I’ve been a flyer promoting Newsagents Products on Consignment – a business offering newsagents counter items for 25% GP – on consignment.
They offer products for up-front purchase for 50% GP.
I’m not a fan of consignment stock as it is easy to ignore and not work to maximum return. Also, GP less than 50% is not interesting unless it is high traffic generating product like magazines.
We need to tell stories in our businesses – ranging is more important than single products. At the counter, single items can work as long as they sell through quickly. My ideal counter lines generate $100.00 a week from a small footprint unit.
I don’t know anything about the consignment business. The model feels like something from the newsagency channel of old, not relevant to our needs as retailers today.
Totally agree. This is just what I thought when I saw it. About 20 years late.