STOP MAGAZINE OVERSUPPLY is the headline stripped across the cover of the October 1998 edition of National Newsagent magazine. Inside, the magazine has a series of reports about the challenges of magazine supply encountered by newsagents and what various stakeholders think about this. Plenty reporting on the problems, some suggested solutions but – as time has shown, no resolution.
One thing that struck me re-reading the magazine is the number of supplier representatives we have dealt with over the years who have joined our channel, looked at magazine distribution and said it’s not fair and that they would do everything possible to resolve this. Then they move on.
The head of Network Distribution Company at the time, Godron Toft, is quoted as calling for a minimum 50% sell through for magazines. He said Network already achieved that figure. Toft was probably right overall but certainly wrong on a title by title basis, especially if you took out ACP titles from the network pool. Toft’s call and claim are a good example of data being manipulated to serve suppliers and not newsagents.
Newsagents today are responding to magazine oversupply by cutting magazine display space. While this can fix parts of the problem, it does not necessarily feed into long-term business plans for a newsagency of the future. My view is that a reasonable magazine range is important to attracting a viable mix and number of customers to a newsagency.
I came across this issue of National Newsagent yesterday when culling some old papers. It’s not the only material from fifteen and more years ago about magazine distribution to newsagencies.
Mark, this proves one thing and that is the ineffectiveness of state and the national association on this matter. IMO the distributors G&G and Network etc could not give a toss when the associations come knocking on their door and will continue to do as they please until their is one united body with a common aim and strong enough to take on matters concerning ALL newsagents
Yes Gregg, it shows that on the issue newsagents want most attention nothing has been achieved.
I was invited to participate in a national magazine supply summit at the ANF in 2011 with all state associations there as well.
Options were considered and a plan of action agreed. I am not aware of any progress since.
Mark,
from that meeting with the ANF, did they circulate the meeting notes back to the attendees
John I didn’t receive any.
I explained that data was the key and that I could facilitate access to store level data proving the problem.
50% sell thru is a joke. Where else to we order 200% of what is needed in the hope of selling half.
When we see our ANF state representative selling Connect and wearing a Western top at a recent trade show, I question is my ANF membership.
That should read Western Union top
I know this is the wrong place to tell you this but just wanted to let you all know Coles somehow has a deal with the publishers of Inside Out Magazine and have been selling them for $6 now since June. I saw the promo when I went shopping today.
I agree Mark – data is the key.
The data is the key to proving oversupply as well as the long-term solution to the problem. It is the most powerful tool we have available.
While newsagents must work with the magazine distributors we must never forget that it is in interests to oversupply. Their business model is such that they financially benefit from oversupply.
While ever that is the case this battle will never be won with a softly softly approach. The only way the industry will ever win this fight is if we take it head on – vigorously and relentlessly.
Without an unfragmented national association, that has clear goals and is unshackled from commercial relationships, there is little hope for progress.
The distribution model for magazines has failed independent newsagents across the globe!
Will not be selling instyle ever
If Mark has the data and newsagents say that magazines are the number 1 issue, then why does the ANF refuse to do anything about it. Is it because they see nothing in it for themselves. What about the members.
guys, we also can sell instyle for $6 if we so desire – we just can’t ask for MORE than the price on the mag but anyone can sell for less so maybe Coles are just using this mag as a lead loss item.
By the way, the previous no 9 blog from Steve Denham is from the UK and it is interesting when I go onto his “betterretailing” site to read of issues that we Australian agents have had years ago just coming to the fore in the UK.
They still, for instance, put great stock in newspapers whereas here in Oz we know that they are a finite source of media and
will be a non contributing source of media the minute the advertising for print media converges with the advertising for digital media.
As they said on Insiders this morning it is not that print media is almost defunct but the advertising dollars are not now flowing like the “rivers of gold” they used to be and that is the problem for the publishers.
The answer is not IF but WHEN.
Yes, I can only agree with you June. The advertising industry has to be bleeding too. Producers of product in all forms now rely on free distribution of “likes” via twitter and QR codes and facebook mentions, they do NOT want to pay much for advertising in any form on paper.
Our only salvation really is quality over quantity.
I also feel that there is still a market for things that fill peoples’ time. Most of my customers are elderly, or unemployed, or children. They all still have 24 hours in the day to fill, with varying amounts of money to spend. My employed customers are time poor but very routine orientated, so repeat business, we work hard to maintain it.
It is Inside Out and I suspect it’s an ad deal.