At the gift fair in Hong Kong yesterday I saw a huge range of products but this one stood out as memorable. It was part of a range of blood themed products. Bloodied towels and other items like this blood bath.
No, I’m not planning on stocking them – they just stood out.
It is amazing seeing such a vast range of products at one grand show, some exciting products which we have not yet seen in Australia.
The current issue of Frankie magazine is not being sold in supermarkets for reasons I won’t go into here. This presents newsagents with an opportunity.
I’d suggest co-location – a good display in the usual location and a noter placement at the counter or toward the front of the enwsagency so that passers-by can see that you have it.
Remember, Frankie is a magazine with double digit year on year growth.
Have you been asked this at the supermarket checkout recently? I have, just about every time in recent months. Either how’s your day been? or got much on for the day? if you are shopping early in the morning.
I don’t know these people. Okay I am a supermarket slut, I shop around and go to two or three different supermarkets each week.
These checkout people are not my friends. My day is my business. My plans for the rest of the day are none of their business.
How dare they think they can ask me personal questions so that they can tick off a KPI set by the managers at supermarket HQ.
But they are only doing their job so I guess it is not their fault.
Every time I am asked one of these scripted questions I am reminded of the opportunity we have in small business, the opportunity to be authentic, genuinely in the moment with our customers. We don’t run off scripts. We see our customers as people, friends often, rather than another number against which we are measured on how we are doing our job.
Occasionally I am shocked by an unscripted supermarket experience. It scares me actually because what if they do let their employees live like real people and have real conversations at the checkout with customers. We in small business would be in some trouble then.
I was in a Coles supermarket just before Easter looking for the chocolate-coated marshmallow hot cross buns they have had for years. Sadly I could not find them and went with a four pack of marshmallow eggs instead. At the checkout, with this as my only purchase, the Coles employee ignored the script completely. I guess you don’t need a bag she said with a smile. I agreed and blushed slightly having been caught out. They are my absolute Easter favourite she said looking side to side as if this was a forbidden conversation. Seriously. So I opened the packet and offered her one. She took it with pleasure – I still had three and that would get me home.
This was an unexpected experience from a Coles checkout person. Completely off script. I find myself thinking about it because it is the kind of natural and personal experience I want to see delivered from the counters and shop floors of my newsagencies.
While we compete with supermarkets and other big corporate businesses that can only mange through KPIs and scripts, we need to remember that being authentically personal is an important point of difference for us. We need to also understand that this only works if it is natural. Finding the balance between natural friendliness and remaining focused on work can be a challenge.
What we must avoid is controlling our employees. Them being themselves, if we hire and manage well, is a valuable asset for us.
Is it just me or are others experiencing a downturn in AFL card sales this year? Our sales of the regular cards as well as the newspaper cards are down. The rest of the newsagency is experiencing double digit growth. So, I am wondering if footy cards are on the decline…
We are thrilled to be offering the official 2013 One Direction calendar – especially given that we have tickets for their 2013 concert going on sale this Saturday. We are not taking and chances by requiring payment in full with the placement of the order. We will have the calendars in-store in eight weeks so it’s not too much to ask. Directioners have a capacity for pre-paying – they are pre-paring for the 2012 concert by 13 months!
The calendar offer, pre-sale strategy and accompanying collateral is all part of a newsXpress initiative.
I don’t know how long the interest in 1D will last but as I noted a week ago, One Direction has been responsible for more than $4,o00 in additional revenue for one of my newsagencies this month – not including concert ticket sales.
Check out the display promoting the The Australian Women’s Weekly Cakebaking cookbook.
This display is situated one side of the wide entrance to our newsagency, making it hard to miss. Shoppers see the display as they enter the centre from the carpark.
We have ordered extra stock already as we think this title will be a hit. It’s come in at the right time … given interest in cakes and that we are, apparently, in cake baking season.
In addition to this display at the entrance we also have the title in prime position in with our ACP cookbooks. Our plan is to move it around over the next few weeks – while newsagents have the title exclusively.
Trucking company 1st Feet went into administration today. This will cause some pain in the magazine distribution world. Twitter is the best place for up to date news. 1,000 jobs at risk. There are consequences to cutting costs, especially in the logistics space.
There is no news yet on the implications for magazine distribution.
I have had to change the date for the Sydney meeting with small publishers. I should have a new date sorted our by next week. In the meantime, the Melbourne meeting is just a week away: Friday May 4 @ 10am. Tower Systems Head Office. 3A Lynch Street Hawthorn. It will provide a forum where small and independent publishers can talk with several newsagents around issues of mutual interest.
Topics to be discussed include: Supply; Early returns; Marketing; Magazine distribution; Ranging. There will be opportunity for other topics to be covered.
Small and independent publishers wanting to participate should email me atmark@towersystems.com.au.
For years my newsagency software company has been working with consortiums of newsagents in several states on various newspaper distribution consolidation models.
While each model is quite different, they all have a common goal at their core – to leverage scale to create a commercially viable newspaper distribution operation.
At one end we have newsagents buying up runs and managing these out of their original premises or a nearby small warehouse. At the other end we have large operations with a mid-size business structure. In between there are several other models.
All look for the retail newsagent to be the shop front of the distribution business, collecting home delivery payments and sometimes managing stops and starts and other customer queries.
Some of these consolidation models have been in existence for close to ten years. Others are just starting now.
While there are some in the channel who want the channel to solve the challenge of consolidation which is now, finally, being brought on in the open by News Limited, I know there are others who have the view that market forces should prevail and the channel should not try take care of those who have not adapted their business models over the years.
I lean toward the more commercial market forces view.
There are newsagents who have invested and through this have created for themselves a commercial advantage. They are entitled to that advantage – just as I am through my software company and the work being done with various consortiums to leverage the consolidated distribution model through software enhancements.
We are in the midst of extraordinary change in our channel. We all must embrace every opportunity for and aspect of change if our respective businesses are to make the most of the opportunities. What we do and the rewards we achieve are part of the free market system.
The team at my newsXpress Knox store are tech savvy smart and retail smart. To make the most of the free DVD, Fat, sick and nearly dead which comes with the latest issue of The Australian Women’s Weekly, they are playing it on our customer displays. These are located just above a counter display we have promoting the title. Click on the image to see what they have done in detail. Simple. Tactical. Successful.
Newsagents are the best magazine retailers for engaging at a store level with opportunities outside the square. ACP and other publishers need to take more notice of this. Okay each of our stores does not have the volume of a supermarket. But we sure support the brand more and we get behind excellent offers like this Fat, sick and nearly dead DVD.
To recap our work for this issue of AWW: we have it in a waterfall in the usual location, we have a display on an aisle end and we have this display.
We are having another crack at driving sales of the latest issue of Australian iPhone magazine, a title which has already performed very well for us – we even ordered extra stock. This time we are giving the magazine time as the feature title in the new space we have created in our men’s magazine section.
It is early days for this new promotional position we have created. We are still feeling our way with what will work here. I think that process will take take at least three months. by then we should know what titles work best here. Who knows, hopefully Australian iPhone helps us with that.
We have been promoting the latest issue of TimeOut Melbourne with newspapers. It makes sense not only because of the nature of the title – it’s an impulse purchase title rather than destination for us. The Mexican cover story is very current and this is another reason for promoting TimeOut Melbourne in a high traffic area.
Flexirent, a company used by many newsagents to fund newsagency computer system and other purchases, has announced details of an end of financial year offer – a two-month payment holiday to start off each new deal between now and June 30. Click here for details.
Flexirent financing is easy to arrange and can be tailored to suit a variety of needs. Just about any capital equipment supplier to a newsagency can deal with Flexirent.
The coverage in the media of James Murdoch’s appearance before the Leveson inquiry yesterday is most comprehensive in The Guardian. Click here to access the coverage. Is suspect that the newspapers back in Australia won’t have as much coverage. This is a massive story in the UK and it is growing in coverage in the US given the possible legal implications there.
Yesterday we got the closest look ever at evidence which may suggest political favours in return for endorsement of a political party by a newspaper publisher.
Watching some of James Murdoch’s testimony live on TV I kept wondering what might have been had there been no cover up following the original phone hacking claims. I also wished that some answers were clearer, more certain.
This story has a long way to go. It is deeply relevant to Australia given the campaigns that have run is some News Limited newspapers. Some of these campaigns in some of the newspapers reflect poorly on the journalism profession and the role which newspapers used to play in informing the public with fair and balanced reporting.
Some commentators say it will ultimately lead to the divestiture of print from the News organisation. Who knows?
I got to read a bunch of British newspapers today and found myself coming back to The Guardain and wishing what we had a newspaper like that in Australia.
I am in Hong Kong to attend the gift and premium fair as well as taking care of work for my newsagency software company. With more than 4,000 exhibitors promoting a diverse range of products I’m looking forward to traffic generating and basket filling items which will work in a newsagency. The last time I was at this trade show was in 2009.
While in Hong Kong I’ll get to catch up on some exciting retail trends bordering on the newsagency offer.
Anzac Day is like Australia Day from a retail perspective … very quiet. While newsagents will no doubt be busy bringing in the usual last Wednesday of the month spike in magazine stock, the day is one of the weakest in terms of sales.
Frankly, I wish landlords would close centres all day given the traffic we see. This is where high street newsagents have more control and can therefore better manage costs of a day like today.
That said, if you find yourself in your newsagency today and not much in the way opt shopper traffic, embrace the opportunity:
We are responsible for what we achieve in our businesses. A quite retail day can provide the time to work on the business.
We are promoting Mother’s Day at the counter with the display in the photo – click on the image to see a large version of the display.
This display is what customers see when we are serving them at the counter. The creative team in-store has done a terrific job, making the Breville food processor, to be won by one lucky Hallmark card customer, the centrepiece.
I much prefer this single-purpose back wall display to the displays I often see in newsagencies. Here we have a clear and consistent message which connects with promotions on the shop floor and which is promoted through our external marketing.
Too often newsagents use the back wall as a storage place for products they don;t know where to place. This can lead to a confusing message.
The free copy of the Fat, Sick & Nearly Dead DVD which comes with the latest issue of The Australian Women’s Weekly is set to drive extra sales of the magazines for us if we have anything to do with it. This is an excellent free gift, one which will get shoppers looking at the title. The documentary was a hit on TV and it was a hit when recently promoted in Woolworths.
We have our usual aisle end display, as shown in the photo, plus a promotion at the counter as this is an offer which I can see people purchasing on impulse.
We are pushing this issue of AWW as hard as we can because we believe in the gift. I encourage all newsagent to do this.
Network Services is not currently processing regular returns due to an internal IT problem. This affects all newsagents lodging returns through any computer system. There is an IT issue at their end which is receiving urgent attention. They are hopeful of a resolution today but cannot be certain until it is fixed.
Network has copies of all returns forms sent already and will process these as soon as the problem is fixed.
The newsagent-owned Ancol stationery warehouse in Adelaide has started a consignment stock trial. Newsagents can choose stationery and hold this on their shelves for up to 120 days without cost. Ultimately, they pay Ancol for what has sold.
This is an interesting move, maybe a response from Ancol to tough trading conditions.
Smart newsagents will embrace the opportunity and experiment with products they might otherwise have ignored. Hopefully such experimentation helps win more business for newsagents an Ancol.
If I was in South Australia I’d get to the Ancol warehouse and check out the opportunities.
At lunchtime on Saturday I moved copies of the My Kitchen Rules Cookbook 2 from our food section and placed them to between our two top selling newspapers. By lunchtime on Sunday we had achieved five sales.
What makes this five copies in twenty four hours amazing is that we had not sold a copy of the title in the previous two weeks. We felt that My Kitchen Rules Cookbook 2 was at the end of its sales run for us and were contemplating returning the remaining stock. Our one simple move on Saturday got us five easy sales.
Talk about feeling stupid. What if we had made the move two weeks ago? What sales would we have achieved in that time? How had we missed the opportunity?
I want to achieve well above average sales for magazines. Not only for the financial return but, more importantly, the thrill of above average achievement.
Okay, I get that we cannot give every title time between our two top selling newspapers. However, I was frustrated to discover that we had such a terrific opportunity waiting on the shelves for us to make our move. We did and, as I have written, the sales result was wonderful.
We newsagents need to do this regularly, act outside the average and chase every sales opportunity possible. While convenience stores, petrol outlets, supermarkets and other magazine retailers do just the average – anything extra has a cost – we don’t have the same rules, we are free to be entrepreneurial when it comes to magazines.
This is what we need to do, it’s what we can be: entrepreneurial with magazines. Get it right and incremental sales are yours. Ignore the opportunity and you achieve average.
We each of us have to decide where we stand with magazines – frustrations with distribution notwithstanding – act on this.
As I have shown with My Kitchen Rules Cookbook 2, even the simplest move can get files which might otherwise have passed you by.
I love these traveller coffee mugs we have in-store for Mother’s Day this year. The mugs are part of a bright range targeting today’s shopper, a nice departure form some of the usual Mother’s Day fare.
We have Mother’s Day spread right across our dance floor, taking up most of the space in the front third of the newsagency. Sales are already good.
Based on our success giving the last issue of WellBeing time in the spotlight, we have gone out early in the on-sale of the latest issue with prime positioning in our women’s health section. We have allocated this space for two weeks to support the title. We have a feature pocket above our weeklies where we will promote WellBeing for a week as well.
The ANF has published an email with details of a meeting with News Limited CEO Kim Williams late last week. At this meeting, Williams provided newsagents with greater clarity on the position of the company in relating to handling newspaper distribution in the future.
Here is the text of the ANF Newsflash:
Associations met with News Limited CEO to discuss new model
On 20 April, all Newsagents Associations met with News Limited’s CEO Kim Williams, Jerry Harris, Managing Director of Group Newspapers and Digital Products, and Gary McKay, Group Circulation Business Manager.
It was an opportunity for the Associations representatives to meet with Kim Williams and discuss the current state and future opportunities of the newsagency channel, in light of restructuring taking place at News Limited.
Mr Williams was very positive about the value of the channel and said News Limited needed the newsagency channel to be part of its progression into a print and digital future. He said a new process to produce new sales and distribution arrangements for News Limited newspapers will be rolled out starting in June 2012 for Queensland. News Limited has stated that they will also commence the equivalent process for NSW/ACT and Victoria on a voluntary basis for agents that were prepared to meet the criteria of the new model.
This new model will be finalised at a meeting of News Limited Managers in early May.
Jerry Harris did confirm the following:-
• Leaving the model as we know it today was “not negotiable”. A new model will be implemented
• Customers’ details, including management and billing WILL be migrated from the newsagents system into the News Limited system
• Newsagents on the New Distribution Contract will be paid under a fee for service model not commission based
• Newsagents on a New Retail Contract will be paid on a commission basis to incorporate an incentive scheme, rewarding effort.
• All State Associations will be consulted and called on to assist in the implementation of the new modelThe message from News Limited was very clear that the current territory system for newsagents was out-dated and not cost effective. Larger, more efficient territories is the major objective of this project.
After News Limited’s meeting in early May a formal explanation of this new model, including the new Contracts, will be made by News Limited.
Having informed Kim Williams of the current state of the industry and the need to put back the certainty and security that is sadly missing today, all Associations will be working hard to work with News Limited to achieve mutually win-win outcomes. Kim Williams was very aware of this need and reconfirmed his company’s commitment to achieve this.
The highlighting is mine – drawing attention to what I see as the most important statement in the release.
Theft is on the rise in newsagencies and other retail businesses. I say this based on information shared with me by newsagents as well as recent reports in the media about increased retail theft.
My experience is that too many newsagents are lazy in some key areas of business management and this can leave theft undetected for too long. Here are the best ways you can combat theft in your newsagency:
The single most important steps to reducing theft are to use your computer system to manage stock and to be diligent in tracking and managing cash. Do this and you will certainly avoid theft.
I know of several newsagency businesses experiencing theft costing more than $100,000 recently where the crime would have been detected much sooner had just some of the measures noted above have been followed. In two cases, just using stock control on cigarettes would have saved each business many thousands of dollars.
Newsagents: theft is manageable in your newsagency. What it costs you in terms of cash and inventory is a commentary on the professionalism and discipline of your management of the business.