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

Month: July 2014

Retro products work in a newsagency

nostalgiatoysWe continue to have success with retro products from mugs to magnets to retro toys like these pushing puppets.

I love seeing an older shopper showing them to someone. You know if they pick it up the chances of them purchase increase dramatically.

We have had these on the shop floor – near our greeting cards – for just on a week and have sold four. I’m happy with that. The margin is excellent.

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Fun

Sure it’s only by a couple of copies but here is evidence of Zoo being oversupplied

zoooversupplyClick on the image the see the screen shot showing the data Bauer has relied on to set our supply of Zoo Weekly. Look particularly at issues 28 through 33. Without justification our supply was increased.

While it’s only an extra copy, Bauer is hard on newsagents who are only a day late paying their bill.

Bauer is tough on newsagents yet it rejects complaints from newsagents when they are tough on the company. It needs to drop its double standards.

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magazine distribution

Interesting 4-day sale

4daysaleI am in Auckland looking at retail and noticed a massive 4-day sale at Whitcoulls – just about the closest they have here to an Australian newsagency.

There were all sorts of deals. With cards it was buy 1 and get one at half price. What was odd was how they promoted it – with small signs stuck in card pockets. It made the display look untidy but that could have been the point. The signs are certainly easy to notice.

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Greeting Cards

Sunday newsagency management tip: research what you sell

learnaboutitKnowing more about what you sell can help you sell more. While that sounds like a glib marketing pitch, it is true.

We researched The Grumpy Cat and instead of placing it on the shelves as a regular product we created small signs that connected the product with the memes on facebook, Twitter, Pinterest and elsewhere on The Grumpy Cat.

Our approach showed we understood the product and how people engaged with it online. It also drew attention to The Gumpy Cat in a far more effective way than if we simply placed the stock on the shelves.

Our signs were fun. We have seen customers smile and point them out to others they are shopping with.

Take a look on your shelves for products you could research and as a result better engage with.  Start with licenced product – you will be surprised at what you learn by reading fan forums and other online content. The better you understand those interested in what you sell the easier it is to sell to them.

Look at your newsagency as more than thousands of SKUs to sell. these are products people will love. your job is to bring the products to the attention of your customers in a way that speaks to their interests.

Researching what you sell will increase sales.

Footnote: we sold ten of the Grumpy Cat in a few weeks.

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Management tip

Sunday newsagency marketing tip: think about a 2015 calendar for your customers

It’s the end of July and a good time to think abut a give-away calendar you could make for your customers. Such a calendar would be an excellent opportunity to promote local events and support local groups and causes.

Make sure the calendar promotes your business.

You could get the calendar printed by a local printer. Heck, you could even print it on your copies to save money and promote your copying service.

There are also online businesses that specialise in designing and printing calendars like tho – weigh up the approach that fits your budget and works best for you.

Be sure to create a calendar that is genuinely useful for your customers. +HAVE FUN!

The calendar should connect within your unique selling proposition, it should pitch what is special about your business.

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marketing

Smiles with newspapers

happynewsWe have been testing these cute small yellow happy plush items with newspapers. Customers smile and occasionally they purchase from here. The main stock of the range is on then other side of the aisle so newspaper shoppers with their eyes open will see them twice.

We are constantly trying different items with newspapers – always something with a higher GP to chase a better return from the newspaper sale.

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Newspapers

Magazine traffic driver for the newsagency

magsfrontHere’s the display we have at the front of the newsagency this weekend. We are using the new issue of Better Homes and Gardens as it always works well at the weekend – and the cover shot looks particularly tasty. We have Good Chef Bad Chef issue #3 next to BHG as it sold well for us from here last weekend.

This stand on the lease line is the only magazine representation at the front of the shop. We count the what we place on the stand so we are sure of its value.

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magazines

The simple promotions are the best

nexusspreePacific Magazines through their Nexus program is running a $5,000 shopping spree competition starting Monday. These short-burst easily understood promotions work well.

My goal in getting behind this is to build the database that supports my shop through Nexus emails and text messages.

We did some planning today on how to make the most of the launch next week: the floor display unit will be at the front of the store, we will use collateral in front of each major title that is part of the promotion and have a pitch with at least one Pacific title with newspapers – our top three traffic locations will be covered.

For us it’s not about pretty displays – it’s about key location tactical engagement.

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marketing

Get your Disney titles together

disneytogetherCheck where you have the three Disney food titles in-store. Place them together to leverage the Disney brand. The photo shows what we have done. While we have the Cakes cookbook with food magazines, we figured it could also sell from this location.

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magazines

Some newsagents keen to embrace initiatives and opportunities

newsmeetIt has been terrific meeting with newsagents at the newsagency management workshops being run around the country at the moment.

Newsagents I am talking with are looking for practical advice and ideas appropriate to their situation. They don’t want to be sold some froth and bubble, they want specific information on actions they can take in their own situation.

I am sensing a change in the newsagency channel. I have spoken at many events like these over the years and the mood of this series is different. It gives me optimism about the future of the newsagency channel.

It’s been particularly thrilling to meet with newsagents from rural and regional areas. Hearing of someone travelling for four hours to participate is fantastic.

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Newsagency management

Eftpos / credit card fraud minimisation advice

I was contacted by my bank yesterday about an online transaction their internal systems claimed was fraud. I called the number of the person who ordered goods from the website and sure enough their response reinforced the bank’s view. The quick check avoided the frustration of cancelling a sale we had yet to fulfill.

Click here for advice from the ANZ Bank on fraud minimisation. This list from the ANZ is particularly useful:

  • check the appearance of the card (for instance, does the card appear damaged or altered?)
  • make sure the signature on the signature panel of the card does not appear altered, and that the signature on the transaction voucher matches the one on the card if a PIN has not been used
  • be alert to customers who appear nervous, have no means of identification and ask for the transaction to be split or hand-keyed
  • do not allow equipment to be used by unauthorised persons
  • only process a refund to the same card used in the original transaction
  • always use CVV2 as part of your authorisation procedure for purchases where the cardholder is not present.
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theft

Inspiring kikki.k window

kikwindowThe latest window display being used by kikki.k looks terrific: it uses bold colours, an inspiring message … follow your path … and a sense of forward motion to attract.

I am sure this display, in all their stores, will drive good shopper traffic for the group – how could it not?

This is the type of window display we can use for inspiration in our newsagency businesses.

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visual merchandising

Terrific visual merchandising at David Jones

djvisualmerchandisingI was impressed with this visual merchandising display on the floor of David Jones in Sydney. From the required pyramid shape to the story of the product mix to the placement such that it disrupts traffic flow and therefore had to be noticed – it works well.

This display is a good one to remember when creating displays in-store because of the VM boxes it ticks.

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visual merchandising

SMH article: the slow, painful death of our newsagents

The Sydney Morning herald overnight published a comment piece by Derek Rielly: the slow, painful death of our newsagents.

I was interviewed Wednesday for this article. The interview covered more than has been published.

My views are: yes, plenty of newsagencies have closed in recent years and some major suppliers treat us poorly and are busy moving elsewhere. However, there is GOOD NEWS. There are newsagencies that are growing. There are suppliers who work actively with our channel in exclusive ways.

It a newsagency closes, it’s on the owner. I have seen many turnaround situations.  I live this myself as I recently wrote when sharing the latest newsagency sales benchmark results.

The future of your business is up to you. The future of the newsagency channel is up to all newsagents.

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Newsagency challenges

WH Smith purchases Kennys Cardiology?

There were reports circulating yesterday that WH Smith PLC had purchased Kenny’s Cardiology. While there has been no announcement from WH Smith, I have been told that Kenny’s franchisees have been advised.

If true, the acquisition would be another by the UK public company of a card and gift related retailer in Australia – WH Smith recently purchased Wild Cards and Gifts.

WH Smith is on the record saying they are keen to expand wholesaling opportunities through acquisitions.

There is another rumour about WH Smith having interest in a newsagency related business. That, for now, remains only a rumour.

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Newsagency challenges

A terrific healthy snack food display

healthyfoodCheck out the display of healthy snack food on show at a Newslink store in the Qantas terminal of Sydney airport.

On this display they are offering a good range of snacks presented well and with terrific signage.

This is an excellent pitch. Plenty of shoppers were browsing the range. It’s something other newsagents in transit locations could try.

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confectionary

Bauer showbag a challenge to display and sell

awwgoodiesThe double width bag from Bauer promoting Mother & Baby is packed with some terrific items. However, and it’s a big however, it’s difficult to display. I visited three newsagencies this afternoon, one had it behind the counter as they didn’t know where they could place it, one had it shoved behind newspapers and the other had it on the floor in front of baby titles.

It would have been helpful to have a floor display unit. This is what a supermarket would have required with a similar pitch.

The other issue is that the front promotes The Australian Women’s Weekly – but this title is not in the bag. What’s with that?

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magazines

Respectful Who cover story

magswhomh17We have placed Who magazine on the counter to drive impulse purchases. The cover and the stories inside are respectful of the Malaysian Airlines tragedy – the full extent of which is still unfolding.

Who is a good title for this type of story, they do it well.

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magazines

The importance of checks and balances in your cash management processes

I was talking with a retailer a couple of days ago about the theft from his business of more than $50,000 by a business partner. He was devastated that the long-term business partner would steal from their 50/50 owned business.

The theft has challenged the future of the business as two long time family friends collapse their business relationship. It is touch and go if the business will survive.

Partners can steal from each other if there is easy opportunity. That was the case in this situation I am writing about.

For the sake of everyone involved, partners should agree on a transparent process for handling cash with different people responsible at different times. This coupled with good checks and balances and a fine attention to actual grow profit by department and with proper stock control processes and you have several points at which theft can be uncovered.

The easier you make it to detect theft in your business the less likely you will be stolen from including by your business partners.

It is wrenching hearing someone talk about theft by an employee or a business partner. The damage beyond the cash itself is far-reaching. It can change someone forever.

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Ethics

Anzac calendar a hit with shoppers

anzaccalThe calendar commemorating the Centenary of ANZAC is popular with shoppers even though we are a year away from the commemoration. We are it out and on display as part of a Father’s Day calendar pitch. While calendars are popular for father’s Day, this ANZAC calendar is attracting new shoppers to the category very early into the2015 calendar season.

Placed at the front of the newsagency I have noticed shoppers stopping at to take a look at it. This tells me the calendar has the potential to find new shopper traffic for us.

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Calendars

Working around columns

columnsWorking around load-bearing columns in any retail situation can be difficult.

I have seen some newsagents use mirrors effectively. I have seen others not use a column at all, treating it as a frustration.

In one of my stores we have premium slat-wall attached and we use each side of the column to promote a different category or product. What we promote is dependent on the product adjacencies.

Sales determine the frequency with which we change what we have located where on the column.

Sometimes we dress the column completely in a colour to best feature the product placed there and other times we use the original fixtures as the background.

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Newsagency management

A good small brand for kids

itngThe In The Night Garden plush range is a nice counter offer parents like to see in the toy / plush range. It’s a rand they trust thanks to an international TV show that ended a few years ago but still attracts interest.

One thing I’ve learned about plush is that it’s not a fixed department – lost of evolution responding to trends. It’s also a broad appeal department serving shoppers of all ages buying for all ages.

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Plush

How to grow your newsagency

Here is a video shot just over a week ago looking at one of the most valuable tools I am finding for growing my newsagency – discount vouchers. This video looks at the April through June data.

To those who say this is a post advertising Tower Systems, I’d note that POS Solutions say they have the same facility in their software.

I don’t care so much which software you use – more that you engage in a smart front-end loyalty facility that is genuinely competitive to the me-too points based programs.

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Newsagency management

Finger puppets!

ingerpuppetsHere is a good example of the type of impulse purchase item that works well at the counter. Kids, parents and grandparents love these finger puppets. They purchase them for a kid right away – instead of a candy – or to slip in a card and post. While c-stores, supermarkets and plenty or others have candy at the counter, it’s with items like these that we can pitch a point of difference.

A single item will not make our fortune … many single items could.

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Newsagency opportunities