With the return from newspapers declining in most retail newsagencies, due to declining over the counter sales and higher space related operating costs, retail newsagents need to find ways to retain the category but at a lower cost.
One easy move is to place newspapers in less valuable space, usually at the back of the shop. While many newsagents have made this move, many have not. Indeed, there are plenty who retain the old-school large format newspaper display in prime position facing the entrance to the shop.
In an average size retail newsagency with rent of $60,000 a year you would need to sell 30+ newspapers a day to cover the cost of the space before you even consider labour and other costs.
Since newspaper sales are declining rather than increasing, it is important to consider options – hence my thoughts today on newspapers at the back of the shop.
The common objection to newspapers at the back of the shop is that customers will complain. My experience is one or two right, but most will not. This is especially true if they are easily found, can be browsed and are well displayed.
If you have not relocated newspapers yet, I suggest you try it with good signage, an easily shopped space and a plan to make good use of the front of store space you free up. In fact, this is crucial. If customers see you making good use of the only memorial (boat anchor) newspaper stand at the front of the shop they are more likely to support your move.
So, make a deliberate move, make it easy for shoppers, show through actions why you have made the move and ensure everyone on the team understands why.
Since you pay the rent, the wages and other costs, moves like this are 100% yours to make. If you feel this is the right move for you, do it without worrying too much abut the folk who may complain or have a negative opinion but will nit contribute to the operating costs of your business.
I appreciate some want newspapers at the front of the shop as they want to identify as being a traditional newsagency. That is 100% cool, as long as you make the decision that serves your needs and how you see hour business.
Oh, and here are ideas for the freed space: Toys, Homewares, Gifts, Fun, Retro and more … products through which you can pitch to new traffic.
We did this about a year ago and have had no complaints, but a few ppl do look lost, even a year later. But we will persevere. We just watch them as they arrive in the store. It is not hard to figure out what they want if it is a newspaper and they look lost. Of course the regulars soon learnt. On weekends we stack papers near the front as a second location.