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

Author: Mark Fletcher

If you still have Dolly in stock

1ddolThe five pockets allocated to the dive different covers of Dolly had not worked. We sold one copy in a week – making the space allocation uneconomic. But before I reduced the space allocation I checked online and found that the Niall cover was in short supply. A couple of social media engagements later and two copies were sold and more 1D fans were talking about my shop. Sure it took a bit of time but, hey, I sold two more copies of the magazine and found some new customers along the way.

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magazines

Geelong Coast magazine supports newsagents

Screen Shot 2014-12-20 at 4.05.09 pmIt’s good to see Geelong Coast magazine using Twitter to promote its latest issue as being available at newsagencies. I like this because they are only promoting our channel and because this is a special interest title. Special interest titles are vitally important to us, especially titles like Geelong Coast targeting a specific geographic area.

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magazines

Finding shopping lists: getting to see what shoppers are looking for

shoplist1I found this shopping list note on the shop floor the other day and loved the opportunity to see what one shopper was looking for and where they are looking.

Take a look under Gift Shops. We have an excellent range of coffee mugs and plenty of teacher things.

I didn’t see who dropped the note. I don’t know if they purchased from us – however, the note was onear our mugs.

shoplist2There was a second note, folded with the first, for what they were to look for in Target and Chemist Warehouse.

From Target, this shopper was looking for calendars, Forever Friends products, Top Gear / car products and a large cup for dad. We can help with each of these. I don’t know if we did.

I am fascinated by the groupings on the lists by shop. It reveals how some people shop as well as the challenge of attracting shoppers to shop on impulse with us as we were not on their list, not obviously at least. It also reinforces the importance of marketing the business by purchase destination.

We have to think about what pulls people into our businesses. This time of year, cards are an obvious choice. If we have an excellent range of Christmas cards at the front of the shop that could be the lure. It’s what a card shopper attracted to the business notices next which matters. There needs to be a second lure for when then are finished shopping the Christmas card display.

The same is true if they step into a newsagency because of the better magazine range … whet else is pitched to that shopper, what is done to gets them shopping the shop?

Every destination needs to have another opportunity nearby. Each opportunity encourages shoppers to break away from their plan, to move away for their shopping list.

The two lists I picked up from the shop floor this week reminded me of the challenges and opportunities we have in our newsagencies as we leverage existing excellent traffic and evolve into retail businesses of the future. It also reminded me of the value of talking more to shoppers to learn what they are looking for.

I would love to be able to read the lists of every shopper in our shopping centre who has one. I appreciate it is impractical … but it would be fascinating, educational and inspiring.

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retail

Selling out of Bethlehem at Christmas

bethlehemWe have had a soap called Bethlehem as part of our gift soap offer for Christmas. We have sold double what we expected to sell and could have sold plenty more. Customers love the name but the scent, the look of the soap and the presentation as a gift.

The Bethlehem soap has worked in many situations where people are not sure what to give to a friend, neighbour, teacher, doctor, priest – it’s been a go to item for us in gift selection help.

The experience reinforces the value of trying again. We have offered soap previously without this level of result. This time, we have found a product that works perfectly for us in terms of customer love, return on floor space and return on inventory investment.

Based on our first experience I thought we could not sell soap. Of course – not all soaps are the same. This range works a treat and I am glad we have it to ourselves in our centre. It is generating good traffic for us as word of mouth spreads.

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Gifts

Get The Australian for $1 for a month with PayPal

Screen Shot 2014-12-19 at 11.47.59 amNews Corp. is promoting a 28 day digital subscription to The Australian through PayPal in an email campaign that hit this morning. At the end of $28 days the subscription flips to $6 a week – a big jump.

What’s interesting about this campaign is that it has been promoted by PayPal via email as a last minute Christmas gift. $1 is not much of a gift. I’d be interested in the drop-off at the end of 28 days.

That there is no paper component of the offer is interesting too.

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Newspapers

Warning: Microsoft will not call you and log into your computer

Microsoft, or any major IT company for that matter, will not call you out of the blue and ask to log into your computer. If you let the caller in you will be hacked and the implications for your business could be considerable.

Be suspicious, very suspicious, of anyone who calls to ask to log into your computer. 

One newsagent was hit yesterday and they have been compromised as a result.

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Newsagency management

Matthew dumped: making up stories about abandoned products

matthewWe all see it in our shops, the product left abandoned far away from its usual location. Usually, it is a common product, nothing particularly noticeable. Sometimes, it is a personal product – and I wonder whether there is a back story to it being abandoned.

On the weekend I found a personalised Christmas bauble, for Matthew, shoved in with our men’s health and fitness magazines. I got to thinking about why Matthew was abandoned: had he been naughty and this was punishment, had the customer found something else to spend money on, had Matthew brought it down to a parent to show them?

While the future of the newsagency does not hinge on answers to these and other questions, I enjoy letting my mind wander when I see things like this. It personalises what goes on in the shop and is a factor in how I look at my time in the business.

In many ways, many times a day, people’s lives are touched – in good and bad ways , happy and sad ways – by experiences in our businesses. Thinking about this helps our connection with our own businesses. the thoughts personalise our connections with our businesses.

While I will never know the real back story of the abandoned Matthew Christmas bauble, it’s been good to think about it.

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retail

Socks in the newsagency

sockssellingSales of socks have been excellent for us since we put the stand in a few weeks ago. Initial stock sold, we reordered and it is selling too.

I’m sure most people purchasing the socks did not come into the newsagency with this in mind. The success is an example of the value of a diversified yet thoughtfully selected mix of products placed tactically on the shop floor.

Just having the socks is not enough. They need to be in the best location – and that is not necessarily the busiest location.

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Gifts

Hats in the newsagency

hatsWe sold most of the hats off our hat stand in a few weeks and replenished from another store. Once they sell we’ll quit hats – because of space challenges more than anything else. That said, we’re thrilled with the results … especially that we did not expect them to sell as ell as they have.

The experience with the hats is a reminder to not allow our prejudices or blinkered view get in the way of good margin revenue for the newsagency.

this Christmas we are playing with many different product categories, exploring how far we could go into allied and completely different areas. It’s fun and rewarding.

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Gifts

Leveraging the Paddington movie in the newsagency

paddingtonWe have a good selection of Paddington Bear merchandise in store to leverage the new movie. While it will not be a Frozen, we are hopeful that the small selection of Paddington product we have sourced will be worthwhile.

With many families and grandparents shopping in the centre we’re confident we made a good call with this product mix.

Licenced product is important for newsagents expanding their appeal.

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Gifts

Petty theft in the cafe

stolenI love this sign I saw in my local coffee shop today. It reminded me that petty theft is everywhere, not just in the newsagency where I see it regularly as people help themselves to items. I like the direct communication on the sign by the frustrated cafe owner.

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theft

Time Out Sydney in Melbourne

tosydWe don’t have room for Time Out Sydney. had we been asked if we wanted the title ewe would have declined. Instead, we’ve brought it in, unpacked it, processed it and then returned it. As newsagents become more angry magazine publishers will see an increase in early returns.

In case you are unsure about newsagent anger – it is fuelled by being held accountable for indebtedness with insufficient control over this.

MAGAZINE PUBLISHERS AND DISTRIBUTORS: FYI, it’s 2015. Technology is advanced. We ought to have control over title range and volume in our businesses. Give us this and we become accountable for indebtedness and we have a reason to look at magazines as more than what they have become because of your inaction.

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magazine distribution

Brilliant newsagency social media campaign from newsXpress Eli Waters

10849875_893312614026317_1066965200899235886_nThis is a Facebook post from newsXpress Eli Waters Tuesday this week putting out a challenge – seeking likes to get Allan Wickham, one of the owners, into a Mrs Claus outfit. The post generates 1,475 likes with more than 20,000 seeing the post thanks to viral sharing.

This is excellent use of Facebook – it’s fun (for most) and engaging … without being commercial. It’s the type of post that facebook as a company likes to see from businesses. Their new rules and policies for 2015 indicate they prefer this to blatant business advertising in their free posts.

10624639_893781173979461_5422717257427816872_nThis photo shows the result of the post. Allan was dressed as Mrs Claus for the day and from all accounts customers loved it. It certainly made for a different experience in the shop yesterday – probably a welcome break to what is usual at this busy Christmas time of the year.

I thought Al was going with a more risqué outfit but I suspect he decided to go conservative and protect the eyesight of his customers.

What I love about this is the business, the owners and customers all getting in on some fun.

Well done everyone involved. It has been executed well. As I said: brilliant use of Facebook.

Newsagents can learn a lot from what they have just done at newsXpress Eli Waters. The best part? It all cost nothing except, as Al told me – his dignity.

FYI newsXpress Eli Waters are the newsXpress Retailer of the Year. This facebook campaign is a small example of how they play outside the pack and why they deserve kudos.

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marketing

Checking out WH Smith Express at Adelaide airport

whsI got to check out the WH Smith Express on the forecourt of Adelaide airport yesterday. I’ve seen it previously but not had time to look inside.  This business is more a convenience than traditional newsagency. It’s a variation on what’s at Melbourne airport.

Newsagents passing through Adelaide airport should take a moment to look at the business as it reflects a consistency and professionalism WH Smith will bring to our channel as they continue to expand their footprint inside and outside the newsagency channel.

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Newsagency challenges

I like this magazine stand

tmagsI like this low-profile magazine stand at one of the news outlets on the departure level at Adelaide airport. It holds plenty of stock with full face display and allows good sight lines across the business. It’s ideal for high volume titles – like our see in these transit newsagencies.

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magazines

Vogue Australia gift failure

voguedamageHere’s how Vogue Australia looks after a couple of days on display. The bag holding the magazine rips easily. I have seen this in several stores. While you can still see the cover, the package looks damaged. Makes me wonder: will it hurt sales?

Publishers need to do better.

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magazines

Marie Claire top heavy

marieclairefoldHere’s how the top-heavy (with the free sunglasses) current issue of Marie Claire looked in one supermarket yesterday. Not a great ad for the magazine. In our own case we had to allocate double the space to the title to accommodate the gift. Publishers need to do better.

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magazines

Newsagents helping to make The Drover a best seller

drovAlice Mabin’s book, The Drover, is doing stellar business for Australian newsagents after bookshops rejected it. I have it in my newsagencies – it’s an excellent book. Some customers are buying it for the history. Others buy it as a gift.

The Drover is an excellent opportunity for our channel. I urge more newsagents to stock this – for the sales and to prove what we can do.

I asked Alice today for an update on how the book was going. Here’s her response:

So I have just counted up my newsagent stockists.

I have 92 newsagents stocking it that are not newsXpress newsagents. There are 21 newsXpress newsagents.

Newsagents that have done ‘outback’ displays to showcase the book have done super well with it- most selling between 60 and 200 books per shop.

To date I have sold just over 11,000 copies.

I am more than willing to book in authors talks or book signings with newsagents for next year. I had my first newsagent signing today in Kerang in Vic at newsXpress Kerand. The newspaper and radio did interviews with me pre the event to promote it and both showed up again today and interviewed me again which was great. The shop had a great little display up where I sat for the day and talked to people as they came in to the shop. We had 52 books go out the door in three hours!

It would be good to highlight the good margin in the book for them and the value that a display has to double figure sales. I find that a lot of newsagents are reluctant to stock it because they see it as a high priced item and are scared they wont sell it. And then they say they don’t have room for a display but as I try to advise them- the shops that have done displays have sold boxes and boxes of books.

I am currently running a display competition with newsagents- if they send me a photo of their display their display will be judged by an independent judge to win a half day photo shoot with me- an $800 prize.

I am also offering free freight on two or more boxes and orders than come in before the 19th of December I am offering deferred terms to the 30th of January 2015. (My distribution centres go on holiday on Friday until the 5th. I have pallets I can get to and send them out via other methods over xmas, but they wont be as efficient as my distribution) I have great point of sale posters I have also been sending out to stores free of charge.

I have attached a bit of a story on me and my journey to doing this that might give you some stuff to play with also.
If you would like some images to go with it, let me know and I can flick a few your way.

I think people are worried sales will stop after Xmas also. I think they will slow down but they won’t stop- it’s such a timeless piece of outback Australian history that will appeal to people until such time as a bigger better event is undertaken.

Book signings next year will help reinvigorate the story in shops where sales have slowed down.

I plan to have gift cards and a few other smaller, lower priced items for shops to sell next year which will follow the same outback theme to complement the book.

I am so grateful for your continuing support with my book!

If you would like to order this book please contact Alice on 0499 559 399 or visit her website Http://almabinphotography.com.

FYI I have no commercial connection with Alice. I’m promoting it here because it’s a good story and a good opportunity for all newsagents.

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Book retailing

Coles discounting cheap plush

cplushIn several Coles supermarkets this week I have seen their large $20 plush bears cut back to $15. Based on locations I have seen, Coles is offering these products to extend the basket as opposed to making any significant statement to the plush shopper.

I am sharing the photo to show: placement to drive basket depth and their discounting to quit a line. Both are management actions from which we can learn.

While we can’t easily stop supermarkets extending their reach, we can learn from what they do and be smarter ourselves in competing with them.

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Plush

Leveraging Star Wars interest

starwarsMega brands offer an excellent pathway for newsagents to drive sales and attract new traffic. The Star Wars Itty Bitty pack from Hallmark has been terrific for us – popular with male shoppers and those buying for males.

What is especially exciting is other Star wars products we have that we can pitch to these same shoppers.

Brands like Star Wars are an excellent opportunity. Smart newsagents look for brand opportunities based on magazines they sell.

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Gifts

Unfair demands from Tatts on retailers at the busiest retail time of the year

In addition to the challenge of the $30 million OzLotto jackpot tonight taking some focus from Christmas product sales, some Tatts retailers have been yelled at by their Tatts regional territory manager in an email. I say yelled at because the email font is larger than is usual for a business email and the typeface is bold. It’s yelling in email terms.

Read what the Tatts manager wrote to the retailers yesterday:

Today I began visiting outlets to help promote the End Of Year Megadraw with them. I had [XXXX] (a territory manager from a different area) with me today and I was very disappointed that almost every outlet we visited had non Tatts products in the Tatts dedicated area. I understand that you all have a great deal of Xmas stock you are trying to clear, but you cannot use the Tatts area for this. I will be visiting many other outlets before Christmas and [XXX] will accompany me everywhere I go. Please clear your Tatts area – No 1 because we don’t want customers receiving too many “mixed” messages and No 2 it can make the Tatts area look very cluttered, untidy and uninviting. Remember, it is part of your franchise agreement to keep the Tatts Dedicated clear of all non-Tatts products.

This is appalling communication. Tatts should be leaving retailers alone at this time of the year. They should be doing everything possible to ensure retailers make the most money possible. This means selling higher margin gift lines, cards and Christmas decorations.

When I had a Tatts outlet, for ten years, I saw no evidence that a Tatts compliant counter and Tatts dedicated area delivered better results than a Tatts dedicated area with other products in the space. 

Tatts demands no other products in their space without any business performance justification. All they have on their side is an unfair agreement.

In my own case I actively promoted Tatts products outside the Tatts dedicated area. That support did not win thanks of support from the company. All they cared about was their space, not their results, but their space. A fairer relationship would have seen them appreciate my extra support and thereby allow flexibility in how I used their space as long as it did not hurt their sales.

I think Tatts is a selfish company that cares little for its retail network. 

I am happy I don’t have Tatts products in my business. It makes for a business over which I have more control.

28 likes
Ethics

Australia Post offers timely help to licenced post offices

Here is a media release from Australia Post yesterday in which Australia Post makes statements of unequivocal support for its small business licenced postal network. Other newsagent suppliers could take note – Tatts, state transport offices and similar agency product suppliers. Well done Australia Post.

15 December 2014

Australia Post announces further support for Licensed Post Office network

Australia Post today announced a wide range of initiatives to further support more than 2,900 post office licensees.

Benefits will start flowing through the post office network early next year, with more than $41 million in post office box payments brought forward by three months to help manage the ongoing sustainability of licensed post offices in the face of declining mail volumes.

Other key measures include establishing a third-party independent study into the sustainability of the licensed post office network and a new formal working group with licensee representative bodies to help address strategic challenges facing the network. This group will be independently chaired by former Senator Helen Kroger.

Managing Director and Group Chief Executive Officer, Ahmed Fahour, said Australia Post was committed to maintaining its extensive post office network, in which licensees played a large and critical role, as part of its reform program.

“In more recent times, with overall customer numbers and letter volumes declining, the business environment for both licensees and Australia Post has become more challenging and we are looking at a number of ways to address this,” Mr Fahour said.

“We are currently establishing an agreed terms of reference for a formal independent study into our licensed post office network, to be conducted by a third-party. The findings of this study will form part of a broader review into the structure and value of payments to licensees.

“I’m confident that by also extending our consultative arrangements to include formal meetings with licensed post office representative bodies, such as LPO Group, APLAC and POAAL, we are well placed to help address the strategic challenges facing the traditional mail business.

“This working group has already met with senior Australia Post executives and will continue to meet to discuss ways we can work together to address issues affecting the network.”

Already Australia Post, in consultation with licensed post office representative bodies, is proceeding with a range of initiatives including:

• Expedited credit applied to January statements for returned excess Christmas postage stamps
• A revised dispute resolution process for licensees to streamline the process, as well as the early identification of any systemic network issues. Details on this revised process will be communicated to licensees once finalised

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Australia Post

Boxed Christmas card sales strong in the newsagency

cardscountWe are seeing strong boxed Christmas card sales ten days out from Christmas. Boxed cards are currently tracking at 37.40% of total card sales over the last four weeks and that’s up 21% on 2013.

FYI we are not discounting them and will not until after Christmas.

Boxed cards are on the lease line, facing into the mall. Plus we have a small selection at the counter for impulse purchase – as shown in the photo. This counter range is adjusted every couple of days.

1 likes
Greeting Cards

Promoting Birdee magazine

birdeeWe have placed Birdee so that it is easily seen. In a couple of stores I have seen it folded and placed on its side – making it harder to be seen and understood. Being a new title for us I want to make the most of the opportunity. I’m using Frankie and Russh to keep it upright.

1 likes
magazines
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