is partly due to the ban on slot machines in the Russian Federation. The demand does not fade away due to the peculiarities of thinking of Russians.

The dream of getting rich in one day, without putting in any effort, and the passion that is characteristic of many of our compatriots, make the lottery business more popular every year.

In addition, modern Russian legislation does not provide for serious restrictions for this type of business. By following all the necessary formalities, you can easily obtain permission for this type of business.

Where to start?

To organize a lottery business , you need to start by making lottery tickets. To do this, you can order a circulation of printed tickets or purchase electronic lottery machines. Printed tickets can generate additional revenue from advertising placed on the back of each ticket.

After registration of the lottery, information about the size of the prize fund, the size of the circulation and security marks must be printed on the tickets. Lotteries organized in this way are familiar to the population of our country, so the idea has a high chance of being successfully launched.

The procedure for registering electronic tickets for the lottery is somewhat more complicated and less usual, especially for senior worship, but the advantages of such a lottery are that there is no need to spend money on printing tickets.

Important points to remember

During the launch phase, the following employees will be needed:

Technician.
Economist.
Salesman.

Lottery tickets can be sold on your own, as well as at the points of competitors or partners. Often such tickets are sold at points of sale or various newsstands.

What is required for registration

This business, like any other, needs to be properly registered. If your time is not enough, then you can turn to the services of intermediaries, companies that specialize in this. Usually the cost of the service does not exceed 200 thousand rubles, it all depends on the region.

The range of services includes the preparation and registration of documents, registration with the tax authority, development and design of a lottery ticket. The duration of this procedure is no more than four months.

It is advisable to prepare the following documents to start a business before submitting:

Various types of permits from the SES and fire service.
Business plan.
Agreements with partners.
Draft statutory documents.

Let us remind you that obtaining a license for a lottery business is a necessary condition for starting work. This will require an application, a mock-up of a lottery ticket, a description of the lottery process, a detailed description of the equipment used, the procedure for issuing funds and writing off unclaimed amounts, as well as sources of funding.

Normative base

The fundamental regulatory document defining the rules of the lottery business is Federal Law-138 of November 11, 2003. Significant changes are often made to it, so they need to be constantly monitored.

Based on the provisions of this document, all lotteries are drawn, non-draw and combined. As for the question of what equipment is needed, you won’t have to purchase anything additional.

It is enough to rent ticket sales points. The lotteries will be printed in special printing houses, so you will need to budget an amount to pay for their services.

A draw lottery involves drawing the prize amount only after all lottery tickets have been sold. In the case of a non-draw lottery, the winning tickets are known at the time of production, i.e. Every person who buys a ticket can determine whether it is a winner or not. The combined lottery combines these two approaches. The Federal Law “On Lotteries” determines the amount of mandatory contributions.

Until 2010, the size of the prize fund was limited to 80%, now the size of the prize fund has been increased to 90%, and the minimum remains at 50%. The Federal Law establishes the minimum amount of contributions for socially significant events and charity.

Currently, the minimum contribution is 10%. In addition, this law equates printed lottery tickets to class “B” printed products, which means the mandatory presence of security elements that make them difficult to counterfeit.

These elements include: watermarks and other methods of protection. Therefore, you can order printing of lottery tickets only from printing houses that have the appropriate license.

Placement of points of sale

It is most profitable to place points of sale of lottery tickets in places with high traffic. It can be:

Train stations and bus stations.
Exchange points.
Shopping centers.
Weekend fairs.
Parks.

In such places it is best to install a separate kiosk. This is undoubtedly one of the most expensive options for selling tickets, but also one of the most effective. The cost of a kiosk depends on many factors; on average, the price starts from ninety thousand rubles.

Approximate calculation of income and expenses

To start a business you will need from six hundred thousand rubles to nine hundred thousand rubles. Basic expense items:

Company registration services – up to two hundred thousand rubles.
The purchase of three street lottery kiosks costs up to four hundred and fifty thousand rubles, which depends on their equipment.
Ordering the printing of one hundred thousand lottery tickets will cost two hundred thousand rubles.
Website and initial promotion – fifty thousand rubles.

Expenses per month:

The salary for six salespeople at the kiosks is about one hundred and sixty thousand rubles. The number of required personnel may be large; on average, 5-6 people are enough.
Rent - about forty-five thousand rubles.
Advertising – five thousand rubles.

As a result, monthly expenses will amount to two hundred ten thousand rubles. Over the course of a year, three kiosks must sell all lottery tickets ordered from the printing house.

If the ticket price is one hundred and fifty rubles, then the revenue will be about fifteen million rubles. – that’s how much you can earn in a year. If we take into account that at first there will be little interest in the newly launched lottery, then the business will pay off in a maximum of two years.

Source: https://mainbiznes.ru/uslugi/loterejnyj-biznes/