Lottoland Australia has offered the 4,000 news and lottery agents across Australia a profit-sharing agreement which if accepted, will ensure wider choice for customers – and additional revenue for newsagents.
Under the offer, newsagents will receive 20 per cent of profits generated from every bet on overseas lotteries that they refer to Lottoland Australia, which could be worth thousands of additional dollars a month to individual newsagents.
The Chief Executive Officer of Lottoland Australia, Luke Brill, said the offer meant newsagents that took part in the program would have an opportunity to benefit financially from Lottoland bets on overseas lotteries.
Mr Brill said: “We want to partner with newsagents to provide our customers with greater choice, in a way that will be fair and profitable for your business. Last year, in discussions with the association that represents newsagents, we made an offer to share our revenue from secondary lottery betting with newsagents. That offer not only stands but I am prepared to improve it: We will offer newsagents a 20 per cent commission on the profits from every bet they refer to Lottoland.”
Mr Brill said a recent proposal by the Federal Government to effectively ban online lottery betting would not help newsagents, as it would manifest Tatts’ monopoly through its parent company, Tabcorp.
“Lottoland does not offer bets on Australian lotteries but only on overseas lotteries, which means we do not compete directly with newsagents,” he said.
“The challenging times faced by many newsagents relates in part to technology and in part to the way Tatts continues to push the digital sale of its products on their own website, taking revenue away from the newsagents.
“According to Tatts‘ own figures, their digital sales increased by a massive 30 per cent in the half year to December 31 – money Tatts has diverted away from newsagents and other small businesses.”
Mr Brill said the legislation proposed by the Government would cement Tatts‘ monopoly, which was bad news for newsagents – and for customers.