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partworks

The Classic John Wayne Collection

john_wayne.jpgThe Classic John Wayne Collection is the newest partworks and smart newsagents are promoting this as a Father’s Day offer. It is the perfect gift for the man of the house. The John Wayne series brings all the drama and action that only John Wayne can portray. There are not many partworks for men so having this one at this time of the year is ideal. The series follows John Wayne’s career, from silent roles to his most famous Westerns.

This week we have John Wayne placed next to Father’s day product. Sales are good. Next week it will be pitched with other new partworks at the front of the store.

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Insights from magazine partworks meeting

partworks_pitch.JPGI was fortunate to meet with Gabriel Ladikos yesterday from Gordon and Gotch. Gabriel manages partworks within Gotch. He has been with the company for seventeen years and working with partworks for thirteen.

While I will not cover some of what was discussed in confidence here, I would observe that, as with all things in life, there is more to partworks than we see in our newsagencies. For example, orders are placed with publishers eight weeks in advance. These orders are based on sales achieved in the UK for the partwork already as well as trialled in Australia – usually South Australia or Western Australia.

The eight week in advance orders can be problematic when a national release performs differently to the UK and trials. Then, publishers need to either weather the storm of backorders waiting for returns or air freight stock to Australia – if such stock is available.

It is in this area of forecasting for more certain supply that our discussion was most interesting.

While I knew that partworks are sold through supermarkets in New Zealand, I did not know that they were sold through Tesco stores in the UK. Newsagents in Australia have exclusivity on partworks. This is one reason I love them – especially those supported with TV campaigns tagged to newsagencies. When I see those I know it is essential to promote boldly in store to connect with the TV coverage.

Gabriel outlined some improvements coming up with partworks. These will apply to Parts 11 onwards for all partworks. No change will occur for Parts 1 – 10 to allow the partwork to settle in and allow newsagents to establish their customer base for each partwork.

Weekly partworks’ onsale will reduce to 7 days and Fortnightlies to 14 days. The second recall will remain and will appear on returns forms 2 weeks after initial recall. This will provide a weekly with a maximum on sale period of 3 weeks, and fortnightly 4 weeks.

This change will provide both newsagents and Gotch with a faster turnaround to ensure better allocations and speedier backorder fulfilment.

The hour and a half with Gabriel was insightful – on both sides I suspect. One outcome will be better dialogue on how to create more valuable win win win situations from partworks. Publishers want to sell more product. Gotch wants to sell more product. Newsagents want to sell more product. If we understand each other better we can achieve that.

Partwork customers are more likely to purchase another product in your newsagency than any other customer – this is based on 2005/06 basket research. Their efficiency and value demand support from newsagents.

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Making magazine putaways work

morse_putaway.jpgThe bar-code label (circled in yellow) on the cover of this issue of Inspector Morse partwork is central to our management of putaways. When the customer collects the title we scan the barcode and record that this specific copy has been collected by the customer. If it’s billed to their account we track that. If they are to pay we track that.

What is important is that at any point in time we know exactly what titles are in stock and waiting to be collected – without having to go through our putaway drawers.

This customer level control by title helps us improve customer service – more certain putaways when titles arrive, better allocation in the event we are short supplied and less chance of being left with uncollected stock.

Customers like the fact that their putaways are professionally labeled and barcoded in this way. Given that putaway customers spend more than almost any other category, the extra effort is well worth it.

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The Art of Knitting, part 2

knitting_2.JPGUsually by part 2 of a partwork publication interest wanes. Not so from what we are seeing for part 2 of The Art of Knitting. I’d say this could well be the partwork of the year – although there is a movie musicals partwork coming in October which could do better. From what I have seen, The Art of Knitting is appealing to a broad demographic. I know that the success of part 1 has caught the importers by surprise – hence the delays in getting extra stock to newsagents.

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James Bond Car Collection

james_bond.jpgThe James Bond Car Collection partwork series is not as popular as other recent releases. We are displaying it as prominently at the front of the shop in a high traffic area but it has not attracted the same sales.

Maybe it’s a bloke thing – males 35 an over appear to be the most interested. Maybe it’s the James Bond franchise itself.

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Partworks in New Zealand

ACP’s Netlink division seems to control partworks here in New Zealand. Check out the list of titles they handle here. Retail is very different since newsagencies as we know them in Australia don’t exist – hence the strong direct subscription pitch from ACP on their website.

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The Secrets of the Stones

secrets_stones.JPGThe impact of TV advertising is amazing and immediate. We have had The Secrets of the Stones partwork on display for three days and already customers are buying the title.

While not as popular as other partworks, that people visit our newsagency specifically looking for the title demonstrates the power of TV and the benefits of exclusivity for partworks.

For me, it is a reason to overlook the promotion of subscriptions in the partworks – my goal is to make the most out of this extra traffic generated by TV commercials for partworks such as The Secrets of the Stones. This is why we go hard at the front of the shop – to connect with the TVC and draw people in. It also provides an opportunity to show we are not a set and forget business.

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The Art of Knitting continued…

knitting_aug13.JPGMy posts here about The Art of Knitting partwork have generated plenty of queries – all from people wanting to purchase the publication and saying that their local newsagent cannot get stock. The queries demonstrate the challenges of partwork distribution. Gordon and Gotch, the distributor, has confirmed today that additional stock is available for newsagents. If the call centre says no, ask for a supervisor – remember, the noisy wheel…

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Not all blue sky in Townsville

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I spoke today at the QNF newsagent’s conference in Townsville. While far removed from some of the challenges of their capital city colleagues, newsagents in Townsville face other challenges. One is coping with an inflexible magazine distribution system when it comes to seasonal peaks and troughs. I heard stories of insufficient magazines in summer and too many in winter. It was the same in Cairns two days ago. It is a frustrating situation which is denying newsagents and publishers vital sales of magazines.

The other issue in focus today was partworks subscriptions and newsagent frustration at how we are used to drive subscriptions by promoting gifts not available in our shops. It’s a perennial issue but one which could be resolved with some will.

FOOTNOTE: I took the photo outside the conference venue this afternoon. It has been a while since we had a blue sky like this in Melbourne.

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Promoting newsagents

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This is the pitch on the back of The Art of Knitting. While there is also a pitch with the partwork for direct subscription, it is good to see the promotion of newsagents bold on the backing card for the partwork.

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The Art of Knitting, learning from a customer

A customer was down deep in our shop yesterday and grabbed me as I walked out from the back room – don’t you have the new knitting magazine they have on TV? I was shocked because we have an amazing display at the front of the shop. What we had missed was the most logical place to display the title – in with the knitting magazines. I felt like a dill! We corrected this and between yesterday and this morning have sold eight copies from this location as well as plenty from the front of the shop.

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Customers can teach us plenty.

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Knitting Made Easy

We are using the launch of the Knitting Made Easy partwork to promote our other knitting, quilting and craft magazines. Around this display we are promoting many other titles and hopefully building add-on sales and some good return business.

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While there continue to be supply problems with partworks, I see the TV promotion of special interest titles as an opportunity to introduce the new traffic to other parts of the newsagency where we satisfy that special interest.

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A wall of boxes

Newsagents across Australia were confronted by boxes of two new partworks today. Here is our wall of boxes:

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I am sure the James Bond car series will be a hit – it better be, we have no storage room.

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Harry Potter Chess Set tears

harry_potter_chess.JPGMany newsagents across Australia are angry this week on discovering that supplies of the Harry Potter chess set partworks have been cut and they cannot get enough stock to satisfy customer demand.

Customers are angry when their firm order is not available – what is the point of such a firm order some ask. Kids are upset.

That the Harry Potter Chess Set has been a runaway success should not surprise anyone – yet it apparently has.

I love partworks like this Harry Potter series yet constant supply problems and an inability by the importer, distributor and UK publisher to solve the problem suggest it might be time to give up on them.

Newsagents are justified in their anger on what appears to be another partworks supply botch up and the damage it will cause in customer relationships. Newsagents deserve better.

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New Idea and Famous win with chocolate

new_idea_jul22.JPGPacific magazines has a good promotion running this week supporting Famous and New Idea with the free Bueno chocolate. The chocolate promotion provides an opportunity to push New Idea sales and pull Famous along too.

We’re promoting the titles at the front of the newsagency (see photo) as well as in the body of the shop.

What really excites me about New Idea this week is the start of a six part series on Diana. We are taking to opportunity to promote putaways – so our customers are not disappointed.

The weekly magazine space is noisy and anything to lock customers in for more than a weekly fix has to be good.

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Fair Trading action on partworks

A NSW newsagent was recently ordered by the NSW Department of Fair Trading to refund a customer $1,000 for partworks purchased where the customer was not able to complete the series because of failings in the supply model through to newsagents. While the distributor involved, Gordon and Gotch, have agreed, after much pressure from the newsagent, to compensate the newsagent, the problem of partworks supply remains serious.

On the one hand newsagents are thrilled that they are the only retail channel in Australia offering partworks. That magazine distributors ignore data (see earlier post today) and deliberately short supply harms newsagents and gets their customers off side.

The partworks model can work if the importer, distributors and newsagents actively work together. Sadly, for many years now the words have been the same and follow-up action not forthcoming.

Maybe more customers need to pursue Consumer Affairs or Fair Trading. Alternatively the suppliers could work with newsagents on a fair and commercial basis – that way everyone wins.

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IT standards fail newsagents, again

part_IT.JPGMagazine distributors have criticised newsagents for years about lack of compliance. Now, the ball is on the other foot. Part of the compliance regime is that newsagents supply distributors with pre-sold data – listing the number of each title for which the newsagent has a firm order. The idea was that the distributors would use this to ensure that at least minimum orders are fulfilled – essential for partworks.

The distributors are letting newsagents down. They are not using the data and newsagents are often, with partworks, supplied fewer copies than firm orders from customers of long standing.

Newsagents are rightly questioning the value of the much vaunted IT standards.

Newsagents using software from my company account for at least 75% of the compliant newsagents providing data – one distributor says we have an 85% share of compliant newsagents. I know from talks with some of these compliant newsagents that their clear and trusted data is being ignored by distributors. They are being supplied fewer copies of some titles than their firm orders. The magazine distributor involved knows that they are failing the system they helped create – they are making the newsagent look stupid.

Newsagents who were bereted into complying and promised better business outcomes are rightly asking whether the investment was worth it.

To the magazine distributor executives reading this – fix the problem, act commercially with newsagents, work with us and help us sell more magazines. You have the data.

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FiFi breaking

fifi_broke.JPGFiFi’s World is a very popular new partworks magazine. Sales are very strong – thanks to the target audience (young girls), the school holiday launch and a good TV campaign.

The problem is that many newsagents are having to refund customers who return folders which have broken. The importer tells me they are going back to the UK publisher to seek replacement stock. With some newsagents reporting a 50% product failure rate the rectification cost could be extraordinary. I’d note that my shop has been lucky, we have a less than 10% failure rate.

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Fifi and Dora lead holiday push

fifi_dora.JPGWe are using the FiFi and Dora partworks released this week to headline a pitch for school holiday attention – this is the first wee of a two week break for schools around us. We have the stock front of the shop in a high traffic area – near our other partworks which continue to sell well.

I am not sure if the TV spend has increased or I am watching more TV but I am seeing more partworks ads on TV than I can recall in years. That these are tagged exclusively to newsagents is fantastic – I smile every time when I see an ad.

The efforts of Gotch and Bissett Magazines to ensure we have enough stock to promote these well is appreciated.

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Partworks island on the dance floor

We have created an island display on our dance floor to support the Charmed, Fifi, Harry Potter, Felicity Wishers and Yu Gi Oh partworks. It’s in a high traffic area and is driving good impulse sales.

partworks_dance.JPG

While we also promote these partworks in the appropriate categories in our magazine area, we always find that we get more business with this high traffic promotion – especially while the TV commercials are running.

The island display is a little smaller that when we started as we have sold plenty of stock this past week.

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Partworks in the firing line (part 1)

At a meeting with Tower newsagents in Perth yesterday, the management of partworks supply was a topic of hot discussion. The story is always the same – newsagents love partworks but are angry at not being able to get sufficient supply to service customer standing orders. This is despite the magazine distributors being given standing order data on a daily basis by newsagents.

I heard a story yesterday of one customer who is two pieces away from completing the dolls house and the newsagent is unable to source the required parts from the magazine distributor.

I know when I take these issues to Peter Bissett at Bissett magazines – the major partworks importer in Australia, he does his utmost to resolve them. However, there are too many complaints for them to be glitches. Partworks problems are systemic and newsagents and their customers are the victims.

So what’s the answer? The magazine distributors ought to start using the data they asked for years ago – they ought to supply newsagents to at least the pre-sold quantity, thus allowing newsagents to actually serve their customers. I’d also like to see newsagents have the opportunity to purchase partworks on a firm sale basis – I know in my newsagency we would do this, for a better commission, if it guaranteed supply. We push partworks hard and are frustrated with the time we lose having to chase stock from the broken partworks supply chain.

Next week I will post part 2 of the problem with partworks.

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Harry Potter partwork series launches

We have our 100 copies of part 1 of the new Harry Potter partwork series right at the front of the busiest entrance to our shop. We know from experience that a bold display with partworks works. I’d expect us to be ordering more stock tomorrow – just like we have twice with Felicity Wishes.

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Parts one and two of new partworks are impulse purchases, hence our decision to use prime real estate. They also allow us to boldly promote a product exclusive to newsagents which is backed by a strong TV campaign.

We’re confident about Harry Potter and early sales data supports that view.

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Felicity Wishes goes gangbusters

We sold out of the 80 copies of issue #1 of Felicity Wishes which we received last week. Now we’re well into the extra 30 we received yesterday. Besides our window display we have this display at the counter:

felicity_wishes.JPG

Partworks are efficient for us – we sign them up for putaways. The effort in making sure we have enough stock is paying off. We use them to reinforce that we have fresh product. That and the fact that they are advertised on TV as exclusuive to newsagents.

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Promoting Felicity Wishes

We’re actively promoting the Felicity Wishes partworks launched last week with a bold window display.

felicity.JPG

We like partworks because partworks customersr are among the most efficient in our newsagency – always buying multiple items.

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New partwork series coming

Here’s the launch schedule to which I alluded earlier this week for new partworks in coming weeks;

May 23: FELICITY WISHES – girls 2 to 6.
May 23: YU GI OH GX – boys 8 to 11.
June 6: CHARMED DVD – females 18 to 45.
June 6: HARRY POTTER CHESS – children 7 to 11.
June 20: FIFI AND THE FLOWER TOTS – girls 3 to 6.

It’s a solid roster of new titles. Knowing the release schedule helps us allocate high proivide space through the launch season and have our putaway paperwork ready.

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