This graph shows national growth of newspapers, magazines, cigarettes and film as measured across 1,500 supermarkets in the year to March 2007 as measured by the respected Aztec organisation.
The newspaper growth of 5.2% will be of most interest to newsagents.
Given the overall growth by newspapers for the same period, the 5.2% growth in supermarkets has come, in significant part, at a cost to other outlets – most likely newsagencies.
At the end of March 2007, average weekly sales of newspapers in supermarkets was in excess of $1,300 per location.
Newsagents need to mount an offensive to turn the situation around. We need to reinforce why a newsagency is the go to place for your newspaper. If we, nationally, do not do this then we risk further falls and with each fall is an erosion of our relevance in the news and information retail proposition.
We rely on newspaper traffic to sell the majority of other products in our business. Once the habit is broken for the newspaper purchase, the habit for stationery, cards and other items is at risk.
While some reading this will complain that the supermarket sales data shows why publishers have done wrong by newsagents by putting newspapers in supermarkets, I’d see that as wasted energy. The competition is real, as the data show. Now it is up to us to engage as business people and pursue growth in newspaper sales for ourselves.