Hon. Sally Talbot questions the Premier regarding Lotterywest's retail redistribution plan, potential privatisation, and retailer commissions. The Premier denies privatisation plans and highlights reviews of commissions and retail transformation program.

AnsweredQoN 621Legislative Council
Asked
28 June 2016
Portfolio
Leader of the House representing the Premier

QuestionView source ↗

LOTTERYWEST
621. Hon SALLY TALBOT to the Leader of the
House representing the Premier:
(1) What
investigation or analysis has Lotterywest undertaken under the 2016–17
retail redistribution plan to investigate the impact of the potential addition
of up to 84 new lottery outlets on the viability of existing Lotterywest
retailers already struggling with difficult market conditions?
(2) Which
gambling companies has the state government or its representatives met with in
the last 12 months to investigate the potential sale of Lotterywest, what was
the outcome of these meetings, and are there any plans in place to prosecute
the privatisation of Lotterywest?
(3) What plans
does Lotterywest have to review the amount of commissions paid to Lotterywest
retailers, which have remained unchanged for up to a decade despite rising
operational costs and the obligation to frequently refit and upgrade outlets?

AnswerView source ↗

I thank the honourable member for
some notice of the question.
(1) To respond to
changes in the retail landscape, including customer expectations and
technological advances transforming how and where customers shop, Lotterywest
undertook a robust review of its retail distribution planning methodology in
2015. A total of 26 locations were identified for the establishment of lottery
outlets. A further 82 locations, comprising existing and new retail
developments, were short-listed for investigation. At this time, the further 82
locations are not being progressed. When a proposed outlet location is
assessed, Lotterywest considers the sales impact that a new lottery outlet
would have on the surrounding lottery outlets, the current and future
population demographics and forecast lottery sales redistribution.
(2) There are no plans to privatise
Lotterywest.
(3) Lotterywest
regularly reviews its rates of commission. The last review was undertaken in
November 2015. The net rates of commission received by Lotterywest retailers
remain the highest in Australia and at the top of the range paid by any lottery
in the world. Lotterywest has not redesigned or refitted its retail network
since 2004. The retail transformation program currently underway is delivering
a more contemporary store design and fit-out to improve the signage, shop fit
and technology elements at all Lotterywest stores in Western Australia.
Lotterywest is offering retailers significant financial contributions towards
the new shop fit for those retailers who complete their installation by
September 2019.

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