The next front in supermarket wars
Check out the excellent report in the Fairfax newspapers this morning by Adele Ferguson and Chris Vedelago. It underscores why the renewed interest of the ACCC in their market share is timely.
Newsagency counters like taxis for canvassing public opinion
While we did sell out of newspapers yesterday, as expected, politicians on all sides will have a battle come the federal election. Shoppers mentioning politics condemned all sides. We are like taxis in that respect, shoppers often tell us what they think about current events. I enjoy hearing people with opinions. Yesterday, however, disinterest in politics was the norm – even though we sold out of papers.
More on SA newsagents protesting loss of stationery contract
Further to my post about the $100,000+ campaign being run by SA newsagents to protest the failure of ANCOL to win a state government contract, see the ANCOL Media Alert providing further information.
The ANCOL pitch seeks to make this a union matter. I’m told staff only recently joined the union with ANCOL paying three months of membership fees.
While I am critical of governments, federal and state, that put dollars ahead of support for small businesses and Australian businesses, I am also aware that some contract bids are lost because they are not the best bids. I’ve been told that is the case here. I don’t know as I have not seen the ANCOL bid or the other bids. If I was a South Australian newsagent I’d want to see the ANCOL bid before I decided whether to invest in the protest.
This campaign is problematic for SA newsagents in terms of cost and pitch. I know it’s concerning some in the state.
If it was up to me, I’d be questioning the value of the $100,000+ spend on lobbying. What if this same amount was spend on TV in the state promoting newsagents as the go to retailers. The result could be better, full margin, business for more newsagents as opposed to discounted government business for the wholesaler.
What do you to with bagged discount magazines?
I’d be interested to hear what newsagents do with these bagged discounted magazines from Bauer. While I understand the publisher’s position is that they grow sales, I don’t see any evidence of that in the data.
I rely on our loyalty program to drive sales based on the reward for customer loyalty. It works – far better than these bagged magazines.
I’ve supported the bagged magazines over the years with placement with the main titles and promotion in discount locations. I don’t give them prime position as I don’t want to detract from full price sales. If I was compensated with full margin then I might.
What do other newsagents do with these bagged magazines?
Promoting new look Gardening Australia
We’re promoting the new look Gardening Australia magazine with prime placement in with gardening magazines. While I don’t watch the show on TV I expect they will be promoting the new look of the magazine so it makes sense to promote this issue.
We are also giving Gardening Australia support to a second location in-store. It’s worth it as gardening magazine sales are up.