Powerball Increasing Ticket Prices

COMMENTARY | For the past 20 years, a Powerball ticket cost a player one dollar, two if the player chose for the Power Play option. Starting January 15, the same ticket will cost a player two dollars, three if they want the optional Power Play. The Multi-State Lottery Association hopes that current players overlook the price increase, and that the bigger and faster-growing jackpots hook new players.

One of the things that is fueling the price increase is that Powerball is competing with both the Mega Millions multistate big jackpot game and scratch tickets whose prices can range up to 50 dollars. The difference between Mega Millions (a one dollar ticket) and Powerball are generally overlooked by players. The sales of scratch ticket games proves that players are willing to spend more than a couple of bucks per ticket. Therefore, the lottery organizer is hoping that by increasing the price and jackpot, they can create more variety and excitement.

With the starting jackpot doubling to 40 million and the odds improving, going from an overall odds of 1-in-35 to 1-in-32 and the jackpot odds going from 1-in-196 million down to 1-in-176 million, the lottery organizer hopes that Powerball repeats that often observed pattern that bigger jackpots create more excitement and attracts more players. The states that participate in the Powerball game hope for increased revenue from the changes in the game. What will not change is the way that the game is played beyond the price increase and removal of the random multiplier.

As with all changes in people's favorite games, the Multi-State Lottery Association is getting its fair share of complaints from people who do not like the change. Many of these regular players are claiming that the goal should have been bigger prizes without a ticket price increase. Many of the complaints include regular players claiming that they will never play Powerball again. Odds are that while the Powerball game will lose some players, they will make up for it through the increased ticket price and the excitement that arises from bigger jackpots. Most regular players will quickly learn to overlook the increased ticket price and continue playing the game.

Realistically, the improved odds will not make a significant difference to the players. One is still better off putting their money in a saving account. The lottery is still a disguised voluntary tax on the dreams of people who hope to strike it rich. Yet the speed that the jackpots increases, along with the increased payouts, may make it worthwhile for the player who plays the lottery for the rush of the fantasy.

It is the states that host the Powerball that will feel a significant difference if the sales from lottery tickets increase. After all, in this weak economy, states can use all the extra money that they can get their hands on. And with half the proceeds from ticket sales going to the participating state's coffers, the only sure-fire winner are the state budgets which are tapping the Powerball sales.