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

Shane Warne and Liz Hurley not working for Woman’s Day?

Publishing Woman’s Day three days early to leverage the exclusive Shane Warne / Liz Hurley has not worked for me. We have sold a couple of extra copies over Friday and Saturday. We have supported the title with excellent placement with our weeklies as well as placement at our busiest counter position to leverage impulse purchase opportunities – that support will continue today.

If my experience plays across all retailers, ACP will certainly be unhappy at the performance of their considerable investment.

Covers for weekly magazines are a challenge at the best of times. That challenge is magnified when you go out early and take on the additional costs associated with that.

My feeling is that Australian’s don’t care about Shane Warne and Liz Hurley. Customers often comment on covers – to us and to each bother. I’ve not heard it with this cover.

If I was the publisher of one of the weeklies this week I would have gone out early with a special: One Direction down under, a photo special of their tour of Australia. If this had come out Friday under the Woman’s Day or New Idea mastheads I am certain I could have sold between 100 and 200 copies over the last two days and ended with a 30% or more sales increase on regular issues of the title. Yes, you may think that 1D is not necessarily on the radar of the typical reader of either title. Sales are sales. Right now, and I’m not sure for how long, they can sell anything.

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magazines

Thanks for Taylor Square Newsagency a lesson on Word of Mouth in the era of Twitter

Kudos to John and Mark Piggott and the team at Taylor Square Newsagency on Oxford Street in Sydney for being open at 10am. Check out the tweet from a happy crepe paper shopper.

Good stuff.  The tweet is an excellent example of word of mouth today – it reaches more people faster. All of Kitya’s 575 followers received this tweet.

Newsagents mentioned in this way on Twitter need to respond on the platform and appreciate the mention.  BTW, Taylor Square Newsagency has the best magazine range in Australia. This and their long opening hours are their point of difference.

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Newspaper marketing

The cookbook of the future…

The US cable TV network, The Food Network, has released Food Network Cupcakes! an app which sells for US$2.99 and is packed with delicious cupcake recipes.

The Food Network has been successful in extending the reach of its successful TV brand into print, in magazines. Digitally, they have focused mainly on their website. This is their first App, the first in what I expect to be a big range as the iPad and other tablets and smart phones lend themselves to cookbook and related apps.

Am I saying cookbooks are dead?  No. However, they are certainly challenged like all print products.

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Media disruption

UK newsagent to introduce e-reader store within a store

UK newsagent chain WH Smith has announced it will roll out a shop within a shop concept for the Kobo e-reader. Kobo has enjoyed considerable success around the world and the WH Smith move is on the back of a successful trial.

I was in a WH Smith store in London a few weeks ago and noticed the Kobo units in-store, an the entrance to the book department. They were promoting them as a Mother’s Day gift. My first reaction was what about theft. But a look around showed the shop as being pretty secure.

The roll out of the Kobo store within a store is a good indication of the sales success they have had already not only with the devices but with e-book downloads.

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Media disruption

Mother’s Day driving traffic

We have had Mother’s Day products on display at of each of my newsagencies since right after Easter. Going out early has been good for sales already even though sales increase significantly as the day approaches.

The gift range of the Mother’s Day season is a good opportunity to get shoppers seeing our business in a different light, that we do have a good range of gifts. Our range is broad as the photo from one of the stores shows.

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visual merchandising

Say it with a flower a heartfelt gift

I like the Blooming Expressions flower from Hallmark.  It’s a new and quite unique way for someone to share their feelings. It’s something people can give where they want the sentiment shared over and over, beyond when cut flowers would wilt and die.

I first saw this in the US at the start of this year.  The stands I saw were almost empty, meaning sales had been good.

Hallmark has made carrying the new product easy with a good display unit that comes with a sampler … this is vital to driving sales.

While Blooming Expressions is a year-round offer, I expect good sales in the lead up to Mother’s Day.

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Gifts

One Direction generates more than $4,000 in sales in two weeks

By the time April is done we will have generated sales in excess of $4,000 of One Direction product. Seriously. The Girlfriend one-shot, the IT Girl one shot, One Direction posters. That’s it. It will spike again when tickets for their 2013 concert go on sale next Saturday.

One Direction is a traffic generating sales bonanza.

Thanks boys.

What makes it more special is the the hit product of the One Direction phenomenon is the Girlfriend One Direction one-shot from Pacific Magazines. Newsagents received this two weeks before supermarkets. Regulars here would know how we milked that opportunity.

This 1D phenomenon ought to show an opportunity for newsagents. I see the 1D products as collector products. Plenty of what we sell could be loosely considered to be collector products. Thinking back on the last year or so we have had success with plenty of collector items.

While some newsagents complain that they ‘don’t get the One Direction thing’ I am happy for the passion and money of the fans. What a terrific April!  We have had fun while we tested our retail skills and got to bank some excellent results.

What is really interesting to me is that for all the doom and gloom, including some from me, about print, the results I have banked have been thanks to print products.

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Newsagency opportunities

How is that magazine relay going?

I am surprised at the number of newsagents who say they read this blog every day yet have not undertaken a magazine relay in the last year. Gob-smacked actually.

Undertaking a complete magazine relay is the single most important action a newsagent can take for the benefit of their business right now. It plays to the key point of difference we have – magazine range.

Why would you not do a relay? If can’t be because you don’t know where to start – check out my advice on how to do a magazine relay.

Come on people. If you consider yourself to be a newsagent get cracking. The only risk is that you could increase your magazine sales.

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magazines

Promoting One Direction posters

Our range of One Direction posters has been selling very well in the few days we have had them in stock. While fans are the main customers, parents and grandparents are customers too for birthday and other gifts.

I love the small footprint of the unit and the timeliness of the posters. I can see us easily selling this range twice over.

In a pure commercial sense, One Direction is gold right now.

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Newsagency opportunities

Promoting books with magazines

We have reconfigured the entrance to our magazine aisle and brought in a table of remainder books. This change is part of a series of changes we have made this week to accommodate Mother’s Day products and to generally change up the shopping experience in the newsagency.

The book table has a lower profile than the magazine unit it has temporarily replaced and this in itself provides quite a different feel to the space.

Our book sales are up year on year. this sales growth and the good margin makes books a valuable impulse add-on to a magazine purchase.

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Book retailing

Promoting Girlfriend magazine

We have been promoting the latest issue of Girlfriend magazine in a couple of places this week to make the most of the cosmetic kit which is bagged with the magazine. The cosmetic kit has a look of genuine value, more so than a single item taped to a magazine cover. I say that, of course, as someone who is not the target customer.

We have making sure that the full cover of Girlfriend is on show so that the kit can be seen easily by shoppers. This is vital to driving sales.

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magazines

If you bank with ANZ…

A few weeks ago the ANZ Bank whacked retailers, including newsagents, with an increase in EFTPOS fees. Last week they increased small business loan rates as well as home loan rates. Along they way they have continued to charge hefty fees at every opportunity from overdrafts to account fees.

Newsagents who want to reduce the fees they pay to the ANZ could consider switching to Tyro broadband EFTPOS. My own Tower Systems newsagency software and the pos solutions software both link to Tyro. It’s faster than a bank terminal, more accurate, easier to reconcile and often has lower costs.

Chris Ball from Tyro can provide pricing comparisons on 02 8907 1748.

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EFTPOS fees

Ethically impaired newsagent suppliers don’t deserve our support

I am disappointed by practices I consider to be ethically questionable by several newsagency suppliers, practices where the suppliers have made promises they have not kept. Practices they knew the newsagents involved would most likely not take legal action on.

These product suppliers, not distributors, have got away with letting newsagents down and we, those of us who have seen their behaviour, have let them get away with it.

I will not name names here because two have threatened this.

If I won’t name names why mention it? Because I am frustrated that we let these people put on a fake smile , sometimes pass out a bit of money to cover up their misbehaviour toward others in our channel.

While it would be impractical to create and police I would love to see an ethical newsagency supplier tick awarded to indicate suppliers who have met and continue to meet criteria set and judged by newsagents , newsagents with no conflict or perception of conflict, newsagents not involved in industry politics.

So what am I doing about this? I have closed my account with two suppliers. With a third it is not that simple because of how their products come to me. I’m working on that.

I note that suppliers I am writing about would vigorously argue that they have done nothing wrong and that they have simply focused on growing their respective businesses. I suspect that some newsagents would agree if presented the facts. I see it differently. I expect people to be true to their word.

The purpose of this blog post is to raise the issue of supplier ethics and to encourage newsagents to consider this when selecting suppliers they support.

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Ethics

Weekend Fin. promotion from Virgin Australia

I received an email yesterday from Virgin Australia offering a copy of the Weekend Financial Review delivered to my home. The email was simple and the offer very easy to accept – well executed by Virgin and Fairfax, much better than others I have seen where you have to jump through hoops.

As a customer I love newspaper offers like this. It adds excellent value to the relationship I have with Virgin. As a retail newsagent I guess I am frustrated but, hey, deals like this have been done by Fairfax and News for many years. It makes sense that they pursue circulation through corporate partnerships. It’s better than them putting bundles of the newspaper on a street corner and letting people help themselves.

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Newspapers

Tapping into the Titanic interest

We are promoting the Titanic themed issue of National Geographic, with the hundred-year anniversary a couple of days ago and the TV mini series starting on the Seven Network last night this is a title to have in a good location for driving impulse purchases.

Our key effort is making sure that the whole cover is on show as just the top quarter does not tell the story. Tomorrow, we will have the title with newspapers, between our two dailies, for a couple of days. This usually works a treat.

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magazines

Promoting crosswords at the counter

We are giving crosswords a run at the counter for the next week. While sales growth for the category has been good, we want more – hence this move. It’s very simple as the photo shows.

We are letting the titles speak for themselves as we have found this works best with crosswords. Putting the titles in the way of shoppers is the best way to drive incremental business.

I plan on leaving this display up for a week. We also have some crosswords with our weeklies as well as the usual crossword section.  Crosswords account for 8% of our magazine sales.

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crosswords

Paywalls and the future of news publishing

The Nieman Journalism Lab has published a fascinating article by the respected Ken Doctor pin the future of news publishing. Doctor pulls no punches in assessing where we are at today:

Until recently, the holy grail was summed up in two words: replacement revenue. Now the jig’s up. No matter how fast you shovel digital dirt into the chasm of print loss, you can’t recreate the past; you can’t fill the hole.

I’d agree with that. Here in Australia we have the two main publishers taking quite different approaches. News is putting much of its content beyond paywalls because it thinks people will pay to access it. Fairfax has a mixed paywall model and has a number of sites from which it derives income and can grow this significantly further.

I am surprised we have not seen significant digital-only start ups in the news space here. Seven or ten, for example, leveraging existing resources to provide digital only news outlets focused on their respective target audiences. Okay we have the publishers of Crikey investing in a number of sites. But not much else happening – unless I am missing it.

But I digress from Doctor’s article. It’s a fascinating read on options for news outlets and how they could generate requisite revenue for a future. I’m not aware of the six ideas he covers being pursued here in any big way. If you;re in news publishing it’s certainly worth a read.

From newsagents perspective, all of this is interesting because it shows that we must have a strategy for dealing with dramatic changes to products which have been at our core for decades.

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Media disruption

Crazy One Direction fans

I stayed at the Sofitel Hotel in Brisbane last night, the same hotel as One Direction as I was to discover thanks to the girls outside on the street screaming for the members of the boy band. They were possessed. Seriously.  Fanaticism is a very powerful commercial driver … as we have seen with magazine sales.

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magazines

Small business tax change could help newsagents

I like the idea of the small business tax change apparently being considered by the federal government and covered in the weekend’s newspapers. It could be particularly useful to newsagents when undertaking considerable investment in the business, such as a shop fit.

I  note that some in big business have complained about the fairness of tax help for small business being funded by big business. Hmm.  The TV networks, car makers, many major manufacturers, miners and other big businesses are regularly helped by government with funds taxed from small business.

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Ethics

Promoting the Pacific Magazines Barina competition

I was in a newsagency in Brisbane last night talking about magazines and training newsagency team members about best practice. One of the best opportunities we have in this area right now is with the pacific Magazines Barina car giveaway. This is a newsagency exclusive promotion, targeting the top 1,000 newsagencies in the country. If you are part of the promotion, go hard as it’s likely to be exclusive to you in your area.

Click on the image to see a large version of the display I created in a location to be seen by all shoppers in the store.

While the promotion has only been running two days, it looks like a terrific sales driver.

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magazines

Woman’s Day out this Friday in some states

ACP is publishing the next issue of Woman’s Day early, this Friday, with an exclusive interview with Share Warne and Elizabeth Hurley.

This special issue includes: Shane’s first ever magazine interview, never seen before photos (9 pages) of Elizabeth and Shane’s Family, the couple talking about marriage, babies, wedding plans, plastic surgery and more.  It also includes part 2 of the Royal Wedding lift out.

Here are the details on when this special issue will be available: NSW/VIC/QLD on Sale Friday 20th of April; SA/WA/FNQ/NT/TAS will remain on sale Monday 23rd of April.

We have will give prime space to this issue.  The supporting TV and other promotion should drive bonus traffic this Friday.

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magazines

Newsagents need to shock Australian shoppers

Over the last week I have been helping students from several universities with research projects they are undertaking on the Australian newsagency channel – the challenges we face, how we are dealing with these and what the future holds. On the weekend, after answering some questions about how we think we are perceived by Australian consumers, I caught up with this video from Britain’s Got Talent. Take a look…

What struck me about this, beyond wondering when Brits will look beyond the physical before they judge someone, is what can happen when your actions go way beyond what people expect of you.

The young guy and girl walk on stage and their physical presence sets expectations. Their performance shatters those expectations and forces the audience to see them in a completely different light.

Our history has set consumer expectations about newsagents and newsagency businesses. I think those expectations are out of date with retail today.

For each of us and the newsagency channel collectively to have a future we must shatter consumer expectations. Achieving this starts in our individual businesses. I think we each have to ask ourselves, are we shattering consumer expectations about newsagencies in our own newsagency? If not, why not?

If you think this is too hard then you must ask why you remain in business … and then get on with shattering the expectations of those who shop with you, pas by your front door or for any other reason think about your business.

We need to deliver to Australian consumers the experience delivered by the two young singers in the video.

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Newsagency management

Promoting Women’s Health Training Guide

We have been promoting the Women’s Health Training Guide with the Women’s Health magazine in our women’s aisle. It’s selling well, very well in fact.

These health related titles are in the middle of a bright sales period in part thanks to the weight loss shows on TV. Just about every night there is a show promoting exercise and fitness. I try and leverage this by making sure that we give the health and fitness titles, men’s and women’s, prime positions in their respective areas. The result is good sales growth.

Check out where you have Women’s Health Training Guide. Make sure the full cover is on show. Try it with your weeklies – I am sure that this placement wiklkl drive impulse purchases.

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magazines

Cakebaking title a hit

We have been promoting the new Cakebaking title which is part of The Australian Women’s Weekly cookbook series out the front of the newsagency as part of a cookbook promotion. It’s selling well.

Since newsagents have this title available around six weeks before supermarkets it makes sense for us to go strong and promote it outside the usual cookbook section, making the most of the blue ocean opportunity.

Once we move it from the front of the newsagency we will give it a run with our women’s weeklies titles for a week or two.

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magazines