China Ecotourism Group Limited has highlighted the impressive growth of China’s lottery industry, which has seen significant year-on-year increases in sales. The company secured new sports lottery terminal procurement contracts for regions including Shaanxi, Inner Mongolia, and Henan.
National lottery ticket sales surged by 13.8 percent in 2022 and a remarkable 36.5 percent in 2023. The trend continued with a 12.2 percent growth in the first five months of 2024, as reported by the group.
Financial impact and public welfare contributions
In 2023, total lottery ticket sales in China reached RMB579.7 billion (€73.5 billion), marking a 36.5 percent year-on-year increase, according to China’s Ministry of Finance. China Ecotourism emphasised that the funds raised from lottery sales have significantly contributed to public welfare initiatives.
These funds support various causes, including aiding the elderly, the disabled, children, social welfare programs, and the development of both mass and competitive sports. The state oversees and authorises lottery operations, ensuring that proceeds are directed towards these public welfare funds.
New contracts and strategic positioning
China Ecotourism Group, through its subsidiary Guangzhou Lottnal Terminal Company Limited, announced successful bids for sports lottery terminal projects in Shaanxi, Inner Mongolia, and Henan. This follows earlier successes in Guizhou and Guangxi provinces. The group, known for its core technology and operation services for public welfare lotteries, aims to further deepen its involvement in the industry.
Continued industry leadership
The group’s Chairman, Ling Di, highlighted that the recent contracts solidify Guangzhou Lottnal’s leading position in the industry. The company has maintained a strong track record in securing bids for sports lottery terminal procurement projects throughout 2024.
Additionally, in June, China Ecotourism’s subsidiary, Bestinfo, has secured a technical services bid for Guangdong Welfare Lottery for the sixth consecutive time, continuing a 24-year partnership. According to the group, the contract will enhance the operation and maintenance of the lottery’s computer-generated ticket system and website and develop new functions. This collaboration emphasises Bestinfo’s leading position in China’s welfare lottery market, where Guangdong’s lottery sales contribute significantly to social and public welfare funds.
However, the company faced challenges when the Hong Kong Securities regulator initiated disciplinary action against China Ecotourism Group and seven of its executives in April. The regulator criticised the company for statements made to some executives that allegedly harmed investor rights and interests.
Upcoming SiGMA event: Click here to find out all about SiGMA East Europe powered by Soft2Bet happening in Budapest, September 2024.
