In one of my newsagencies we are using our main display window facing into a busy Westfield mall to promote a hero product rather than a more traditional Christmas display.
We have made a conscious choice that this business will compete with the majors in the centre for major seasons – in a way that respects the core focus of the business. This means sourcing unique products with which generate traffic, deliver good margin and fit with core offers of cards, magazines and stationery. hence the focus on a water canon – a family item.
Newsagents in major shopping centres who do not present competitive offers and who do not play outside the traditional newsagency model will struggle. Rent being what it is, landlord disciplines and the highly competitive retail environment make for a situation not for the feint hearted.
I think that it’s in major shopping centres where we are more likely to see the significant commercial innovation leading to bigger changes to the traditional newsagency model. That is not to say that shopping centre newsagents are better, they are not. It’s that the highly competitive and expensive environment itself forces change upon us. Shopping centre newsagents were first to reduce magazine space years ago for example.
While there is excellent innovation being embraced in high street, regional and rural newsagencies, I think 2013 will see faster and more bold innovation in shopping centres. I know this is something landlords will drive – some have are already.
In a small way, this display is about changing the perception shoppers in this centre have about a newsagency. It’s working. The mix of products being purchased and the overall GP shows this.