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Where Will Arkansans Buy Lottery Tickets?

By: Cecillea Pond-Mayo, KARK 4 News
Updated: August 18, 2009
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Arkansans are anxiously awaiting the arrival of September 28 when they can begin buying lottery tickets. But who will be selling them across the state?

According to a report obtained by KARK 4 News, more than 800 retailers have applied, from convenience stores to coffee shops.

The owner of the Shell Station on Broadway in downtown Little Rock is working on his license to sell lottery tickets, hoping it will bring in more business.

According to statistics from the National Association of Convenience Stores, lottery customers tend to spend more, with 95-percent of those picking up a lottery ticket also buying other merchandise.

And according to the same study, the lottery customer will spend $7.07 per visit, whereas a non lottery customer will spend $3.47 per visit. That's why the owner of several Shell stations in Little Rock is applying.

"It's gonna jump business, they're lottery tickets," says Elizabeth Owens, a convenience store employee.

"We hope to start up with between 15 and 18 hundred," says Ernie Passailaigue, the Arkansas Lottery Director.

So far the lottery director has sent out 11-hundred applications and 800 have been returned. Passailaigue says he feels the lottery will get closer to its goal of 15-hundred retailers before the start date.

We went inside the lottery office where we found this group working solely on retailer applications. They must prove they're not behind on state taxes, and owners must go through a background check including fingerprint identification.

Passailaigue has the power to deny an application. "I would probably look unfavorably on an adult book shop or something like that because that's not where we want the lottery to go," he says.

But so far no business like that has applied. It has been mostly convenience stores, with a few coffee, tobacco and grocery stores asking for permission as well.

Retailers have to pay a license fee and put up a bond amount. But they receive five-percent of all the revenue from tickets sold and one-percent for the amount they cash.

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