The 2026 Cliff: Why A “Wait and See” Strategy By Any Retailer, Especially a Newsagent, is a Business Killer
This is serious. It’s why I am writing about this again. Another newsagency has just closed. It was old-school, living in the past. The owner’s decisions, or lack thereof, caused the closure, not that they see it that way.
The divide in the Australian newsagency channel is no longer a crack is huge. As we move deeper into 2026, the data from my 2024/2025 benchmark study confirms a brutal reality. Retailers clinging to the “agency” model—relying on lotteries, newspapers, and magazines—are watching their business value evaporate in real-time.
If your revenue is down 10% or 15% year-on-year, you are not experiencing a “slow patch”. You are witnessing the end of a business model that began in the 1800s. The 2026 closures have already started. To ensure your shop is not on that list, you must act with a level of urgency that matches the speed of the market’s decline.
Stop Being an Agent, Start Being a Retailer
The “agency” model is a trap. Whether it is parcel services, bill payments, or transport tickets, you are at the mercy of controlling companies that will always squeeze your margins to maximise their own. You take the risk, you pay the rent, and they take the profit.
The most successful newsagencies I see have made a psychological break from the past. They no longer see themselves as agents. They are independent retailers. They understand that their future lies in high-margin, “want” based categories where they, and they alone, control the retail price and the gross profit.
The Data of Survival
The contrast in performance is stark. While traditional lines are flat or declining, transformed shops are seeing:
- Gift and Homeware Revenue: Up by triple digits in some locations.
- Specialist Stationery: Attracting enthusiasts who spend $250 per visit.
- Collectibles and Toys: Tapping into massive online search trends for brands like Pokémon, Lego, and Hot Wheels.
These shops are not “lucky”. They have used their data to identify what is working and have had the courage to double down on it. If you are not running a Monthly Sales Comparison Report today to see where your quantity sold and dollar value are shifting, you are flying blind toward a cliff.
If You’re Up For It, I Have A 24-Hour Action Plan
Transformation does not require a five-year plan. It requires a 24-hour reset.
- Purge Dead Weight: If you have stock that has not moved in six months, it is not an asset; it is a liability. It is taking up space that could be used for a high-margin “breakout” category like clothing, books, or high-end plush toys. Discount it by 50% and move it out now.
- Reclaim Floor Space: Walk to your front door. If the first thing a customer sees is a wall of newspapers or fading magazine posters, you are telling them your business is irrelevant. Move the papers to the back. Clear the windows.
- Invest in a “Moat”: In 2026, a blog on your own website is your most effective digital marketing tool. Stop posting “generic slop” on social media. Write about your products. Solve a customer’s problem. Build a digital presence that reaches people who will never walk past your physical shopfront.
Take Responsibility
No marketing group or software provider can “make” you successful. They provide the tools, the data, and the opportunities, but you must be the one to engage. Many entered this industry because of the perceived ease of the traditional model. That ease is gone.
The opportunity for a thriving, valuable, and enjoyable business is still there, but it is reserved for those willing to disrupt themselves. Do not wait for 2027 to wonder where it all went wrong. The time to pivot is not next month. It is today.
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Mark Fletcher founded newsagency software company Tower Systems and is the CEO of newsXpress, a marketing group serving innovative newsagents who continuously evolve their businesses to be enjoyable, relevant and successful. You can reach him on mark@newsxpress.com.au or 0418 321 338.






