I have completed an analysis of performance of retail newsagency businesses for January through April 2025 compared to the same period in 2024 as the next step in the newsagency performance study I’ve been doing for twenty years now.
The difference in performance of traditional and transformed newsagencies is as stark as ever. Transformed newsagencies are growing while traditional newsagencies are not. Newsagents choose their own path, they are responsible for the performance of their business.
Diversification is key to success in 2025 for newsagents, diversification far beyond what has been traditional for Australian newsagents. Let’s dive into the data/
Key data point indicators for Aussie newsagents:
| Metric | Traditional | Transformed |
|---|---|---|
| Revenue | Down 4% | Up 3% |
| Transaction Count | Down 5% | Down 2% |
| Average Basket Value | Down 2% | Up 10% |
| Gift Revenue | Down 3% | Up 9% |
| Greeting Card Revenue | Down 4% | Up 4% |
| Stationery Revenue | Down 4% | Up 3% |
| Counter Impulse Sales | Down 12% | Up 8% |
| Online Revenue | $0 | Typically $75,000+ annually |
| Magazine Unit Sales | Down 13% | Down 8% |
| Newspaper Unit Sales | Down 13% | Down 9% |
.
Online is a strong result for many now. I know of several newsagents doing more than $400,000 a year in online sales. I know of many foind more than $50,000 a year in online sales – often without any additional labour, inventory or marketing spend. Those weakest at online are those that have put their existing business online without thought as to differentiation.
I want to pause here for a moment and go back to the $400,000 in online sales comment. It’s real, hard as that will be to believe for many in the channel. I have seen the data.Can anyone do this? For sure. You don’t need much capital. What you do need is a sense of adventure, a preparedness to go down a path unfamiliar.
Taking a closer look at stationery, traditional is performing okay while niche and specialty stationery is performing very well. Newsagents offering access to hard to get loved stationery are performing particularly well as are those leaning into trends evident on platforms like TikTok.
There is no doubt that embracing emerging trends is hard work. It takes research, often in places new to you. There is good money to be made in this. Speaking personally, I find TikTok to be a terrific source of commercially valuable trend insights that I don’t get elsewhere.
Data.
Data is key to the success of those enjoying it. Equally, data is key to the failure of those experiencing that. By data I mean the business records you capture and cultivate in your newsagency software. Some see their newsagency software as a burdensome tool they must have in their newsagency. Smart newsagents enjoying growth use their newsagency software as a tool for nurturing growth in sales and profitability.
Your newsagency software and the data it cultivates work best when leveraged as assets rather than chores.
Cards.
Looking at the card department, it remains for me the department in any newsagency that can deliver growth Achieving this requires you to manage it yourself, actively. Your attention can deliver easy and early gains for the business.
If I can help you assess your business performance and / or transform your newsagency, please reach out direct.
What is the future of the Australian newsagency?
I think the future of the Australian newsagency is bright as long as there are newsagents embracing transformation in their shops. The thing is though – the newsagency channel as such doesn’t exist as it used to, and this is a good thing. Today, we’re 2,500 (or thereabouts) shops that used to be all very similar but today and only loosely connected.
Mark Fletcher
M | 0418 321 338
https://www.linkedin.com/in/mark-fletcher-tower/