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

Sunday newsagency management tip: are you open the right hours?

When was the last time you assessed sales by time and particularly at sales revenue at the start of the day and at the end of the day?

It could be that you are opening too early or too late or that you are closing too early or too late.

What does your data show?

Use your newsagency software to assess sales at the fringe of the day for, say, the last six months. Look overall and then for each day of the week. Good newsagency software should allow you to do this level of reporting. Work out the slew revenue per hour, apply your overall gross profit percentage and then deduct the hourly cost of being open.

If, for example, your average revenue is $30 for an hour at the start of the day and you have staff working this time and they don;t have much else to do those days and you have the industry average GP of 32%, your GP is $9.60. Once you pay wages for the hour you are losing money. If the customers are not regulars it could be that you are better off closing.

If, on the other hand, your sales are $100 or more in the first hour, it could be that opening earlier could win even more business.

Only you can make the assessment of what is right for your business.

My tip today is look at your data and make sure you are open the right hours for the best possible financial outcome for your newsagency. I’d suggest doing this assessment annually.

7 likes
Management tip

Leave a Reply

Your email address will not be published. Required fields are marked *

Reload Image