Distribution newsagents in Queensland have been advised by News Corp. of changes to the processing and handling of News Corp. newspaper returns. An outside party has been contracted to handle returns processing from the physical to the data aspects.
The change is significant as it contracts out work previously done by owls and newsagents to a third party, considerably further removing the newsagent from providing services previously core to their function. However, News says there will be no change to commission.
The good news for newsagents is that whilst the new process essentially means less work for you, there is no change to your distribution commission for Coles Supermarkets.
It does not make long term commercial sense for News to pay for work not being done.
There is no indication which party, Coles or News, is paying for the externally supplied services.
News explains the reasoning for the move with:
Coles Supermarkets recognise the complexity and challenges for both store staff and the servicing Newsagents. Appointing a third party enables one individual person the responsibility for the entire returns component thereby minimizing the risk of non-compliance. The appointed third party also brings a technological solution to eliminate paper forms, faxes, manual data entry, etc.
It is disappointing News has not taken up the opportunity to eliminate more paper forms, faxes and manual data entry for newsagents.
Mark,
This is OLD news for SA newsagents, we started this in November 2014.
The really sad part is still no better allocations from News for Coles and Coles Express stores.
John
Same down here in Tassie, won’t be long before Coles asks (and probably gets) the full retail commission, although we still do the morning delivery.
John,
the allocations have not changed because that is still done by News, It is only collection service and returns processing that the third party looks after.
If i had my way the 2nd party (me) would look after all allocations as i know it would then get done correctly as i have a vested interest in getting it right…
Safeway tops The Age and sends it back by mail, has been happening for a few years. The Coles letter you refer to – the same thing is also about to start happening with the Age.