I am in the middle of a national road show to newsagents presenting our soon to launch Find It online classifieds business. Part of our goal with this new business is to take newsagents from standing behind the counter processing sales for a dollar or two and getting them outside their businesses proactively promoting our online classified model as a stakeholder. This is a significant change in mindset for an average newsagent. for decades they have been treated poorly by suppliers and have returned that treatment with little entrepreneurial spirit. Based on the reaction thus far, Find It will wake many newsagents and get them chasing a new revenue stream.
As part of the Find It model, newsagents earn commission on sales and trail commission on customers they bring to the site who may go on and purchase advertising online directly. We are the first business to offer newsagents trail commission in this way. Find It newsagents are also being treated as stakeholders through a profit share arrangement. Again, this is a first for newsagents.
Several newsagents have asked how we expect publishers to respond. My answer to that is that newspaper publishers have been developing their online models for years and have done so without newsagent involvement. Through these models it could be argued that they are competing with themselves and, indeed, getting much close to their customers to the detriment of the traditional newspaper supply chain (newsagents). Publishers are doing what they should do and so I cannot see them having any concerns with newsagents doing the same by actively supporting Fid It as the new way for consumers to advertise online when it launches later this year.
We are chasing 1,500 newsagents. While I do not expect to have that many signed up for the first round, the network will be considerable and more important, proactive. While other online classified businesses rely on advertising themselves to build consumer connect, Find It will have a highly motivated sales force in its newsagent network.