I was speaking with a newsagent yesterday who spends $400 a month freighting unsold magazine stock back to Gordon & Gotch and Network Services.
How much do you spend on freight for magazine returns?
If you drive the returns back yourself, cost travel at 63 cents per kilometre plus $30 an hour for your time.
Luckily I am a small newsagent. A courier picks my mag returns up and it costs about $5.50 per box and I spend about $80.00 per month. I can only imagine what the big shops are paying.
Here in Hobart it cost $3 a box delivered to Davies Brothers, so the direct cost is relatively small each month. It’s also quite convenient since the newspaper returns are going to the same place.
On average it cost us $190 per month.
$5.50 for first box $3.30 per box there after
About $200 per month. $6.60 per box
deliveries cost us over $400
It costs us about 2% of total magazine sales to return unsolds. We are about 5 hours from Sydney but are treated no differently regarding tops/full returns than city newsagents. We find that most of our return boxes are full of double and triple bagged mags, as well as very large mags like Marie Claire, Vogue etc which should not be full returns anyway. On average about 55 – 60% of all stock received ends up as returns.
We send back 2-5 bundles per week to Network at $2 per bundle.
Gotch’s returns depot is in my delivery round, so I just put them in my car and next time I drive past I drop them in, average 2 bundles per week.
Between $50 and $60 per month depending on how many parcels I return.
Here’s a thought (probably not new)!
Why don’t the Distributor’s delivery couriers take back the return boxes when they drop off the new mags???!!!!! And at Gotch or NDC expense thanks you!!!
I send on average 30 boxes at $5.00 per box = $150 a month. Most of that is early returns and on time are topped.
I take all of our boxes weekly to Followmont, a 76km round trip. We take about 50 boxes a month and it costs about $300 using your rates Mark.
We pay $2 a box. Our monthly expense ranges from $20 to $30.
I use a courier. $360.00 per month. Total magazine sales per month are $11,500.
I pay between $280 and $320 a month. Most of this is because of full copy returns. They are the killer. I sell $16,000 worth of magazine a month.
About 198.00 DIY, However I have just had to change to al larger vehicle becauseI could not fit them all in one trip
Over last 4 months $270/month. Average sales for the same period/month $37,000
We pay $1.50 per month.
Average return cost is $140 per mnoth.
We are very lucky to pay a flat fee of $55 per month for weekly collection. Average is 4 boxes per week, as we do supplementary returns every week to keep our stock levels at saleable levels.
And I do believe Bruce has put forward a brilliant idea! How do we go about making that happen?
Looks to be an average of $120-$130 a month here, mostly early returns.
Approx $250 per month @$4.00 per box.
Between 40-50% of all mags received are returned.
300Km’s from Sydney – why do country agents have to return FULL??
$325 a month. $19,500 in magazine sales.
Average about 30 boxes per month @ $4.80 per box.
$378 last month from $22,000 in sales. 99% of the cost is full copy returns.
CAN someone do the maths , from what I see for freight It may be best not to early return the mags that are tops and once they hit there return date then top them. I think the interest on the exta monies may be cheeper than the freight ?? It all ways bugs me why is it our cost to returne gross over supplies
ABOUT $270 IN OCTOBER,
BUT THE STATE OF FEES AT THE MOMENT MUST BE MAKING MR OSBORN AT MUSWELLBROOK VERY WEALTHY
$295. Used to be $230. I use courier.
Almost exactly halfway between Sydney and Melbourne. Sales of $25,700 a month and return cost of $350 a month with the Green Goblers. 6.50 a box/bundle + Gst. Network and hence all boxes max 12 kg. Cost = 1.4% of sales a month.
What compounds this is over supply and what I call unsollicieted supply.
1. I cancelled a whole heap of non performing titles sell through 10% or less and immeadiatley copped new unwanted titles even before the distributors stopped sending me the titles I had cancelled , it takes up to a month to stop a title being sent after you cancel it.
2. Uncalled for and unjustifed Supply.
Rugby League Weekly normally get 30 sell 20 to 27. End season stopped. Last week got 70 of a special edition the year that was and the year that will be great stuff according to Rugby League editorial staff who I rang. No more issues to Feb. I told editorial my space my money and sent a whole bulk of 40 back and probably the majority of unolds in last return december.
3. Good Clean Green Magazines being recycled (known as horse shit) bagged value packs pay 9.95 and get 49.90 value full returns and always oversupplied
4. What I consider to be unjustifed rules on returns as fulls or covers. Shouid all be covers it would disscourage over supply. How does an add magazine maybe in bulks of as few as 5 justify a full return when say over supplied with 20 (early return) and still have say 5 unsolds in further returns.
This causes my business significant costs in handling and processing mags say 10 hours a week and a totally ludicrous bill in transport costs with the cost of buying and holding stock.
Transport Costs.
It is my belief that what we pay is excessive when one considers we are backloading on the very same trucks that deliver the mags. If we did not put our mags on the trucks they would not fill the space as there is nothing that suits. Elsewhere in the transport industry you get backloading at a vastly cheaper rate some times just the cost of extra fuel and resources used with a contribution to the other costs.
I pay the Distributors for the Mags (woe betide me I do not) and hence I am their Customer. I always thought the customer controls what they purchased and when. Its that way with my Customers.
About $115-$120 per month on average.
My first time commenting on the blog. Excuse me if I ramble.
I am currently spending between $350 and $400 a month to freight returns back to Gordon and Gotch and Network Services.
My newsagency is located 250km from the nearest depot.
I currently draw $500 a week from my business in wages. This is half what I used to draw three years ago. While I pay myself less my costs increase. The freight company charges more for freight. Plus I am returning more because my supplies have not been cut.
I feel like I am on a downward spiral. I thought I was alone until a friend told me to read this website. It is a relief to know that I am not alone.
I will do anything to fix this problem of returns. While it will not help me make a better wage, it will save me money which I need to save in the current climate.
I am thinking of topping all of my returns for the next few months. I figure that if enough of us newsagents do this we will maybe get the distributors looking more seriously at our plight.
$235 a month. 1.5% of magazine sales.
As I have said here before, our local supermarket does not return any magazines, they just scan their returns and the mags are dumped?? Why cant we do this
We pay our couriers $310 in cash each month to deliver returns to the distributors.
It’s not just G & G. Network is just as bad. Yesterday I received 63 picture homegirls. Last time I received 53, of that i early returned 43, we sold just 2. So this time I am sending back 56 and the worst thing about it they are full copy. I too am getting sick of the cost of sending back returns and I agree we should all just send back tops. Last month it cost me $278 to send back my returns 1.6% of my sales.
Then yesterday to find out ACP has done an exclusive deal with coles to sell $10, $30, $50 and $100 magazine gift cards. I have to tell you they love kicking us when were down and as a group we have to do something about it, because as individuals they just laugh in our faces.
my spend is approx $180 per month courier fees plus my time etc. extremely upset that my neighbouring IGA submit their returns monthly on line with no physical returns required.everything straight into the recyle bin.have raised this disparity with vana who have so far not replied.
I pay between $380 and $420 a month. Like so many of you most of this is for full copy returns. It is a disgrace.
I pay $275 a month, sometimes up to $50 more. This is more than 1% of my magazine sales.
About $200 to $250 a month @ $5 a box.
My newsagency is 400km from the depot. Freight for returns costs me more than $300 a month. I have asked to top only and they have refused.
Around $100 to $200/month
I spend over $300 a month most of it on full copy returns.
$425 on average. 1.3% of my sales. 95% of the cost is full copy returns. Coles next to me pays nothing.
I spend $9.50 a bundle or $370 a month.
I spend close to $400 a month. $8 a box. Most of this is full copy.
25 year newsagent here. First time commenting. I pay a courier $375 a month to ship my returns. If I topped everything my cost would be $10.00.
This is an excellent body of responses from newsagents. The challenge is – will we do something about it?
I still do not understand why I pay ANF & NANA every year???? I must be nuts…
hemi (47) yep we are nuts……
realisticly, what can we do?
how do we as individual newsagents do something about it?
how do we get the ANF or state associatyions to help us… to unite us?
Would it be considered collusion of some sort if all newsagents acted collectively in returning only tops? Has anyone returned tops in place of fulls and been refused credits? Of course, I am concerned about not receiving any credits at all, but then I am only paying a flat fee, not the ridiculous amounts some of you other guys are paying.
We havent sent full copy returns for the last 9 years – excluding ACP.