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

Month: December 2011

ACP cookbooks for Christmas

We are using our ACP Magazines impulse display unit to promote Women’s Weekly cookbooks out the front of the newsagency in the run home to Christmas.  We made this move on Saturday and immediately we saw sales as a result.

These cookbooks are popular Christmas gifts so it makes sense to promote them to shoppers as they pass by our newsagency in the shopping mall.  The simple display gets people stopping for a browse, people who would have otherwise walked on by.

We will maintain this ACP cookbook display right through to Christmas.

TIP: we pocket count the stock we put into the display so that we can know how many copies of each title are sold from this location compared to other locations where we have the cookbooks.

 

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magazines

Promoting Men’s Health magazine

We are promoting the latest issue of Men’s Health magazine with this display in the men’s area of the magazine department.

We have ordered more stock as we are sure to sell out based on it being Christmas, this being an ideal Christmas gift and recent sales activity.

Men’s Health will also be part of our Christmas gift magazine promotion in the last week prior to Christmas.

Our sports magazine sales are up 78% year on year when we compare the last four weeks with the same period a year earlier.  This is on part due to the magazine relay which we undertook in September.

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magazines

ACP partners with Samsung for Galaxy Tablet App

Check out this announcement from ACP Magazines yesterday about their partnership with Samsung and an App for Magshop on the Galaxy Tablet – the tablet device Apple tried to block being released:

ACP Magazines partners Samsung for GALAXY tablet app

December 13

ACP Magazines today announced yet another first in Australian magazine publishing, partnering with Samsung to embed ACP’s Magshop digital newsstand application on the newly released GALAXY 10.1 tablet.

The Magshop digital newsstand app will be preloaded onto all Samsung GALAXY tablets in Australia, starting with the release of the GALAXY Tab 10.1.

The news creates further choice for Australian consumers who are embracing digital editions of their favourite magazines.

Magshop offers the largest array of Australian magazines in the app marketplace: digital versions of more than 50 titles across the widest variety of interest areas including fashion, celebrity, motoring, sport, food and lifestyle.

Users can purchase a download of the latest issue, or subscribe to some of Australia’s biggest magazines, for up to 30% off the recommended retail price of the print editions. Exclusive to Samsung GALAXY Android devices, consumers can browse four free sample magazines from a selected range that includes CLEO, Rolling Stone, Wheels and Good Food. “Consumers expect to access our magazines on a range of platforms and devices,” said ACP Magazines Digital Director, Carl Hammerschmidt.

“The placement of our Magshop app preloaded onto Samsung tablets means that we can give audiences the choices they require around how they consume our magazines. This is the latest important step in our digital distribution strategy and we are pleased to be partnering with Samsung on such a ‘talked-about’ tablet. It once again shows that ACP is leading the way in the digital media space.”

No other Australian publisher, or tablet manufacturer, is able to provide as broad a range of Australian titles for tablets and mobile devices across such a broad range of categories as ACP Magazines.

Users can purchase as many different titles as they like – including CLEO, Top Gear, Dolly, NW, Shop ‘Til You Drop, Rugby League Week and other popular ACP titles – and they are notified once a new magazine is available within their subscription.

The Magshop app also allows users to manage and renew print subscriptions to all ACP titles, which are available in the online subscription portal, and also find their nearest stockist or newsagent for any of those titles anywhere in Australia.

Mr Hammerschmidt said that in future subscribers would be able to subscribe to print and digital bundles, creating the ultimate convenience for how and where they can consume their magazines.

While some newsagents will be angry about this move, it makes sense for ACP and other publishers for that matter.  Publishers need to go where there can monetize their content.

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magazine distribution

Productivity Commission report into retail recommends change

The final report from the Productivity Commission into retail in Australia was released last week.  The report, Economic Structure and Performance of the Australian Retail Industry, makes for interesting reading.  Newsagents get plenty of mentions thanks to the submission from the ANF.

I agree overall with the findings and recommendations of the report.  However, if we are to see less regulation around trading hours, we need to see less regulation around a key cost of trading, labour.  We also need to see greater fairness in tenancy costs.

The terms of reference for the inquiry did not go far enough in serving newsagents.  I’d like to see inquiries which look at:

  1. The treatment of small independent retailers in shopping centres compared to other tenants. I think that such as inquiry would uncover practices which are unfair and disadvantage small and independent retailers and which significantly benefit big retailers beyond the benefits one might expect from their size.
  2. The trading terms and financial benefits achieved by retailers all magazines. I think this this inquiry would uncover a disparity in trading terms and benefits accessible to some supermarkets, convenience store groups and other retailers compared to newsagents.
  3. The role of Australia Post government owned Post Offices and their impact on privately owned retail businesses. I think that this inquiry would find that Australia Post is operating outside what is permitted under the act and what was envisaged when the act was drafted.
  4. The magazine distribution system in Australia – in the context of the impact of the deregulation of 1999 and how it has served consumers and newsagents who had their monopoly taken from them.  I think that this inquiry would find that deregulation was not as fair and thorough as it should have been and that the changes made did not provide newsagents with an appropriate competitive framework.

Of course these points cover more than you would see in a single inquiry.

Maybe this report, its recommendations and suggestions which will flow from associated debate could add to the agenda of the new Minister for Small Business.

I don’t expect any of my proposed inquiries soon so it’s best to focus attention on what we can deal with rather than what we cannot.

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Newsagency challenges

7,000+ Sticker Family stickers sold

stickerfamily.JPGIn the few months that we have had the My Family stickers from The Sticker Family we have sold well over 7,000 units.  They continue to sell well with 450 sold already this month.  Not only are the sales excellent, the additional items purchased by shoppers drawn to us because of the stickers are terrific.

For a product which some newsagents rejected and others miss-managed, it’s be a stand out for us this year.

What put the stickers on the radar for me this week is the sales in the lead up to Christmas.  They have taken off again.  We are leveraging this with good placement of the promotional material at the front of the newsagency, next to our boxed Christmas cards.

It is easy to complain about how tough things are or how someone else has caused misery and harder to create your own success.  These stickers are the result of tenacity and commitment by their creators, enduring support and assistance by their promoters and opportunistic and energetic engagement y retailers who are having success.

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Newsagency opportunities

Italianicious a welcome food title

Italianicious may be a small title in terms of sales numbers but it is very important in the mix of food related magazines which we sell.

Italianicious is a genuine specialist food title, standing out among often similar looking mass market food titles.  We try and ensure that it gets a good location each issue as it reflects well on our positioning as the magazine specialist in the shopping centre.

 

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magazines

Promoting the latest Feast magazine

We are promoting the latest edition of Feast magazine with this aisle end display facing out into the newsagency, capping one of our magazine aisles.

The cover is terrific – it cuts through when placed in the usual location in among other food titles … bold and noticeable.

The only measure of success for any display is the sales it delivers.  This is why we tend to go for more practical and less pretty displays.  We have limited space and can only afford the amount of space for the type of display we have in place for Feast magazine.  Our displays work … based on excellent magazine sales numbers.

We are also promoting Feast with a half waterfall in the magazine aisle.

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magazines

Reusing Top Gear magazine collateral

Check out our second location for promoting the latest issue of Top Gear magazine.  We had to move the display from the first location and I wanted to show how we sometimes don’t just take a display down but, instead, find a new home where e can repurpose the marketing collateral provided by the publisher.  This new location caps one of our stationery aisles so it will be seen by shoppers who are not necessarily visiting to purchase a magazine.  We still have Top Gear in the usual location with motoring titles.

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magazines

Promoting Good Health magazine

We have allocated double the usual space to the latest issue of Good Health magazine thanks to the free pedi scrub which comes with each issue.  Since on-sale we have had the title in its usual location with this double space allocation.  Later this week we will move it to our Christmas gift display as Good Health is one of those titles which we can see working well as a Christmas gift … especially with the free pedi scrub.

 

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Stuck on ad placement causes The Advertiser newspaper to run two hours late in Adelaide

News Limited company Advertiser Newspapers sent this note out to newsagents yesterday apologising for the two hour delay in distribution of The Advertiser as a result of problems with the placement of an ‘AD Note’ on the front page of the newspaper.

This is the first example of a stuck on ad bringing newspaper production to its knees.  I am shocked that they allowed the delay to extend to two hours.  Is the ad revenue from this one ad that important that their employees, newsagents, other retailers and consumers suffer?

Delivering newspapers later in the day puts drivers at more risk as there is more traffic.

I’d be interested to know if News Limited will compensate newsagents and their newspaper distribution employees for the impact of the two hour delay.

It’s interesting to note that the publisher explains that the delay was not due to flat wrap process or press problems before explaining that placing a stuck on AD Note was the cause.

Click on the image to see the letter sent to newsagents.

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newspaper masthead desecration

Will a new minister for Small Business change anything?

I hope the Mark Arbib, the new minister for Small Business in Australia, is good for small business.  he follows a procession of Small Business ministers who have failed to serve small business.  Arbib’s small amount of small business experience apparently includes a job at Sizzler where he organised employees to fight for penalty rates.

I hope that Arbib does good things for small business.  With Coles and Woolworths getting bigger, landlords pushing more costs onto small retailers and employee costs rising, something has to give is Australia is to have a growing small business sector.

You only have to look at who sits on government advisory boards and who is invited to important occasions, celebrations and conferences to see that this government is like the last and cow-tows to big business.

Mark Arbib has an opportunity to do genuinely good things for small business, to make a real difference.  We will know soon enough if he has the will and permission to do this.

There have been enough studies and reports in recent years on matters relating to and affecting small business for him to have a reasonable list from which he can pull together an agenda … if he chooses.

Here’s what I’d like to see Arbib prosecute on behalf of small business:

  1. Genuine fairness in retail tenancy for small business – driven by greater transparency on terms.  The current arrangement sees, I suspect, small retailers funding the deals of some of the national retailers.
  2. Fairer employment terms reflecting the seven day a week nature of retail.
  3. The Federal Government getting out of running a retail network go government owned Post Offices which compete directly with small business.
  4. A tax break for capital investment by small business, especially for business productivity tools.
  5. A plan to eliminate payroll tax.

I am sure there is more. Not that it matters as past Small Business ministers have shown. Hopefully this guy is different.

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Newsagency challenges

N Gamer magazine oversupplied by Gordon and Gotch

We sell between and two copies of each issue of N Gamer magazine.  Only once since the start of this year have we sold three copies and that was in July.  The magazine allocations team or the computer system at Gordon and Gotch shifted us from two copies to four in November and then from four copies to six in December.  Based on our sales history we should have been kept at two copies, maybe three.  Either the switch to six is a mistake or it is Gotch needing to place the stock somewhere – just not in their warehouse.

Click on the image to see our sale and return history for the last eleven issues and make your own mind up.

The folks at Gotch will have an excuse for the increase and if they don’t they will say that I can return the stock.  Sure, but I am paying for their decision / mistake.

There are too many examples like this, an extra couple of copies here or there. Newsagents are funding this. Our space, labour and cash are being sucked by these decisions / mistakes and no one at Gordon and Gotch appears to be accountable.

Publishers who wonder why their magazines are early returned without justification, talk to your locate newsagent about why they do this and you will soon see that it is oversupply decisions relating toothier titles, like N Gamer maybe, which causes the sometimes wrong shop floor decisions to early return.

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magazine distribution

Deciding to allocate more space to a magazine title

In addition to prime display of Coach magazine on aisle end, we are also giving it extra pocket space in the usual location for the title.  We justify the space allocation based on the sales.  We expect to maintain this extra pocket space allocation for two weeks.

How we are treating Coach is how we treat all titles in terms of space allocation.  While it means investing more time in tracking sales, the result is even more sales as we give more space to titles which are performing well and respond to the extra space.  This is one reason we order extra stock of some titles – because growth is coming from the space we allocate to them.

We are also promoting Coach as an ideal Christmas gift and this should give us a nice sales boost leading to Christmas.

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magazines

Promoting Rolling Stone magazine

We are promoting the latest issue of Rolling Stone magazine at the sales counter, next to our Ticketek outlet.

This location makes sense for the magazine, getting it to the front of the store where more shoppers who are interested in music are likely to see the cover.  We try and give each issue of Rolling Stone some time in this premium space.

Ticketek has only been in for a few months so we are still getting known as an outlet for concert and other tickets. As that grows I expect sales will increase for titles like Rolling Stone.

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magazines

Jamie … a good magazine import

I understand why Australian publishers complain about imported titles, especially those which appear to be dumped on our marketplace on terms which do not reflect the real cost of printing and landing them here. Jamie magazine does not fall into this group.

Jamie is a good title, not oversupplied and most welcome in enhancing our credentials in the serious food title space. All round, Jamie is a good example of an imported magazine I am happy to see on my shelves. I guess it helps that it’s a personal favourite of mine.

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magazines

Lending books via the e-reader

Amazon last month launched their lending library, a facility via which Kindle tablet users can easily share books.  As if these portable reading devices were not enough of a challenge to physical book sales.  It’s a logical move I guess … and more moves are sure to come as the devices and the software on them evolves.

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Media disruption

Reader’s Digest at 67% off smacks of desperation

I was disappointed to see Reader’s Digest promoting a subscription to the magazine at 67% off the cover price on the Living Social website.  While I understand that subscriptions play a role in the sales mic for magazine publishers, a discount such as this helps educate shoppers to not pay full price.  I expect that some of those who pick up the offer would have otherwise purchased the title over the counter in a newsagency.

Newsagents struggle to get subscription offers from publishers to sell.  We are told that 25% margin is all they can afford.  Here is one publisher able to give away 67% of the cover price and then fund delivery through the mail system.

While some magazine publishers actively support the newsagency channel, others grab a sale anywhere they can.  I think this is shortsighted.

Rather than grabbing sales at a massive discount, Reader’s Digest ought to invest time and money in the newsagency channel and thereby invest in this channel which is vital to the sales of magazines here in Australia for the short to medium term.

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magazines

Taking space from other magazines

I am not a fan of magazines which extend the space needed for the magazine itself for a promotion or for some other reason.  Check out this issue of The World of Cross Stitching.  The publisher has stuck it in a bag and taken an extra 25cm of space across the top and down the left side to promote the issue.

While I can understand that the publisher wants to promote the issue, they need to respect that they are in a shared space where most products have a common size.  Stretching beyond it as they have either takes space from other magazines or results in the promotional flaps being crunched … and this is what happens.  It’s a pity because it detracts from the title.

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magazines

Brock and I … an opportunity for newsagents

I’d encourage newsagents to check their shelves and see if they have Brock and I in store.  It’s an Australian Muscle Car special edition.  We have the title in an excellent location in our motoring section – with the full cover on display.

I considered placing it at the counter but have decided against it this week.  My plan is to have this title in our magazines as Christmas gifts display from next week if we still have stock.  It’s the kind of title which people will purchase for someone else as a gift because they know it will appeal.

This title is a good example of why newsagents need a senior person managing magazines.  Someone who is just doing their job and not looking for opportunities would have shoved this title into the motoring section without a thought. Giving the title some small attention is certain to drive sales and that’s what we are here for.

If we consider ourselves to magazine specialists then we need to manage the magazine depart=ment as if we are magazine specialists.

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magazines

Women’s Health Diary sells out

We have sold out of The Australian Women’s Health Diary and have ordered more stock.  We have promoted this directly above our weekly magazines with tremendous success.  No flashy display, just perfect placement.

What has been noticeable this year compared to other years is the purchase of the title as a Christmas gift.  Not sure if this is a trend or we are just more aware of the purpose for the purchase.

While I’d like a better margin for this diary, I am please to see it selling so well on impulse and usually as an extension to the shopping basket.

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Promoting Melbourne Home Design + Living

We are promoting the latest issue of Melbourne Home Design + Living at the entrance to our main magazine aisle – where the magazine is usually located.  Our team has done a terrific job creating collateral with which to promote the title and drive sales.

We see Melbourne Home Design + Living a magazine which could be purchased as a Christmas gift – hence the high traffic location placement.

This display will have a week in the spotlight before we move it to another location for a second week.

Melbourne Home Design + Living is not a title newsagents tend to promote is this is not pushed by the publisher.  W choose to promote the title as it responds well to our support.  For us, this is what proportions are about – sales.

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magazines

Sunday marketing idea: A family of magazines

Grab a selection of magazine titles, one for each member of the family, and place them in a display – maybe in the shape of a Christmas tree.  Create a gift tag: For Dad from Santa; For Mum from Santa etc.

The idea is to show off the range of Christmas gifts which can be found in your magazine aisle.  magazines are perfect stocking stuffers, perfect low cost gifts and perfect last-minute gifts.

I called this a family of magazines because the idea is for the display to show that you have a magazine for everyone.  I see it as a theme in the display.  That said, there are other themes you could use to show off the breadth of appeal of your magazine range.

Single title displays are terrific.  However, a broad category display is more important for your newsagency as that is promoting you.

No other retailer can show this … the magazine range in our newsagency businesses is a key point of difference.

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magazines

Excellent trading yesterday

While there are still two more Saturdays prior to Christmas, we saw trading yesterday as if there was just one Saturday left.  All departments in the newsagency benefited from the increase in shopper traffic.  While cards and magazines enjoyed the most growth, we saw benefits all round – even with calendars despite one trader in the centre discounting their 2012 calendars by 20%.

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Newsagency management

Selling out of Christmas miniatures

We will sell out of the Women’s Weekly Christmas miniatures cookbook from ACP magazines.  We have had this title with other mini cookbooks and at the counter.  The most successful location for this title has been at the counter without a doubt.  It’s a pretty easy impulse purchase and that is how our shoppers purchase it.  If newsagents find them with plenty of stock of this title I’d encourage a counter placement – but make sure the counter is not too cluttered – people have to see what you are promoting.

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magazines