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Month: January 2010

Pitching Dolly and the free beach towel

dsc00847.JPGWe are promoting Dolly magazine and the free beach towel in a display at the entrance to our main women’s magazine aisle and at the end of our dance floor (premium display space). I expect this location and display to work very well for us as most customers shopping with us will see the display and due to it being such a good offer.

What is not shown in the photo is the rear of the stand – it is also promoting Dolly. It’s the first time we have embraced both sides of the display stand to promote the one title.  We were able to do this thanks to the good range of collateral from ACP.

We plan to leave this display up for a week at this stage.

While displays like this are less likely to win best display awards, they are usually very successful because of location and ease of purchase.  Sales, after all, are what matter.

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magazines

Promoting Take 5 at the counter

take5_promotion.JPGWe are promoting Take 5 at the counter from today.  The free board game with each issue is a compelling offer and should drive good impulse business.  The Take 5 display replaced a Cleo display which worked well for us over the last two days.  Given the sales decay rate for Take 5 we will leave this display up until Friday.  We are not forgetting That’s Life since both magazines are most often purchased together – 65% of the time according to the basket data in our business.  We have a That’s Life counter unit near the Take 5 display.

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magazines

How many pen suppliers do you need?

pens.JPGI was in a newsagency yesterday which had everyday pens from four suppliers. Their sales data and the ranges available suggest that stock from two suppliers could achieve the same, and possibly better, result.

The newsagent is reluctant to cut a supplier because of long term relationships and that the companies service the stock. I explained that this is the problem because while servicing keeps the pens looking good, it ensures his stock holding costs are higher than they should be.

We talked about the challenge of pulling out stock from a long term supplier and thought it would be a good topic to raise here.

Is supply from two pen companies ideal or does it limit selection too much?

Do you reorder based on sales or do you let the pen companies order based on what they think?

With pens accounting for around 30% of stationery (excluding ink and toner) sales, it is important we get the maximum efficiency from this key category.

In my view, the best way to achieve this is to order based on facts and not relationships.  This means newsagents taking control and stopping relying on representatives of suppliers to generate orders.

What do you think?

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Newsagency opportunities

13 more iPhone magazine apps

Fictory Media has launched iPhone apps for thirteen magazines: Moto, Onboard, Dirt, Boards, Cooler, Dig BMX, Kingpin, Ride UK BMX, Sidewalk, Surf Europe, The Surfers Path, The Bicycle Buyer and Whitelines. This will bring immediate access to the latest issues of these titles to anyone with an iPhone.  So much for air freight issues.

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magazines

Newspower promotes the Education Tax Refund

ets.jpgKudos to Newspower for this brilliant poster which they sent to their stores as part of their Back to School collateral.  Their promotion of the Education Tax Refund program is smart.  It shows participating Newspower outlets as adding value by reminding parents that a tax break is available for approved expenses to qualifying taxpayers.

Their Newspower pitch is a terrific point of difference given that the majors are not pushing this – from what I can tell.

If you are a Newspower newsagent you ought to have this poster in a high-profile location.

The only issue I have is with the government website.  It reads as if the refund was for last year.  The ATO website provides more clarity on this however.

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newsagency marketing

Promoting Men’s Health magazine

fhn_menshealth_jan1810.JPGWe are promoting Men’s Health at the entrance to our men’s magazine aisle this week.

Our real promotion for the title will come later in the week when we pitch it with newspapers – it works very well there as I have noted here before. That space is committed for a few more days promoting The Phantom.

Juggling space is a challenge sometimes – hence our preparedness to move a display from one location to another when it becomes available – as weill do with Men’s Health.

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magazines

Back to promoting the weeklies

fhn_weeklies_jan1810.JPGOur display of health titles last week, while driving excellent browsing, did not generate the sales to justify the premium space. So, this week we have given the space at the front of the store back to weeklies and a couple of other titles. I expect we will see a good result from this move because it’s school holidays and more shoppers new to us are passing by than usual.  Weeklies always perform well in this space, especially early in the on-sale.  We will refresh the display on Wednesday to connect with That’s Life and Take 5.

This stand is passed by around 60% of our lottery customers.  It is also passed by everyone leaving the centre through the exit next to our shop.  hence the premium nature of the space.

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magazines

Convenience stores continue to grow in Sydney

In May 2008 I wrote that I was surprised at the proliferation of convenience stores in Sydney.  Walking around Sydney this afternoon I can see that they continue to multiply – more so that in other Australian cities from what I can tell.  And with the migration from CBD based newsagencies to the c-store model is the decline in range choice for the core newsagency category of magazines.

Sydney is full of tourists this time of year and they miss the traditional Australian newsagency retail experience.  For many tourists this would be a truly unique experience.

It’s a sign of the times (high rent, high labour costs) I guess which drives retailers to focus on better margin models.

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Convenience retail

Classic Rock 3D cover looks stunning

classic_rick_jan1810.JPGClassic Rock magazine looks truly stunning this month. The cover features Pink Floyd in 3D! It features much of the band’s iconic imagery, including the hammers, pyramid and flying pig – all moving when you move the cover.  The cover leaps out from the shelves – truly amazing.

The issue is of special interets to Pink Floyd fans beyond the cover as it documents the making of The Wall including previously unseen behind-the-scenes photos from production of The Wall movie. This makes it a collectible item and therefore worthy of special promotion rather than regular placement with music titles.  Our plan is placement with newspapers.

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magazines

Pitching the free dress with Cleo

fhn_cleo_jan1810.JPGWe are promoting the latest issue of Cleo at the counter this week. The free dress packaged with the magazine is an excellent giveaway and certain to drive good business. We only received one poster so we created our own marketing collateral to help drive sales of this special deal. We will leave Cleo in the prime position and reassess on Wednesday.

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magazines

Promoting Time magazine’s Haiti cover story

fhn_time_jan1810.JPGWe are promoting the latest issue of Time magazine in an acrylic unit which sits above The Age in our main newspaper stand. The image for the Haiti cover story is most compelling.  It is a good example of when we need to get the full cover of the magazine on show to drive sales – as awful as that sounds in this situation.

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magazines

Finding the ES-2C calendars

ese-2c.JPGI get a laugh when a customer, standing at the counter, says they can’ see the ESE-2C calendars and they are right in front of them.  These calendars are a great seller, year in and year out – even if they get hard to find from time to time.  Of course, when we point to the calendars we usually get a good laugh.

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Calendars

January newsletter for newsagency customers

instore_jan10.jpgOur January customer newsletter – on display out the front of our newsagency – is promoting back to school, great ink deals, our card range and three sets of branded product deals.

The newsletter evolved considerably over the last year.  It’s current form is more outcome focused.  This allows us to use it in a wider variety of ways to promote the business.

We now start to plan content for each newsletter three weeks out, considering other promotions on at the time and ensuring that we have it produced and ready to go out on the first day of the month.

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newsagency marketing

Heavy Herald Sun

The Sunday Herald Sun weighs 1kg today.  If the copies home-delivered have the same weight then they breach acceptable OH&S standards.  These were first published in a report by David Nery in 2006 into the OH&S issues surrounding newspaper delivery.  The report recommended a maximum weight for a wrapped newspaper to be .6kg and at their weight 200 to 300 newspapers delivered per day per person.

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Newspapers

Australia Day promotion

fhn_aust_day.JPGOur team at Forest Hill has setup a small display promoting Australia Day at the aisle end in our card department which is nearest our main newspaper stand – i.e. great traffic location.  (Click on the photo to see a larger version.)  We will add magazines to the display which feature Australia Day on the cover as well as newspapers on the day.  I have seen plenty newsagents do a great job promoting and connecting with Australia Day – it is part of a good community connection.

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newsagency marketing

Ads on the front page of a newspaper

age_jan1510.JPGThe masthead of The Age newspaper was partially obscured again yesterday by a post-it type ad stuck on promoting newspaper home delivery. The ad also partially obscured promotion of their coverage of the Australian Open tennis tournament. Their approach to ads covering editorial and branding content on the front page is interesting in the context of a piece about front page advertising published Friday by Alan Mutter at his Reflections of a Newsosaur blog.

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newspaper masthead desecration

Making your own newspaper

Check our NewsCred, a startup from 2008 with relaunched itself yesterday as a place where users can build their own custom online newspapers in a minutes. The result is a news site tailored to include the content you’re interested in. You make up a title, and then select the topics you are interested in following from a list supplied. You can also create a list based on your own keyword. NewsCred generates a virtual newspaper based on the latest he latest stories, from popular news sources including blogs, covering your areas of interest.

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Media disruption

How newsagents use publisher collateral

new_idea_sydney.JPGCheck out how a retailer at Sydney airport yesterday was treating the collateral supplied by Pacific Magazines for the refreshed New Idea.  What is the point of displaying promotional material in a light box if you cover it with a spinner offering unrelated product?  New Idea was inside the store, away from the poster.

On the other side of the column is a light box with a poster for a novel.  It was not obstructed.   Novels were on a stand in front of the poster, not obstructing the view.

When we accept premium collateral we have an obligation to use it well and to ensure that shoppers can easily purchase the product being promoted.

Spinners are a pain in the neck in that they can be placed anywhere by people opening the business, they can be moved by customers, they can be knocked over and they can disrupt traffic flow.  But we like them because they make selecting a range easy and they are flexible in terms of where we can place them.

My own policy is that I’ll accept a small number of spinners with a view to removing them at the earliest opportunity.  Further, there are strict rules on where they are to be located.

What I saw at Sydney airport yesterday is not what I have seen from this retailer in the past.  Looking at the rest of the store, they appear to be cramming in more product.  Mthe spinner placement was part of a product density project.

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magazines

The Phantom 2010 annual special

phantom.JPGWe are promoting the 20th annual special of The Phantom (out today) next to our main newspaper stand.  While a true special interest title, I suspect that we will attract sales from people not shopping with us looking for The Phantom – hence the placement at the newspaper stand.  We will leave this in place for a week.

The Phantom is one of our most putaway titles so we know we have Phantom customers visiting us.

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magazines

Fat supply of Weight Watchers Cook Easy

weightwatchers_cook.JPGNetwork Services sent us 20 copies of Weight Watchers Cook Easy. It has a return date of 2016. We don’t have space for another cookbook so will have to take space from the ACP cookbooks.

To give the title a kick we are using a spare ACP stand for the next few days to try and shift some of the stock. We have to do something with it given that we’d have to pay to return this gross oversupply.

The sooner they bring on sales based replenishment for titles like this the better.

While the folks at Network will have their excuses, they will not be good enough. It is not their real-estate or cash at risk with Weight Watchers Cook Easy.

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magazine distribution

Playing with calendar and diary prices

We have been playing with calendar and diary prices in several locations to see how much we can make this time of the year.

With the majors now well out of the calendar space and most other retailers offering 75%, we have calendars at 50% off in my newsagencies and 25% off in my Sophie Randall gift shops.

As for diaries, we are at 25% off in my newsagencies and at full price in my newsagencies and gift shops.

The majority of the stock we are selling was purchased for post-Christmas sales – meaning an excellent margin.

Sales are strong in both types of businesses.  For the overall season, calendar sales ar up 18% and diary sales are up 22%.

UPDATE: I edited the post because I’d made a mistake.  we’re not discounting yet.

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Calendars

Magazine revolution

Josh Gordon, writing at Folio, says The revolution in magazines will be here this summer (mid 2010 in the US).  He provides a good round up of the devices released at the Consumer Electronics Show last week in Las Vegas and, as he puts it, connects the dots on what to expect.

Every new report on e-readers and related devices brings them further into the mainstream and quiets the naysayers.  This is what happened with music when it migrated from the physical product to the digital.

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magazines