The newsagency gift offer is changing: ignorant suppliers will lose out

Gifts in newsagencies can mean many different categories of products – from low price to high end, from simple predictable items like mugs to one-off decorative pieces, from under $20 price points to $500 and more.

The gift category is one which suppliers ought not make an assumption about.

This is on my mind today because of a debate I had yesterday with a circulation product supplier, what I’d call a legacy supplier. They derided newsagents for thinking their future lay in selling kitch gifts. If only they realised how good they have it with magazines the supplier said. We do all the work for them, yes they said that too. I suggested they get out more and into newsagencies where the gift offer is far superior than you would find in many specialist gift shops.

This supplier thought they had a good future in the channel because they thought newsagents were getting it wrong with gifts. It’s an odd way to look at it.

Our channel is changing and while there are some newsagents who think gifts are items priced at $20 and below and of a type you’d find in discount variety stores, the newsagents having the most profitable success with gifts are those who are specialising and making their gift offer a destination for their business.

It would be wrong to think that all newsagents with gifts sell the same items. Indeed, it is in the gift category where I see some of the most significant differences in newsagencies. Sure, this separates newsagency businesses – I say that is a good thing as the strength of an independent retail business will be its service os specialist needs.

The gift category is one through which we can leverage our Unique Selling Proposition through the products we offer.

Legacy suppliers need to spend more time in many newsagencies to see how our businesses are evolving and how diverse the channel has become. This evolution is another reason newsagents are becoming more demanding in terms of control and margin.