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

Exclusive Valentine’s Day promotion drives card sales for newsXpress retailers

Across Australia, locally owned newsXpress stores are running a Valentine’s Day promotion with one shopper in each store set to win a prize hamper valued at $350+. It’s a greeting card promotion with every card purchase gaining an entry. The goal is to drive engagement with greeting cards. newsXpress has funded the promotion for the shops, providing the products in the prize pack along with in-store collateral. This is an ultra local promotion, a small business promotion designed to encourage local shopping. #ShopLocal #SmallBusiness #ValentinesDay #GreetingCards

This is an excellent example of practical help from the newsXpress newsagency marketing group.

Here are some of the many displays in place.

newsXpress helps its members attract new shoppers and get existing shoppers spending more with innovating advice and support, like this Valentine’s Day promotion. This is on the back of a successful Christmas promotion and a terrific Father’s Day 2024 promotion. each of these promotions has sought to lift card sales for local newsXpress members.

Being exclusive to newsXpress, these promotions help newsXpress members differentiate their businesses from other businesses nearby selling similar products. They help the whole card department in each business as there is no restriction on the cards to purchase to be part of the promotion.

At the start of 2024 we set our theme as MAKING THINGS HAPPEN.

It was a commitment to action, growth, success and enjoyment for newsXpress members.

We have seen terrific results.

We have helped members attract new shoppers with several exclusive new product ranges.

We have newsXpress members recording double-digit card sales growth because of our exclusive store specific card performance data project.

We have helped stores recalibrate their commitment to magazines to make this low margin category work, freeing high value space for better margin product.

Our retail insights trip to Berlin and London was a terrific success with excellent in-store initiatives flowing as a result.

This is what MAKING THINGS HAPPEN is about.

newsXpress is a privately owned company. We have been in business since 2001. We are a marketing group.

We’re not a franchise. Nothing we pitch is mandatory. We do not charge a fee based on your turnover.

In 2019, 2022, 2023 and 2024 we organised (subsidised by newsXpress) overseas travel to attend international trade shows and to see best practice local independent retail in categories of interest to members. We are doing this again in 2025.

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newsagency marketing

Finding new customers for your retail business in the changing circumstances of 2025

Meta’s Elimination of human fact-checkers and the changing landscape of attracting new Ccustomers

Meta’s recent decision to eliminate human fact-checkers signals a significant shift in the social media landscape. This, coupled with the ongoing decline in organic social media reach, necessitates a reassessment of your out-of-store marketing and customer engagement strategies.

While social media remains a valuable tool, it’s no longer sufficient to solely rely on it to attract new shoppers. To cut through the noise and build genuine connections, focus on creating original and engaging content that resonates with your target audience. Share your knowledge, showcase your passion for your products, and encourage interaction by creating content that people want to share.

A robust online presence is paramount. Having a website is critical. Ensure your website is user-friendly, with accurate product descriptions that align with relevant search keywords. A well-maintained blog that provides valuable insights into your products and brand story can further enhance your online visibility.

Leveraging local partnerships is vital. Collaborate with community groups and actively involve their members in promoting your business. Offer incentives or exclusive benefits to encourage their support.

Don’t underestimate the power of traditional marketing. An eye-catching storefront display can still stop passersby in their tracks. Consider in-store sampling events to generate buzz and encourage word-of-mouth.

Hosting regular events throughout the year can significantly boost customer engagement and brand awareness. Plan a diverse range of events, from product demonstrations and workshops to customer appreciation nights and seasonal celebrations. These events not only attract new shoppers but also provide opportunities to showcase your unique offerings and build stronger relationships with your existing customer base.

For businesses in regional areas, consider a targeted letterbox campaign. A well-designed flyer distributed to local letterboxes can effectively promote upcoming events or highlight specific products.

In today’s evolving marketing landscape, a multi-faceted approach is essential. By diversifying your efforts and focusing on building genuine connections with your community, you can effectively navigate the challenges of the digital age and ensure the continued success of your business.

Success with Facebook and Instagram has, according to many plateaued. Factor this into your marketing plans for 2025 to ensure you have new customers reaching your business through other channels.

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Management tip

Valentine’s Day marketing tips for local small business retailers

Newsagents and other local small business retailers have a terrific opportunity with Valentine’s Day. It starts with you understanding that it’s not just about celebrating romantic love. Valentine’s Day is a perfect opportunity to share love, romantic or otherwise. Here are tips for having fun this Valentive’s day and driving success in your shops:

Put your Valentine’s Day cards out early, in the front of the shop so every shopper sees them.

Write about Valentine’s Day cards on social media, one card per post. Highlight fun cards, cards for non-traditional valentine’s day giving, cards you love. Give something of yourself in these posts.

Have one or two Valentine’s Day cards at the counter. Change them every few days.

Have a couple of Valentine’s Day impulse items at the counter: chocolate hearts, photo frame, a cute plush item.

Create a local love wall. Have a pen and a post0it note pad nearby and invite people to write something they love about the town – this shows that Valentine’s Day does not to be about romantic love, it’s about helping people connect with what they love.

Offer a free card selection service. Help people unsure about what card to choose to buy from you.

Offer free training or help with what to write on a card.

Share stories on social media that expand the appeal of the season.

Create a photo opportunity. Create somewhere people can come and be photographed. You could even have an Instax camera there for photos to be taken and put on a wall in your shop.

Pitch non traditional items as Valentine’s Day gifts. here are some ideas:

  • A squishy toy because you make be squishy with love.
  • Marbles because I’m marbles to love you.
  • A superhero products because you are my superhero.
  • A jigsaw so I have more time to spend with you.
  • A journal so you can write how much you love me every day.
  • Photo frames with cool and on-trend love messages.
  • A whoopee cushion because we share everything.
  • Cards Against Humanity because if we can survive this we can survive anything.
  • An Affirmations inspirations box as it brings my encouragement to your work desk.
  • A unicorn because rainbows = love.
  • A music themed mug or other item that connects with a band or song that has special meaning.
  • A plush item so you have something to hug when I am not around.

By embracing the broader spirit of Valentine’s Day and showcasing creative gift ideas, local retailers can not only boost sales but also become a cherished part of their community. This Valentine’s Day, let your shop be a hub of love, laughter, and unique expressions of affection, reminding everyone that love comes in many forms and can be celebrated in countless ways.

What you achieve from Valentine’s Day 2025 is dependent on what you invest in the outcome. Putting stock out is not enough for you to stand out and be talked about among friends. Be engaged. have fun. Make Valentine’s Day this year your best ever.

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marketing tip

About us: The Australian Newsagency Blog, a hub of information about and for Aussie newsagents

The Australian newsagency industry is a dynamic sector, constantly evolving to meet the changing needs of consumers. To stay ahead of the curve, many newsagents rely on the Australian Newsagency Blog as a valuable resource for industry news, insights, and best practices. I am grateful for the interest that I see in traffic and receive from calls and emails from readers here.

What is the Australian Newsagency Blog?

The Australian Newsagency Blog is an online platform dedicated to providing newsagents with the latest information and resources relevant to their businesses. It serves as a central hub for industry professionals to connect, share ideas, and stay informed about the latest trends and developments.

I started it 20 years ago as a place to talk about my own experience owning and running newsagencies.

What kind of content does the blog offer?

The blog covers a wide range of topics, including:

  • Industry news and updates: Stay informed about the latest industry news, including legislative changes, market trends, and competitor activity.
  • Business tips and advice: Learn valuable tips and strategies for improving your business operations, from inventory management and customer service to marketing and sales.
  • Product spotlights: Discover new and exciting products that can help you attract and retain customers.
  • Success stories: Learn from the success stories of other newsagents and gain inspiration for your own business.
  • Events and training: Find out about upcoming industry events and training opportunities.

Why is the Australian Newsagency Blog important for newsagents?

The Australian Newsagency Blog is an essential resource for any newsagent looking to stay competitive in today’s market. By providing access to valuable information and insights, the blog helps newsagents to:

  • Improve their business performance: By implementing the tips and strategies shared on the blog, newsagents can improve their efficiency, profitability, and customer satisfaction.
  • Stay ahead of the competition: The blog provides newsagents with the latest industry news and trends, allowing them to stay ahead of the competition and adapt to the changing market.
  • Connect with other industry professionals: The blog provides a platform for newsagents to connect with each other, share ideas, and build relationships.
  • Access valuable resources: The blog offers a wealth of resources, including articles, videos, and webinars, that can help newsagents to improve their business knowledge and skills.

The Australian Newsagency Blog is available online and can be accessed by anyone with an internet connection. Simply visit the website to explore the latest content and resources.

While I am biased for sure, I think the Australian Newsagency Blog is a valuable resource for any newsagent looking to succeed in today’s competitive market. By providing access to the latest industry news, insights, and best practices, the blog empowers newsagents to make informed decisions, improve their business operations, and thrive in the years to come.

Thank you for stopping by.

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About us

Advice for newsagents on boosting magazine sales

Forget big and bold displays and promotional posters. While publishers like these, there is little evidence that they drive magazine sales. In my experience., this single most valuable action any newsagent can take to boost magazine sales to to do a magazine relay. It’s easy to do, no cost and delivers an excellent return on investment.

A few hours of dedicated effort results in a revenue boost, fresh social media content, and more value. There’s no downside. Fundamentally, it drives increased sales.

If it’s been more than six months since your last magazine relay, you need to do one now.

The Mechanics of a magazine relay

A typical relay can be completed in two hours or less.

While it’s possible to delegate this task, taking ownership of the process is what I recommend. A hands-on approach reinforces your leadership and allows for a more streamlined operation without the complexities of team management. It’s essential to remember that a magazine relay is an ongoing process, not a one-off event. Regular adjustments to the magazine layout are crucial for maintaining sales momentum.

I like to start with taking all magazines off the shelves. This provides a clean canvas. It also provides an opportunity for cleaning.

Optimising magazine placement

Ideally, magazines should be displayed on a dedicated wall space rather than occupying valuable centre fixture real estate typically reserved for higher-margin products.

The visual impact of magazine covers can be diluted by excessive clutter. To maximise their appeal, avoid using product headers.

Full facing, where 100% of the magazine cover is visible, generally delivers optimal results. This is particularly effective for smaller assortments of under 500 titles. For larger assortments, consider tiered fixtures with one title per pocket. However, in some cases, accommodating two or three low-volume, specialised titles within a single pocket can be beneficial.

Leveraging beacon branding

Highlighting specific magazine categories through beacon branding can effectively attract customer attention. Dedicate the top two or three pockets to a single title to create a visual focal point.

The relay process

When undertaking a magazine relay, focus on creating an engaging and visually appealing display. Work systematically, removing and rebuilding sections of the fixture while maintaining clear spaces to avoid confusion. Continuously assess your progress and consider how each placement contributes to the overall narrative.

The art of adjacency

Experimentation is key to discovering the most effective product adjacencies. While there are general guidelines, the ideal arrangement can vary depending on customer behaviour and preferences. For example, consider whether grouping titles by brand or by interest category drives better sales.

Some potential adjacency combinations include: cricket, golf, and swimming; wrestling, boxing, and fitness; and creative arts (painting, writing, craft). However, it’s essential to avoid mixing unrelated titles such as soccer and rugby.

Customer considerations

When designing the magazine display, prioritise customer ease and comfort. Avoid placing titles aimed at older customers in difficult-to-reach locations.

Post-relay actions

Once the relay is complete, share your vision with the team and encourage feedback. Monitor customer behaviour and sales performance closely. The insights gained from these observations can inform future adjustments to the magazine layout.

By following these guidelines and maintaining a focus on customer needs, you can significantly enhance your magazine sales through effective merchandising.

Dping a magazine relay is a great way to kick off 2025. You’ll make more money from magazines if you do it.

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magazines

More newsagents add websites in pursuit of online sales

More newsagents have launched websites to reach enw shoppers. They have used Tower Systems to create the POS software connected websites. here are some of the new websites connected with newsagency businesses:

What you’ll notice is that none of these present as newsagency businesses online. This is a conscious decision, made to attract shoppers based on purchase intent rather than shingle preference.

Being online is more critical than ever. It is the best way to attract new shoppers, leverage existing inventory, retail space and labour as well as top plot a fresh and profitable path forward for the business.

Tower Systems has team of skilled Shopify web developers, all working from in Victoria. This matters since many web developers actually outsource development to offshore businesses.

Tower offers a one stop shop service whereby we offer specialty retail POS software and beautiful Shopify websites connected to this POS software. The connection is safe, fast and seamless. The Shopify websites we develop are made specifically for each retailer customer, to their needs, meeting their requirements, populated with data that is collated through the integrated POS software.

Being a Shopify website developer and a POS software developer in the one business and being Australian based business positions Tower well to serve the needs of local Australian retailers. Being so engaged with the newsagency channel is a reason Tower has helped so many newsagents attract new shoppers through their websites.

The Tower Systems Shopify website development for small business retailers is done on a fixed price basis.

By embracing e-commerce and leveraging Tower Systems’ newsagency and web development expertise, newsagents can unlock a world of new opportunities. From seamless website integration to a focus on targeted customer acquisition, Tower Systems empowers newsagents to thrive in the digital age. Isn’t it time your newsagency joined the growing number of successful online retailers? Contact Tower Systems today and let them help you chart your course to a prosperous future.

Take a look at the websites we have listed here. They are for newsagency businesses. They are unique, fresh, engaging and relevant. They put a fresh face on these newsagency businesses, and that’s vital in 2025.

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newsagency of the future

Are newsagents dying?

Are newsagents dying? No, newsagents are not dying. Australia has somewhere around 2,500 newsagency shops and while some have closed in recent years, the size of the Australian newsagency network is strong, good, and healthy.

I am writing about this today because I see people asking Google and elsewhere Are newsagents dying? I figured publishing an answer would be helpful.

Newsagents are changing. Many do not look like a newsagency any more. They offer non newsagency traditional products and services like high end gifts, clothing, camping goods, pet supplies, books, baby clothes, coffee and more.

Smart Aussie newsagents saw the decline in the sale of print media and the migration of some products like lotteries to online and evolved. I know of newsagents today making two thirds of their revenue selling items you’d not have seen in a newsagency a few years ago. Are newsagents dying? No, not at all. Engaged newsagents are thriving and loving serving their local community.

Less smart newsagents continued to run traditional newsagency businesses. These tend to be the ones closing.

Here’s evidence that newsagencies are not dying: Aussie newsagents sell close to half all magazines sold in shops, a third of all greeting cards sold in shops and a growing percentage of gifts sold in shops and a decent chunk of stationery. Add to this the growing value of categories relatively new to the channel and online sales to Australian newsagencies. I know of newsagents doing hundreds of thousands of dollars a year in sales online.

In regional and rural Australia especially the Aussie newsagency is not dying as these businesses evolve to be more than the newsagency you might remember from the 1980s or before. Today these newsagencies are coffee shops, toy shops, gifts shops, bookshops and fashion shops. These Aussie newsagencies in regional and rural Australia are vital retail in town. Are newsagents dying? No, not at all.

While the local Aussie newsagency offers familiar categories like stationery, cards, magazines, papers and even lotteries, it’s the new areas that new shoppers are coming to see: collectible coins, collector cards, higher end gifts, unique games, locally made personal care and grooming products, the latest books and tasty coffee.

Just because a business identifies as a newsagency it does not mean they identify as what you think a newsagency is. The local Aussie newsagency today could be a shop offering anything at all. The name, or the shingle, is less relevant than ever.

Are newsagents dying? No. More proof of this is the number of new newsagencies opening. At Tower Systems, the supply of software to more newsagents than any other software company, new newsagency openings in the last year have been strong. These are new rooftops.

The local Australian newsagency is not dying. It’s changing is all, and these changes are good, they help sustain bountiful life for the local Aussie newsagency.

The modern newsagency is a vibrant shop in its local community and attracting plenty of shoppers from out of town, evolving to meet the changing needs and desires of their customers near and far. They’ve become destinations for unique finds, from quirky gifts and stylish clothing to locally crafted goods and delicious coffee. This diversification not only ensures their survival but also enriches the local retail landscape, offering residents a convenient and engaging shopping experience.

Are newsagents dying? No, they have a bright future.

I’ve been working with newsagents as a supplier since 1981 and as a newsagent myself since 1996. Sure there has been change and some closures. Bigger than these things is the changes delivered by newsagents themselves. They embrace change and everyday demonstrate a resilience for which they can feel proud.

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newsagency of the future

Employee theft in the newsagency: it can’t be them, they’re family

From the data captured from point-of-sale software from my software company being used in their business, I was able to show Harry and June that their newsagency business was being stolen from to the tune of at least $2,000 a week, that it had been going on for two years, and that it was only happening four specific days a week.

This was years ago.

Harry, June and I were sitting in a coffee shop near their business. They brought the shop employee roster with them, as I had asked. There was only one person who worked the days and specific hours in which I was interested.

I targeted specific hours because I could see from data captured by the software that certain adjustments were made on specific days in an attempt to hide theft, adjustments Harry and June had neglected to track.

‘It can’t be; they’re family,’ June said, looking across at Harry.

‘She’s my niece,’ said Harry. ‘She’s amazing in the shop. Customers love her.’

‘We couldn’t run the business without her,’ June chipped in.

‘Yeah, it’s got to be a mistake,’ Harry said, looking at the roster.

Harry had reached out to me a couple of weeks earlier, as their accountant had advised him that the newsagency was not making the type of money that it should. The accountant had said to him, ‘Something’s not right.’

Harry thought there was something wrong with the newsagency software. That’s why he called me. he wanted me to fix what he considered to be my problem.

I asked for a copy of their data and did a deep dive into a hidden set of encrypted sales records stored by the software to enable this type of investigation of possible employee fraud.

Having done this type of research many times in the past and having worked with police and prosecutors as an expert witness, I knew for certain that Harry and June’s niece was stealing from by them.

However, they left the coffee shop meeting still convinced that the problem was with the software. It was another year before Harry and June followed my advice, installed hidden cameras, and got the evidence to implicate their niece, they got the money shot: the tampering with the data and the removal of cash from the cash drawer into their pocket.

The day they confronted their niece, she walked out. They never recovered the money. They feared a split in the family and didn’t pursue criminal charges.

In all, Harry and June lost well over $300,000. They sold the business soon after and have not bought a retail business since.

Be sure to understand and use the tools in your newsagency software that can help mitigate the cost of employee theft.

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theft

The biggest risk to any independent retail business in 2025 is sitting still.

This year local independent retail businesses, like Aussie newsagents, face a confluence of challenges that further threaten traditional business models and viability. These challenges stem from economic pressures, evolving consumer behaviour, rapid technological advancements, and a complex regulatory environment.

There are the ramifications of post-pandemic economic recovery, characterised by persistent inflation and rising costs, which have led to diminished consumer spending power and declining sales in discretionary items such as printed media and gifts.

Newsagents with lotteries have the challenge of the migration to online purchase as well as the ever present supplier challenges (outside of WA).

The ongoing shift towards digital news consumption continues to erode the market share of physical newsagents, compelling many already to have reconsidered their operational strategies in order to remain relevant. This will continue in 2025, at a faster pace.

Regional disparities amplify these challenges, with newsagents in economically robust areas faring better than those in regions with high insolvency rates, particularly on the East Coast of Australia.

Smart newsagents have diversified their offerings, including online services and specialty non-traditional products, to mitigate the impacts of declining revenue from traditional sources. The industry has already witnessed a reduction in the number of newsagents, this will continue in 2025.

With labour and retail occupancy costs set to rise by 5% this year, newsagents are having to find ways to achieve more from existing resources. This brings us back to the importance of diversification and the importance of online. I have seen online add 10% and more in revenue to a retail business. I have seen newsagents diversify and add 20% of revenue.

Diversification and online are the top focuses retail newsagents need to have in 2025, even those who are online already and those who have dioversified already.

What you did last year is not enough for 2025.

The biggest risk to any independent retail business in 2025 is sitting still.

Despite these hurdles, the industry presents opportunities for adaptation and growth. Newsagents can leverage a predicted recovery in consumer confidence to enhance customer relationships and service offerings in 2025. By embracing technology, bringing in shoppers for what you’ve not been known for previously and aligning with changing consumer values—such as the demand for local products and sustainability—Aussie newsagents may find pathways to not only survive but thrive in an increasingly competitive market.

What happens in your business this year is up to you.

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newsagency of the future

Happy New Year

Happy New Year. Thanks for stopping by.

2024 has been a year of resilience and adaptation. While headlines focused on the cost of living, my experience (and that of many other retailers) tells a different story. Consumers are prioritising experiences that bring them joy, and that’s showing in our channel. Sales of puzzles, games, and collectibles are strong, growing, as people seek entertainment at home. The rise of online shopping has also been a boon for Aussie newsagents. We’ve seen fantastic growth in online revenue, with some newsagents adding over $150,000 this year.

If your newsagency isn’t experiencing this same success, you’re not alone! There are many resources available to help.

The Aussie newsagency community is here to support you.  Reach out to me at mark@newsxpress.com.au and let’s chat about your business and what you’d like to achieve.

Have an awesome 2025!

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newsagency of the future

Boxing Day is vital for newsagents in major shopping centres

The Boxing Day sales are a crucial event for small business retailers in shopping centres in Australia, especially on the east coast. This annual shopping event  presents a unique opportunity for these businesses to boost sales.

The Boxing Day sales draw significant crowds to shopping centres. This surge in foot traffic provides small retailers with excellent exposure to potential customers who may not have visited their store otherwise.

Smart retailers have bought for the sale and they use the Boxing Day sales to offload excess stock. This helps them free up valuable shelf space for new merchandise and generate much-needed cash flow.

By participating in the Boxing Day sales, small businesses can ride on the marketing coattails of the big retailers who spend up on advertising.

Successful Boxing Day sales can enhance a small business’s reputation and create a positive brand association with value and affordability.

In you are in a shopping centre, the Boxing Day sale can be a valuable engagement opportunity.

In my own situation, in high street stores, it’s not as much of a thing. Online, however, it’s HUGE.

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Management tip

I love last minute Christmas shoppers in the newsagency

Their eyes dart nervously, their movements a blur of panic. Yes, I’m talking about the last-minute Christmas shoppers, those adrenaline junkies who leave their festive preparations to the eleventh hour. They are typically male and can be aged anything from 18 to 80.

While they may emerge a few days before the big day, it’s in this last week that these thrill-seekers truly shine. They’re a joy to watch, a pleasure to serve (their gratitude is palpable), and a boon to our businesses. Some will buy anything.

I’ve seen plenty of these last-minute shoppers. I chatted with one who confessed to the thrill of the chase. One guy I spoke with loved the challenge of finding gifts for ten people in an hour. He refuses to shop before the last week. Another guy I spoke to had a list of names and an amount next to each. His method is to always go with the first idea – it’s better than them getting nothing he said.

We configure the shop to serve these last minute shoppers, placing products close so they can do the fast shop they want. It works a treat.

Last-minute shoppers are unique in my experience. They thrive on the chaos, the urgency, and the thrill of the chase. They’re a reminder that sometimes, the best-laid plans can go awry, and that a little spontaneity can add a lot of excitement to the holiday season. They make retail more interesting.

This Christmas season has been a resounding success.

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Newsagency management

Why your local newsagency is the BEST place to shop for Christmas cards this year

When it comes to finding the perfect Christmas card, support your local newsagent, a local mbusiness that supports the local community.

Here’s why you should choose your local newsagent:

  • Aussie made. Many local newsagencies sell Australian made cards. Buying Australian made cards puts more Aussies in work: card designers, card writers, local printers, local card finishers. These are all local jobs that benefit our wonderful country.
  • A Local Touch: Your local newsagent is a part of your community. When you shop there, you’re helping to keep local jobs and supporting other local businesses.
  • Giving Back: Many newsagents offer a range of charity cards, supporting organisations like the McGrath Foundation, Make-A-Wish, Beyond Blue, and the RSPCA. By choosing a charity card, you’re not only sending warm wishes but also making a positive impact.
  • Endless Choices: Newsagents have an incredible selection of Christmas cards. From funny to heartfelt, there’s something for everyone. You’ll find a wider variety of designs and messages than at big-box stores.
  • The Perfect Pair: Many newsagents also offer gifts across a range of price points.
  • Easy Shopping: Newsagents are known for their convenience. You can quickly grab your cards and gifts without the hassle of big crowds.

By choosing your local newsagent, you’re not just buying a card; you’re supporting your community. So, this Christmas, let’s spread some cheer and shop local.

Remember: When you shop local, you’re making a difference, because we’re making a difference.

Shopping local stimulates the local economy by keeping money within the community, supporting local jobs, and fostering a vibrant business environment. When you choose to shop at local businesses, you’re contributing to the unique character of your neighbourhood and helping to preserve its cultural heritage. Additionally, local businesses often have a strong commitment to sustainability and ethical practices, offering products that are environmentally friendly and socially responsible. By supporting local businesses, you’re making a positive impact on your community and the planet.

Your local newsagency is a vital local business. They choice you make to shop there is one for which everyone who relies on the business is grateful.

Have a wonderful Christmas.

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newsagency marketing

Christmas at Mount Waverley

Yesterday, I shot this quick video on my iPhone at my Mount Waverley shop. There was no setup or prep work to make the shop camera ready.

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Newsagency opportunities

The Lottery Corporation takes a stand on tobacco in its retail network

The Lottery Corporation has recently written to its retail network with an updated position on the sale of tobacco:

The recent media attention given to the illicit sales (i.e. sales not permitted by law) of vapes and tobacco products has resulted in some adverse publicity and brand risk for retailers who sell lottery products in addition to tobacco products.

While we acknowledge that the vast majority of retailers do not engage in these activities, this heightened scrutiny is a reminder that retailers must always adhere to the law and act with integrity, fair dealing, and ethical conduct under the Business Operational Requirements outlined in Clause 4.2 of the Franchise Agreement.

The Lott will now ask whether retailers sell tobacco products, and where a licence or registration is required confirm that retailers are licensed or registered, as part of the Site Survey program commencing from Cycle 3 FY2025 on Monday 6 January 2024.

This new process will involve our Site Survey partners confirming you have a valid tobacco licence or registration, taking a photo of it and noting the expiration date.

The associated Outlet Procedures Manual update notification will be available on Retailers Web from Tuesday 17 December 2024.

Any lotteries retailer found to be engaging in the illicit sale of vapes and tobacco products will be in breach of their Franchise Agreement and risk termination.

This is a good move given inaction by federal and state authorities in relation to the sale of illegal tobacco and vape products. It will be interesting to see the extent to which The Lottery Corporation backs up their note with action.

This is a big issue for The Lottery Corporation since they proudly promote values that one could argue are not aligned with the sale of tobacco and vape products at all.

We believe in building a better tomorrow, which for us means making real change for our customers, small businesses, our charity and industry partners and government stakeholders.

I wonder, too, how their support, even if it is indirect, is viewed by the health and community groups with which they are aligned.

Some retailers promote tobacco as they know it leverages well off the lottery traffic. Since the The Lottery Corporation retail network is franchise network, The Lottery Corporation has a significant role to play.

It will be interesting to see how this issue plays out in 2025.

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Lotteries

Why is there a surge in newsagencies offering tobacco products in their shops?

It’s an odd trend that’s been emerging in the newsagency channel. More and more, we’re seeing new owners take over established newsagencies and, against all logic, introduce tobacco products. This is puzzling, to say the least.

The profit margins on tobacco are slim. The pool of tobacco-buying customers in Australia is shrinking. And let’s not forget the association with crime, with tobacco outlets becoming targets for attacks. It’s a category that doesn’t sit well with other, more desirable products like high-end gifts, toys, and greeting cards. Plus, the retail fixtures needed for tobacco take up valuable space that could be used for higher-margin items.

I understand that newsagents with a long history of selling tobacco, who’ve built a solid business around it, may choose to continue. But I’m particularly intrigued by those who are new to the industry and are actively adding tobacco to their mix.

Back in the late 1990s, when supermarkets started ramping up their tobacco sales, many newsagents saw the writing on the wall and made the decision to quit. I was one of them. In 1997, we chose to focus on more meaningful products and free up valuable counter space.

Today, I estimate that less than 20% of newsagencies still sell tobacco. However, I’ve noticed a recent uptick in the number of outlets that have added this category. It’s a baffling trend, especially when you consider the negative aspects.

Just the other day, I drove past a newsagency that had recently changed hands. The new owner had removed stationery and gifts and replaced them with tobacco products. This, despite the fact that there are four other tobacco outlets within a short distance. It just doesn’t make sense.

Ultimately, retailers are free to run their businesses as they see fit. But I can’t help but wonder if there’s a strategic reason behind this trend that I’m missing. Perhaps there’s a short-term gain that outweighs the long-term costs.

I believe there are far more positive and profitable product categories that can help newsagents differentiate themselves and attract new customers. Categories that complement lucrative items like greeting cards.

So, why are newsagents adding tobacco to their shops? It’s a question that continues to puzzle me.

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Social responsibility

The collectibles marketplace is stronger than ever and newsagents are well located to leverage this

Sales of collectible products are stronger than ever. from the $10 trading card products to $10,000 mint coins to limited edition plush items priced at $150 or so, collectors are collecting at greater numbers than ever.

The strong marketplace is boosted by people now collecting as a side hustle. There are several groups across a range of collector niches that are driving the growth here.

The $650.00 per set Major League Baseball product released yesterday sold out in a few minutes, exceeding expectations. The new Pokémon card set released earlier in the week sold out in no time.

Collectors and flippers (those buying and flipping as a side hustle) will travel a distance to make their purchase, some will travel several hours if they can be sure of getting what they want.

I know of newsagents doing over $150,000 a year in this space, some even more. My point is this is a growth opportunity. You can turn the stock a month before you have to pay for it and you can attract shoppers who are basket efficient – plenty buy other items when they are in the shop. You achieve basket efficiency by smart buying, leaning into opportunities related to a licence or appropriate aligned with the collector’s interests to drive a deeper basket.

Consider Pokémon for a moment. There are currently 9,100,000 searches a month online in Australia for Pokémon. That’s 50% more searches in Australia than Disney achieves.

Having products that are so sought after positions us well. It helps us make more money. It makes our businesses more valuable.

Collectibles are a valuable opportunity for newsagents.

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Newsagency opportunities

AI tech is moving at a rapid pace – there are opportunities for newsagents

Okay, the background is not ideal and the voice is not as natural as I’d like BUT AI generated videos and scripts have come a long way in the last few months. This lady loves cards and newsagencies.


I’m not planning on using the video publicly except here. I am sharing it to show what can be created in a couple of minutes using the latest in AI video generation. This AI world is evolving rapidly, at a pace faster than even AI experts predicted a few months ago.

There are many ways in which AI will play into opportunities for small business retailers, like newsagents. In the Tower software, for example, several AI options were released two years ago to help newsagents create better product descriptions faster.

AI-generated videos can reduce the need for professional videographers and editors, saving significant costs. AI can compile and showcase customer reviews in video format. AI can quickly produce eye-catching video ads for special occasions and promotions.

Recent advancements in AI video generation have been nothing short of revolutionary. Models like RunwayML Heygen and Stable Diffusion have pushed the boundaries of what’s possible, enabling users to create stunningly realistic videos from simple text prompts or even existing images.

One of the most exciting developments is the ability to animate still images, bringing them to life with fluid and natural movements. This has opened up new possibilities for creative expression, allowing artists and designers to animate their artwork in ways that were previously unimaginable. I made a video with a photo of me and was shocked at what it could create from one still image.

Another significant breakthrough is the emergence of AI-powered video editing tools. These tools can automatically identify and remove unwanted objects from videos, enhance video quality, and even generate entirely new video content based on existing footage.

Now, in all of this, there are opportunities for local small business retailers to not use AI and be genuinely human, to be real. The challenge is that this new AI tech will flood platforms with content, making your human content harder to notice.

The skill to consider developing right now is smart promoting iof AI tools so that the content generated for you is from part of you and reflects you in one way or another, a part of you that speaks to the message of your business.

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newsagency of the future

Check Christmas trading performance in your newsagency

Run a comparison report comparing performance in your business from November 1, 2024 to December 9 2024 compared to the same dates in 2024. If your business is like I have seen from plenty of other businesses today you should be seeing:

  • Card sales up 9%.
  • Gift sales up 21%.
  • Plush sales up 16%.
  • Toy sales up 15%.
  • Book sales up 12%.
  • Stationery sales up 4%
  • Magazine sales down 11%.
  • Newspaper sales down 12%.

These are the average results from 20+ different businesses. All high street though, no shopping centre businesses. Mor regional and rural than in the city. The best news is in the top five numbers.

In each of the businesses from which I have drawn data, they have made a conscious decision to pursue growth in one or more parts of the business while, at the same time, at least maintaining decaying product categories (i.e. not actively harming them).

What is most interesting in the data is that in more than half the businesses the growth was achieved off a flat transaction count. These businesses are getting existing customers spending more.

My point is that there are newsagents growing their businesses, achieving results of which they can be proud, results that deliver a healthier P&L.

Data like this is easy to access. if you have the industry standard Tower newsagency software, use the Monthly Sales Comparison Report. It’s the benchmark report for this type of analysis. I love this report. In seconds you can have your results and compare where your business is at. It’s the report I use.

I know of newsagents who wait for their accountant to produce a report on business performance. I think that takes too long and is too expensive. You can run this report today and have in no time at all valuable information to guide more moves you can make in your shop. Waiting for a non-retailer to tell you how you’re doing is old-school and, usually, unhelpful.

Take a look at your numbers. If they differ considerably from what I have noted here, reach out. I’d be happy to take a look for you. I am keen to help newsagents run healthy and profitable retail businesses. 

Our channel has come i9n for some negative reporting in the media this year. The best response we can have is to grow our businesses and, with this, flip the bird at ignorant reporters and media outlets.

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Newsagency management

A note about mental health and newsagents

Balancing the demands of a small business with personal life is a constant challenge, and often lonely. For many newsagents in 2024, this balancing act has become even more complex due to economic situations, new competition, and shifting supplier dynamics.

Too often, changes are forced on newsagents without care as to the personal impact.

Sadly, some people find the weight of these pressures unbearable. Recently, our channel lost colleague who chose a tragic path. The pain their loss has no doubt caused loved ones and colleagues will be felt for a long time.

We are not alone in life, no matter how challenging the situation. If you or someone you know is feeling overwhelmed, please reach out. We know form health carer professionals that talking about suicide with someone may reduce the risk.

Signs of distress can be subtle, they can be a cry for help. If you notice changes in someone’s behaviour, such as withdrawal, increased irritability, or a sudden decline in performance, talk and offer support. A simple conversation can offer comfort and understanding.

Remember, you are not alone. If you are struggling, please reach out to a mental health professional or a crisis hotline, please talk with someone.

Here are resources that can help:

  • Lifeline has an excellent 24 hours help line 13 11 14.
  • Beyond Blue also offers a 24 hour counselling service: 1300 22 4636.
  • In Victoria, the Suicide Line is a 24 hour service: Call 1300 651 251.

Let’s all of us in our channel work harder to create a supportive community where everyone feels valued and heard.

I feel for the family and colleagues of the newsagent who recently felt they had no path forward.

23 likes
Social responsibility

How a no-frills POS software connected Shopify website has added $4,000 a week to my newsagency in the last 4 weeks

A few months ago, I embarked on a small experiment: building a website for a local suburban Melbourne shop, my newsXpress Mount Waverley shop,  on a tight budget and following the advice I give to other retailers.

The goal was to test the waters: to see what could be achieved with minimal investment, to see if the advice provided, when followed, is financially valuable.

Starting with a modest product range, the website quickly began generating sales. As I discuss in this video, which was shot late last week, in the seven weeks to filming, this simple online store has raked in over $18,000 without any additional marketing spend or inventory investment.

In the last week sales have surged further, the website has delivered over $5,000 in revenue in seven days. Not one sale has been to an existing customer. On top of this, the website has driven excellent growth in in-store shopper visitors: they find the product on line, find out where we are, and they shop in-store.

This video takes you behind the scenes on what we have been able to do through the Hugs and Love website integration with our Tower Systems newsagency POS software into the Shopify website.

The Hugs and Love website (www.hugsandlove.com.au) is a prime example of how seamlessly integrating Tower Systems POS software with Shopify can streamline online sales and fulfilment processes for local businesses. This powerful combination allows businesses to efficiently manage their inventory, process orders, and fulfil purchases both in-store and online. By leveraging the strength of these two platforms, local shops can:

  • Expand their reach: Attract new customers and increase sales beyond their physical storefront.
  • Simplify operations: Streamline inventory management and order processing, saving time and reducing errors.
  • Enhance customer experience: Offer a convenient and efficient online shopping experience.

The experience with this website has been valuable in helping us see what is possible in the shop.

I am always telling retailers who are creating their first website to launch early and launch often. Where we started with Hugs and Love in terms of products is different to where we are at today. We quickly discovered opportunities, and we leaned (hard) into them. This has been a key factor in making money. It has also provided a runway into 2025.

I see newsagents, and other retailers, make mistakes with their websites, big mistakes, expensive mistakes. Keeping it simple and developing on a frugal budget is best. Having as much control yourself as possible is key too. 

The most important advice that the Hugs and Love experience has reinforced is that a good website is a good plan B. It provides you opportunities outside of the shop you know, in case you want an option away from the shop.

Now, here’s the pitch: what I’ve done with www.hugsandlove.com.au is bring together the newsXpress retail experience and the Tower Systems newsagency software experience to create a solution that could work in any newsagency regardless of location or size. As I said, it’s a pitch. It’s also an explanation of how you can make money: take the Tower tech, the newsXpress expertise, a frugal budget and some of your time and you can achieve a return on investment that is likely to be better than the return you are getting from your shop today.

When we consider the newsagency of the future, one option is that it is this, it is playing away from the boundaries of your four walls and the expectations and restrictions of the newsagency shingle. It is about harvesting shoppers far away from your business, learning form the data they share and turbocharging your business growth with almost no additional capex, labour investment or space investment – delivering bonus net profit to your bottom line.

I’d be happy to talk one on one with any newsagent on this 0418 321 338 or mark@towersystems.com.au) , to take you further behind the scenes or to verify any of the information I have provided here.

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Newsagency management

Unfair treatment of small business retailers by shopping centre landlords in Australia and how you could help

I have been assisting a newsagent over the last two weeks in their lease negotiations. Their landlord, a well-known national business, is insisting on an annual rental increase of CPI + 2% and a similar increase on their mandatory marketing fund contribution. For this particular landlord the increase being sought in new lease agreements is more than in recent years – a consequence of the Covid years I suspect.

The landlord refuses to consider that a significant portion of what is sold in a newsagency, even a newsagency that has transformed from the traditional, comes from products over which the retailer has little or no control on the sale price. Indeed, plenty of products in any Australian newsagency have experiences price suppression over the last five years, making newsagents worse off in real terms.

While the person representing the landlord locally appears to have no wriggle room on the annual increase, they have some capacity on the base rent. It’s not enough though to make this tenancy viable from my perspective, especially when you take on board the restrictions in the lease permitted use clause.

Through the retailer, I have provided the landlord with comprehensive data on product price history to support the request for a fairer approach to the annual rental increase as well as evidence of a typical ‘newsagency’ today to expand what is covered in the permitted use clause. They appear to be unswayed by the evidence presented.

Talking about the situation with a leasing consultant last last week, they commented that they, too, had noticed a toughening of position by several major national landlords in their negotiations with small business retailers.

I mention this today to people who stop by here, newsagents, suppliers and landlords, to encourage them to understand the pressure newsagents, especially those in major shopping centres, are under.

I ask that suppliers consider this when setting your product prices and determining the gross profit your wholesale model permits for retailers. Your decisions impact the capacity of newsagents to pay the lease cost hikes set by landlords.

I ask that landlords treat newsagents differently to other retailers who do have more control over their priced. Plenty of suppliers will back up what I have shared here.

I ask that newsagents actively consider the value of being in a major shopping centre. The value has diminished over the years. Better opportunities outside exist in many situations. If you are not happy with a lease, don’t sign it. If you have any concerns whatsoever about your capacity to fulfil the obligations of the lease, don’t sign it. If your lawyer on reviewing the lease recommends against it, don’t sign it. There are many other options.

With overheads (insurance, power etc.) up by 10% and more and the retail award expected to increase close to 5% again this year, newsagents are having to increase their sales by more than 5% and increase their overall business gross profit by one or two points to not fall behind let alone move ahead.

In my work with the newsXpress group of 200 newsagents, the key focus right now is about:

  1. Maximising the gross profit on every item over which they have price control.
  2. Maximising shopper visit efficiency (from a deeper basket each visit).
  3. Maximising shopper value: bringing the shopper back sooner.
  4. Maximising stock turn and thereby maximising return on inventory investment.
  5. Maximising return on labour spend: by working on operational efficiency.

Back in the day, when our channel was a government protected monopoly, these things did not matter. Opening the shop door in the morning was all we needed to do to thrive. There was plenty of business to cover parts of the business that were not performing well.

Today in newsagency businesses, every supplier, every product, every staff member must perform. There is no slack to cover failure. (Suppliers take note.)

Also today, newsagents must play further afield, further away from what has been traditional for newsagents. Fashion, coffee, greenlife, licenced product and online are all areas of tight focus for our community. We especially like exploring products people might never consider offering in a newsagency.

It’s hard work every day. It’s what we signed up for, all of us in retail and in this channel.

21 likes
Magazine subscriptions

When you choose a card company for your newsagency, choose for profit over friendship

Some card companies invest heavily in hiring people good at making prospective customers feel good. Often, they arm them with an expense account for lunches, dinners and coffees. They also give them some cash to splurge to buy your business, cash for fixtures and other things.

None of this matters if you end up with greeting card products that do not perform as well as products from another card company.

Be wary of card reps offering you lunch, dinner or cash to spend in your business.

Any company selling products that uses cash or ‘friendship’ to get you to buy from them should be viewed with skepticism in my opinion as these things take your focus form their products.

Historically, some of the big card companies in our channel built their retail network on ‘friendship’ and other ways of buying business. I know of retailers who subsequently switched card companies and benefited from double-digit sales growth.

Card sales are strong this year. Here is the topline summary data for one of my shops comparing the last month with the same period a year earlier.

Strong results: 16% up in unit sales and 10% up in revenue.

For everyday captions, the results are even better: up 31% in unit sales and up 27% in revenue. This growth achieved without a card company change – it’s the card company working with us to maximise the opportunity for both our businesses.

This is what matters, it is all that matters: growing revenue, and profitability, to make the business more valuable for all stakeholders. This matters more than a free lunch or some other glad-handing.

I know of a newsagency business that changed hands recently and within days a card company rep was in there greeting the new owners and inviting them out to dinner. The new owners, in their first ever business, felt loved and accepted the invitation. They didn’t think they might be schmoozed into a decision that may not have been in the best interests of their business. Thankfully for them they realised the game being played before they signed an agreement.

Prioritise suppliers who help you make more money in your business, they are more valuable to you than ‘friendship’ or a free meal.

10 likes
Newsagency management

Cash continues to trump points in the loyalty stakes in newsagencies

Since Tower Systems launched discount vouchers in its newsagency software in February 2013, they have lead in the loyalty stakes, helping to drive terrific sales for newsagents.

I hear stories regularly of how shoppers have behaved on receiving a voucher, often looking around the shop for something else to purchase. The bigger the discount offered the more engaged them become in my experience.

The $11.18 discount offered on the voucher above will typically have no real cost to the business since the business has settings options with which to encourage shoppers to spend more than they might have usually spent. This is what a good loyalty program is about – encouraging shoppers to be more loyal than traditionally.

Discount vouchers are perfect for the times in which we find ourselves today: offering a cash discount off their next purchase captures the mind of and budget-conscious shopper.

Another thing to love about discount vouchers is that they are owned and run by the store, thereby helping to drive overall store performance. This is better for the local business than a specific supplier funded loyalty program that only seeks to drive sales of products from that supplier. That type of loyalty tends to be of lesser value to the local store.

The best loyalty program is one that lifts the overall business performance, rather than merely shifting sales between suppliers.

Points based loyalty programs have been ruined by supermarket behaviour. Most customers would not know the dollar value of a point if asked I suspect. My thinking is the value of points is the inverse of the money spent by a retailer promoting their points. Noisy points program marketing = lesser value for consumers.

Looking at shopper basket data from plenty of newsagencies where discount vouchers from the Tower Systems newsagency software has been used I can see that magazines continue to benefit – the magazine department accrues the least value in voucher dollars yet it benefits the most from purchases made with a voucher as part payment. There are some departments, however, where vouchers accrued and redeemed tend to match, demonstrating terrific efficiency.

If you are one of the 1800+ newsagents with the Tower Systems newsagency software and you’re not using discount vouchers, check them out, they could deliver a terrific bottom line performance boost.

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marketing tip
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