Australian Newsagency Blog

A blog on issues affecting Australia's newsagents, media and small business generally.

Fairfax could learn from News Ltd

Mark Fletcher
March 27th, 2006 · No Comments

The doubts I expressed here about Alpha here months ago have proven to be unfounded. Sales are strong despite a requirement that it is only sold with the local News Ltd tabloid. Key to the success of Alpha is its placement next to newspapers and the $2.00 cover price. Even convenience stores are compliant with placement. Fairfax could learn from this strategy with Smart Investor. Placing Smart Investor next to the Australian Financial Review, The Age or the Sydney Morning Herald in addition to the newspaper display will boost sales. The challenge is to provide display units which create such space next to these newspapers. I’d also contemplate a lower cover price to make the purchase of two titles more enticing – even though this could be frustrating for newsagent employees at the counter.

The data I am seeing suggests that Smart Investor has a sell through rate of 20%. This is unsustainable for newsagents.


Category: Newsagency challenges

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