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Newsagent representation

The ANF advertises Officeworks on its website?

anfofficeworksThis image (click on it for a larger version) is a screen cap from the ANF website yesterday. It shows the last paragraphs of a news story about a newsagency on the ANF website. Immediately after the story is an ad promoting ink and toner at Officeworks.

The image was sent to me by a newsagent.

The ANF, the body that claims to represent newsagents is advertising one of our most aggressive big business  competitors.

There is no excuse for this.

I expect the ANF response to be something like – we have signed up for an ad feed and can’t control the ads or it’s the fault of our blog software.  To that I would say: you at the ANF, representatives of newsagents, need to be accountable for the decision that saw stories you publish about newsagents being used by Officeworks to grow their business and generate revenue for you.

The ANF is profiting by promoting a business competing with those the ANF claims to serve. The ads appear to be served through gravity.com. From what I can see, you need to register for Gravity. The Terms of Service show how little control the ANF has over advertising on its site.

Those responsible for Officeworks ads appearing on the ANF website ought to apologise to newsagents and resign.

Anyone from the ANF is welcome to respond here – as they always are.

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Newsagency management

Why is the ANF promoting discount stationery?

bpThe ANF and GNS are both shareholders in Newspower. They also both exist to serve newsagents. These two connections between the two organisations alone ought to align their interests yet recent activity by the ANF suggest they are not aligned with GNS.

On Friday, the ANF sent out an email to newsagents promoting Buyers Paradise – a business that appears to offer remainder stationery and related lines. Their pitch is about price. It’s a pitch at odds with the brand focus of GNS. Brands support our channel, often funding industry events.

The ANF support of Buyers Paradise looks misplaced to me. But maybe there is something I am missing. If you think I am please let me know.

The ANF will say it was an advertisement. Indeed, the subject line makes it clear: ADVERTISEMENT: New profit source for essential stationery supplies – everything @1.50 plus bargain deals on gift supplies, party supplies, batteries.  However, all actions by the ANF need to be considered through their charter to serve the interests of newsagents.

If I was an ANF member and a GNS shareholder I’d want to know why the ANF is actively promoting a GNS competitor. I’d want to know what due diligence they have done into the Buyers Paradise business. I’d want to know whether there is any connection here that could impact on Newspower given that the ANF and GNS are each shareholders in Newspower.

I checked out Buyers Paradise on ASIC and found that it’s a registered business name but not a company. While that is not a big deal, it does put them on a different footing to, say, GNS.

I emailed the ANF Friday about this but have not yet received a response.

35 likes
Newsagent representation

What newsagents want from an association in order for them to join

Here are all the responses to the third question on my newsagent association survey from the weekend. The third questions asked: If you are not a member of an association what must they do to get you as a member?

  1. Close the QNF, close NANA, close VANA and replace all the staff and board members at the ANF with people who have a plan for helping newsagents.
  2. All I want is for them to be relevant.
  3. Get better quality board members. The nana board is clueless if you listen to their statements in the last few months. They sound years out of date and irrelevant.
  4. Hire smarter people.
  5. Fill your boards with newsagents who actually put their head up and speak to other newsagents. The current boards at the state and national lever are faceless men.
  6. Publish a national journal that has professional editorial principles.
  7. Stop investing newsagent funds in things like hubbed that will never work because the world has moved on from that. The ANF investing in it without transparency then and even now is the biggest reason to not join.
  8. I was a member of the ANF and VANA and quit them When they told me to keep paying the   Bill Express equipment lease when others told me to stop. They never apologised for getting it so wrong.
  9. Get smarter people on the boards who actually have a plan for the future of newsagents and who are more open and transparent with newsagents.
  10. Stop wasting newsagent funds on flying around the country going to meetings and dinners that don;t achieve anything for everyday newsagents.
  11. They do not provide anything of substance for the fees charged.
  12. Show me what they are doing to help my business that is worth the membership. The ANF seems too busy endorsing products and services instead of lobbying to fix problems in the channel.
  13. Become relevant in today’s market and focus on ways to add value to our businesses not just provide OH&S info and deals that they get a kick back from.
  14. I was a member, but resigned. found that I got nothing out of the association.  When I did use them, I never had any results.
  15. VALUE FOR MONEY
  16. Do more for newsagents and show some backbone
  17. Show some effectiveness in representing our issues to principals and lawmakers
  18. Be proactive in promotional programme to promote Newsagents as a destination shopping experience and not just keep our industry as a shop that nobody knows much about except that we deliver papers.
  19. Use people qualified for the positions.
  20. Act for our behalf with full transparency with no self interests.
  21. Do their job and protect newsagents’ interests
  22. Achieve results
  23. Be seen to be making meaningful progress on magazine oversupply. I cannot think of anything else. I paid my dues for 10+ years and got nothing but a ring side fight at a little kids squabble. I think I have paid enough to get nothing.
  24. Member tas anf – until all associations co-operate fully will not get value for money. Ben Kearney does get involved and does good job. associations should not be involved in commercial operations though – their impartiality should be paramount,.
  25. Represent us on core issues getting a better deal for us from newspaper publishers and magazine distributors. They need to show these core suppliers that the newsagency industry industry is more valuable to them than the supermarkets and other outlets they are currently giving so much attention to.
  26. Once the associations achieve and maintain this, then they can look for new industry wide opportunities for us that ALL newsagents will benefit from.
  27. They lost me because they treated my subagency as second class even though they were willing to let me join and pay my dues for little or no benefits that other newsagents were receiving.
  28. Fight hwt and fairfax about better commission
  29. Actually be an association and serve newsagents and not just the newspaper deliverers.
  30. We were a member and have recently resigned as they have been no help with the T2020 fiasco nor the Intralot deal some years ago. They are still allowing themselves to be dictated to by the publishers
  31. Forget about deals on ins etc and tackle the big issues.
  32. Was a member . Would not consider again.
  33. Stop supporting businesses like hubbed without due diligence.
  34. Start working on what really matters to newsagents: magazine oversupply; fair compensation for retail newsagents of newspaper sales; labour rates.
  35. Be relevant to today’s world and stop looking after the distribution only newsagency businesses, probably because VANA is being run by one.
  36. Start giving us what Newsagents want, represent the industry. Stop trying to make commercial inroads to support their overheads. Stick to what associations are set up for represent and lobby for their members.
    do something in the interest of newsagents!   Take on the oversupply issues and have a win!  Take on coles/woolworths special promotions they get regarding magazines and have a win!  They just don’t seem to do anything and if they are having wins on our behalf – they are pretty lousey at self promotion.
  37. They do nothing, the industry was deregulated over 10 years ago and they have stood by and let all sorts of change occur to the detriment of the channel. Here are some specific examples.  1. Newspaper distribution- why are the still allowing the situation where a retard masquerading as a retailer who is also a distributor control what his subagents get to the point that it costs the sub agent sales, the ridiculous extreme of this is Melbourne papers in a prominent se qld holiday area, where the only agent open on a Public Holiday afternoon is the only one who doesn’t get Melbourne papers- because he isn’t a newsagent?   2.I have seen no evidence of any effective lobbying or working to relieve the pressure brought on by stupid penalty rates that are crippling weekend trade and holiday trade.   3. The same lack of effective lobbying for leasing issues.  4. When the QNF is staffed and associated with brokers who are also directors or strongly connected to one marketing group and clearly use their insider trading knowledge to their own advantage.  4. After the flood and all our Insurances went thru the roof, the QNF went on a roadshow to justify the insurance companies position, even if you were in an area that had never flooded and had no chance of flooding.  5. I have not seen any actions to remove the restrictive trade practices of the Magazine companies, starting with having to pay a bond, gross over and under supply issues, holding new entrants/owners to ransom because of previous owners bad business ethics.  6. Being an active business partner and working to resolve real issues, providing guidance and real retail education.  7. The one thing they did wade in on and hold up for 18 months was the changes to the lotto renumeration model, I am led to believe that had they not charged in it would have gone thru a lot sooner- who in their right mind could expect that the model would be different to what had been accepted in every other state.     Address all these things and they might start to gain some support, but until then forget it.
  38. Grow a spine, have a new set of teeth fitted and offer some value for our investment.
  39. 2. Is not easy to answer. Any help I have asked for has always been productive. However after all these years why can’t they get the magazine companies to adjust supply?
  40. To little, to late, the ANF-QNF is an absolute joke. The QNF sells out it’s own members, I know from personal experience. No need to say anymore..
    stop getting involved in commercial enterprises and focus just on industry issues.
  41. Need qualified people to represent the positions and to stop getting involved in commercial opportunities that the Marketing groups already cover.
  42. Start tackling national issues such as weekend wage rates.
  43. I was a member of the QNF. I pulled my membership because of a lack of response to a problem I had with a magazine supply issue.
  44. BEEN A MEMBER FOR 18 YEARS. PUT MORE EFFORT INTO MAGAZINES, KEEPING NEWSPAPERS RELEVANT AND STOP FIDDLING WITH PERIPHERALS LIKE NSTOCK.
  45. Stop wasting newsagent money.
  46. Unite the industry and fight for the industry as a whole. The Pharmacy Guild is a good example of what the associations SHOULD be doing.
  47. The first thing they have to do is gain my trust, however as I am no longer sure what they actually do, I’m not sure how they would go about gaining that trust.    Perhaps if the ANF were to list some significant outcomes for Newsagents over the last couple of years it might be a start so I could then weigh up the pros & cons of being a member.     Given the ANF is unable to meaningfully negotiate with Newspaper Publishers or major magazine Distributors/Publishers, putting together a list of significant achievements might be the biggest challenge they have taken on in the last few years.
    nothing. We have no interest inbeing a member of any association. After 35 years being a newsagent and  being in various associations they have NEVER benefited us only cost us lots of money
  48. Tackle real issues. Magazine distribution would be a massive step.
  49. Stop wasting money. Communicate better. Do things that are relevant to newsagents.

I edited out one response as I considered it defamatory and I am publishing this post – as opposed to comments here which are published by the commenter.

19 likes
Hubbed

Newsagent association relevance survey results

assnrelHere are the results of the newsagent association relevance survey I ran Sunday through yesterday.

Of the 225 respondents, 163 (75.81%) said they were a member of an association and 52 not.

Of those currently a member, 63.31% (107) said they were not getting value for money from their membership.

The third question contains the most valuable data – what newsagents who are not part of an association want from an association for them to consider joining. I will publish that list here shortly.

6 likes
Newsagent representation

Weekend survey: newsagent association relevance

I have created a three-question survey on newsagency association relevance. Please click on the link to take the survey. I created the survey as a result of a discussion with a newsagent at the Melbourne gift fair who said they got more value from their gift association membership than from their newsagent association membership. As newsagencies evolve away from the core old newsagent association concerns matter less.

7 likes
Newsagency management

What can magazine publishers and or magazine distributors do to stop newsagents early returning magazines?

I asked this question as part of my early returns survey this past weekend. Here are all the responses – from survey participants, not me – to this question exactly as entered except for some spelling corrected. The sequence is that in which they were entered by newsagents with response #144 being the first.

Magazine publishers and distributors this is for you. Newsagents want one thing – fair supply based on sales data. That’s not hard at all. If you value us as a channel you will listen and respond.

  1. Be quicker to cancel mags.  Be quicker to provide new mags when a customer wants one. At times I have had to wait for the2nd issue and of course, by then the customer buys a subscription online.  I should be able to cancel non performing titles even if their system says I have sold 1 copy!  Big deal.  Shez – that 1 sale the person could have moved away, or anything yet I am TOLD I have to carry it for months and beyond because of 1 lousy sale!
  2. Don’t supply us with magazines we don’t need – Please check sales data ! SIMPLE !
  3. Supply quantities based on sales
  4. Not send new titles without us opting in. We are a small newsagency in a country town, we know our clientele, there are some titles that will not sell.
  5. USE SALES DATA MORE EFFECTIVELY. ALSO IPS IS RIDICULOUS ABOUT RETURNS AND SENDS IRRELEVANT MAGAZINES JUST ONE EXAMPLE IS OFFICE CONCEPT ONE OF MANY
  6. Supply reasonable quantities
  7. Stop sending crap that doesn’t sell and start using xchangeit for what it was designed for. I done see why I should become their banker and warehouse.
  8. Supply amounts using far more up to date sales data
  9. Invoice me for sales per my POS/XchangeIT systems and eliminate returns entirely.
  10. Stop sending so much rubbish!!!
  11. Stop over supply
  12. I know what i want so let me set my own titles and amounts. It is that easy!
  13. Trust us to set our own supply quantities
  14. Start using their sales data in a constructive way
  15. Start using the data from XchangeIT that they insist we provide them
  16. Stop over supplying.
  17. I WILL CONTINUE TO EARLY RETURN AS IT ALLOWS US TO RESPOND QUICKLY TO CHANGES IN CUSTOMER TRAFFIC IE SCHOOL HOLIDAYS, LOCAL FESTIVALS REQUIRE MORE STOCK , SUMMER MONTHS, QUIET PERIODS REQUIRE MUCH LESS. WITHOUT EARLY RETURNS THERE IS A LARGE FLUCTUATION IN MAGAZINE BILLS WHICH MAKES CASH FLOW MANAGEMENT DIFFICULT
  18. Use the sales data they make us pay to give them properly
  19. Get serious about sales data! I am sick and tired of this massive oversupply issue; particularly when my sales data clearly shows what i need.
  20. Stop over supplying
  21. Supply sensible quantities …. Not have two or more issues expected to be on sale at any time ie in motoring and craftwork… work with us not against us
  22. Send the right amount. Send at beginning of month. Use SBR correctly. Ensure magazines aren’t to thick. Do not add FREE mags and ridiculous giveaways that cant be placed on the shelf.
  23. DON’T OVERSUPPLY. ALLOW ME TO SET MY SUPPLY AND GIVE ME AN OPTION TO RECEIVE NEW TITLES NOT JUST DUMP THEM ON ME.
  24. Consult with us & allow us to select titles.
  25. SUPPLY BASED ON PREVIOUS SALES
  26. Allow newsagents that are keen to build their business make these important decisions.  If a newsagent has registered  (at cost!) to XchangeIT then charge us for what we sell.  No need to process returns  must be some recognition for newsagents who are compliant and try hard!!!!
  27. Use our sales data
  28. Delay billing for all on sale period, select the titles and qty ourselves
  29. Send me 1.5 times my average sale and no more.
  30. Allow 60 days trading terms.
  31. Correct use of my sales data
  32. Use the data that is supplied to get it RIGHT!
  33. I want the titles I sell in the volumes I sell plus a few extra, with the ability to adjust these figures up and down based on MY needs.  The day we get fair control over the stock we receive and therefore become liable for is the day we can concentrate on selling, rather than managing, the stock we receive.  Sadly, I dont believe we will ever see magazine supply on a basis that is fair to newsagents.
  34. Stop over supplying so I can give new titles the attention they need..  Dismantle distributors and replace with on-line software and new distribution centre based on standing orders and orders placed by newsagencies..  Perhaps a pilot
  35. Stop sending us magazines that records show don’t sell. Stop sending us summer quantities in winter.(We are coastal).Unfortunately they also do vice versa
  36. Manage supply using sales data and take notice of my supply changes.
  37. Timing of supply is a factor.  If we are oversupplied on the last delivery day of the month titles risk being returned for cash flow reasons.
  38. Do not send plenty different magazines in same categories.
  39. Current system suits me so long as I retain the choice to early return.
  40. use the data we send them DAILY to set realistic supply levels. We are evolving and adapting, I see no evidence they are adjusting their behavior. While we are paid on sales and them on distribution – why would they?
  41. I also early return magazines that:    Have just been replaced by the new issue but still have a return date 3 weeks (or more) in the future.    Are redistributions of previously issued titles that sold poorly the first (or second, or more) time around.
  42. Supply more appropriately according to my sales history and the size of my magazine space, not how much you have in the warehouse.
  43. USE THE AVERAGE SALES DATA THEY COLLECT
  44. Don’t oversupply and don’t send me titles my business has no interest in
  45. Use the data supplied through XchangeIT to determine quantities.
  46. Look at past Sales figures.   Don’t send new tittles unless requested. Tell us about them but don’t send them.
  47. Use sales data for allocation decisions.
  48. All new titles or new to store must be approved and quantity set by retailer otherwise face high chance if early return.
  49. Look at the data we send them everyday….simple. Or let us set our own standing orders without change ie. Take 5 unless we change it due to seasons etc. We all know how many of the weekly and main monthly titles we need.
  50. Supply levels which accurately reflect historical sales
  51. Treat us equally
  52. Give us control of what we want in our shop.
  53. Align allocations to sales.
  54. Stop sending totally unsuitable speculative titles and oversupplying regular titles.
  55. Provide sensible quantities of titles in line with actual sales. Be mindful of our stores geographical location when allocating titles.
  56. Ask if I’m interesting in new titles or trying different titles ask how many I require
  57. Increase margin to 45 %
  58. Stop sending us a ridiculous amount of stock. At least 60% of magazines we receive are returned unsold.
  59. Allow us actual control over our supplies. We don’t mind extras of certain titles as id rather have more then not enough. But not on every single title, If i sell 1 magazine of a certain title for 20 issues in a row, odds are I’m not going to sell the 12 I’m sent this month.
  60. stop sending mags just because they can, trying to wear you down
  61. Allow their websites to reduce qtys to zero. Stop dumping irrelevant titles. Dont restart titles we have stopped.
  62. base supply on actual usage plus a small margin, part series are the direct opposite problem. Too few after parts 1 & 2.
  63. Realise that for both parties to optimise sales they must treat us as equals. No one likes being stood over and bullied, especially by BOOFHEADS.
  64. Do not oversupply, use sales data to send more when only a few left, eg scoop homes annual and in particular wedding titles, AFL albums etc  Do not redistribute titles that did not work previously particularly with old stickers in bad condition  Delay all billing so we are charged once we sell the title (say on all monthlies +) just a thought…  Check before supplying a new title, don’t over supply new titles  I’d like to see decent stands supplied to position mags at front of store for the greater good of magazine health.   Should have a loyalty program solution at the individual newsagency level rather than at the channel level (a bit off point)
  65. Take notice of their precious data.
  66. Give us the appropriate amount of magazines based on sales data. For sales of non weeklies 0-6 1 extra, 7-12 2 extra. Delayed billing – if it is not going to sell, no point keeping it.
  67. Convert to consignment stock ie only pay for what we sell
  68. SUPPLY = SALES = DATA SUPPLIED
  69. Examine the sells data!
  70. Let me control supply
  71. Use previous sales figures and allocate accordingly
  72. Make supply based on sales
  73. Let me set my supply and if we sell out give us the OPTION to increase supply. ALL FOREIGN titles should only be added to supply after prior advice from the distributor and us accepting and setting quantities. Recent example a $22 American Grid Iron magazine that will not sell for us and we would have refused supply if given the opportunity but instead immediately returned it.
  74. Reasonable supply, intelligent use of SBR, don’t be afraid to sell out.
  75. Look at the sales data they have and don’t continue to supply if there are no sales
  76. Stop oversupplying magazines. As simple as that. Let me set my own supply and title ranging and stick to it. When my monthly returns are equivalent to 60% of what I receive, particularly from Bauer, then something is very very wrong.
  77. Supply realistic quantities by using the data available to them.
  78. Send more of the title we sell and over stocking us with titles that don’t sell
  79. No redistributions of old titles that look like they have come out of a rubbish bin.
  80. Supply quantities that reflect sales history.  Stop supplying irrelevant titles.  Stop delayed billing. Supply should reflect saleability of a title
  81. Use historic sales figures to determine supply numbers.  For new titles, look at how the category is performing in my outlet, and send numbers accordingly.
  82. I am a Distribution only Newsagent in SA  Simple –   1. Allow me to choose the titles and supply, with intervention only if too many returns.  2. Stop the non-sense of putting allocations back to an over-supply situation after so many weeks.  3. Cancellation of a title by myself means cancellation, not re-instatement a few months later as diarised by suppliers software system.  4. Stop the non-sense of re-instating a previously cancelled title on a 1 of basis so that when I go into your web-site to re-cancel, I don’t find that supply is zero after a one of allocation of a big number for one month only.  5. Please respect the amount of time I put into (constantly) amending allocations on your web-sites by honoring the supply figures I record there, until I make further amendments not you.  6. I am not in the slightest bit interested in delayed billing and will only consider putting new titles into Sub-agents if they fit the demographics or I consider there is the chance of a sale. We are not in the business of wall-papering Sub-agent shops for a loss-making situation that produces only expenses and no income. Seriously, don’t you get that!  7. Finally, I would like you to accept the fact that your Distribution Model is broken. Until you can do that you must accept our business relationship is somewhat at odds.     Dennis Robertson
  83. Give us better control over the allocations & the ability to order or delete titles as needed online.  The wastage of magazines and the time and rescores that goes into this part of the business is making it unprofitable!
  84. Do not over supply and send magazines that will not sell in my shop
  85. Reduce the on-sale period – No magazine needs to be onsale for more than 1 month. Don’t send massive amounts of stock at the end of the month. Don’t add new titles which have no relevance to my store because I have cancelled other titles. Realise that if I have 1200 pockets, I don’t need 1200 titles from both distributors. Listen to my allocation changes that I enter online – I do this because I know that I can sell more/less of the titles that I change, not because I have nothing better to do. Give me more control over allocations,
  86. Do not oversupply
  87. I would like to totally revamp my magazines.  Despite cancelling non performing magazines – they keep coming and they reduce my weeklies to a couple of copies. They deleted Take 5 altogether and then took 2 weeks to re-instate it.  How does this happen in todays technological world.  They sure as hell, can put my supplies on stop within the hour if I don’t pay by the 24TH!  I have to get GG to reset my minimum order of individual mags to 1 as a small store the minimum set is currently 3!  I want to be able to set a standard order for my mags ea month as I would buying product from any other supplier.
  88. TRADING TERMS NEED TO BE LOOKED AT IN THE LIGHT OF WHAT APPEARS TO BE DIFFICULT ECONOMIC TIMES FOR MAGAZINES
  89. SALES HISTORY FROM XCHANGE IT NEEDS TO BE CONSIDERED
  90. Use sales data/
  91. Don’t over supply, us our supplied data.
  92. Take notice of our sales data and give us the opportunity of both selection of title and amount to receive
  93. DO THE RIGHT THING
  94. Better target magazine titles and allocations.
  95. TAKE MORE NOTICE OF SALES HISTORY AND ALLOCATION REQUESTS
  96. Not over supply, ask if want new titles and supply quantity on offs.
  97. They should be rewarded by the number of mags that are sold, not the number that are distributed.  In other words, be motivated to install an effective supply process that feeds real or accurately- projected demand
  98. Use the data we send to manage numbers
  99. Supply the quantity I usually sell rather than 50% extra
  100. GIVE US THE CUSTOMER THE RIGHT TO ORDER WHAT WE WANT.
  101. Allow us to set the orders and quantities we want. Say once a month fill out online order form and submit.
  102. To not oversupply and use up our cash-flow as times are tough now for us.  To sensibly manage our supply and returns data, for eg currently if I happen to finally sell 1 obscure title, the next supply become 4 copies.  Also the supply can be too sensitive in that if a popular title doesn’t sell as much this month, the next month’s supply is cut right down.
  103. Stop sending so many titles from US and England, a lot of these sell but a lot more don’t sell and they cost a fortune in labour to process.  Ditch delayed billing it just pisses me off! Sorry but its not the money its the space and its usually for magazines that don’t sell well for me eg political novels and weddings magazines.
  104. Distributors need to use their magazine sales data to delivery both me and the publishers a better bottom line. Not just gross oversupply.
  105. Be more realistic about the amount of stock that we are actually likely to sell. Also I do like that we get replenishment stock if we are getting close to selling out of a title but it is useless receiving replenishment stock on the day it is due to come off the shelf and be returned.
  106. They could actually use the sales data we’re paying XIT to send to them so supply is better targeted.
  107. Monitor sales and allocate accordingly
  108. Reduce oversupply  Be more responsive to supply requests  Ask before sending new magazines
  109. Respect my changes to standing orders
  110. Use sales data to supply correctly, use sales data to top up if sales exceed expectations, stop sending me obscure titles that do not suit my demographic, stop doubling up on specialist titles (how many Soduko magazines do I really need?).
  111. DISTRIBUTE BASED ON ACCURATE SALES DATA THEY GET FROM XCHANGEIT
  112. PAY A BIGGER % COMMISSION FOR TIME SPENT ON SHELVES MAYBE 20% WEEKLIES 25% MONTHLY’S 35% BI-MONTHLIES 45% 1/4’S 55% LONGER TERM OR SPACE RENT
  113. NOT OVER SUPPLY
  114. take heed of ordering when it occurs rather than do as you please
  115. Stop increasing supply contrary to sales data.  Stop supplying well in excess of normal sales just because of delayed billing.
  116. Stop sending magazines we never sell, or at least in the quantity they supply us
  117. Use the numbers supplied via XIT
  118. USE THE SALES DATA AND SET SUPPLY ACCORDINGLY AND STOP USING NEWSAGENTS AS A DUMPING GROUND
  119. Reduce the volume to something more like what we could reasonably sell. If it sells we can order more. Efficient reorder process. It can be done. We are not the warehouse or distribution centre for the publisher but are treated as such. If it sits in the distributors warehouse the publisher is going to hear about it very quickly.
  120. They can stop sending us magazines that they know, and we know, won’t get sold. Each newsagent should have a contractually agreed core range with a contractually agreed volume allocation. If they want to send us non core product they should offer to us before sending. THis should be our ad hoc decision. Equally if we want to trial a title outside of the core range we should enter into a trial period inclusion in the core range.
  121. Supply what I need – plus one more copy
  122. Understand how many pockets each newsagent has available for mags and supply only enough titles to fill those.
  123. Increase commission..
  124. Get the supply correct.
  125. Use my sales data correctly to manage supply.
  126. manage allocations from past sales and send new publication supply based on sales of similar mags.
  127. Send me an allocation relative to my sales
  128. 50 YEARS AS ANEWSGAENT NO CHANGE MARGIN FOR WORK TODAY IS TO LOW TO SPEND THE TIME ETC   GG NETWORK SYSYTEM OK  TIME AMD WORK LOAD CHECKING ACCOUNTS RETURNS ETC BIG PROBLEM NO MARGIN  JOHN KLEMM MILDURA
  129. Stop over supply, let us have a say on supply of new titles, let us set our own supply.
  130. Allow us to control our supply
  131. Network sole existence is to leech off my cash flow.  After 14 years I have come to the conclusion they have no interest in my welfare or business, similar to a couple of other so called “business partners”. The Gotch supply modal is workable.   regards
  132. Stop gross oversupply; where is Nana and ANF – haven’t seen or spoken to anyone there for  years; no one comes to us;last two times I had an issue I contacted both and never had anyone come back to me; ive never had a problem early returning.  I review ever item of expected magazines prior to  receipt of stock coming.  All marked and simply  send back easily when receiving the mags    Hope this this is useful information for you    tks Carollyne, Cessnock Plaza Newsagency   johnchalmers@bigpond.com
  133. Ask me first
  134. Use sales history.
  135. set correct orders no over supply no new tittles unless they have asked permission
  136. Give reasonable supply for titles based on sales (I send data), use SBT only when sales warrant a top up, and automatically delete titles with 0 sales after 3 issues.
  137. Stop oversupplying titles.
  138. let me set supply of mags and change supply after 2 copies of new mags and leave supply at what i change it too
  139. SUPPLY BASED ON OUR SALES DATA, & GIVING US CONTROL OF SOME OF THE TITLES WE SELL
  140. STOP SENDING SO MUCH CRAP
  141. Look at supply and return figures
  142. Appropriate stock levels. Not cramming as much stock as possible on last day of month.
  143. Stop over-suppling
  144. Pay fair compensation.  Pay for the failure of a title.
12 likes
magazine distribution

The ANF promotes newsagents versus Officeworks

anfpensIt’s dangerous for the ANF to promote that newsagents sell four colour Bic pens for $3.20 with Officeworks at $3.61 – dangerous because newsagents are not consistent with pricing and dangerous because Bic is not the only brand pen we sell.

I sell a Papermate four colour pen for $2.60. I think it’s better than the Bic product. The ANF promotion does not support my business nor the businesses of many newsagents with this pitch.

While I understand what the ANF was trying to do with its tweet, I don’t see it as good use of the social media platform. There are other tweets the ANF could more safely send for newsagents.

I’d be interested to low if the ANF engaged with GNS and Ancol about this.

6 likes
Newsagent representation

Is this latest magazine distributor idea all about reducing early returns?

maglabelA magazine distributor has asked XchangeIT to research implementing virtual magazine labels. Their thought is that newsagents not label magazines and instead use a hand held device to manage titles.

In a practical sense, they want you to stand in front of a title, remove it from the shelf, scan the barcode, see on the screen the ‘label’ with supply and return data and then act. With the fastest App and or hand lend device the time cost of checking a title would be four to five times longer than right now plus you’d be relying on an extra bit of hardware .

Unless I am missing something, from a newsagent perspective this thought should have been killed off quickly after it was suggested.

To me, it seems the magazine distributor could be interested in making shop floor decisions harder to make. But they will deny this.

Magazine labels today contain excellent information that enable smart newsagents to make shop floor stock management decisions.

In my software company we considered this mobile approach to returns and shop-floor title management around ten years ago when mobile data devices became more affordable. Back then we decided against it for reasons that are valid today. It would be cumbersome, difficult, slow and forcing double handling. We looked at ti again a couple of years ago and decided nothing had changed.

Here is what I wrote to XchangeIT last week about this virtual label idea:

Gavin and Jonathan have just mentioned to me about the possibility of virtual magazine labels being pursued by XchangeIT. I see no benefit for this for newsagents. They’d need technology to check magazines on the shop floor. This and the time delay in checking would frustrate them and cost considerably.

The only benefit of this would be reduced early returns and that would be bad for the cash flow of newsagencies.

Newsagents today usually only print labels for non high-volume monthlies and one shots. They do not do them for weeklies and high volume monthlies. So, the cost of labels is not high. Also, the time taken to actually label is quite low.

The label guides in-store placement. It acts as an invaluable tool in making shop floor decisions.

Australia leads the world in this area. The idea of a virtual label would deny newsagency who use it from access to a tool that is vital to active shop floor magazine management. I think it would be a waste of money for newsagents and those who serve them.

I have made similar representations on behalf of newsagents to the distributor.

If the idea of a virtual magazine label does become a reality and make its way into the IT stands for the newsagency channel, I’ll support it as I do all standards. I won’t agree with it but out of respect for newsagents I will support it. By support, I mean I will end up spending my own money on it to help newsagents.

For those who think software companies will not like this because it will reduce label purchases – I’d say you’re mistaken. Label revenue is small. From my experience the products are offered as a service. The labels can be sourced from many places.

It frustrates me that people who do not run or own or understand retail newsagencies make decisions about IT standards retail newsagents need to adhere to. These people in control of the standards are out of touch. They are not serving newsagents well.  They complain that newsagents do not adhere to standards. My response is that this will continue to be the case as long as newsagents do not see any commercial benefit to them in terms of equitable magazine supply.

I wish this magazine distributor would spend more time in getting supply right. Currently, around 65% of what they supply is loss making – the stock is not even paying for the space and labour used to carry the stock. They should be investing in their end to fix this and not pursue this project of folly that has no upside for newsagents.

I wish XchangeIT would more actively represent newsagents ahead of distributors since newsagents provide the bulk of their revenue. Their ownership structure makes such a wish impossible to grant.

22 likes
Newsagency management

Who helps new newsagents?

I heard a story about a young couple who decided to open a new newsagency in an area already well served. After they sorted out a lease they next met with a rep from a major supplier to our channel. This rep signed them up to take on their products and offered to help them get the business up and running.

The rep connected these green newsagents with some service providers who had no experience with newsagency businesses. The service providers delivered  sub-standard products and services for a price considerably higher than originally promised.

The rep failed to provide advice essential to the opening of the new business. The business did not have some core newsagency basics right from the outset.

A while back I heard a story of someone planning to open a newsagency in a country town already served with a newsagency. The local newsagent offered all sorts of help to their prospective new competitor – genuine help with suppliers and other trusted industry connections. The prospective new newsagent ignored much of the advice and is doing it tough as a result.

Two very different stories. One about a young couple who needed better advice and connections they could trust and another about a new newsagent who was offered excellent advice and ignored it.

Back in the days of regulation (pre 1999) it was easier to ensure the right help was given to new newsagents thanks to the firm control exerted by newspaper publishers. In today’s unregulated and more competitive marketplace support for an of new newsagents is rarer.

The first story suggests that there is a role to play, maybe by associations, where a new newsagent not affiliated with any of the groups is provided start up assistance services they can trust. Suppliers with a vested interest in successful start ups could financial support such a service. The challenge is that in a free and competitive marketplace, newsagents like in the second story could reject a good offer of help.

8 likes
Newsagency management

NANA CEO removed from role

Chaing Lim has been removed from his role following a decision by the NANA Board today. Here is the announcement:

The Board of NANA has elected to remove the NANA CEO (effective 22 April 2014)  – in the interests of NANA and its members.The issues surrounding the dismissal are sensitive and by virtue of the Constitution of NANA, which binds the Board and its Members will remain confidential.The Board is currently evaluating the future direction of NANA and will release information in the coming days and weeks ahead.

8 likes
Newsagent representation

Newsagent conference survey results

confsurvey114 people responded to the survey I launched a week ago seeking insights into trade shows and conferences.

Click here to download the survey responses.

Gift fairs organisers will be happy to see the popularity of their events.

Page 6 of the results shows how much newsagents spend attending conferences. The difference reflects the growing differences in newsagency businesses. 8.7% spend nothing while at the other end of the scale 13.16% spend $5,000 a year or more.

With 81.98% of responders noting that they like conferences and trade shows for providing access to new products, it is reasonable to expect a commercial pay-off from attending.

Newsagents clearly want relevant conferences with compelling content and trade shows with commercially valuable product opportunities. Those failing to deliver will suffer from falling and poor attendance.

The newsagency channel has been caught napping with gift fairs and the national toy fair attracting more newsagents in number than the traditional newsagency conferences and trade events.

I hope the survey responses are useful to those working with and for newsagents who organise trade shows.

8 likes
Newsagency management

The challenge of convenience retail for newsagents considering the switch

colesxpNewsagents contemplating transitioning their business to a convenience model need to thoroughly research the range of convenience retail offerings in Australia, and not just those nearby, before changing their business focus.

Convenience is about more than convenient hours or location. 7-Eleven, Coles and Woolworths have made it about value with every location every day offering nationally recognised products at discount prices.

The photo, taken a couple of weeks ago, shows a Coles Express outlet in Melbourne. Click on the image to see the clarity of their pitch on price. Count how many offers being pitched and the consistency of their marketing collateral – from the Coles express shingle to each of the posters and signs.  The strength of their value proposition – it is obvious from far away. They are leveraging the nationally recognised Coles brand and their down down advertising campaign that focuses on price.

This is what newsagents who transition to a convenience offer need to compete with to be noticed – they will need to consistently make a professional and understandable pitch on price from outside the business to attract shoppers.

Attracting shoppers is important because convenience shoppers are fickle. There may be some customers who shop with you regularly because they walk past every day or catch public transport nearby but the majority of convenience business is new or infrequent visitors shopping with you.

The Coles pitch is clever, designed to get you thinking that everything is discounted when it’s not. But enough is discounted to support the value proposition once inside. Their goal is basket depth with fuel used as the anchor product.

The other aspect of the push over the last few years by 7-Eleven, Coles and Woolworths into fuel is that they are taking more convenience business from stand alone retailers, retailers without fuel like the old mill bars and delis. This is driving a change in shopper behaviour with people walking to one of the new style fuel outlets for what they would have purchased from the local milk bar or newsagency.

While CBD convenience outlets like City Convenience focus on being convenient (and certainly not price) as their point of difference, the convenience competitors most newsagents face will be a mixture of the price focused giants: 7-Eleven, Coles and Woolworths.

Newsagents wanting to play in the convenience need to thoroughly research their competitors and develop a model that is sustainable for a locally owned independent business. They need to make any move knowing what they will be up against in terms of the better supply terms and the consistent and professional marketing pitch of the majors.

6 likes
Convenience retail

Survey on newsagent conferences and trade shows

With GNS cancelling their traditional Market Fairs this year and transitioning to expos in each state at GNS warehouses and more newsagents attending the national Toy Fair and one or more Gift Fairs, newsagency suppliers are wondering about the best trade shows and events to support to connect with newsagents.

In a meeting of several newsagency suppliers on an unrelated topic a week ago there was active discussion on conferences and trade shows. I offered to use this blog to harvest feedback from newsagents – to better inform suppliers of your preferences.

Click here to share your insights: Newsagent conference / trade show survey. Your response is anonymous. Results will be published here for all to read.

Please encourage others to participate in the survey. The more who respond the better.

Conferences and trade shows are expensive for suppliers. The more efficient they can make these events the better for their businesses and for the newsagents they serve.

I’ll leave the survey up for a few days.

6 likes
Newsagent representation

Check out this UK Home News Delivery association

HNDA Ltd is a UK association representing home delivery newsagents. Their aim is impressive and clear:

“PREFERENTIAL TERMS” – That is our ultimate goal for all HNDA members with HND customers.

We will represent every UK Independent Home News Delivery Newsagent when negotiating the needs of our and your business with Publishers, Wholesaler Distributors and any other organisation looking to benefit from utilising our services directly or indirectly. Our package to Publishers and Wholesalers will be recognised as a break through for the whole News Trade Industry, most importantly the package is for the benefit of HND Newsagents ONLY.

From what I can see they are not engaged in commercial activity – theirs is a pure association offering for UK newsagents.

6 likes
Newsagent representation

ACCC set to authorise VANA to negotiate with Tatts and Intralot

The ACCC announced Thursday that it proposes to authorise VANA to negotiate with Tatts and Intralot on behalf of its members.

The proposed ten year authorisation covers collective negotiations with Tattersall’s Sweeps Pty Ltd (Tatts), Intralot Australia Pty Ltd (Intralot) and any other public lottery provider who may become licensed to operate a public lottery in Victoria in the future.

VANA represents around 460 newsagents in Victoria, many of which are lottery agents selling Tatts and Intralot products. At present, Tatts and Intralot are the only licenced lottery providers in Victoria. Both have exclusive licences to operate until 2016.

“Collective negotiation can allow members of a collective bargaining group to have more effective input into contracts and deliver agreements that are better tailored to their needs,” ACCC Commissioner Jill Walker said.

The ACCC has previously authorised the Lottery Agents Association of Victoria to collectively bargain with Tatts and Intralot on behalf of its members, as well as similar collective bargaining arrangements in New South Wales, the Australian Capital Territory, Queensland and Tasmania.

As with these previous authorisations, the ACCC is not proposing to authorise VANA to collective negotiate on issues relating to the impact on existing lottery agents when new lottery agents are proposed, due to concerns that this may raise barriers to entry for new lottery agents.

5 likes
Lotteries

Serious questions surround another ANF promotion to newsagents

crimvidNewsagents this week received a fax purportedly sent by Crimvid, a supplier endorsed by the ANF. Click on the image to see the main page of the fax in detail.

Before I get to the fax itself, I’d like to raise the question of  how Crimvid got fax numbers for newsagents.

Did the ANF provide Crimvid with these? If this is the case, has the ANF breached the Australian Privacy Principles that came into effect on March 12, 2014.

The Australia Privacy Principles are clear and data cannot be used for a secondary purpose.

The ANF has newsagent contact data gathered for a specific purpose that does not include use by a third party.

Hence the question: where did Crimvid access the fax numbers of newsagents?

Now, to the fax itself. What a poorly written document. read the first paragraph and see for yourself.

  1. If they have thousands (000’s) of purchase orders from newsagents as they claim, why are they chasing more before they start manufacturing?
  2. Why are goods to be promoted for Easter related purchases yet to be manufactured?
  3. How can the ANF be encouraged to see Crimvid is delivering significant earning potential when there is no data yet supporting this?
  4. What’s the ANF involvement here. It owes all newsagents transparency on its commercial relationship with Crimvid.
14 likes
Ethics

7-Eleven shows how to do low-margin convenience / agency business

711With this poster spread around Melbourne, 7-Eleven makes a pitch that should have been owned by newsagents. Years ago, while the myki public transport ticketing system was barely a thought, 7-Eleven trumped newsagents and negotiated unprecedented access to offer top-ups.

While newsagents were offered similar access it was on a store by store basis. 7-Eleven established itself as the only network consistently offering myki product access. This is, in part, what allows them to run the strong ad campaign reflected by these posters.

Newsagents are losing the fight for relevance in convenience retail in part due to the commercial power and strong leadership of 7-Eleven and in part due to a lack of consistency of the newsagency offering. Whereas decades ago we were strong convenience retailers, today I’d say less than a third of newsagency retailers play i the convenience space.

Convenience newsagents need to connect with a convenience brand if they are to more successfully combat 7-Eleven. More than this, they need to follow the leadership of a brand and act consistently with any such group.

In the convenience space, a one size fits all approach is vital.

6 likes
Newsagent representation

Statement from Matt Handbury in relation to Hubbed

Matt Handbury contacted me over the weekend and provided this statement in relation to Hubbed:

Hubbed: Setting the record straight

In response to speculation about the operational performance and governance arrangements at Hubbed, I feel it is in the best interests of the newsagent community
to provide some much needed clarity around these issues.

First, I can confirm that I have resigned as a director of Hubbed, and that my substantial investment as a shareholder is yet be repaid.

Given that legal proceedings are pending, I do not wish to comment further on this issue, other than to say I no longer have confidence in the management of the company. My involvement with the board and management of Hubbed has come to an end.

My experience with Hubbed has deepened my conviction that harnessing the power of e-commerce will provide significant and sustainable new revenue streams for newsagents. It can also greatly enhance newsagents’ services to customers and the publishers and e-retailers they serve. I am determined to bring this to reality and you will be hearing from me in the coming weeks.

All newsagents, both those already dealing with Hubbed and those considering how to embrace e-commerce in their business, can rest assured that their interests will be served and their expectations and ambitions more than met.

Matt Handbury
Executive Chairman
Murdoch Media Pty Ltd

I am publishing this statement with Matt’s permission.

The ANF and other newsagent associations have been provided this statement.

I originally published this post yesterday, March 16. I reset it this morning as the content is important and blog traffic on a Monday is 1,300+ visitors whereas on a Sunday it is usually between 650 and 800.

17 likes
Hubbed

Poor attendance at VANA state conference and trade fair

I’m told the VANA state conference and trade fair in Melbourne last wednesday attracted around 40 newsagents.  This is less than half VANA had been telling suppliers to expect. I decided to not attend as the agenda was nothing flash and I see more appropriate suppliers at gift fairs and marketing group events.

With many trade fairs and conferences already available to newsagents through the year, there is no need for associations to play in this space. All it does is suck cash out of the channel as suppliers have to fund the trade fair space, time and freight. Newsagents ultimately pay the price for inefficient events. By all means, host a conference if you have relevant content best delivered in a conference format where newsagents are out of their businesses for a day, but not a trade fair. Some suppliers at last week’s event are very disappointed.

19 likes
Newsagent representation

ANF seeks ACCC authorisation to negotiate with 100+ newsagency suppliers

The ANF has applied to the ACCC for authorisation to engage in collective bargaining with many newsagency suppliers. I first heard about this when I received notification as a director of newsagency marketing group newsXpress and then a second notification as a director of newsagency software company Tower Systems.

I know that some suppliers are surprised they heard about this from the ACCC and not the ANF. I agree with them. Lack of communication from the ANF reflects extraordinary disrespect of suppliers – suppliers it calls on to sponsor events and fund other activities. This will feed distrust among suppliers about the motives of the ANF.

Take my own position, for more than thirty years my software company has faithfully served newsagents. The relationship it has with its 1,900+ newsagent customers is sound and stable. I can’t see the ANF as having anything relevant to represent newsagents on. I am suspicious as to their motives.

Given its own commercial activities, my view is the ANF is conflicted in seeking this authorisation. The last information released indicated it was a shareholder in one supplier offering a broad range of products and services. I also understand it received commission or other compensation for promoting other products.  These commercial relationships challenge the position it could take in any collective bargaining.

Here is the information on the public registers page at the ACCC website:

The Australian Newsagents Federation is seeking authorisation in its own right and on behalf of its Member State Branches, the Newsagents Association of NSW and the ACT, and the Victorian Newsagents Association to engage in collective bargaining. The Federation proposes that a national bargaining group be formed to represent member newsagents in negotiations with a range of suppliers, classified by the Federation as:

  • Insurance brokers
  • Business opportunities
  • Drinks- non alcoholic
  • Phone Cards
  • Greeting cards and wrap
  • Stationery
  • Banks
  • Newspaper publishers
  • Magazine distributors
  • Marketing Groups / Franchises
  • Tobacco
  • Confectionary
  • POS Providers
  • Broadcast and communication service providers
  • Electricity providers
  • Transport companies
  • ATM service providers
  • Service stations
  • Shopfitters
  • Commercial landlords

The Federation notes that the suppliers as identified by the application may change over time. The Federation also proposes that local bargaining groups be formed to negotiate with suppliers in particular circumstances.

The ACCC is currently seeking submissions from interested parties. Submissions should be lodged at adjudication@accc.gov.au by 4 March 2014.

Given that the ANF has not communicated its intentions with suppliers, it would not surprise me if they had not communicated with their partner associations – NANA and VANA.

I deal with associations in a range of retail channels and this is the first time I have seen an association seek such authorisation. Other associations approach suppliers in a relationship-building way.

6 likes
Newsagent representation
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