We change our behind the counter display at least fortnightly, to provide shoppers with an impulse purchase opportunity. We go for bold, brand-focussed displays. This latest one has worked a treat.
My advice on behind the counter displays is: keep it simple, have a single focus, be bold and shine a light on a hero brand. You know you are on a winner when shoppers add to the basket at the counter.
These Jelly Rings sell better at the counter if one in the display unit is turned on. One flashing attracts attention and attention = sales.
From Independence Studios, the Jelly Rings are part of a range of counter and candy-lane products we embrace. While not for everyone, they work for us as we are surrounded by retailers with discounted candy.
In one of my newsagencies confectionery is not strong enough to justify premium counter space so we have been trying more impulse purchase items. Our requirements are 50% GP or more, rapid turn and small footprint. These USB car chargers are ideal for our purpose – easily understood, good margin and good price point. We’re making more money from these than we make selling chocolate bars.
I appreciate our situation is not common in that most newsagents continue to enjoy success with chocolate at the counter. I expect that newsagencies in shopping centres will sell less confectionery in the future with the growth in convenience stores and stronger competition from new generation petrol outlets.
We’re promoting Robo Fish at the counter with this simple fish in the bowl display.
The supplier thought of everything giving us what we needed to set this display up in a small amount of space and to make the product look compelling for shoppers at the counter.
This is a terrific fun product and brings smiles to the faces of shoppers – I love that since even people not buying this get enjoyment from seeing the fish swim.
Our sales of the Hallmark Scooby-Doo! branded interactive story buddy product are terrific. We’re now chasing a mid-season bump by adding more Scooby-Doo! branded merchandise.
In addition to the Hallmark product and a comic, we have added Scooby-Doo! figurines. This display has products from three suppliers, making the most of the licenced product opportunity.
We chase licenced product opportunities from multiple suppliers to tell a good story and maximise sales. Licenced products are valuable!
From our display, we have shoppers purchasing all three items as a gift, delivering to us a far more valuable basket.
This is what we need to do in our businesses – pursue licenced opportunities to drive basket depth and to establish our businesses as the go to stores for these well-known brands.
Confectionery is the most common product available for purchase at the counter in most Australian newsagencies. This is how it has been for decades as we have copied others with a last minute impulse purchase of a chocolate bar, chewing bum gum or mints. Since we’re copying everyone, margin is not ideal, indeed, it’s below the average margin we need and should be relentlessly chasing.
Too often, newsagents are stubborn in considering breaking free from confectionery at the counter. I put this down to fear that an alternative might not work and laziness in that they don’t have to think about alternatives. The reality is that plenty of newsagent suppliers offer good alternatives, higher margin alternatives, alternatives that could replace just some of the space taken by often under performing confectionery.
The glitter twist bangle in the photo is a good example of an ideal counter line that is better than confectionery. It’s purchased on impulse, has an excellent margin and moves your store away from a me-too counter.
Newsagents can be lazy when it comes to their counter. I know I have been. If what you are doing at your counter today is what you were doing a year ago, two years ago, longer – step back and reconsider your position. Is it the best you can do? Does it serve your business needs? Are the products delivering the margin, return on space and return on investment you need? Do the products reflect a point of difference?
Make a decision about what you want your customers to do at the counter, what you want them to buy on impulse. Be a retailer and manage the counter for your success.
Sometimes we complain that our customers don’t recognise our businesses from others. This is our fault. We control how different opur businesses look – outside mandated shopfits such as lotteries of course.
We have these christmas themed chocolate moulds as the counter as an impulse purchase item. I like them as they are unusual for a newsagency counter and are pitched at the right time of the year. I also like that they are easily understood. It’s counter offers like these that we need to do more of.
I am moving more away from traditional confectionery lines at my newsagencies.
We continue to enjoy good success selling nail files at the counter of a couple of my newsagencies. Granted, these are cute looking fashion items, not your traditional nail file. They are an easy item to add to an existing purchase, often using up loose change. They are great for us in that they deliver a 50% margin. A nice add on to a newspaper or a magazine sale.
Too often newsagents clutter their counters with products which suppliers request be placed at the counter. Every item in such a prime location should be there because it is delivering the premium financial return befitting the premium nature of the space.
We give a new product a week. If there is sales movement, it stays. If there is no movement, it is either moved to a different counter location or elsewhere in the shop.
At the counter we have had tremendous success with: lip gloss, nail files, key rings, seasonal pens, novelty items, seasonal candy, branded stationery items being promoted in high rotation on TV and items which connect with news of the day – such as a shredder connecting with identity theft.
These are just some of the counter opportunities for newsagents. The keys are to have a crack … you will soon find what works for you. Don’t obsess about the ticket price. For example, something which sell for $1.00 and which has a 50% margin is great value if added to a newspaper sale. You are doubling your dollar margin (depending on your location and situation) for less than double the sale value.
Look at your counter from where your customer stands. Be critical about it. De-clutter – by taking EVERYTHING off and rebuilding.
Remember, you own the counter, you ought to control what is placed there.
I first wrote about Angel Flames as a good counter offer two and a half years ago. They are just as good today. We can easily sell a box in two weeks … at an excellent margin. If you sell plenty of birthday cards for 1 through to teenage years then they should work for you. I’d encourage newsagents to put them in the counter offer roster – bring them out probably once a quarter. We get our stock from Jasnor – other suppliers have them too.
We have expanded our AFL cards counter display to include the new range of cards which arrived on Friday. While the select range has been selling well, it is this new range which our regulars love and which attracts new traffic thanks to good word of mouth.
We have grown sales by more than 10% each year for the last three years through an excellent counter display. Newsagents who have only one or two packs at the counter should try a bigger display. We found that switching to this has worked very well for us.
We have people buying just the AFL cards but the majority are adding cards to other purchases and thereby building sales efficiency.
The manager of one of my stores bought the Medi Buddy as a counter offer. I was surprised, saying that the $12.95 price point and the product itself made it a questionable counter offer. The five units sold in barely three weeks. I was wrong. It is amazing what can work at a counter. Adding $12.95 to any sale is good for business, especially when the impulse item has a better margin than most products it is purchased with.
The keys to success appear to be: a good holiday offer, good packaging and uncluttered placement at the counter.
Our plan, once we sell out, is to replace this at the counter with something else.
