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

Brilliant promotion of Slow Cooker 2

Check out the display created by the team at one of my newsagencies to promote Slow Cooker 2 from ACP. This display cuts through visually, it makes the title the hero. I love the less is more approach. When I first saw it I felt wow!

While I love colourful posters for promoting magazines, I also like to see the use of collateral that frames and or underlines the product itself. That’s what has been achieved with this display for Slow Cooker 2.

I love that we regularly promote magazines in a non-corporate and more engaged way.

3 likes
magazines

Embracing the Inked magazine opportunity

We have taken care to place Inked and Inked Artists with each other to make the most of the common masthead. I’d encourage other newsagents to so the same thing.

Tattoo artists will seek this title out. Put both together and you’ve got a better chance of selling both in the one sale. Our care for tattoo titles has made us the go to newsagency in the area. Sales are up.

2 likes
magazines

Terrific InStyle offer

We have given the latest issue of InStyle magazine prime placement at the entrance to our women’s magazine aisle. The $92 worth of Model Co. make up gifts packed with this issue of InStyle make it a must buy title for shoppers, it deserves the best location.  This location made it easier for is to display the pack.

The marketing people at Pacific provided wonderful range of collateral provided.

2 likes
magazines

Promoting lunchbox cookbook

We are chasing sales of Woman’s Day Lunchboox cookbook with this tactical placement next to super food ideas, one of our top selling cookbooks. I made the decision for this placement, choosing a popular title which is purchased by someone who would be likely to be interested in the lunchbox cookbook. No sales yet but we’re only a couple of days in to this move.

Often it is the placement of a product which is more important than a display.

1 likes
magazines

Fairfax prepares for a digital only future. Are newsagents prepared?

Newspaper publisher Fairfax announced major changes to its operations today under the heading of FAIRFAX OF THE FUTURE.

The changes prepare the company for a digital only model.  Indeed, on page 17 of the investor briefing document, Fairfax acknowledges that the move to digital only is inevitable, tying remaining in print to revenue. With print revenues in steady decline for years, there can only be one end point, an exit from print.

Click on the image to see the point made on page 16 of the investor briefing. See the pie chart – 34% of the company’s cost base goes to production and distribution. The document notes these as: costs not required in a digital only model.

Every part of the announcement from Fairfax today prepares the company for a reduction and, possibly, ultimate complete retreat from print. The move of The Age and SMH to compact formats (great move and long overdue by the way), the introduction of digital subscriptions (somewhat overdue for their quality journalism offer), the closure of the Chullora and Tullamarine print sites and their digital-first editorial model make the end game clear for Fairfax … and for newsagents.

Fairfax has intensified its focus on cost cutting, targeting annualised savings of $235 million by 2015. It’s in a race again market forces as evidenced in the chart on page 12 of the investor briefing showing the Fairfax audience by media type … chilling stuff.

I suspect that market forces will impact this plan and see the company act on at least one or more of its daily mastheads either shedding some days from the print roster or move to a digital only platform before 2015. Circulation continues to decline for all but a couple of daily newspapers in Australia and this is putting pressure on advertising revenue. Page 17 of the investor briefing makes it clear Fairfax will move to a digital only model if print advertising and circulation revenue declines materially. I think this is happening.

A day by day analysis of the return achieved for The Age newspaper, for example, would, I suspect, reveal at least three days of the week to be loss making: Monday, Tuesday and Friday. I’d expect Wednesday to be doing okay because of classifieds (but only just as advertising is falling away rapidly), Thursday to be strong due to the Green Guide, Saturday to be strong due to advertising and Sunday to be strong due to a good weekend read.

If my assumptions (above) are right, we could (should) see The Age cut days. A number of seven day newspapers in the US have done this. Equally, Fairfax could switch from seven days to digital only of the cost savings of eliminating all production and distribution costs justified the move.  I think we are more likely to see days cut in advance of a complete move – but a switch to digital only is inevitable.

I’d note that the news itself will most likely result in fewer people reading the print products as it puts migration to digital more top of mind.

The Fairfax moves are focused solely on their share price. They should not come as a surprise to anyone, especially not to newsagents. However, I think there will be newsagents who are shocked by the Fairfax moves.

Some state based newsagent associations have spent and continue to spend more time and effort on print distribution issues and plans than on retail yet the future of our channel depends more on retail. I wonder when they will realise their mistake.

While there is value in distribution newsagents consolidating in pursuit of efficiencies, there is even greater value in developing a newsagency model in a world where most newspapers in Australia are replaced by digital only platforms. We know from Fairfax and News that distribution costs are a key focus. There is no up side for newsagents from this focus. What little control newsagents had to drive their distribution businesses is fading. But this is not news.  If only channel leaders realised this and engaged with their constituency more proactively. They should have been spending more time representing the whole channel and not just distribution.

Fairfax is doing what it needs to do for its survival. Its needs do not match the needs of newsagents. Newsagents need to act on what is right for them. In my case, the decision to get out of distribution years ago feels more right every day.

Are newsagents focused on their future? Some are but not enough of them. Hopefully, today’s announcement from Fairfax will be a wake-up call for those with their heads in the sand.

While I feel for the 1,900 jobs Fairfax will shed, many more will be shed in newsagencies as digital replaces print for new consumption. This is a moment of fundamental restructuring which cannot be blamed on anyone. We have seen it coming for a while. Maybe some of those losing their jobs will not engage with more flexible and content driven online platforms.

News Limited is next up to the microphone with their announcement.

11 likes
newsagency of the future

Now you can like a comment here

A like button has been added to the comments facility here enabling readers to like a comment without having to make a comment themselves. To like a comment just click the button, you don’t need an email address or anything.

9 likes
Blogging

Be wary for card reps who say they can do better

I heard about a card rep who makes regular visits a newsagency that does not stock their cards. The rep is wearing the newsagent down with baseless criticisms about the cards in the business and the performance of the incumbent supplier.

This card rep is clever using comments and cheap shots to undermine what was, until the visits started, a healthy and successful relationship between the newsagent and the card supplier.

The visitor card rep was so successful that the newsagent started to doubt the rep for the incumbent card company. This led to some decisions which hurt sales, playing into the plans of the visitor rep to win the account.

If it were up to me the card rep would be told not to return. Some newsagents are too nice, they put up with and sometimes believe the salesperson’s shtick.

If you are being hunted by a card rep who wants your business tell them to win it with facts and not BS about their competitor. Tell them you want sales data, not sell-in data from the card company but sales data from newsagents from before and after they switched a newsagent over.

Anyone can say they can do better, few take the time to prove it.

No, I am not going to name the card rep or the newsagent. There is no point. I hope I have written enough to get newsagents to be wary of the BS.

2 likes
Greeting Cards

Display unit drives sales of That’s Life Puzzler on the go

The placement of the pocket displays unit holding That’s Life Puzzler on the go in front of That’s Life is working brilliantly. We will sell out in three weeks. Nice.

We were concerned that this unit might hurt sales of That’s Life.  It hasn’t. That said, we will not leave it here for the long term. We have taken care of the display unit and will use it elsewhere in the store.

1 likes
magazines

Selling the Tour de France program

Sales of the official guide to the 2012 Tour de France have been terrific from this counter display – so much so that we ordered extra stock over the weekend. We will sell out of our initial allocation by mid week.  We have the guide here at the counter as well as with our sports titles. It’s this counter location which is working a treat for us. There is no doubt that early sales are being helped by our own Cadel Evans being the current champion.

0 likes
magazines

My Weekly sells with newspapers

Our placement of My Weekly with the Queen’s jubilee cover story with newspapers has worked a treat with extra copies sold to people who would not look for this in the british magazine section. Often times tactical placement works bette than a great big display. That’s what has happened here. It’s nice when you get someone who came in for a newspaper purchasing something extra.

0 likes
magazines

Promoting Dolly magazine

We have been promoting the latest issue of Dolly magazine since it’s on-sale with this display at the entrance to the women’s magazine aisle. We also have a double half waterfall at eye level in the usual location for Dolly – half way down our women’s magazine aisle.

1 likes
magazines

Sunday Marketing Tip: How to develop your Unique Selling Proposition

In the last round of Newsagency of the Future workshops I urged newsagents to develop their Unique Selling Proposition as I saw (and see) this as vital to the future of any individual business.  I subsequently wrote an article published in the latest issue of National Newsagent magazine.

Here is the article. I urge newsagents and those who work in newsagencies to read this and develop a USP for their business:

Developing the Unique Selling Proposition (USP) for a newsagency is one of the most important steps you can take in business.

A good USP will frame every decision you make. It will also define why you are in business for it goes to the heart of your passion. It feeds from your mission, your reason for existing.

Yes, a USP must reflect passion for this is what drives your love of your business … and you do love your small retail business don’t you?!  This is where small retailers like newsagents are different to big retailers. Where they get lost in KPIs, share price and other metrics, small business retailers think in personal terms, often with emotion.

So how do you create your USP?  Here are some tips I have found useful when working with newsagents on developing a USP…

1. Take your time. You will be done when you are done. Getting your USP right is more important than meeting a deadline.

2. Think. Try and get time away from the business to think about your USP. A good location I have found works is siting on a seat across from the entrance to your retail business, watching your customers.

3. Love. Work out what you love about your business and / or what you want to love about your business. Next, think about what you want your customers to love so much that they will tell their friends.

4. Differentiate. Think about what’s special in your area or marketplace about your business.

5. What do you stand for? If someone says who are you? you will probably answer with the facts. If they say, no, I want more, what makes you special? you will probably, hopefully, take them inside what makes you tick. So, you need to know, what does your business stand for?

6. Define. Try and put into words your passion and what is special about your business.  Brainstorm ideas in ten words or less. Get as many down on paper as you can.

7. Would you be missed? It is said that people often define their view of themselves by wondering if they would be missed. Think about your small retail business in this way. Would you be missed? If so, how and why?

It might take a few goes, working through these ideas. The result should be something close to a USP for your business.

Your USP needs to be succinct, passionate and unique, something that explains why your business is different and why people should shop with you.

A big challenge for newsagents is the diversity of the typical business. A USP is unique yet so much of what newsagents sell is not unique. So, a USP may start with one part of the business, getting you known for that.

If you think you are close, test it with your employees and family. Test it with yourself too by asking what you would change in the business with this USP in place, what decisions would be different?

A good USP will guide business decisions and provide a framework through which you navigate change in the business. But most important of all, it defines why you are in business.

Change is inevitable. Yes, your USP can and will change as the business evolved.

So, get started. To help you along, here are three ideas that focus on passion and evoke emotion:

1. Gifts you’ll be proud to give

2. Cards people love

3. Where customers are friends

You can discuss your USP ideas with Mark Fletcher on 09418 32 1338 or at mark@towersystems.com.au.

3 likes
marketing tip

Page one newspaper story covered with stuck on ad

The Australian Financial Review weekend edition covered a page on news story with an ad for one of its magazines. It was the story about James Ashby and the allegation of a conspiracy to damage the reputation of the speaker, an important story.

Why do I keep posting about this? There are college students in the US and high school students in Australia who ask me about this as they study changes in newspapers. The appreciate the photos.

0 likes
newspaper masthead desecration

Promoting Donna Hay

Here is how one of my newsagencies is promoting the latest issue of Donna Hay magazine.

The column-based display is facing the mall and can be seen by shoppers as they pass by the business. You can click on the image if you want to see a larger version of the display.

I love the professional look of the display and the use of height.

1 likes
magazines

M2 magazine cuts cover price by 68%

Check out the subscription promotion for M2 magazine on living social. They are selling an annual subscription at 68% off the cover price and they are copping the cost of postage on top of that.

While I understand the need for subscription in the mix for publishers, I do not understand why they need to discount at this level and create a dual speed supply proposition for people who could engage with their title.

Nuts.

0 likes
magazine subscriptions

Successful NZ stationery model

In New Zealand this week I checked out Warehouse Stationery, part of The Warehouse group. Their stationery offer is excellent, better than Officeworks. Their website offer is event better.  They have been in business for twenty years and operate from 50 stores up and down the country.

Any  Australian newsagents visiting NZ should visit several Warehouse Stationery outlets to see competition up close. You will see and excellent operation showing how to do stationery professionally.

Stationery is one of the most challenged categories in our channel yet it is a category over which we have the most control. We fail to take a more commercial approach with stationery at our peril.

0 likes
Stationery

Smart newspaper stand

I was back in Auckland yesterday and took a photo of a newspaper stand I have often admired. I like that it’s promoting magazines, drinks, candy and newspapers. It’s something now being used in most corporate transit newsagency situations in Australia.  I though some non-transit newsagents might find it interesting.

I am not planning on this stand for any only my newsagencies – I prefer more flexibility with what I place with newspapers. Also, I have my newspapers deeper into the store rather than on the lease line as shown in the photo. This works well for us.

2 likes
marketing

Promoting subscriptions for The Age

Regulars here will be surprised to read that I didn’t mind the ad stuck on the masthead of The Age newspaper on Thursday. Okay, it as covering promotion of an AFL Hall of Fame story. However, that it was promoting the newspaper itself and the colour – it was not as distracting a many of the stuck on ads are. While I don’t like that they use shelf space in my shop to take sales from me, I can understand why they do it. It’s the world we’re in. I am not fighting to retain major newspaper sales, I am more interested ingrowing foreign language newspaper sales.

0 likes
newspaper masthead desecration

Four new partworks coming

It’s good to see four new partworks heading for newsagents:

  • Agatha Christie Books –  on sale Mon 18th June. Part 1 – $3.95.
  • Marvel Graphic Novel – on sale  Mon 2nd July. Part 1 – $7.95.
  • Art Of Quilting – on sale  Mon 9th July. Part 1 – $2.95.
  • Dora The Explorer – Little Cooks Collection – on sale 6th August. Part 1 – $2.99.

All are being distributed by Gordon & Gotch. All will be supported with TV campaigns.  Allocations have been done by Gotch on the basis of sales of similar titles.  Stock will be sent with A2 posters. There will be limited floor stock for newsagencies sending sales data through XchangeIT.

Based on the UK experience, Dora The Explorer – Little Cooks Collection is expected to be the top seller. It’s hitting at a good time with food continuing in popularity on TV and in print.

Each of these partworks is a terrific opportunity fore newsagents as the TV advertising and other marketing will focus on driving traffic to our shops. Yes there will be some who wonder about whether this is about driving subscriptions. Maybe, maybe not. The reality is the TV will drive traffic just for us. It’s not often we see that.  This is an opportunity to embrace.

3 likes
partworks

Promoting smith journal issue #3

We are promoting issue #3 of smith journal magazine with this placement with men’s fitness titles as well as placement in what we call our thinking man’s magazine section plus our usual location for frankie magazine. We have found that multiple locations work well for us for smith journal with each ovation working equally well in our business.

smith journal is a terrific new magazine title.  It is generating important sales for the men’s magazine category. Newsagents who didn’t give it a good run early on should have another crack and look forward to sales.

1 likes
magazines

Using diabetic living as a beacon magazine title

We are promoting diabetic living magazine with our weekly magazines and with this placement in the usual location for the title. Note how we are using a simple placement in an acrylic unit above the usual placement for the magazine. This top-of-stand display is the only one shoppers see as they walk down the aisle, it acts as a terrific beacon for diabetic living – showing off the current issue and reinforcing where the magazine can usually be found. Sometimes the simplest ideas work best.

Click on the image to see the placement in detail.

1 likes
magazines

Promoting new look Weight Watchers magazine

We are promoting the latest issue of Weight Watchers magazine with this behind the counter promotion, placement with our weekly magazines as well as prime placement in with our health titles.

The new look magazine looks terrific and the activity around the launch is a good reason for newsagents to promote the title differently to usual, to give it extra attention.

we have found that placement of Weight Watchers with weeklies works a treat. we pocket count and therefore know what sells in this position with the weeklies.

0 likes
magazines

Promoting launch issue of SHAFT magazine

We are promoting the launch issue of SHAFT magazine from Morrison Media with full cover placement in our men’s magazine area, next to sport, fitness and personal training titles. This is adjacent to our trucking magazines.

We plan to give the title a few days with newspapers next week to get it in front of more eyeballs.

0 likes
magazines
Trending Articles

Fairfax changes approach to TV Guide, disrespects newsagents

Published on April 20, 2011

What do you think of the Powerball changes?

Published on February 16, 2018

IPS releases new magazine contracts

Published on June 21, 2011