Kentucky Lottery, Red Mile Team Up

The Red Mile harness racetrack in Lexington, Kentucky and the thoroughbred racetrack Keeneland both have been offering Kentucky Lottery games, including the instant play game Keno, since April. Kentucky Lottery Corporation President and Chief Executive Officer Tom Delasencerie said the Lottery and the racetracks both benefit from the arrangement.

Kentucky Lottery, Red Mile Team Up

At the Red Mile harness racetrack in Lexington, Kentucky, gamblers can wager at the simulcast betting parlor and on historical gaming machines. And since April, Red Mile visitors also can play the lottery and, in a joint venture with Keeneland, the instant play game Keno, launched by the Kentucky Lottery Corporation three years ago. According to lottery officials, Red Mile offers more types of gambling than any other location in Kentucky.

Kentucky Lottery Corporation President and Chief Executive Officer Tom Delacenserie said, “It’s been good. We’re just getting started but sales have been good. They’re very reflective of what we see statewide: scratch-off sales are about 60 percent of the total and draw games are about 40 percent. People are finding out that we’re here, with Keno.”

Delacenserie stated the lottery has plans to expand Keno to other racinos, including Derby City Gaming, which Churchill Downs recently opened in Louisville, and Kentucky Downs in Franklin.

Delacenserie added, “Keno outsold Powerball last year and it was arguably a very good Powerball year. And we’re totally under-represented in bars and taverns. That volume is really done in convenience stores.” He said Keno vending machines will debut next year. “We anticipate Keno could be a $100 million brand within a year or two,” Delacenserie said.

Keeneland Vice President and Chief Operating Officer Vince Gabbert said the racetracks are glad to have gambling choices for customers. “From a customer engagement standpoint, Keno’s good for when you have gaps between races. It does help from an overall customer experience just to have it on the menu of wagering options,” he said.

Delasencerie commented, “That’s the beautiful thing about this. One will help the other. Winnings from Keno will be put into other venues here, and from those venues will go into Keno or scratch-offs. In Florida, we were in the dog tracks, we were in the horse tracks and it was a great partnership from people you would think would be competitors. If you’re winning on one, you tend to spend money on something else.” After the Florida experience, Delasencerie said he wanted to establish similar arrangements in Kentucky. “Really, when you look at it, it’s just two forms of the same thing.”

Revenue from the Kentucky Lottery benefits grant and scholarship programs for Kentucky college students, and revenue from historical racing and parimutuel betting provide purses for horseracing. Lottery retailers, including the Red Mile, and other tracks in the near future, receive 6 percent of sales.

The Kentucky Lottery and racetracks also are planning to co-sponsor events.