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Weak Powerball Sales?

Topic closed. 147 replies. Last post 5 years ago by lottoguru$-!624.

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February 14, 2012
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Posted: February 25, 2012, 12:42 pm - IP Logged

I'm sorry you're finding it so hard to understand, but the discussion is about sales. Notice that the subject heading says "Weak Powerball Sales?" then reread the exchange that you replied to:

TheRightPrice said, "Whoever came up with this $2.00 Price increase is not very smart"

And Ruud replied, "Is this a joke?  Sales are up. Instead of, for example, selling a 1,000,000 at $1, they are selling 600,000 tickets at $2."

Since raising the price they've been selling about $30 million worht of tickets for jackpots that used to sell $20 million worth of tickets. Thier expenses are still the same 50% they were in the past, so their profit has increased by about 50%. The people that made that decision appear to have made a very smart decision.

If you still have trouble, here's another hint. The people managing PB don't run the game to benefit you or any other players. They run the game to make a profit for the states that participate.

If you want to have a discussion about how any of it affects players, feel free to start a subject about that.

Exactly.

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    United States
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    Posted: February 25, 2012, 12:44 pm - IP Logged

    Somebody needs to explain the difference between sales and profits to KY Jelly Floyd.

    I'd do it but he's ignoring me now for catching him and calling him out on one of his big fat lies.

    KY Jelly Floyd doesn't need an explanation.  He understands it completely.

    Total sales (in dollars, the only way to measure sales) are up.  The profit margins are the same.  Therefore, profits are also higher.


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      Posted: February 25, 2012, 12:54 pm - IP Logged

      Sales, in accounting and finance, are measured in dollars not units sold.  Therefore, sales are up.  With the same margins, profits are also up. 

      I'm shocked at how difficult this is for people to comprehend.  Bang Head

      It's okay to be shocked Ruud. Just don't be beating your head against that brick wall for to long, not worth getting a concussion over.

      With a degree in Business Management, I to am frustrated over the inability for some of our posters who cannot grasp the basics of 101

      economics, or even basic math. We must be understanding, forgiving, compassionate......then continue beating our heads against brick walls.

       

      Bang HeadBang HeadBang HeadBang HeadBang HeadBang HeadBang HeadBang Head

        rdgrnr's avatar - walt
        Way back up in them dadgum hills, son!
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        Posted: February 25, 2012, 1:01 pm - IP Logged

        Sales, in accounting and finance, are measured in dollars not units sold.  Therefore, sales are up.  With the same margins, profits are also up. 

        I'm shocked at how difficult this is for people to comprehend.  Bang Head

        We're not talking about what the nerds in accounting call anything.

        We're talking about how many lottery tickets are being sold.

        If they're selling less lottery tickets than they were previously, the sales of lottery tickets are down.

        Otherwise you could say: "Hey! People must love the new lottery tickets because sales are up!" even though you're selling less tickets.

        No, sales are down.


                                                     
                             
                                                 

         

         

         

         

                                                                                                           

        "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                    --Edmund Burke

         

         

          rdgrnr's avatar - walt
          Way back up in them dadgum hills, son!
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          Posted: February 25, 2012, 1:20 pm - IP Logged

          It's okay to be shocked Ruud. Just don't be beating your head against that brick wall for to long, not worth getting a concussion over.

          With a degree in Business Management, I to am frustrated over the inability for some of our posters who cannot grasp the basics of 101

          economics, or even basic math. We must be understanding, forgiving, compassionate......then continue beating our heads against brick walls.

           

          Bang HeadBang HeadBang HeadBang HeadBang HeadBang HeadBang HeadBang Head

          It's a shame you're frustrated over my "inability to grasp the basics of 101 economics or even basic math" but you'll eventually get over it, I'm sure.


                                                       
                               
                                                   

           

           

           

           

                                                                                                             

          "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                      --Edmund Burke

           

           


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            Posted: February 25, 2012, 1:41 pm - IP Logged

            It's a shame you're frustrated over my "inability to grasp the basics of 101 economics or even basic math" but you'll eventually get over it, I'm sure.

            I guess I'm losing track of how many different interpretations of Powerball sales, profits, units are being thrown out there in the last 20-30 posts.

            I certainly didn't recall any disagreement with your "grasp" on any issues on this topic rdgrnr? What is it I have to "get over"?    Roll Eyes

              garyo1954's avatar - garyo
              Dallas, Texas
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              Posted: February 25, 2012, 1:57 pm - IP Logged

              Semantics....

              It's the Alamo strategy.

              John Wayne and two friends are trapped on a hill, "Well, whaddaya think scout?"

              "Well, Colonel, Looks like 175 million of 'em down there."

              "That's what I'm thinking scout, " John says, "So we'll play this one smart. You and Frank sneak over and shoot five of them."

              "Now, what good is that gonna do, Colonel?"

              "Well, scout, if they don't surrender, we'll sneak over and shoot five more 'til they do."

               

              Same thing....

              "We're making more money! Sales are up."

              No, you're making more money because you doubled the price.

              You are gambling on the idea when the pot gets big your lost customers will come back.

              So far that hasn't happened.

              Fact: last year 6/1/11 $200 million jackpot - ticket sales 53,851,583

              Fact: 2/4/12 $200 million jackpot - ticket sales 37,816,136

              30% DROP in sales.

              If these were tomatoes you'd smell the losses quick when the unsold product started rotting on the shelf.

              The Alamo Strategy only works in movies like when Rambo took down a whole city with a knife tied to a stick.

               

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                Appleton, Wi
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                October 24, 2011
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                Posted: February 25, 2012, 2:04 pm - IP Logged

                Pick4Master:

                    Don't think there is much reason for the Managers/Operators/Technicians to rig the Big Lottery Games because the Odds of winning are kind of high.

                    When the WX gets better, here in Wisconsin, I am going to go out side and shoot some photos of a GRAPH, laid out on a deserted street. The graph will show "MagaMillion Lottery ODDS vs. 5of5 + Megaballwinning numbers", using "one inch per division" for the X-axis

                    The odds are 1:175,711,536. Using 1"/per division that's 175,711,536" on the horizontal line (X-axis) of the graph.

                 

                Let's see:

                175,711,536" divided by 12"/foot = 14,642,628 feet.

                14,642,628' divided by 5280'/mile = 2773 miles.

                I think I need a longer steet.

                 

                BlueDuck

                  rdgrnr's avatar - walt
                  Way back up in them dadgum hills, son!
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                  Posted: February 25, 2012, 2:13 pm - IP Logged

                  I guess I'm losing track of how many different interpretations of Powerball sales, profits, units are being thrown out there in the last 20-30 posts.

                  I certainly didn't recall any disagreement with your "grasp" on any issues on this topic rdgrnr? What is it I have to "get over"?    Roll Eyes

                  You said with your "Business Degree" you were "frustrated" with people who couldn't grasp basic math.

                  I just said you would eventually get over your "frustration."

                  No big deal.


                                                               
                                       
                                                           

                   

                   

                   

                   

                                                                                                                     

                  "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                              --Edmund Burke

                   

                   


                    United States
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                    May 25, 2011
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                    Posted: February 25, 2012, 2:19 pm - IP Logged

                    You said with your "Business Degree" you were "frustrated" with people who couldn't grasp basic math.

                    I just said you would eventually get over your "frustration."

                    No big deal.

                    Should have left that "degree" part out of the whole equation. Lesson learned.    Cheers

                    I am no longer "frustrated". Thank you. No big deal.   LOL

                      Coin Toss's avatar - shape barbed.jpg
                      Zeta Reticuli Star System
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                      Posted: February 25, 2012, 3:51 pm - IP Logged

                      Sales, in accounting and finance, are measured in dollars not units sold.  Therefore, sales are up.  With the same margins, profits are also up. 

                      I'm shocked at how difficult this is for people to comprehend.  Bang Head

                      Rudd,

                      That's fine and dandy for accounting and finance, those folks who value an inventory one way if they're selling and another way if they're buying. Then when marketing comes in and wants to know how many people came through the doors, it falls apart.

                      Those who run the lotteries love it when players look for consistency in something that's designed not to have any.

                      Lep

                      There is one and only one 'proven' system, and that is to book the action. No matter the game, let the players pick their own losers.

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                        Posted: February 25, 2012, 3:56 pm - IP Logged

                        Google "powerball sales since price increase."  Every single article/link agrees with what I (and others with the similar arguments/comments) have been writing:

                         

                        publicgaming-dot-com: "Powerball Sales Remain Strong Despite Higher Ticket Prices"

                        KULR-dot-com: "Powerball Lottery Ticket Sales Up"

                        newspressnow-dot-com: "Powerball Sales Stregnthen Despite Ticket Price Increase"

                        applevalley.-dot-patch-dot-com: "Lottery Sales Up 20% Since Switch to $2 Ticket"

                        csnews-dot-com: "Powerball Sales Strong Despite Higher Ticket Price"

                        cronkitenewsonlone-dot-com: "Powerball Sales Strong Despite Doubling in Price"

                        lakeville-dot-patch-dot-com: "Powerball Sales Way Up Since Switch to $2 Ticket"

                         

                        Seven different sources. 

                         

                        Google "Powerball sales down since price increase."  Nothing... except this Lottery Post forum.

                         

                        The only people who think sales are down in the entire World Wide Web are you folks on this forum.  You're either among the most brilliant people in the world or wrong.  Sorry.

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                          Posted: February 25, 2012, 4:03 pm - IP Logged

                          Rudd,

                          That's fine and dandy for accounting and finance, those folks who value an inventory one way if they're selling and another way if they're buying. Then when marketing comes in and wants to know how many people came through the doors, it falls apart.

                          Powerball does not make a product.  Its only concern is with the total amount of dollars generated by selling little pieces of paper with numbers on them.  The profit for Powerball is roughly 50% of every dollar that they bring in.  It doesn't matter how many pieces of paper they sell.  It just matter how many dollars they have at the end of the day.  So if total dollar sales are up 20%, total sales are up 20%. 

                          If they sold one ticket for a $1 billion (and made $500 million profit) and previously sold ten tickets for $1 each (and made a $5 profit), would you say that sales are DOWN because they sold one versus ten tickets?  No.  You'd say that they were UP because sales were $999,999,990 higher and profit was $499,999,995 higher.

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                            United States
                            Member #123134
                            February 14, 2012
                            55 Posts
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                            Posted: February 25, 2012, 4:10 pm - IP Logged

                            Semantics....

                            It's the Alamo strategy.

                            John Wayne and two friends are trapped on a hill, "Well, whaddaya think scout?"

                            "Well, Colonel, Looks like 175 million of 'em down there."

                            "That's what I'm thinking scout, " John says, "So we'll play this one smart. You and Frank sneak over and shoot five of them."

                            "Now, what good is that gonna do, Colonel?"

                            "Well, scout, if they don't surrender, we'll sneak over and shoot five more 'til they do."

                             

                            Same thing....

                            "We're making more money! Sales are up."

                            No, you're making more money because you doubled the price.

                            You are gambling on the idea when the pot gets big your lost customers will come back.

                            So far that hasn't happened.

                            Fact: last year 6/1/11 $200 million jackpot - ticket sales 53,851,583

                            Fact: 2/4/12 $200 million jackpot - ticket sales 37,816,136

                            30% DROP in sales.

                            If these were tomatoes you'd smell the losses quick when the unsold product started rotting on the shelf.

                            The Alamo Strategy only works in movies like when Rambo took down a whole city with a knife tied to a stick.

                             

                            Powerball doesn't make or sell a product.  They sell little pieces of paper with numbers on them.  You cannot possibly compare nonperishable pieces of paper with tomatoes. 

                            Powerball obviously anticipated that they would lose customers due to the price increase, but they knew that the total dollar sales would more than make up for the lost customers.  If more than 50% of the customers left after the 100% price increase, then you could say that sales are down.  They're not, though.

                            Your logic would indicate that the following would be a sales increase: they reduce the price to $0.01 per ticket and sells billions of them.  If that's the case, why doesn't everything in the world cost $0.01 so companies can have high sales?  I'll tell you why.  Unfortunately, your logic doesn't make any sense in this case.

                              rdgrnr's avatar - walt
                              Way back up in them dadgum hills, son!
                              United States
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                              April 28, 2009
                              14903 Posts
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                              Posted: February 25, 2012, 4:11 pm - IP Logged

                              Google "powerball sales since price increase."  Every single article/link agrees with what I (and others with the similar arguments/comments) have been writing:

                               

                              publicgaming-dot-com: "Powerball Sales Remain Strong Despite Higher Ticket Prices"

                              KULR-dot-com: "Powerball Lottery Ticket Sales Up"

                              newspressnow-dot-com: "Powerball Sales Stregnthen Despite Ticket Price Increase"

                              applevalley.-dot-patch-dot-com: "Lottery Sales Up 20% Since Switch to $2 Ticket"

                              csnews-dot-com: "Powerball Sales Strong Despite Higher Ticket Price"

                              cronkitenewsonlone-dot-com: "Powerball Sales Strong Despite Doubling in Price"

                              lakeville-dot-patch-dot-com: "Powerball Sales Way Up Since Switch to $2 Ticket"

                               

                              Seven different sources. 

                               

                              Google "Powerball sales down since price increase."  Nothing... except this Lottery Post forum.

                               

                              The only people who think sales are down in the entire World Wide Web are you folks on this forum.  You're either among the most brilliant people in the world or wrong.  Sorry.

                              Lib Alert.


                                                                           
                                                   
                                                                       

                               

                               

                               

                               

                                                                                                                                 

                              "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                                          --Edmund Burke

                               

                               

                                 
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