North Carolina Businesses Worry That Online Lottery Sales Could Hurt Business

The North Carolina Retail Merchants Association said lottery retailers stand to lose ancillary in-store sales if consumers purchase their tickets at home.

December 10, 2013

CHARLOTTE, NC – With North Carolina residents now able to subscribe online to play Powerball, Mega Millions and Carolina Cash 5, lottery retailers are fearful for the impact on their sales, WSOCTV.com reports.

"If they buy it online, we lose a lot of customers," said Baneti Cerebo, an employee at a Charlotte convenience store.

The North Carolina Retail Merchants Association (NCRMA) said retailers rely on lottery traffic for ancillary sales, like snacks, drinks and newspapers — purchases that they stand to lose if lottery players purchase their tickets from home.

Van Denton, a spokesperson for the North Carolina Education Lottery, said the expansion to digital sales was intended to reach people who didn’t previously play the lottery, and that it’s too early to tell whether retailers have been impacted. Additionally, he said safeguards are in place to minimize unintended consequences.

"This technology has already worked in other states to make sure that no minors are participating and to make sure people are who they say they are and it seems to be working well there," Denton said.

The state estimated online sales will generate 1% of lottery sales, or $3 million.

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