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

Month: November 2008

Promoting Weight Watchers magazine

fhn_weight.JPGWe have almost sold out of the latest issue of Delicious since we placed it at the counter position last week.  Based on sales history for this title, I’d put the counter location being worth at least a four-fold increase in sales for the week.  I am testing the value of the position this weekend with the placement of Weight Watchers magazine there today.  Even though the latest issue has been on sale for three weeks, I am hopeful that we can sell another three or four copies of Weight Watchers over the weekend.  If we do, it  reinforces the value of promoting good value magazines here.  The latest issue of Weight Watchers magazine has a free diet pad included with the title.

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magazines

Launching The Week in Australia

fhn_theweek.JPGThe Week launched in Australia this week and like many newsagents we have it a prime promotional position.  The publishers have done a good job communicating with newsagents about the title and providing collateral which enables the creation of good in-store displays.  I like their decision to run the first three issues at $2.00 before settling in at their planned regular price of $4.95 – this lets consumers try the title.  It also helps us pitch this to our customers.  I also like The Week because it enhances a category which has thinned since the demise of The Bulletin.

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magazines

Excellent Halloween sales

frankhall.jpgHalloween sales have been fantastic in our newsagencies – our best year yet.  All this week we have had customers spending up on costumes, party items and trick or treat bags.  It is great to have a sell-out, especially with good margin product!  Yesterday, the team at our Frankston store really got into the swing of things with everyone in costume – the photo shows Sherrie, Sammi and Rhonda.  I am told it was a lot of fun for the team and our customers.

newsXpress embraced Halloween three years ago.  It sources products and provides excellent marketing collateral  The offers and opportunities have increased every year.  Sales in other departments benefit from the additional traffic the Halloween promotion brings.  This is now an important season on our marketing calendar.  It is an example of how a smart marketing group can help you find new customers and sell more to existing customers – and help you have fun at the same time.

The one learning from this year was with the gingerbread product we tried at two of our newsagencies.  It did not work.  The product is excellent and the price good.  The challenge is that this type of product it unexpected in a newsagency and therefore less likely to sell.  We are glad we tried it though. 

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newsagency marketing

Corporate Express to be named Staples

Staples has announced overnight that it is changing the name of recently acquired Corporate Express operations around the world to Staples.  Staples is well known in the US as a consumer brand as well as a business supply brand.  I would expect the re-branding here in Australia to be followed by a consumer positioning offer.  This may be through a retail network or online.  Either way, the Staples brand is consumer friendly and its arrival here represents a further challenge to stationery retailers including newsagents.

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Newsagency challenges

Our poor job with gift packaging

fh_wrap.JPGFurther to my post yesterday about strong greeting card sales, newsagents underperform in the gift packaging area.  Newsagents have around 20% market share.  Compare this to our close to 40% market share on cards and you can see that something is wrong. 

Card company people I have spoken with suggest that our poor performance with gift packaging – wrap and boxes – is due to poor location in-store, poor range and poor interaction between the business and the category.

Newsagencies with good growth in the packaging area tend to have it at the front of the shop, well displayed and offering a good range.  They also train staff to invite shoppers to consider the wrap.

Overseas, packaging displays tend to be built more strongly around the occasion than we see here.

This is another area of our businesses where we can be more engaged and achieve a better return as a result.

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giftwrap

Smart marketing by Allen & Unwin

aebook.JPGGiving away the first chapter of a book is obvious and smart marketing. Allen & Unwin are doing this with ICE by Louis Nowra and The Slap by Christos Tsiolkas. Magazine publishers could use this approach in newsagencies. With around 50% of all newsagency customers not buying a magazine, we ought to promote the category through giving away samples.

Sampler marketing could work well for crosswords, fashion, food, travel, cars, health, craft and special interest categories. I have pitched the idea to several publishers without success. Budget is the main issue – production, diostribution and the expectation that newsagents would want a fee for in-store management of the giveaway.

I would give this a crack for free, to see if the promotion works – as long as the trial product offers genuine value. For example, take Good Food from ACP Magazines. An A6 size eight-page sampler of some excellent recipes and an article by Gordon Ramsay could result in greater interest in the magazine. Newsagencies are the only outlets where such a promotion could be run. We can track how many samplers were given away, when and what was in each basket included with the sampler. This data could be used to track uptake and better target promotion of the magazine.

Magazine publishers could learn from the approach taken by Allen & Unwin. Putting a sample of a product into the hand of a prospect is, in my mind, more valuable than a billboard, TV ad or some other more traditional form of advertising.

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magazines