Magazine publishers don’t like early returns. Early returns are the first line of defence they use when newsagents complain about poor performing titles. Their case is that early returning denies the title an opportunity of reaching its potential. While I accept this argument in some situations, it does not apply to most.
I early return when I have no choice because of space demands. Take this morning, our country home section was full and we had a new title requiring space considerable. Australian Country Collections had been on sale for six weeks and achieved only a 33% sell through in that time. The performance of the this issue made it a logical choice for early return to free up space. While this will not please the publisher, it was an essential decision based on title performance.
I’d also note that Australian Country Collections was due to remain on the shelf for another six weeks. Three month on sale periods make us the bank, regardless of delayed billing.
Publishers need to understand that retail space in a newsagency is limited. Title performance is a key factor in choosing titles for early return as is the space taken. Australian Country Collections is chunky this month as it is bagged with an old issue – another reason it gets on the radar for early return.
what % sell through rate do you suggest ?
50% minimum. It all depends on your rent and labour costs. In a shopping centre, 60% will often be the break even point.
do you scrap the tittle completly or only keep what would sell plus a % for increase in sales ?
The Home/Lifestyle category has become ridiculously overpopulated, and this is not helped by distributors. I am in Hobart, and today received for the first time from GG (naturally, without being asked) “Custom Homes”, the West Australian Building and Design Annual, and the US version of “House and Garden”. No space and virtually no chance of selling, so they’ve gone straight to the returns box. 7 of my 23 titles from NDD titles received last week were immediately returned for much the same reasons. The amount of time wasted cancelling and returning magazines to Gotch and NDD doesn’t bare thinking about. Unless a system evolves that requires publishers to ask for permission to send new titles or significantly change quantities of existing titles, early returns will continue.
Shaun, start with a reduction in supply. Killing a ttitle is a last resort.