I saw strong promotion of a 2 mags for $14 offer at Brisbane airport yesterday. While I understand the importance of a multi-buy promotion at transit locations, I don’t like it done this well as it’s likely to be remembered by shoppers.
I think the latest issue of The Australian Women’s Weekly would sell better without the free chocolate mini cookbook suck over the terrific cover of Australian of the Year Rosie Batty. While the cover mount would have been planned months ago, it’s unfortunate to see it as Rosie is news and has been taken into the hearts of Australians – maybe even more so than chocolate.
If you’re in Perth and are interested in considering what your future could be, I encourage you to book for the first Newsagency of the Future workshop. It’s on in Perth next Thursday at 10am. Attendance is free. I promise you will be challenged and encouraged.
Perth. Thursday March 26. 10am. Country Comfort Inter City. Great Eastern Highway Perth.
Any newsagent is welcome to attend.
Click here for the booking form, or email your details to bookings@towersystems.com.au.
I will share insights relevant to newsagents and detail opportunities available to newsagents to attract new shoppers and to improve what we make from existing shoppers. I’ll back this with data from some newsagency businesses growing against the channel average.
This will be a practical session from which you will have ideas you can implement right away. It is for newsagents who want to improve their businesses.
This Perth event is the first of a national series that will include Melbourne, Sydney, Brisbane, Canberra, Adelaide, Hobart, Cairns, Townsville, Gold Coast, Sunshine Coast, Newcastle, Parramatta, Geelong, Launceston.
This week I will publish five deliberately provocative suggestions on aspects of retail newsagency management and operation. My goal is to challenge newsagents and their suppliers to break free from the past and engage in more present day retail
Suggestion #4: mark your stationery up by 125%.
We are often told that people think stationery in a newsagency is more expensive than elsewhere.
My advice today is for you to meet their expectation. If you mark your stationery up by 100% or less, increase your mark up. I suggest you go as high as 125%.
I know of newsagents who have done this and not dropped any sales.
People shop for stationery in newsagencies because of convenience in most cases. This also gives you permission to charge more.
If you are not sure about this suggestion, do it for a category and track sales for three to six months. I am certain you will soon mark all stationery up by more than you have in the past. It’s money in your pocket.
While I am publishing the suggestions I am not necessarily advocating them for all newsagents. I see this blog as playing a role in challenging how we look and manage our businesses and from that encourage newsagents to think carefully about decisions they make.
Talking to a Sydney newsagent today, they expressed frustration at the commentary News Corp. is running during the state election campaign. Rather than sticking to news, News Corp is “meddling” and therefore giving newspapers a bad name. I tend to agree with this view considering the front page of The Daily Telegraph yesterday.
I get that News is trying to set the agenda. This cover story and the headline especially disrespects politicians (okay they may deserve some of that) but it also disrespects a section of voters. The Tele should stick to reporting news. Inside the paper they had terrific stories which should have been on page one.
Here is the display unit funded by News Corp. into Woolworths in support to the terrific gift with purchase with a number of their magazine titles. It’s frustrating to see a publisher invest in such an extraordinary point of difference. For the odd title I get it but across all these titles with a good gift and excellent inspire support. I wish this was in the newsagency channel. I’d give it prime front of store location. Sales would boom!
Perth. Thursday March 26. 10am. NEXT WEEK.
Country Comfort Inter City. Great Eastern Highway Perth.
Join me for a look at the state of the newsagency channel, trends impacting on us and how we can create stronger and more valuable businesses.
I will share specific insights relevant to newsagents and detail opportunities available to newsagents to attract new shoppers and to improve what we make from existing shoppers. I’ll back this with data from some newsagency businesses growing against the channel average.
This will be a practical session from which you will have ideas you can implement right away. It is for newsagents who want to improve their businesses. Content will be challenging and truthful. Practical opportunities will be shared including changes you can make right away without having to join a group or deal with a specific supplier.
If you are doing it tough, not sure of future plans for your newsagency or not making what you want / need to make from your business, this would be a good workshop to attend.
Participation is FREE. The session will run for around two hours.
Any newsagent is welcome to attend. Click here for the booking form, or email your details to bookings@towersystems.com.au
This Perth event is the first of a national series. Later in the series, the workshop will be videoed and this made available. Future locations will include Melbourne, Sydney, Brisbane, Canberra, Adelaide, Hobart, Cairns, Townsville, Gold Coast, Sunshine Coast, Newcastle, Parramatta, Geelong, Launceston.
I own Tower Systems which has its newsagency software in 1,800+ newsagencies and owns 50% of newsXpress with 180+ newsagency locations. I also owns two newsagencies and writes at www.newsagencyblog.com.au. I’ll draw on all this in the context for the sessions
I’ve heard from a newsagent who is being loaded with Naplan books from Hinkler via Network Services tomorrow. These are books the newsagent can source direct for substantially more margin.
This is an example of an action by Network no covered in the code of conduct which is part of the trial set to be authorised by the ACCC. It is an action which disadvantages us. It is an action applied to us and not our competitors. It i an action which ought to shame Network and Hinkler.
I’ll be early returning all my stock.
The ACCC has proposed to authorise Magazine Publishers Australia to conduct a trial of an alternative magazine supply model.
As I wrote here in November, I think the proposed code of conduct changes are ill conceived and will not address the unfairness for newsagents compared to others with whom we compete.
I encourage newsagents to read the ACCC proposal and respond if they feel so inclined. Folks, this is an opportunity to have your say direct to the ACCC.
This week I will publish five deliberately provocative suggestions on aspects of retail newsagency management and operation. My goal is to challenge newsagents and their suppliers to break free from the past and engage in more present day retail
Suggestion #3: stop your card supplier putting out new stock, do it yourself.
Learn how to correctly put out new card stock when it arrives. Ensure all your employees business learn this. Start doing it.
Your employees will be more knowledgeable. Card sales should grow as a result.
New stock will spend less time in boxes and more time on your shelves.
It will also mean your employees can better serve customers.
If you’re like me you will find it liberating.
This suggestion is about taking ownership of the department and freeing your card company associates to work more creatively on your business. It is about you and your people knowing more about what you sell.
Are you up for this revolutionary suggestion?
While I am publishing the suggestions I am not necessarily advocating them for all newsagents. I see this blog as playing a role in challenging how we look and manage our businesses and from that encourage newsagents to think carefully about decisions they make.
Surrounded by majors with brand name Easter chocolate offers we knew we could not match their offer. Checking the reject Shop and the discount sweets shop in the centre reinforced this – their discounts on brand name easter products are deep. Instead, we have focused in very different product which cannot be compared as no other retailer nearby has this product. Our approach is in line with our focus to play outside but not too far from what people expect from us.
We are promoting the latest issue of Family Circle magazine with newspapers as well as in food. It’s already working well from this newspaper location. We will leave it here for up to two weeks as it performs. We created this single pocket with an opportunity of an acrylic pocket next to The Age. Free space like this next to papers works a treat.
British American Tobacco Australia is moving to electronic orders, further driving tobacco retailers to engage with compliant technology for managing the tobacco category.
Newsagents will see more suppliers reduce their costs associated with harvesting orders.
Two South Australian newsagents are in the news for the wrong reason.
We still had stock of the initial supply of Modern Wedding on the shelves when the allocations system at Network Services decided we needed more stock. This is a dumb and resource wasting move. It costs us time and space and disadvantages us compared to other magazine retailers.
I hear often from newsagents seeking advice on how to get out of their Hubbed contracts. While getting out of Hubbed itself is usually achievable, the associated finance agreement for equipment and / or software has reportedly been the challenge.
I’m told that Hubbed will now pay out the finance agreements. If this is true, newsagents who want to get out of Hubbed can do so without being left with the burden of a finance contract.
Newsagents wanting to quit Hubbed and who have not found a way out of the finance contract should talk with those who endorsed, promoted and operated the service: the ANF and Hubbed.
I was disappointed to see this as in The Australian yesterday promoting an exclusive to Woolworths gift opportunity with Delicious, Australian Country Style, Taste and other News Corp. magazine titles. News Corp. should be investing in the newsagency channel instead of Woolworths. We do more for their magazines than this supermarket giant.
This week I will publish five deliberately provocative suggestions on aspects of retail newsagency management and operation. My goal is to challenge newsagents and their suppliers to break free from the past and engage in more present day retail
Suggestion #2: get rid of your newspaper stand.
For decades newspaper publishers required newsagents to place large corporate image stands at the front of the shop. Often, we were required to hand a light box above or include it as part of the stand.
With newspaper sales in decline, free fall for some, the value of the stand for a retail newsagency is less today than a few years ago – even with the recent price rises on cover prices.
While gross profit contribution from major capital city newspapers is good, traffic to the stand is declining. There is no point in giving prime front of store space to a declining category.
Get rid of the stand. Replace it with a more space efficient fixture to the rear of the shop. Use the released space at the front of the shop for anew ad more relevant product category – to attract new shoppers to the business and around which to redefine your business.
Even if you don’t have a firm plan, remove the stand from the shops you can see the new space you have to deal with. This process alone should be liberating. Indeed, the process of removal is about much more than the stand itself. The action is a metaphor for a bigger move you can make on your business.
To those who would say that moving newspapers away from the front of the store will speed decline I;d say no. I have seen such a move done in several newsagencies with no impaction sales attributable to the move.
Are you up for this revolutionary suggestion?
While I am publishing the suggestions I am not necessarily advocating them for all newsagents. I see this blog as playing a role in challenging how we look and manage our businesses and from that encourage newsagents to think carefully about decisions they make.
I’m happy with the 100% increase in supply of Monster Children by Network Services – from 3 copies to 6 on the back of sell outs from the last three issues. The cynic in me says the increase because they had stock to move, in response to my specific data.
I saw a cover story on a business magazine today 50 shades of … I’m not sure what it was about as I turned off at 50 shades. Talk about unimaginative.
Please complete a single question survey: how newsagent suppliers can help you improve your business. Answer anonymously and as often as you want.
This week I will publish five deliberately provocative suggestions on aspects of retail newsagency management and operation. My goal is to challenge newsagents and their suppliers to break free from the past and engage in more present day retail
Suggestion #1: remove all magazine posters.
Magazine sales have been declining between 5% and 9% year on year for at least the last five years. You cannot deny the data. The trend is down and unless publishers start publishing content to drive sustained increased interest, the trend will continue. My view is that the key reason for decline is content and not the medium itself.
Why put up posters for a declining category? Why spend the time and give over your front window and other locations promoting products which are suffering from declining interest.
I think if all newsagents did not put up any magazine posters for three months sales in your newsagency would not fall. I say this based on my own experience.
I suspect one reason we are encouraged, bribed and pushed to put up magazine posters is drive awareness of the mastheads and not necessarily to drive purchases in our businesses. None of our competitors give away promotional space and staff labour time like we do to promote magazines.
Imagine the new uses you could make of the open windows, aisle ends, columns and other places you fill with magazine posters.
I don’t use magazine posters and have not for five years. My magazine sales are growing. I think other newsagents could have a similar experience.
So, my provocative suggestion today is to not put up magazine posters. Instead, use that space for something more useful to your business. Use the space to differentiate your business, to promote products and services which are unique for you in your area. Use the space to attract shoppers who may not usually walk through your front door.
Sure, it’s tough to have to work out what to put in a window or what to promote on an aisle end but since you pay for this space surely you want to get maximum value from it?! Magazine posters for a slowing category are not good use of the space, especially since the display is not promoting something even remotely unique to your business.
This action of not putting up posters could be the beginning of a revolution in your newsagency, the start of you looking at your business differently.
My own experience is that the posters are not necessary. If we all found this publishers save money on printing and on merchandisers (for the newsagencies that are visited by merchandisers).
Are you up for this revolutionary suggestion?
While I am publishing the suggestions I am not necessarily advocating them for all newsagents. I see this blog as playing a role in challenging how we look and manage our businesses and from that encourage newsagents to think carefully about decisions they make.
Please take a moment to complete a single question survey: how you think newsagent suppliers can help you improve your business. You can answer anonymously and as often as you want. If you are writing about a specific category, please start with it … for example: Magazines: or Newspapers:. While how you respond is up to you, I suggest you keep responses to categories and not specific suppliers.
Here are some left-field marketing ideas for Easter in case you want to kick up interest over the next three weeks. I have deliberately not included traditional ideas such as colouring competitions:
Easter is considered by many to be a small season. I see it as big and full of opportunity and primed for fun in the newsagency.
A newsagent recently experienced a major computer malfunction and required access to a backup to load recent data onto the new computer. They did not have a backup as they said it was taking too long every day so they stopped doing it a year earlier.
Now, thanks to cloud based services, continuous local backup drives and other devices there are many options. There is no excuse for not backing up.
My management advice today is to check that you are backing up and that it is working. If time is an issue, enquire about services that eliminate the need for your time.