By Todd Northrop, with AP wire sources
DES MOINES, Iowa — Powerball lottery organizers are betting that bigger jackpots will entice more people to play, but gamblers are going to have to dig deeper into their wallets to try their luck.
Game changes that have been in the works for months — perhaps years — are finally going into effect this month.
(See Changes coming to Powerball multi-state lottery game in January, Lottery Post, Jun. 27, 2011.)
Tickets for the multi-state game are doubling in price to $2 beginning Jan. 15. While the odds of winning one of the game's giant jackpots also are improving, those in charge of the lottery are gambling that people are willing to pay more for the hope of becoming a millionaire in a down economy.
"With the price of everything else going up, there's not much you can get for a dollar anymore," said 28-year-old Ryan Raker, of Des Moines, Iowa, who buys a ticket once a month. He says he'll probably play less frequently now.
Lotteries have long sold regular people on the hope of becoming rich quick by simply picking a lucky combination of numbers. Some play loved ones' birthdays or anniversaries in the hope that fate may point them in the direction of a jackpot. Selling that hope is easy; less so is predicting consumers' sensitivity to price changes.
Powerball's move follows the model of scratch ticket games, which once were all $1 but now are offered at higher prices with the chance for bigger prizes.
The evolution of scratch tickets and the creation of families of games that offer tickets at different prices has proven successful across the country, said Rebecca Hargrove, president of the Tennessee Lottery. Scratch games like Win for Life in Illinois, Jumbo Bucks in Tennessee and the Crosswords game in Iowa have all been successful, Hargrove said.
"The more choices you gave players the higher the sales were," Hargrove said. "A family of games at multiple price points created the most excitement. Once those kinds of games were introduced we saw a dramatic increase in sales."
For example, in Iowa, scratch ticket sales increased from $125 million in 2007 to $165.3 million in 2011, state lottery officials said.
Lottery officials believe increasing the price of the game will make it more attractive to players, said Terry Rich, spokesman for the West Des Moines-based Multi-State Lottery Association, which runs Powerball.
"People like variety," Rich said. "We're repackaging and freshening up the product and enriching the product."
Powerball is the big fish of the various lottery games states offer, and typically has some of the biggest payouts. There are nine ways to win the game, from a $3 prize for matching the Power Ball number to various payouts for different combinations of winning numbers.
Odds of winning are improving because of changes the game is making in the numbers players can choose. The number of Powerball numbers to choose from will decrease from 39 to 35. That will improve the odds of winning from 1 in 192 million to 1 in 175 million.
Picking the right numbers will have a bigger payoff: The starting jackpot is rising from $20 to $40 million. The amount won for matching all five numbers but not the Power Ball will increase from $200,000 to $1 million.
The move is a strategy to differentiate the game from Mega Millions, the other big money, multi-state lottery game that is sold for $1 a ticket. Both games are sold in 42 states, plus the U.S. Virgin Islands and Washington, D.C. Each game has drawings twice a week.
It could pay off, because consumers often get more excited about larger jackpots and play more. Clyde Barrow, a gambling expert at the University of Massachusetts-Dartmouth, said larger jackpots should attract more players, even at the higher price.
"As prizes escalate more people tend to enter the game," he said. "The big draw will be the size of the jackpot. The idea is that at $12 million people don't get too excited but when it crosses $140 million, more people will play and by increasing the price level of tickets you will reach that prize level much faster."
Rich said sales may dip at first but likely would climb as jackpots soar. Half of ticket sales are returned to the states where Powerball is played to help fund government programs.
"We wouldn't be doing it if we didn't think more money would be coming back to the states and help them with revenues during these tough economic times," Rich said.
Hargrove, the Tennessee lottery executive, said many players already pay an extra dollar to play an option called the Power Play, which can multiply winnings for prizes below the jackpot level.
In Oklahoma, 40 percent of players already are paying $2 for a Powerball ticket with the Power Play option. In Tennessee, nearly 30 percent pay to play the Power Play option. The option will continue to be offered for an extra dollar with the new changes, Hargrove said.
Still, the game may have work to do to win over players hesitant to fork over an extra dollar. Many say they'll simply play half as much, or switch to the less expensive Mega Millions.
Irwin Weitz, who owns an Atlanta home improvement business, said he buys five to 10 tickets each time the Powerball jackpot reaches $100 million. The 57-year-old said he's not swayed by promises of higher, faster-growing jackpots and will buy half as many Powerball tickets.
"I don't see the argument," Weitz said. "The reality is when the odds are so high, you're just gambling on a dream of becoming rich quick."
Katie Langel, manager of the Freedom Value Center convenience store and gas station in Sioux Falls, S.D., didn't like the idea, either.
"Say I've been buying (tickets) for years," she said. "I may just go to Mega Millions. I just don't really see why it has to go up to $2."
At the Navarro Pharmacy in Miami's Little Havana area, retired nursing home worker Maria Fernandez, 67, said playing the Powerball every week has given her hope. Fernandez, who lives off a small pension, said she can't afford more than the $5 a week she now spends so will have to play less.
"Poor people will not have as many chances to win," she said.
Zach Levy, a 23-year-old salesman from Atlanta, said he'll buy fewer Powerball tickets but won't give up altogether.
"I won't play as eagerly as I did before, but I still want to win," he said. "I would finally move out of my parents' basement."
However many people will gripe about the increased price, the Multi-State Lottery Association says that thousands of randomly-selected players they surveyed since 2005 have asked for the change.
Summary of Powerball changes
- Jackpots will start at a minimum of $40 million (the current starting point is $20 million).
- The jackpot will increase by at least $10 million every drawing there is no grand prize winner, whereas under the current structure there is no minimum increase.
- The number of Powerballs (the bonus number) will drop from the current 39 to 35, improving the odds of winning the jackpot to 1 in 175,223,510. (The current odds of winning the jackpot are 1 in 195,249,054). By comparison, the odds of winning the jackpot in Mega Millions are 1 in 175,711,536 — nearly identical to the new Powerball odds. The number of regular numbers (the first five numbers drawn) will remain the same 59.
- The overall odds of winning any prize have improved to 1 in 31.8. The current odds of winning a prize are 1 in 35.
- The cost to play Powerball will increase to $2 per ticket. This is the first time in 20 years that Powerball has raised the ticket cost. Power Play will continue to be offered at the same $1 per ticket cost, making a ticket purchased with the Power Play option $3.
- Power Play is changed from being a random multiplier drawn to a fixed increase that varies based on what prize level is won by the player. The extra Power Play computerized drawing that takes place after the main drawing is eliminated once the changes take place. See the new prize and odds table below for the new fixed Power Play payout amounts for each prize level.
- Second prize, which is won by matching the first five numbers but not the Powerball, will increase from $200,000 to $1 million, ensuring that many more millionaires are created by the game since there are typically multiple second-prize winners every drawing. A ticket purchased with the Power Play option that wins second prize will be increased to $2 million.
- The lowest prize level — won by matching just the Powerball number — is increased to $4, but is also easier to win, thanks to the fewer Powerball numbers to choose from.
- The "Match 5 Bonus Prize", which limits the amount that record jackpots can increase to $25 million per drawing, has been eliminated.
- The first drawing of the changed Powerball game will be Wed., Jan. 18, 2012. The final drawing under the current Powerball rules will be Sat., Jan. 14, 2012. Tickets for the changed Powerball game will go on sale Jan. 15.
New prize and odds table
| Match | Prize | Prize with
Power Play |
Odds |
|---|---|---|---|
| 5 of 5 + Powerball | Jackpot | Jackpot | 1 in 175,223,510 |
| 5 of 5 | $1,000,000 | $2,000,000 | 1 in 5,153,633 |
| 4 of 5 + Powerball | $10,000 | $40,000 | 1 in 648,976 |
| 4 of 5 | $100 | $200 | 1 in 19,088 |
| 3 of 5 + Powerball | $100 | $200 | 1 in 12,245 |
| 3 of 5 | $7 | $14 | 1 in 361 |
| 2 of 5 + Powerball | $7 | $14 | 1 in 707 |
| 1 of 5 + Powerball | $4 | $12 | 1 in 111 |
| Powerball only | $4 | $12 | 1 in 56 |
Note to readers
Many readers ask about when the changes to Powerball will be reflected on the pages of Lottery Post and our sister site, USA Mega.
Rest assured, the changes will be published in all the necessary pages, but only when the changes have gone into effect. So you can expect the changes to be made to our Web pages on January 15th — the day after the final drawing under the old rules takes place.
I had seen on another website back in November the game was changing. I had no idea how, but now I know. So I wonder if Mega Millions will eventually change or will they remain as they are?
Thanks for the reminder. $3 a line. BS. I won't be playing this game.
I just love how smooth the reasons for the increase roll off the officials lips. 'We wouldn't be doing it if we didn't think more money would be coming
back to the states and help them with revenues during these tough economic times' Rich said.
Actually it seems to me it's more like - We wouldn't be doing it if the tough economic times have forced some players to quit playing Powerball
altogether and we need to milk the loyal players to make up for the difference.
Oh and the Multi-State Lottery Association - thousands of randomly-selected players they surveyed since 2005 have asked for the change.
I wonder how that question was presented? Like this: Would you pay $1 more to play Powerball? or like this: Would you like a game with better
odds and higher winnings?
They can keep it.
My guess is the change will be sweeping...just give it some time. It defeats the purpose of raising the Powerball price to keep Mega as it is. If I wanted
to play one, I'd go for Mega.
I'd rather stick to pick 3 and 4 no hassles that way! We just stopped playing cause in South Florida no one hardly wins big down here. Mostly in the central or northern part of the state. Give me pick 3 and 4 anyday over powerball!
Personally,I think it sucks!I doubt if I'll play it twice a week like I do now.I might become one of those people that only plays when the jackpot reaches $100,000,000.
Great its gonna cost double to be a loser now.
l am so happy the price is going up and am happy the jackpot is going up too ,because l was about to start playing the euro millions which is really really big and tickets cost more like $3 . so am one of thoes that only play when jackpots get to $250million so i guess powerball now wants my business seriously and all i can say is bring it on am next inline for the big win and all the beautiful women are already waiting for my check to arrive so we can all go on a private cruise arround the world lol.
It's Powerball!
Now, with Power Drain!
Yep folks, here it is, drain your pockets twice as fast with, Power Drain.
And, for one dollar more you can triple your loss with, Power Play.
It's the trifecta of Power Loss.
Don't you just feel the Power? Not!
YES! I was thinking about this. I will buying FEWER tickets. LOL
But I may also stop playing Florida Lotto as well.
There have been times when I only had $1.00 left, or 4 quarters or a combination of nickels and dimes to buy 1 ticket.
People can cry all they want about the powerball price but wait till the jackpot gets to $500,000,000 and then you see the real lotto fever people will be lining up from all over the world and this big jackpots can now occour more frequeintly meaning i could win half a billion dollars every month .Oh well i am looking at a private island in bahamas already i dont need any noisy neighbor arround my $10,000,0000 mansion only lots of beautiful women geting natural sun tan lol .
Actually, the prize would have to go to $10 Billion before I even think about spending $2.00 on a ticket.
Let the phony cronies play and win amongst themselves; their slowly becoming the only ones that can play anyway.
I currently play Powerball and FL Lotto. I'm thinking if I give up FL Lotto and even if I win PB's second prize, I will be happy anyways. And my total yearly expenditure remains the same.
Oh, it's going to be $500,000,000 a MONTH now, is it? Well, then! Count me.....OUT. $40 million or $1 billion, first you have to hold the winning ticket.
I will most likely only play 1 pick without powerplay. It would be nice to see a $500,000,000 jackpot!
$500,000,000.00 Jackpot...that would be pretty sick
$1,000,000,000.00 Jackpot...gonna have to
Good luck to the people participating in this game.
I was waiting to see the prize table and Power Play prize table before I said anything, but this is aweful. They didn't even raise any prizes except 3 dollars to 4 dollars (that should excite nobody, since a Powerplayed Powerball ticket always won more than that) and they made the Second prize always a million, which it was with power play, which costed 2 dollars anyway.
This is, actually, overall, a worse prize table, with a higher priced ticket. That's so ridiculous, it's ridiculous.
What I find interesting is that it was Mega Millions (with lower odds) and not Powerball that had really big Jackpots to be won in the past
This move could make local games more attractive. There are probably plenty of players who would be happy to just spend a $1 for better odds of being a millionaire rather than $2 for worst odds of being a multi-millionaire.
You read my mind.
Five numbers with powerplay used to be 1 million now its two million! Sounds good to me!
I'm going to win this year!
I did a short analysis of pay tables for both games, the old and new, with and without powerplay.
Based on the first draw (New Jackpot), the Original returns 23.394% of money played (on average). With PowerPlay, for 2 dollars, it returns 31.0547%. The new tickets return 29.3944%, with Powerplay for 3 dollars returns 36.1926%.
I said it before, that it'd only be better if these return tables were significantly better. They are slightly, but not significantly better, and with an increase in cost, they still result in a bigger Expected loss per ticket (31.0547% of 2 dollars returned vs. 29.3944% of 2 dollars)
I tried posting the excel analysis - but it becomes disorganized on the site. The conclusion was that these new paytables return a slightly higher percent, but not at the cost you want to play at, and still have a bigger expected loss due to price increases.
Maybe someone should start a petition like the young lady did against Bank of America. Anyone can boycott Powerball or any ripoff games. There are no rules saying anyone has to play. I will not be playing.
On another note I have thought of a power up option with the three and four digit numbers. Would something like this generate any interest? Multiplying these prizes by up to five times would be a big hit in my opinion.
Question: Does a bigger jackpot improve your chances of winning?
Answer: NO!
Those games are already rigged, and once the Jackpot is bigger your chances of winning diminish. Once this thing is over 100 millions they star rigging it . Someone will hit the Jackpot on Jan 14 which is a saturday since the new game start on the 18th. LOL lottery is so predictable.
The jackpot will increase by at least $10 million every drawing there is no grand prize winner, whereas under the current structure there is no minimum increase.
The above statement from the story is incorrect. Under the current structure, the jackpot increases a minimum $5 million per draw.
Also, under the current structure, the only way to gain a realistic payout is via group play. The new structure makes it even more difficult to gain a realistic payout as an individual player.
Good luck.
People whine about a $2 Powerball ticket & spend $20 to lose a $1,000,000 lottery raffle ...............
or to play a scratch off ticket for even less!
boy i'm glad i didn't buy in to the raffle hype last year.
now i'm $10.00 richer.
it's $10.00 bucks a sucker here in Minnesota.
Just means i won't play but maybe once or twice a month or wait until the jackpot gets up there
I don't like the new Powerplay option. It should be random and multiply whatever you win times that amount. I always play all Red Balls with PP, and if it is only 2x, then so be it, but if it is 5x then better for me. The new $4 payout for the RB only is ok, but $12 payout is only 3x. I won't be buying PP anymore.
I bet your right. I don't see how it's rigged but I bet the jackpot will go, and will be a winner in NY as usual. I just spent $60 on three $20 instants but I will think teice before I buy 1 single PB ticket. I rather play a state game like match 6 or cash five first.
l do understand people are upset about the lower prices in new powerball not going up too with the price of ticket. But as a real gambler who really cares about small prices .You probably loss more money going after small prices you need to win big or go home just like my nick name says JoebigLotto rules. So stop whining about little prices but focus on the jackpot .In euroupe the euro millions rules with $260million cash jackpot no annuity so thats like $520million with annuity and tickets are expensive. So now powerball can rule the world for a while before the next super game shows up.Well the world is already going to hell so am not blaming powerball am just going with the flow i want my share of the billions ASP.LOL
Well the rule states that when jackpot reaches record level it will slow down by not increasing more than $25million per draw so any extra goes to second prize of five numbers if there is a jackpot winner.so there is no limit on how high it can go just like your wireless service if you use more than 5G they slow down your service.So powerball figured that out too they can slow the jackpot at record level while raking in the profit at maximum speed just like waiting 50yrs on death row oh well enjoy the trip.lol
It's human nature. No one is going to jump up and down over the idea that ticket prices are doubling. We like the benefits that come with it but not at that price - go figure. I have read EVERY POST on this discussion and each one enjoys some form of legitimacy. We do what we must. At the end of the day YOU HAVE TO PLAY TO WIN. I think instead of whining and complaining we need to channel that energy into forming sound strategies that will yield results over time.
The days are long gone of a dollar and a dream. Step up your game and stop using the dollar quick pick as an aferthought when you fill up your vehicle and then expect to win. Chances are someone will win doing this but if you seriously want it to be you one day, you have to do wayyy more than that!
I noticed that too and I don't like it. I don't mind paying for power play but I feel ripped off with the new changes. It added excitement to the powerplay to possibly get 5 times the amount. Then again, at a flat rate amount you can be certain what you're getting if you win with power play and I never turn my nose up at certainty and steadiness.
Wow dpoly, no one is whining. It's just that with the raffle and instants, they aren't changing the game plan on us. Give me a $20 instant over a
game where they feel the need to increase the play price to double of what it was plus knock down the odds by a mere 20 million and fool everyone
with the $40 million starting jackpot and carefully thought out prize tiers. They will not lose no matter how good it looks...the smack in the face is
the increase of $1 to play one line, $2 without the powerplay option.
Let them try and charge me $2 for a $1 instant, I won't be playing those anymore either. It's the principle and besides, I didn't win anything ever
worth writing about on Powerball anyway and wouldn't expect to with the new changes either.
That rule will expire and not carry over into the new game. I am looking forward to a $500m jackpot. Are you???
maybe they should have changed the price to $1.99 a play.
https://www.lotterypost.com/blogentry/61998
I also refused to spend that $20 they wanted for the Massachusetts raffle. Only half of the raffle tickets were sold meaning the lottery commission never made any profits on the raffle hahaha love that to death!
$2 a PB ticket? yeah I had said I would keep playing but now I've change my mind. I will stick to the season tickets of Megabucks (local 6/49) and megamillions. No scratch offs either. I've been spending close to $500 a year and havent won anything so I might as well cut down sharply. Who knows, maybe after these season tickets expire I will give up on lottery completely.
Does anyone know the new rules for this?
They should have changed the game more. Like maybe 6/42 1/33.
Anyhow, according to todays news, gasoline is going to 4.99/9 to 5.99/9 this summer so the games are going to get played less anyway.
I sent in a suggestion to Megamillions about changing Mega too but they just forwarded it to my state lottery where I got a reply before they promptly ignored it.
The suggestion was to get rid of the Megaplier and replace it with two options.
You pay $1 for the regular ticket and then choose one, or both, of the following-
an extra dollar to Megaply the $2-$150 prizes with different multipliers while the $10,000 prize would be fixed at $100,000 or maybe $125,000 if that makes more sense.
and the other one would be an extra dollar to fix the $250,000 prize at $2,500,000 with this option also building a second Jackpot that you could only win or split if you chose this option.
so then you could spend $1 on the ticket if that is what you wanted to do or you could spend $2 if you either wanted bigger small prizes or bigger big prizes or you could spend $3 if you wanted bigger prizes accross the game.
Maybe it made too much sense and that is why it was igored?
WOW Powerball will be ripping everone off even harder!!!
You don't have to play ! This is not North Korea .......... YET !
I definitely won't be playing Powerball nearly as much as I have in the past. I like being able to buy 5 lines for $5. I don't like spending more than $5 a ticket on Powerball. This means on the rare occasion that I actually do play Powerball, I'll only be spending $4 for 2 lines. Better odds my butt. Because the price is doubling, the odds for the majority of people who play this game will become at least twice as hard.
If no one wins the lottery before or on Saturday January 14th, how will the new rules be implemented?
Wow! Come this February, I'll discontinue playing the Megamillions $12M+ annuitized jackpot with Megaplier ($2, twice each week), yet continue playing Powerball with Powerplay ($3, twice each week). I like the newly announced Powerball $40M+ annuitized jackpot game opportunity to receive an lump-sum, after fed and state taxed, jackpot that begins at apx. $15.2M (Illinois taxes) 'walk away with monies'! I also like the Powerplay option of winning a 2nd prize, pre-taxed lump-sum amount of $2M.
Of course, gambling is usually a long-term investment ... I realize that sometimes it requires several state's lottery retailers multiple years BEFORE any particular state wins a Powerball jackpot.
The number of Powerballs (the bonus number) will drop from the current 39 to 35
New prize and odds table
Power Play
35 numbers and the odds against having the one drawn, the Powerball only, are 1 in 56?
WT2?
dpoly1,
Couldn't agree more about raffles. In lotto, every $1 played (now $2 with PB) goes toewards winning millions. In a $20 raffle $1 M raffle, each $1 wins $50,000....'Boston Fire Dep't'., ahem.
The real irony is that so many here who claim to hate QPs can't wait to fork over $10, $20, pr $50 for a raffle ticket. Huh?
yup
It flips into the new game as it would normally rollover. if it flips within the new game it would flip by a minimum of 10mil. and tickets will come at a cost of $2. they are not allowing anyone to advance play beyond 01/14 so no issues on that end
Coin Toss, you're going to be embarrassed by this one.
The odds are 1 in 56 of hitting just the Powerball, because you need to factor in the odds of getting better than just the Powerball. If the odds of winning just the Powerball were 1 in 35, that would mean that you will never win any other prize.
Right now the odds of winning just the Powerball are 1 in 61.74.
hey todd i checked and signed. not good in tn. i smell a rat. i'm not playing until it high. i believe this move is for people who got money anyway. i can't afford it.
what if everone stop playing. i don' think that possible. just a throught. i like the old way. no computer drawing. i'm sticking with p3 i have a better change of winning there.
I have decided to play for $1 on megabucks with kicker and $1 mega millions with megaplier and $2 powerball with powerplay. For the entire year that is how I will play. I will probably not win a jackpot but at least I will be in each game for one line and know is half the battle. Go Joe!!!!!!!!!!!!!!-weshar75
From a markeying standpoint, you're right Todd, but I lok at any 5 + 1 (or any +1 game) as two lotteries, the top or first matrix and the bonus number matrix. In a field of 35 numbers one number is drawn making it 1 in 35 or 34:1.
In the the OP it didn't say anything at all about getting better than just the Powerball, it simply said the changes were the Powerball being drawn from 35 numbers instead of 39, and the odds posted in the chart as 1 in 56. The same chart shows 1 + 1 as 1in 111, so it still doesn't jive.
You're really good at getting results and what have you before anyone else can, maybe you can track down the 21 'phantom' Powerballs befor the first drawing with the new rules.
How many times have posters here at LP mentioned playing all the MM bottom matrix numbers to insure a win?
The play 46 numbers to do that, right? And the odds of one number in 46 hitting?
Only politicians ask dumb research questions to get the wrong answers they want. When making a business decision, it is in one's best interest to ask the proper questions to get the real answers. No one likes to pay more for any product. Duh! But when the play of the game is completely explained and understood and players are asked how much they would spend and then a price is suggested at various prize levels, you can come to some conclusions. Research can only go so far and is only a start. A business also needs to look at their product mix to see if some brands are too close and if there is room for a premium brand.
This was the same BS reason Powerball gave last time they rigged the game more in their favor and against the players. The hoopla to adding more states and increasing the odds for Powerball was that more people would be in the game and the jackpots would get up to $200Million+ more often....possibly even $500 Million. Now it seems that the jackpots don't reach $200 Million LESS OFTEN..So people are buying less tickets now they want people to pay more for the tickets. I think I've reached my limit with Powerball....