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

Do we need the People yearbook in Australia?

peoplemag.JPGThe People magazine yearbook has an expected shelf life of four months. It has a cover price of $17.95 and a potential margin for me of $4.48. I need to sell at least a copy a month just to pay for the real-estate it occupies. I still have the stock I received a week ago. If I don’t sell any by early April I will return the stock. The cost of the space and the risk of theft is too great.

I’d expect that People is sold into Australia by the US publisher on a firm sale basis. I can’t see local sales being counted for their US audit. If I am right then why can’t we purchase it firm sale and for a considerably better margin? The high price, too, ought to drive a better margin – because of the higher risk of theft. The current numbers don’t work.

The current situation which gives us little or no control over a title like this accessing our valuable network is unfair to newsagents.

The magazine distributors groan when they read a blog post like this but they soon forget about it because they know that newsagents do not have the guts to fix this problem.

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