Calcutta, Oct. 9: The KK Modi group has started its online lottery business with the commercial launch of the Sunshine brand in seven states, including Bengal.
The Rs 2,200 crore company will begin with 500 retail outlets across the country and ramp up to 5000 within a year. In Bengal, Sunshine will have 1800 outlets in two years.
Modi Enterprises has a ten-year exclusive licence from the Manipur government to distribute the lottery. It has partnered with Swedish firm EssNet for lottery software and IBM for hardware and lottery terminals.
The online lottery market, which stands at Rs 1,400 crore, is expected to double to Rs 3,000 crore by 2004. “We have set a revenue target of Rs 750 crore by November 2004,” director of corporate affairs Rajiv Sahai said. “Around 50 to 60 per cent of our total sales will go towards prize money. We also have to pay a commission to the Manipur government,” he added.
In order to be different from other online lotteries, Sunshine has adopted a two-pronged strategy. “We will focus on creating a positive brand image for Sunshine and provide the customer with a unique retail experience at our outlets,” director of marketing Sunil Kataria said.