Plenty of newsagents with their own website are enjoying terrific online sales, and by terrific I mean good enough to add real value to the bottom line of the business.
In my own 4 shops we run for store specific Shopify websites, and they are doing well … but more on the results of those another time.
For many years, newsXpress has offered free access to members to sell on network connected Magento based tech websites for Jigsaws, Pop! Vinyls and Beanie Boos. These websites generate online sales for businesses without the need for a local store website.
What’s unique about the websites is that they offer shoppers a single warehouse view for items located across the fleet of connected newsXpress businesses. This tech was built before Magento offered it. It was ground-breaking on so many levels.
People shopping on the site can also see exact current stock on hand data at the store level. We do this to drive in-store traffic. We know from Telstra data that more than half of the time people use a website is to see what stock is available in a shop they are considering visiting.
By offering shoppers access to inventory across a fleet of stores drives a deeper basket. The tech of the website preferences stores closest to the delivery destination, fanning out based on availability.
It is common to see big sales, like this one from yesterday morning going to Moreton Bay in Queensland:
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For orders over $100.00 shipping is free. It is subsidised by newsXpress to help member businesses maintain good margin. They purchase the Boos for a lower price than any other retailer, which also helps.
I share this here today for a few reasons:
- There are some in our channel who talk down online, saying it is not big in newsagency businesses. I know of plenty of newsagency businesses where online is more than 25% of revenue. I suspect they talk it down as that narrative suits their commercial interests.
- There are some newsagents who don’t think they can do online. Some of the businesses listed above thought that too. All they had to do is to flick a switch to get sales.
- Online revenue is usually to people you will never see in your shop. It’s icing on the cake revenue that leverages existing inventory, labour and space.
- Collaboration magnifies the value opportunity for newsagents. Our channel started as a collective of small businesses working together. Over the years, the collective faded away. Small businesses collaborating to support a single website help those businesses win sales they would otherwise not win. This sale, a not uncommon sale, is an example of the value of collaboration.
- Actions speak louder than words. In our marketing, newsXpress says it offers these types of group member websites. This post backs that up with evidence. This Boo website has been live for many years. It has generated millions of dollars in revenue.
- Some in our channel say Beanie Boo sales are dead. I say there is no evidence is sales revenue that is the case.
- Some say it costs too much in stock. I know of newsXpress businesses winning good Boo sales from $1,000 in stock.
- Some say online is too hard. It’s not when you have good head office support and good tech for capturing and managing sales.
- Small businesses can compete with big businesses. This sale represents and the Boo website offers proof that small business retailers can compete with big businesses. Big W, target and K-Mart can’t and don’t match what this time offers, and shoppers understand that.
The big thing about online and those who talk it down or question results, you don’t know what you don’t know. By this I mean, unless you are active in the online space, and I mean deeply active here running 1, 2, 3 or more consumer-facing websites of your own and have done so for several years, you really don’t know what you don’t know.
I have discovered that for myself.
We launched a new consumer-facing website a few months ago. It did okay, but was soft. We looked at how people engaged, where they spent time, what they picked up but did not purchase, and more. We modified the website and it was like turning on a tap. $15,000 in sales in 4 weeks. $15,000 additional revenue for the newsagency business. 50% margin business. Business leveraging existing stock, labour and space. And, this website is a baby, it’s not even walking yet.
I have to say, though, that what I have not yet covered here is the website failures, and there are some glorious failures that have been wonderful learning experience. the successes today stand on the broken bones of those files websites. It’s what happens in business: try something and if it fails it becomes a success by teaching you things.
Online is not going away. I think it is essential for every retail business to have an online opportunity in their business. The best opportunities will come from those connected to, those who understand your business those who want to help you bring it to life for you, and not your local web developer or accountant.
Is this a newsXpress pitch? Kind of. But it is more a pitch about the importance and value of being online, being found by people who do not walk past your front door … because it is those people who offer you the icing on the cake opportunity, the bottom line net profit hit we all love to see.