A blog on issues affecting Australia's newsagents, media and small business generally. More ...

UK lottery sales to move from retail to online?

There is a story brewing in the UK about the possible move of lottery ticket sales from over the counter to online.

The push to online is getting some good media coverage, including this in the Financial Times:

The UK’s National Lottery needs to be hauled into the digital age with scratch cards on mobile phones and greater presence on social media to halt the decline in people playing, the head of one of the main bidders to take over the licence has claimed.

Sir Keith Mills, chair of the bid by the Czech company Sazka, told the Financial Times that Camelot, the National Lottery’s current operator, had “not kept pace with change” after an explosion in online gambling lured away younger customers, causing it to lose 8.5m players in the past decade. Currently, about 40m people play National Lottery games.

Mills, who created Air Miles and led the London 2012 Olympic bid, added: “The money to good causes has plateaued and I do worry that unless the National Lottery is reinvigorated it will go into a decline.”

Not that this impacts lottery retailers in Australia, it does speak to the broader over the counter to online pitch.

2 likes
Lotteries

Will easier access to gambling apps impact lottery sales?

From March 1, Australians will be able to access gambling apps from Google Play. This story has had minimal play in Australia. Kotaku covers it.

As spotted by 9to5Google, Google has announced a change that would permit certain real money gambling apps to be downloaded directly from the Google Play store. Gambling apps have been usable by Australian Android users before, but you’ve had to download them as separate APK files, not directly through the user store.

From March 1 this year, that policy will change. “We allow real-money gambling apps, ads related to real-money gambling, and daily fantasy sports apps that meet certain requirements,” a new policy on Google’s support page says.

Given how much Australians historically love to bet, this is a huge change. Android devices account for just under half of all mobile devices in Australia, although exactly how much depends on what chart you look at.

What is means is easier access to gambling apps through the Google Play platform and that means more opportunities for gamblers to access the products they gamble through.

All of this provides more options. Whereas for decades lottery outlets were the publicly available place for non betting gambling, today there are many more options and, from March 1, options increase.

1 likes
Lotteries

Lotterywest. moves to life after Covid

Lotterywest has advised retailers of the ending of Covid related arrangements:

Hi

In March 2020, temporary measures were put in place to protect retailers and players when the COVID-19 pandemic commenced and the emergency period began. These measures included more flexibility with prize claims and suspending retailer service and terminal fees, as part of the State Government’s WA Recovery Plan.

The COVID-19 emergency period will end as of close of business Monday 15 March 2021 and the following will occur:

Reinstatement of service and terminal fees
The 12-month suspension of your service and terminal fees will end and your weekly service fee (0.5% on all games except Cash 3, Super66 and Scratch’n’Win) will be reinstated. We’ve also conducted our annual review of retailer fees and as a result your terminal fee will reduce to $33.00 (including GST) from $38.50.

Please check your RCTI for the amount due in time for the sweep on Wednesday 17 March 2021. The fees will be reflected in your RCTI for period 11 and we’ll give you several reminders before this occurs.

Prize claim extension ending
The prize claim extension for players end and all tickets purchased after this date will have the standard 12-month period to claim any prizes. The option to email Lotterywest to claim a prize will also no longer be available.

Please remove your ‘Claiming your prize’ ticket checker card and combo stand insert from draw close on Monday 15 March 2021.

See the flyer on Retail Link on what tickets are still eligible for the prize claim extension.

Here’s how we’ve supported you and the WA community through the emergency period

3390830.jpg

If you have any questions please contact Customer Services on 133 777 or chat to your Retail Relationship Officer.

Kind regards

Lotterywest

3 likes
Lotteries

If only suppliers were transparent about supply chain challenges

Too many suppliers to retailers are not transparent about supply chain challenges. They seem to think that not telling you about potential delays will keep your orders active and guarantee them sales.

It is frustrating hearing that the order you placed four months ago and was due in this week will not arrive for another six weeks. Frustrating because the supplier would have known many weeks ago. Shipping to Australia does not happen overnight.

I know there is a container shortage in China and limited capacity on ships from China to Australia at the moment. If I know that, suppliers would too.

Suppliers need to be more transparent with retailers, so we can plan to ensure our shops remain full. Their websites need to be more transparent on this, so that we don’t waste time creating orders that cannot be fulfilled as and when we need them.

Every supplier that is not appropriately transparent gets a black mark against them in my book. They will have to fight harder for business in the future.

Related to this is the question of product sourcing. China continues to be problematic politically but even more so in terms of supply certainty. I am more interested in suppliers that have moved to protect their supply chain, most likely by outside of China sourcing. or course, locally made is the best solution.

5 likes
Ethics

Kudos Modern Brands for virtual Toy Fair engagement

Toy supplier Modern Brands has sent ut care packs to retailers it would have otherwise met with at the Melbourne Toy Fair. This is a terrific move from the company timed to connect with the virtual events being run to capture orders at this important time of the year for toys.

Modern Brands is one of several suppliers engaging creatively with toy retailers this year without their being a physical Toy Fair event.

The unanticipated arrival of the care package has created a buzz that is important for this trade show and is certain to help encourage retailer purchases.

Feedback so far is that the virtual toy fair experiences are working well.

Considering the various trade shows connected with our channel, the Toy Fair is executing the trade show opportunity the best in my view.

7 likes
retail

The nonsense of territory protection by suppliers

While in the past, territory protection respected retailers who invested with a supplier, today, with online as it is and the extent to which it is growing, territory protection does not make sense.

In one regional town, a shop was denied access to products from a sought-after supplier because another shop nearby had a range of products from them. They charged over the odds for the products. Shoppers found the same products online for a lower price. The local retailer found out and wanted the supplier to stop selling to any business that sold online. That revealed to the supplier that their local retailer was charging more than they would prefer. The supplier had previously rejected selling to another business in the town, to protect the original stockist.

Suppliers need to realise that territory protection is not what it used to be, thanks to online.

In my view, it is time to move on, time to open up and let the best retailer win. It is time to end territory protection.

10 likes
Newsagent suppliers

Easter marketing tips for newsagents

Easter is what we make of it in our stores. We decide through our engagement whether this is a big or not so big season.

My advice is don’t get caught up in tradition, think about this season as one of connection. This can broaden your focus and provide a more useful pathway to sales success.

Here are some ideas to get you thinking…

  1. Have fun. No matter what you do, make sure it involves fun.
  2. Promote connection. Easter is a good this for people to connect with people nearby and far away. help them do that.
  3. Do good. Collect for something during the season. Given the animal theme of so much Easter product, maybe a local animal shelter.
  4. Have fun give rabbits a discount on a set day or days. Give a doubt to everyone who presents as a rabbit. Promote it widely – get the local paper in for a photo. Make the discount worth it for them dressing up.
  5. Invite a wall of stories. If you have a wall available, cover it with paper and invite your customers to write or draw what Easter means to them. this makes the season more interactive.
  6. Make a giant papier-mâché egg with things you sell (old newspapers, coloured paper, paint). Go big, I mean really big. Taller than a person. Let the kids paint it. Make it a local thing for people to come see.
  7. Have an Easter Egg hunt for over 70s. Egg hunts are usually for kids but those over 70 will have a different recollection of the season from when they were kids. Cater to them with a hunt in your shop for tasty eggs.
  8. Respect the season. Easter means different things to different people. Respect this outside of the fun you may have. Be sure about your greeting and that it is appropriate. Maybe include a nice message on your receipts.

Easter is considered by many to be a small season. I see it as full of opportunity and primed for fun in the newsagency. Chase year on year growth.

5 likes
marketing tip

Danni Hunter from the Property Council is wrong on the role of the CBD

From ABC News Thursday:

Danni Hunter from the Property Council, an advocacy group for property developers and owners, said CBD hospitality and retail businesses relied on office workers being in the city.

“We can’t have an economic recovery without a CBD recovery, and that relies heavily on people having the courage and willingness to come back to the office, and hopefully soon without masks as well,” she told ABC Radio Melbourne.

What selfish, self-serving ignorant nonsense from Danni Hunter … but on point for what the folks at the Property Council wold want said.

No CBD in Australia is key to economic recovery.

Danni Hunter and her Property Council mates need too spend time on the high street and non regional and rural Australia. there, they will find terrific economic activity bring income home to local communities, new jobs being created and healthier local communities as a result.

What frustrated me about the ABC report is that Danni Hunter from the Property Council was not challenged. No principles of journalism were applied to the claim, the nonsense claim.

As I have written here plenty of times, small business, particularly high street, regional and rural small business are the economic heart of Australia. They contribute more value than a CBD based landlord. While P&L and Balance Sheet numbers for a Property Council member business equal many, maybe hundreds, of small retail businesses, I suspect that a close study would reveal the economic value in terms of job creation, community investment and taxes paid per dollar earned are higher in small retail businesses.

I get that lobbyists like Danni Hunter and lobby organisations like the Property Council need to do their selfish bidding. We however, do not need to buy into this. I certainly don’t.

Let me change gears here though, and consider this issue of the importance of the CBD from the context of an office based business owner …

Thinking about this as the owner of a software company with a mid-size office and talking with other business owners in similar situations – the CBD has lost its appeal to us and to many who work in offices. Employees are loving working from love, the hours saved each day, being closer to family. They have more money in their pocket. Lockdown has shown them that the trudge to the city CBD or to an office in the suburbs is not as important as it used to be. Businesses are happy with happier people. Businesses are happy, too, at the prospect of saving on office costs.

Danni Hunter and the Property Council must be scared that their businesses will be harmed because things will not snap back to where they were, because not everyone will return to the CBD. Who cares? Change is something we all have to deal with in business.

I guess my core point here is with the reporting – it needs to be more balanced and not merely publishing propaganda from the likes of the Property Council.

17 likes
Social responsibility

Australian made continues to matter

Customers continue to engage with Australian made. Some actively ask about it while others are drawn to it if you promote it. A newsagent told me yesterday about how this played out in their shop.

A customer in a newsagency was looking at two birthday cards, trying to decide which to purchase. Asked if they would like help, “It’s for my niece and I can’t decide. What do you think?” they said to the retailer. After looking at both cards, the retailer held out one card. “This one is made in Australia.” The customer bought that card.

On soc ail media, when I share images of Australian made cards and mention that we are grateful to support Australian artists and Australian printers the engagement we achieve is good.

Aussies really do want to support Aussie made. This is a live commercial opportunity for us.

This is on my mind this morning as earlier this week I heard from a newsagent who said their card rep made the comment that all card companies source their cards from China. This was in repose to the newsagent mentioning they were considering moving to another company that designed and printed in Australia. Of course, the card rep was outed as being either a liar or ignorant – each being an equally bad look.

Aussies really do want to support Aussie made.

10 likes
Greeting Cards

Magazine oversupply continues

We usually sell 2 or 3 copies of Maxim magazine. The circulation experts at Ovato think we need 40 copies of the latest issue. What a waste.

The circulation experts at Ovato will have an explanation, a glitch, human error or some such thing. I’ve heard it before plenty of times.

7 likes
Magazine oversupply

Newsagents want change in magazine distribution arrangements

The survey I launched 24 hours ago seeking to understand the attitude of newsagents should magazine supply arrangements not change received over 150 responses:

What change do I want? It is simple, really. I want magazines supplied on terms at least equal to those of my main competitor, supermarkets.

  • I want to eliminate most of the arrival and return data work.
  • I want to pay only for what I sell.
  • I want electronic invoice access to be free.
  • I want reports of list or damaged supply to lodged electronically and always accepted.

The current model disadvantages newsagents. Unless there is change, yes, I am likely to reduce my commitment to magazines.

9 likes
magazines

Magazine survey for newsagents

It’s my view that unless there is significant change requirements on newsagents regarding magazines, newsagents are likely to reduce their interest in and support of the category.

With supermarkets benefiting from scanned based trading, saving hours on arrivals and returns per week per store, not having to cover the cost of shrinkage and not having to pay for the right to get access to electronic invoice data, newsagents are competitively disadvantaged.

How do you feel knowing that your biggest competitor in the magazine category has trading terms that are significantly better than yours? I know of some newsagents who have quit the category because of this.

So, I have a question for you. I’ll keep it general and start with what we have today. If nothing changes do you plan to keep your magazine commitment as is, increase or decrease?

Create your own user feedback survey

4 likes
magazines

Today @ 2pm: Taking your newsagency online: a dive into newsXpress national and local store websites

Taking your newsagency online: a dive into newsXpress national and local store websites.
Tuesday, Feb. 16 @ 2pm Melbourne time.

Today at 2pm, I am hosting a new free workshop for any newsagentinterested in taking their newsagency business online.

This session will look at this topic from the context of what newsXpress does and has done for 5+ years. We will look at the national sites and the local store sites:

  • How to generate online traffic for national and local store websites.
  • The cost of fulfilling sales.
  • How local stores setup for efficient fulfilment.
  • Managing freight in terms of lowest cost to execute as well as decision making around the free freight question.
  • What being online has meant for in-store purchases.
  • Repeat business prospects.
  • How to use online for first to market opportunities.
  • How to be sure quantity on hand data is accurate.
  • This will be a genuine behind the scenes look.

I am doing this new session using newsXpress national website and local store website examples because I have good data and personal experiences I can speak to. You can rely on this information to make more informed decisions yourselves at the local store level as well in the context of any group you are part of.

newsXpress was the first marketing group in any retail channel in Australia to deliver local store connected websites with a live quantity on hand data feed. The learnings have helped other groups step into this. lucrative space.

This will be an online session, which you can access from anywhere with this link:

https://zoom.us/j/97889421359?pwd=R2puem9RWUVFS1lFTStXMjNHMzRIdz09
Meeting ID: 978 8942 1359 Passcode: 791972

1 likes
Newsagency management

Harvey Norman ad may impact TV Week sales

Given how magazines are displayed in plenty of retail situations with, often, the top third or less of a cover being on show, I wonder if the above the masthead placement of the ad for Harvey Norman on the latest TV Week may impact sales of this issue of the title. The ad revenue from Harvey Norman must be compelling to Are media for them to place that brand ahead of their own magazine title brand.

This is an odd move.

4 likes
magazines

Why worry that CBDs are dead and may never fully return is misplaced

On Insiders this morning on ABC TV, James Campbell from the Herald Sun worried with all his might that the Melbourne CBD may not come back. he went on to say the the CBD was the “engine room” of the Victorian economy.

The melodrama was laughable.

CBDs have been fading in relevance for years, before Covid. The shop local movement has had an impact. Federal and state government region al policies have had an impact.

Campbell’s comments re the CBD were ignorant, but on point for what we see from the Murdoch press.

The thing is, regional, rural and suburban high street shopping is better in Australia now than for decades. Shoppers are spoilt for local choice.

Shopping is easy and safe, too.

People like this. Local shoppers like it. Local shopkeepers like it. Local makers like it.

Local shopping is the engine room of retail in not only Victoria, but Australia.

But, if we are to believe Campbell, a strong Melbourne CBD is critical to economic success in Victoria. He needs to read more, and get out more. Melbourne CBD office workers who have been working from home and who have a choice to continue to work from home are more likely to choose to work from home … thereby transitioning Melbourne CBD shopping to local shopping.

I say this based on reporting recently on this very topic.

Most newsagents are in regional, rural and suburban high street situations. They are benefiting from people working, living and shopping locally. This is why many have had a good Covid and why many are having a terrific start to 2021.

It seems from what Campbell has said that he does not want that. It appears he would prefer the national chains in the Melbourne CBD to be doing better. Well, James Campbell, therein lies a problem. national chains, especially department stores, are a retail sector in trouble. Brands are going direct, cutting out the middle person department store.

For us, we need to keep doing what we have been doing – evolving our businesses in service of local shoppers with products sourced locally where possible, encouraging local makers and proving the circular value of local.

For me, I’ll ignore Campbell and his shouty pouty Murdoch colleagues. They are an ignorant and selfish lot. They do not serve Australia and Australians well when it comes to discourse on these topics.

I feel for retailers in the Melbourne CBD and all CBDs. However, the drift from big city shopping has been on for a while. This is not a new phenomenon.

There are many retailers who saw this years ago and adjusted their businesses accordingly. Those newsagents are doing well, which is great news. Sadly, we won’t see this as a news story as media outlets prefer the negative over the positive.

8 likes
Social responsibility

A quiet Valentine’s Day in Melbourne

I have been to my shops today, to see first hand what this new Covid lockdown looks like for Valentine’s shopping.

The Westfield shopping centre car parks were 95% empty. despite our shop being the only card outlet open, trade has been okay but not flash.

On the high street, as you may expect, it has been a usual pre-Valentine’s Saturday – good sales, plenty of shoppers.

Talking with some other Melbourne newsagents today, their experience has been the same.

I suspect things will have been more normal in regional Victoria.

0 likes
Social responsibility

It’s a mistake to promote lotteries on social media

Why? Because it defines your business to others.

Okay, you may want that. if so, by all means promote lotteries on Facebook.

However, if you want to bring on a new supplier and they check your business out, be prepared for them to say no to you because you are a lottery shop. Yes, they judge you that way.

Also, the Facebook algorithm will restrict you sees your site based on lottery advertising.

If you have been doing it, is there any evidence that it boosts your sales? I have not seen any.

While I am not a lottery retailer, my opinion is it’s not worth promoting lotteries on Facebook.

5 likes
Lotteries

Newsagents can be open during the 5-day lockdown announced for Victoria

Following the model from last year and the situation, then, that saw retail newsagency businesses classed as essential, newsagency businesses in Victoria can be open over the next five days. Lottery kiosks and tobacconists cannot remain open. Now, for newsagents in Victoria  …

  • Employees should have a permit provided by the business with them to and from work.
  • Ensure you have ready access to masks for staff and customers.
  • Hand sanitiser at the entrance to the store and at the counter.
  • Sanitise the counter on both sides regularly.
  • Pitch curbside pickup for shoppers.
  • Offer local delivery for shoppers.
  • Be positive on social media.
  • Front of store product focus: games, jigsaws, candles, self care.
4 likes
Social responsibility

A new online workshop: Taking your newsagency online: a dive into newsXpress national and local store websites.

Taking your newsagency online: a dive into newsXpress national and local store websites.
Tuesday, Feb. 16 @ 2pm Melbourne time.

Tuesday next week, at 2pm, I am hosting a new free workshop for any newsagentinterested in taking their newsagency business online.

This session will look at this topic from the context of what newsXpress does and has done for 5+ years. We will look at the national sites and the local store sites:

  • How to generate online traffic for national and local store websites.
  • The cost of fulfilling sales.
  • How local stores setup for efficient fulfilment.
  • Managing freight in terms of lowest cost to execute as well as decision making around the free freight question.
  • What being online has meant for in-store purchases.
  • Repeat business prospects.
  • How to use online for first to market opportunities.
  • How to be sure quantity on hand data is accurate.
  • This will be a genuine behind the scenes look.

I am doing this new session using newsXpress national website and local store website examples because I have good data and personal experiences I can speak to. You can rely on this information to make more informed decisions yourselves at the local store level as well in the context of any group you are part of.

newsXpress was the first marketing group in any retail channel in Australia to deliver local store connected websites with a live quantity on hand data feed. The learnings have helped other groups step into this. lucrative space.

This will be an online session, which you can access from anywhere with this link:

https://zoom.us/j/97889421359?pwd=R2puem9RWUVFS1lFTStXMjNHMzRIdz09
Meeting ID: 978 8942 1359 Passcode: 791972

I won’t be trying to sell you anything in the session. Rather, I will share experience insights, lay out the steps involved, discuss online platform options and answer all questions.

And, if the 2pm timing does not work, let me know and I will do my best to schedule another session at a time that suits.

1 likes
Newsagency management

How we achieved $388 in sales to one customer this morning in our suburban newsagency

This true story happened this morning at my Mount Waverley newsagency.

A new customer visited and made a modest gift purchase. On the receipt was a discount voucher for $4.00, which was pointed out to them.

They left the store and returned a few minutes later and made another purchase.

Then, twice more, they left the store and returned a few minutes later and made another purchase.

Over the course of four transactions they spent $388.00 for which we gave away around $30.00 in discounts, which is small when you consider the margin we achieve with gifts

The voucher guided them to look beyond their destination purchase.

here is a video I shot late last year in which I explain the vouchers some more. What happened today at Mount Waverley is not unusual. It’s another way we can grow our newsagency businesses.

This is a good example how a systematic approach to managing loyalty can. drive sales. There was nothing extra special about the approach in-syore. In reality, the software did the heavy lifting, calculating the discount opportunity and including this on the receipt.

It’s a thill seeing it work so well, work in different tilting the business.

In our Mount Waverley retail setting we compete with several gift shops. Plus, we have Chadstone less than 10 minutes away. Every win we can make is worth it to this small suburban retail newsagency.

While it was key we had products they wanted or were likely to want to purchase in the next few weeks, it was the practical opportunity of saving that mattered in making the $388.00 in sales a reality.

Any newsagent can do this.

While the Tower newsagency software was first newsagency software to offer discount vouchers back in 2013, others do now so newsagents with other software could have the type of success I have described here.

My point is – we all need to structure our businesses for these wins based on differentiation of our offers through smart loyalty marketing in businesses with broadly appealing gifts.

It’s good news and another example of small steps combining to create a good commercial outcome.

Whereas in the past we’d letterbox flyers and advertise in local papers. Today, using tech, we can guide greater efficiency from shoppers, maximising the opportunity.

9 likes
Newsagency management