I’ve been a flyer promoting Newsagents Products on Consignment – a business offering newsagents counter items for 25% GP – on consignment.
They offer products for up-front purchase for 50% GP.
I’m not a fan of consignment stock as it is easy to ignore and not work to maximum return. Also, GP less than 50% is not interesting unless it is high traffic generating product like magazines.
We need to tell stories in our businesses – ranging is more important than single products. At the counter, single items can work as long as they sell through quickly. My ideal counter lines generate $100.00 a week from a small footprint unit.
I don’t know anything about the consignment business. The model feels like something from the newsagency channel of old, not relevant to our needs as retailers today.