Key points:
- Thailand's N3 lottery is in a trial phase aimed at competing with the underground lottery market, but its low appeal so far casts doubt on its future
- The government will evaluate its performance over the next 2–3 months before deciding whether to continue the initiative
- Underground lotteries in Thailand are worth an estimated 100–300bn baht ($2.89bn - $8.67bn) annually, highlighting the challenges of competing with entrenched illegal markets
The N3 lottery, introduced as a pilot program to address Thailand's pervasive underground lottery market, is under scrutiny as it progresses through its experimental phase.
The trial, conducted within a sandbox system, has completed two rounds of sales. However, low prize values and the absence of features like credit-based purchases, commonly available in underground lotteries, have hindered its appeal.
Minister Julapun emphasised that the N3 lottery's primary goal is to curb illegal gambling rather than generate revenue.
Despite this assertion, the lottery’s success depends on its ability to attract buyers and compete with underground lotteries, which account for an estimated 100–300bn baht ($2.89bn - $8.67bn) annually.
Good to know: The pilot phase of the N3 lottery raises questions about whether it can effectively capture a share of the underground market without significantly restructuring its offerings
The government plans to extend the trial for another two to three months to better evaluate its popularity, challenges and potential as a sustainable alternative to underground gambling.
Julapun has also instructed the Government Lottery Office to monitor whether the N3 lottery begins to compete with Thailand’s six-digit lottery (L6) in both paper and digital formats, as this could necessitate a reassessment of the project’s viability.
Complicating matters is the recent dip in demand for digital L6 tickets, with nearly one million tickets unsold during the 16 November draw.
Julapun attributed this to temporary factors, however, including seasonal spending during the Loy Krathong festival and financial strain caused by recent flooding.
