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Economy

New deal for lotto sellers

Lotto sellers have every cause to smile as a modernization programme with a potential to create 10,000 jobs is set to roll. According to information gathered by the Daily Guide newspaper, the 10,000 point of sales terminals set to commence operations next year, as contained in the 2011 budget statement read by the Finance and Economic Planning Minister, Dr Kwabena Duffuor, will create opportunities for new lotto marketing companies and facilitate the participation of banker-to-banker and former private lotto operators in the gambling business. The employment trickle effects of the new arrangements are said to be enormous, with the potential of introducing new products and an enhanced commission system. The National Lottery Authority (NLA), which has witnessed great growth in recent times, since 2006, is attributable to the efforts of the current board and management, with government support, Daily Guide has learnt. The NLA has invested in automated machines and human development, an initiative which has enabled it to retain and hire qualified and dedicated professionals. With the introduction of the e-lottery credit facility, electronic lottery tickets are easily accessible by customers, thus increasing the profit margin of the authority and the lotto sellers, with the additional value of the Portable Automated Data Processing Machine (PADPM) which could be used for mobile phone recharge cards and other pre-paid users with interconnectivity. The NLA, according to sources, recently held a meeting with lotto marketing companies and other stakeholders, where the new policy was discussed. Under the new arrangements, the NLA will have to recoup part of its investments in the lottery business by reducing the profit margin of lotto sellers who get the new gadgets free of charge. A lotto seller who attended the meeting told Daily Guide that they were not actually against the new policy, but rather they deserved special treatment because of their loyalty and long-standing relationship with the NLA. The NLA, satisfied with the arrangement, remarked about the development: “This we believe will cut transportation cost and time spent at NLA regional and district offices as the banks will now be closer to the retailers to access such a service.” An automated commission payment system is said to be enabling the over 8000 retailers to draw their accurate commissions countrywide. The purchase of 10,000 portable automatic data processing machines, the latest acquisition by the NLA, has facilitated the distribution and sale of lottery products. The new machines are distributed free of charge across the country and with a sustained connectivity, more selling and playing time is assured. A comparative analysis between the NLA commission system and other countries’ shows Ghana’s to be ahead. Since 2005, lotto marketing companies have enjoyed 25% in commissions at the point of purchase of lottery products from the NLA. This commission is to be cut down to between 20 and 15% under the new arrangements announced in the budget statement. The average commission paid to retailers of lottery products in other jurisdictions is between 7 and 10% in Africa, 5% in Europe and 6% in the Americas, a document on the subject has showed. While Ghana pays 25%, neighbouring Nigeria pays 7%, South Africa 5%, UK and Pennsylvania 5%. Lottery operation in Ghana has gone past what it was many years ago in terms of automation and modernization and the commission available to retailers of lottery products, feats which have enabled the authority to increase its contribution towards government kitty as required by law. Source: Daily Guide/Ghana

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DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.