Several newsagents have sent me the GNS annual report for the year to June 30, 2020. It details a decline in revenue and an increase in losses.
With all newsagents remaining open through Covid and many doing so well that they did not qualify for JobKeeper, it is surprising to see the extent of the GNS losses. But … the business is going through realignment so time may show these results to be transitory.
The note in the annual report about the reduction in the number of newsagencies cited as a material risk needs to be noted:
For what it’s worth, I think the company continues fail on the technology front. Smarter and more modern engagement with retailers, including newsagents could reduce leakage to other suppliers, increase purchase, and provide data that can be leveraged to help newsagents increase stationery sales.
The leakage to other suppliers is now a torrent or flood of money of the highest order. I myself now almost spend as much as I spend with GNS with another supplier to the detriment of my GNS spend.
The IT, website is the worst I have ever used. I complained to my Rep who is in ridiculous Northern Qld while I am in southern about it. I was told it is the best there is and was proud of the fact it was done by in house IT staff. I have kept complaining about the website. However my rep seems to think I will cop what I am given even if I consider it to be rubbish.
That should read
“I am in southern NSW about it.”
apologies for the typo
I have also told my rep that it is now easier to order from GNS competitors than it is to order on the new web site. And I am choosing to order as much as I can from the competitors.
GNS want me to enter my order into excel, convert it to a .csv file and then upload it to the website. Apparently this will be easier for me than using the ‘fast’ order section of the website.
I have tried asking for improvements but months later they only way left for me is to send a message via their hip pocket. I am only a small fish so I am probably not making a significant difference. Perhaps others commenting here will help?
Mark,
Peter from previous comments I totally concur with you.
My POS software co. helps retailers connect with suppliers across 10 retail channels. The GNS approach is the worst I have seen. I am confident it is losing them business. I have told them this.
it looks as if there are a number of industry suppliers and others facing difficult times with Octavo as well without having not only the stock problems of supply from GNS the access in these times through an efficient website one would think to be paramount.It has certainly been pointed out to them on this Blog let’s hope they take notice and do something urgently. Maybe as a suggestion, as there doesn’t appear to be any conflict of interest ,they could consult with Mark as his websites work well. I guess they would be aware of this anyway.
I mentioned in the post before this Ovato (spelt wrongly) of which I didn’t take further for it’s not this post however I will absorb some of the in formation Mark posted as it is very interesting. there is no simple solution to Ovato and it’s much more than just liwuidity problems. I didn’t mean to confuse my post re GNS problems