Learn how to better target your captive audience
Would it surprise you to hear that some of the most sought-after businesses now are Newsagencies?
Why a surprise? The popularity of the Australian Newsagency waned a little as more customers turned to online news and magazines – and even lottery products.
However, this quite unique business enjoys wide community support – and learned how to diversify.
In fact, with around 3,000 agencies throughout Australia, the Newsagent Industry is the largest, non- franchised, family-owned small business sector in the country.
Frequent repeat trade
A key part of their success is that Newsagents offer a consumable – but not perishable – product range, which creates frequent repeat trade.
Whilst keeping a mix of core products – such as newspapers, magazines, stationery, cards, gift wrap, and lottery products, newsagents now also offer a more diverse range of products and services, such as dry cleaning, phone accessories and Post Office services.
Blending newsagent services with Australia Post opens the door to a full range of services, including banking, bill payments, passports, photocopying and much more.
Newsagents have also expanded into non-traditional product lines, such as giftware, candles, scarves, handbags, and jewellery.
Over 54% of newsagents report more than 5-10% growth in gift lines alone.
A recent survey by Retail Doctor Group said that 79% of Australians still visit newsagencies, showing the industry’s resilience, even during a pandemic.
However, changes in demand mean the traditional retail model of re-stocking with the same products weekly is no longer the most profitable way.
The secret is to learn what other products and services your customers need/want – in other words, these days you need to really get to know your customers.
This takes creativity, willingness, engagement, and the ability to change with the times.
Independent newsagents are becoming far more engaged in the lives of their customers and, as they diversify, the results are speaking for themselves.
Newsagents are not only staying afloat – but they are also turning a profit.
Learn how to upsell
The first step is to create a business plan – and a marketing plan. The latter is quite new to the newsagent industry – but necessary to gain new customers. So, if you’ve never used social media before, get on it now!
You also need to switch from passive to initiative-taking customer service, learning how to upsell to your captive audience. For example, adding a coffee service for your early morning foot traffic. And how about a muffin to go with that coffee?
As a newsagent, you must be willing to wear a variety of different hats; you’re an owner and a manager, a retailer and a distributor, traditional and entrepreneurial.
But first you need to buy the business! Research shows that over 62% of newsagents have owned their shops for 10 years or more, and 28% keep ownership for over 20 years. So, they are not always easy to come by!
However, you will find some excellent Newsagent Businesses within these pages, or by visiting https://www.ctoc.com.au/