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T2020 driving newsagent management decisions

As I talk with newsagents about their October – December sales as part of the latest newsagency sales benchmark study, T2020 is often raised as a driver of change in the business. Newsagents tell me that they are making changes to their shop because of T2020 and the effective break up of the traditional multi layered newsagency business.

This is a good thing, newsagents making conscious business decisions. While I understand the pressure many are feeling as a result of T2020, the motivation to look at the business and to plan for change can only be considered to be good.

Some newsagents are embracing the retail only opportunity with gusto, some are tinkering at the edges and some are waiting.

When you consider the challenges and opportunity in retail this is not a time to wait. Outside of T2020, we retailers need to innovate in terms of products and service. We need to prove our relevance in every transaction. Too much of what we sell, even those of us with diversified products, is available elsewhere.

In the early review of the benchmark data I am seeing some terrific success for newsagents who are innovating.  Most growth is in gifts but the term gifts is not appropriate given that this can and does cover a myriad of product categories.  As newsagents evolve as retailers it will be interesting to see how far we push into gifts.

In the meantime, T2020 remains an excellent opportunity for newsagents, to take it as encouragement and motivation for significant change in 2013 no matter which course you decide on.

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Newsagency benchmark

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  1. allan wickham

    Mark, I am glad to be a Retail only agent and am enjoying chasing new product and changing the way we do things on a constant basis.
    What is disappointing though is the fact that even if I wanted to pursue the T2020 and become a Distribution agent I am not allowed too. I really do hope that proactive agents are rewarded with the new territories as I fear that the same old dinosaurs will still wield the same old big stick, much to the detriment of newspaper sales and growth. I know that I can sell more papers but it will need the help of the distribution agent to achieve this and that`s why we will need agents that care for growing paper sales and to ensure that everybody gets proper supply no matter your location or situation. If the dinosaurs are allowed to continue their current ways then newspapers will surely die a slow and painful death. If they are managed by proactive people who want to see further growth then the newspaper will have a future for some time to come yet.

    Cheers
    Al
    P.S. These are just my thoughts and I hope they are not taken out of context. Every retail agent reading this will understand and I can only hope that any territory agent that becomes a Retail agent doesn`t suffer any loss of retail sales due to the wrong people delivering to them in the future.

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  2. Jenny

    Allan, I can’t imagine any agent who isn’t proactive wanting to take on a large distribution. And surely they will want to grow their paper sales if they want a profitable business.
    Good supply to all newsagents is what we as distributors aim for now, but supply to us is all over the place at times especially in the holiday periods. We need better control of our supply and then we would all sell more papers.

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  3. ricky

    Jenny you are absolutely correct, The biggest impediment to T2020 isn’t the readiness or capability of the distribution agents. Supplier related issues are the key to the solution but the root cause of the problem is the CULTURE & EGO on the publisher side. The transition could be so much more effective if they could just get their heads around the concept that they are now in an equitable B2B relationship. The days of the patronising, patriarchal , do as you’re told because we know better behaviours are long gone. They just don’t want to know it – yet.

    6 likes

  4. Amanda

    I would like to know what distribution agents involved in the smoke and mirrors of T2020 negotiations think of the promotion Mark has blogged today targeting Florists and other businesses for Valentine’s Day.

    Are distribution agents negotiating similar commission packages?

    Do they feel they are getting ripped off with the Valentine’s Day deal offered to those outside the Newsagency channel?

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