What do you make of this? On the day Fairfax increases the cover price of the Sun-Herald to $1.80, News Ltd boldly advertises, above their masthead, a $1.00 home delivery offer for the Sunday Telegraph. The pitch to their readers is clear – DON’T BUY RETAIL. Hmm, yet they demand retail newsagents place their product in the best possible, and most expensive, position in-store.
From this amazing $1.00 deal, News is apparently paying newsagents no delivery fee for the first six months and half the usual delivery fee for the next six months if they renew – on top of 25% of the cover price. So, newsagents share the risk/costs of the promotion. It would be fairer if newsagents shared in the resulting upside of advertising revenue.
I appreciate that News Ltd needs to look out for itself first. Newsagents need to look out for themselves first. It’s unfortunate that newsagents get caught in the battle between publishers – we only make money from the cover price.
Hi Mark,
I think you raised a very valid issue. As a newsagent I see my core business being eroded slowly away and question what is the future direction and what will be the new core product that I’ll stock to replace dwindling newspaper and mag sales ??
Regards,
Phil Esterman
Yes, they have devalued their newspaper yet again,
for a start i have full paying home delivery customers going over to the $1 deal. so I am going backwards, because now i’m doing it for free. news ltd could atleast pay us the delivery fee if they want to drop their pants on subscription prices.
and then customers instore getting upset because they have to pay $1.60 when they could be getting it delivered for $1
Stupid idea news ltd. whilst you may think its smart.. it isn’t.
We had news limited and fairfax marketers door knocking our delivery area last week without even notifying us they were doing it. The first I knew about it was when customers started coming in with slips of paper to start delivery. When I told them I had to wait for notification from the publishers before delivery could start they were not happy. A so called industry partner would have at least let us know what was going on. As well as this we have to deliver for free thats great business.