Posts here about newspaper distribution always attract plenty of comments from newsagents – usually around the same theme of the cost of the service versus the revenue. The challenge is that newsagents have contracts developed by publishers which control the model from start to end.
While some newsagents have handed back their runs, not enough have taken this step for publishers to be too worried. My feeling is that we are some way off a tipping point which would bring publishers to the negotiating table with fair offer. This is why I suggested a summit earlier this week. By taking the initiative, newsagents could set the agenda. The challenge is that industry associations, over the years, have not had the balls to take control of the relationship. I have heard industry association board members speak of the fear they feel of retribution if they work too hard for their members when talking to publishers.
Publishers are making money from newspapers, from advertising. They can afford to pay more. Newsagents need to find a way to negotiate around this.
I agree!
I also held concerns that as more and more runs were being handed back that soon the publishers would ‘lawyer up’ and force those remaining with contracts into more years of losing money. I felt no misgivings about walking away from a money loser, if the publishers are soon required to deliver their own papers then so be it. They made their bed.
what about all the telemarketing offers with no delivery fee and you always have to check if they have given you the credit or not. can we drop these offers?
I remember 2-3 times one of the customer service guys ask me if we are happy to give a customer offer or not in the case we referred them to publisher).
I think these telemarketing by publisher should be requested by us just like doorknocking.
To all those newsagents out there! Why on earth would you want a delivery run if you are loosing money or breaking even?
Give it away and put your precious time into running a Retail newsagency with more energy and time to build your business around higher Gross Margin items. Introduce new categories into your business. You won’t look back guys! It works for me and it can work for you. Don’t let the Publishers use you as pawns!
When people say they are ‘handing thier run back’ does this mean that the publishers are delivering the papers direct, selling/contracting the delivery portion to someone else or that area now has no home delivery?
Publishers are giving it to the nearest newsagent in that area that is willing to do the run – If every newsagent stood together as one big group and said “NO” to home deliveries – This would get the Publishers to the negotiating table
When I purchased the business last year in June – The previous owner was delivering 27 papers to a radius of 15km.
plus 2 Subagents. What a waste of time and effort in getting up at 4.30am to deliver 27 papers-it’s a joke. I now wake up at 6.30am –
This is a serious issue for all small town newsagents. It will only get worse when petrol prices go through the roof and stay there, its only a matter of time.
It angers me that organisations such as the ANF are not making serious efforts to resolve this situation.
If the ANF is looking for an issue for them to gain some credibility after the BXP mess then surely this would be it.
So come on ANF, contribute to this blog and tell us all how you are going to work with your members to fix this situation once and for all.
Is the ANF still active i have not seen an emails from them in weeks ,and the QNF are always sending emails letting us know what is going on in the newsagency world
We are considering handing back our run.
Although it is supposedly profitable – the hours and stress negate that.
What I would like to know is:
if customers are inconvenienced by not receiving their home delivered papers do they take out their frustration on the retail store (our shop) and buoycott it?
As I already know that the surrounding newsagents would not pick it up. There is another they are already trying to find someone to pick up.
Natalie thats a big issue for us too, and the only thing that keeps us delivering papers.
Seems those at the ANF are tripping over themselves to help us – NOT.
Natalie,
We sent out a letter to our customers explaining the reason why we are stopping home delivery and many customers do understand and many do not – We expeirenced a small boycott, but a few months later they come back and all is forgotten – the money that you would of spent on home delivery expenses – put it into local advertising and sponsoring the local community activities and you will get the support from your customers and more….
Natalie,
We also sent out a letter, only one customer had a complaint (out of about 500) the rest now come into the shop to pick up their papers!