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How do you justify a 600% increase in magazine supply?

gameinformer.JPGWe received four copies of the last issue of Gameinformer magazine.  Yesterday, we received twenty-four copies of the latest issue.  A 600% increase in supply is extraordinary even though we did sell out of the last issue.  It is easy for magazine distributors to be bullish about a title for it’s not their money, time or space at risk.  I would have like a request for permission to increase supply beyond a reasonable 100% in the case of a sell out.  Had I been asked, for it is my money after all, I would have agreed to a 100% kick and an agreement to more if sales warrant during the on-sale. While distributors don’t want excess stock in their warehouses in the event of a need, the current approach of making us the warehouse (and bank) is unreasonable as the 600% increase in supply of Gameinformer shows.

Maybe I am missing something here.  Maybe there is a reason for the increase.  I am sure that the publisher will say it is because they are pushing the title.  That’s fine – but a 600% increase?  I am carrying the risk for them along wit, maybe, thousands of other newsagents.

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  1. shaun s

    I had the same problem with a magazine 2 months ago , i sent the publisher an email stating how i was going to throw 80% of there stock in the bin because at $19.00 a magazine it was going to cost me to hold on to them for the full on sale time . I did not even get a reply to the email so it really makes me wonder when publishers say they are not profiting out of over supply

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  2. Peter

    i dont think it is the publishers that do well out of this situation. they have the costs of producing 600% more magazines, of course they may only sell 200% more of issue 2 than issue 1, so then they have alot of money in production wasted. perhaps by issue 3 or 4 they will make the right amount.

    i have said this before, i think it is the distributors who take a grab at ours and the publishers capital perhaps to play the short term money market or something?

    i spend approximatly 3 hours per week changing standing orders with the 3 distribution companies.

    we consistantly sell 5-6 people mag each week, and have a standing order to 6, but every few weeks we will recieve 25+. why?

    i wonder why we have our pos systems set up to send sales reports back to the distributors each night?

    peter

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  3. Mark

    Peter, The publisher sets the print run.

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  4. Chris

    Mark – are your stores being merchandised? Mine is and i received an increase plus POS for displays,multiple facings etc. As a gamer I know Halo Reach is one of the largest game releases of the year. Ive had a good response to both issue 1 & issue 2 so far at $4.95 and a monthly. All the other game titles from aust are $10 or greater

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  5. Mark

    Chris, we are mercahndised. The title demanded multiple facings because of the volume. My issue is with the 600% increase without permission and on the back of our sales performance in this segment.

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  6. Glen

    Issue 1 we got 7 copies, sold 1. Issue 2 we get 24 copies.

    The magazine supply system at its brilliant best!

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  7. Peter

    i stand corrected.

    why then would the publisher make (in your case) 600% more?

    peter

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  8. allan wickham

    Doesn`t the publisher rely on selling ad space in their mags? If they can secure an advertiser because they print and distribute x amount of mags does it really matter wether said mag sells or not?????

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  9. shaun

    So maybe in situations like this a phone call to one of the big advertisers in the magazine telling them that there advertising dollars are going in the bin would be a better option.

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  10. June

    Shaun, I often ring
    the publisher of a mag if I feel I am being unjustly treated (too many or not enough) of their product.
    They like the feedback and it allows them to take
    some responsibility for the over/under
    supply and rap the
    offending distributors over the knuckles with a little more clout than ours

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  11. June

    I just checked my supply of game informer and I got 3 for returns of 3 of issue no 1 and then it dropped to 2 this week. I must admit that I have found Network product has improved exponentially since I went onto xchangeitlink and they get my returns daily. Hope it continues because it has been a particular whinge of mine for many years that we are still returning approx. 53% of our mags and outlaying our cashflow like someone said “probably for the shortterm cash market” with threats of non supply if we do not
    comply.

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  12. Jarryd Moore

    Allan W,

    Advertisers look at circulation figures, not the number of printed copies.

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  13. Danny

    The only people who continue to make money out of oversupply are the distributors. They make money when it goes out and money when it comes back – on a per copy basis.

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