Month: November 2024

The First Three Metres: Your Shop’s Power Zone

The first three metres of your shop, from the front windows and door, are your headline. If you’re serious about transforming your newsagency and making a lasting impression, this is the space to focus on. A dramatic, complete overhaul is essential.

It’s these initial few steps that will shape customers’ perceptions of your shop. This is your chance to defy expectations and disrupt the norm. Don’t give them what they anticipate.

Every element, from products to fixtures, is up for reinvention. If your counter falls within this zone, it too needs a dramatic makeover.

To truly start fresh, close your shop for a day and strip the first three metres bare. Imagine a blank canvas. Set a strict rule: nothing that was there before can go back. It won’t be easy, but resist the urge to revert to the old layout.

The ultimate goal? To surprise your customers. To have them point out products they’ve always bought but only now truly notice, thanks to your bold new approach.

Four Principles for Maximising Your Shop’s Power Zone:

1. Declutter and Create a Visual Feast: Keep the entrance clear and visually appealing. Ditch traditional fixtures in favour of clean lines, captivating displays, and well-maintained equipment.
2. Sensory Experience: Engage multiple senses. Play upbeat, familiar tunes. Showcase beautifully scented products to create a distinctive aroma.
3. Storytelling Through Displays: Don’t just display products; tell a story. Create themed displays that showcase how products can be used or benefit customers. Less is more – focus on quality over quantity.
4. Interactive Elements: Encourage customer engagement. Display products in a way that invites touching and smelling. Break free from traditional boxed displays.

The first three metres of your shop are prime retail real estate. Take control. Set the tone. Make a statement. And keep evolving. Prove that your business is dynamic and always transforming.

newsXpress is here to help local small business newsagents run more valuable and enjoyable retail businesses, to navigate change and embrace opportunities beyond tradition. newsXpress is all about sharing these opportunities and leaving you to decide what’s best for you and your newsagency business.

If you know you need to transform your newsagency and your business data isn’t in good shape, you can still take steps on the shop floor to drive change.

Often, businesses in this situation have a traditional shop layout. The advice below is designed to disrupt this and help you see new possibilities. Remember, change is permanent, so be ready to adapt. Also, nothing is permanent. But, if you do nothing, achieving nothing is a certainty.

First: The Old Newspaper and Magazine Unit

If you have a traditional magazine fixture running down the middle of the shop with newspapers facing the entrance, rip it out. This prime retail space is better suited to higher-margin products.

Not sure what to replace it with. Rip it out anyway. You’ll then see possibilities.

Replace it with basic shelving:

• Put magazines on the back wall.
• Place newspapers on a bottom shelf.
• Remove any newspaper or magazine posters, as they don’t boost sales.

Second: Fill the Freed-Up Space

Use old tables or wooden boxes to create display areas. Showcase product categories and include items you might not usually consider. Don’t use spinners in this space. Be bold and include products you’re unsure about to learn more about your customers. Be ready to change these displays weekly.

Make it warm, comforting, comfortable.

Third: Watch What Happens

The changes might not work immediately. If so, keep experimenting. If you see early success, capitalise on it.

By disrupting your traditional layout, you’ll gain a fresh perspective on your business. This radical change can lead to significant benefits, both for your business and your personal growth.

The moves may be a bust. It’s okay if they are, make more changes and keep doing so until you see a good result.

You may see some early success. If you do, lean into that, do more.

If your business is that traditional that it has an old magazine and newspaper unit running down the middle of the shop, we suspect you will experience good news for that’s what we have seen in every business we have seen try it.

newsXpress is here to help newsagents run more enjoyable and valuable retail businesses.

This advice applies whether you’re running a classic newsagency or one that’s already been modernised. The key to success starts with understanding your current situation – and that means diving into the data.

Why Data Matters

Knowing your business inside-out forms the foundation for making informed decisions. This involves gathering information from various sources:

• Up-to-date financials: This includes your profit and loss statement, debtors and creditors reports, and a list of all outstanding debts (both official and unofficial).
• Inventory: Maintain a complete stock listing with total value, along with a separate list for items that haven’t sold in six months or more (dead stock) with their total value.
• Store layout: Create a floor plan showing gross profit percentage by product category and how much space each category occupies.
• Staffing: Track total rostered hours per week, including unpaid owners, and calculate your revenue per hour worked.
• Sales Trends: Compare your category-level sales for the past six months to the same period a year prior.

Taking Action: Starting with Quick Wins

Just wanting change isn’t enough. You need a clear picture of your current state and resources to navigate transformation effectively. This data will reveal immediate opportunities and your business’s capacity to fund change. It’s my starting point for every transformation project I undertake.

Clearing Out Dead Stock

Here’s a recommendation for a quick win: identify dead stock that’s not selling and that that’s already been paid for. Freeing up this cash and space can be a great boost. Create a dedicated clearance area with a uniform discount (50% is a good starting point) to move this stock quickly.

Uncovering Hidden Gems

While clearing dead stock, analyse the remaining data to understand your current business performance. Look at sales comparison reports to identify any untapped potential within existing categories. This can serve as your first easy win.

Embrace Continuous Improvement

As you analyse the data, keep building out a list of ideas and actionable steps. You might even discover previously overlooked opportunities or hidden strengths.

Finding the Right Guidance

Some seek help from accountants or consultants. While these can be valuable resources, in my experience, the ideal advisor has current, hands-on experience in retail specifically within the newsagency space.

Transformation is Yours to Own

It’s your business, and the desire for change is yours. The next steps are yours to define and execute. Owning the transformation process empowers you to build a stronger future.

Getting Fit for Change

Gathering data, cleaning house, and getting your finances in order are crucial steps – your equivalent of getting “match fit” for the more significant changes to come.

newsXpress is here to help

newsXpress is a marketing group helping local small business newsagents to create more valuable and enjoyable businesses.