New York now has a fourth lottery courier offering a way to purchase draw tickets online: TheLotter. Headquartered in Malta, it has been in the business since 2002, a decade longer than any of its US-based rivals. However, its US presence is comparatively small, comprising only five states with the addition of Texas.
All lottery couriers use a similar business model. Customers deposit money and place orders for lottery tickets online using the courier’s website or app. The courier then purchases the tickets from a retail partner on the player’s behalf. The player receives a scanned image of the tickets as confirmation. Small prizes (under $600 in the case of New York) go directly into the player’s account. Bigger wins need to be claimed by the ticket owner; therefore, the courier will arrange secure delivery of the ticket to the customer.
The main difference between the services is their revenue model. Many US couriers charge an up-front fee on deposits. TheLotter’s business model is to charge a premium on ticket purchases. So, each ticket will cost a bit more than it would in the store, but there are no deposit fees, and the player receives their full winnings.
Peggy Daniel, General Manager for TheLotter’s US operations, said:
Our launch in New York marks another significant milestone for theLotter. As someone who grew up in the tristate area, I am immensely proud that our company has been licensed as a lottery courier in the state. We are thrilled to be able to continue extending our services into additional states in the coming months.
Three other couriers also serve New York: Jackpocket, Jackpot.com, and Lotto.com. The New York Lottery also offers an online purchase option, although this requires a subscription and can’t be used for one-off impulse purchases.
- Read More: TheLotter lottery courier review
The First Lottery Courier, But a Late US Entry
TheLotter claims to have originated the lottery courier model, although it initially used the term “lottery messenger.”
It’s a prominent brand in European markets but only came to the US after domestic companies like Jackpocket had paved the way. As a result, its footprint isn’t as large.
TheLotter made its US debut in Texas in 2020. By the beginning of 2024, it had only added Minnesota and Oregon. However, it may be picking up the pace, as its New York launch comes hot on the heels of its entry into the crowded New Jersey market.
At the moment, courier purchases account for less than 1% of US lottery sales, but they’re starting to catch on. Rivalries are intensifying as a result. Jackpocket recently launched an online casino in New Jersey to go with its courier product and was promptly acquired by DraftKings. Meanwhile, Jackpot.com struck a deal with the Associated Press to become its official provider of lottery results.
TheLotter may find itself struggling to gain traction in the US in the same way that European online gambling companies have. Even big names like 888 and Unibet have exited the US iGaming and online sports betting space because they could not compete with the likes of MGM and DraftKings on their home turf. The rivalries in the US are different, but the same dynamic is playing out, as the homegrown Jackpocket holds nearly two-thirds of the market by some estimates, and Lotto.com has most of the rest.
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