PCSO targets P6.2 billion revenue this year

CEBU, Philippines - The Philippine Charity Sweepstakes Office (PCSO) operation in the Visayas and Mindanao targets to hit P6.2 billion in total revenue this year, this after noting the growing interest of Filipinos on the state-owned “game of chance” products.

In an interview with William Medici, PCSO department manager for Visayas and Mindanao, he said that this early from January to September, the Vismin operations already generated a total revenue of P5.7 billion, thereby hitting the target by the end of this year easily attainable.

Aside from the improved interest of Filipinos in participating on the different “game of chance” products offered by PCSO in a daily-draw basis, the increasing number of lotto outlets have already espoused the improving revenue generation.

There are now a total 3,000 lotto outlets all over the Philippines, 1,825 of which are located in Visayas and Mindanao areas.

PCSO chairman Sergio Valencia said that the nationwide target is to hit P24 billion in revenue by the end of 2009, this is at least 10 percent increased from last year’s P22 billion.

Considering the economic crisis, Valencia said people are still patronizing PCSO games, saying “it is the most credible ‘game of chance’ and people are seeing that what we generate will go back to the people in terms of helping different charity programs.”

By law, 30 percent of the total PCSO revenue generation will be given to charity programs, 55 percent will be paid back to the people.

Recently, PCSO launched its latest product called “KAS-Cash” wherein the office has made available a total of 30 million tickets pegged at P20 each and provides maximum winning of P200 thousand. This instant cash-ticket-- “Kas-Cash” offers four different variants.

According to Valencia PCSO is not only providing opportunity for Filipinos to improve their financial capabilities if “lucky” with the games, but it is also giving business opportunities for some to get into “lotto outlet” business opportunity.

To open up a lotto outlet for instance, a P20 thousand cash outlay is enough that will be needed for installation, premium and processing fees.

However, a bond worth of P500 thousand is also needed, this is considered as surety bond, Medici said.

Medici reiterated that there is now an increased interest among entrepreneurs especially in the Visayas and Mindanao areas to open up lotto outlets in their respective barangays, or hometowns.

In this way, accessibility of the people to participate in the game is wider now, thus pushing the increased of revenues for PCSO.

“There are now more terminals [lotto outlets], and more and more people are buying lotto tickets, and want to hit the jackpot,” Medici said.

Economists noted that the deeper the crisis gets, the more people are tempted to participate in a “game of chance”, to try their luck. — Ehda M. Dagooc