Tag: pocket analysis

Most shops sell greeting cards. Few make what they should from them

Australian newsagents sell a third of all greeting cards bought in this country, and the average Australian buys eight or nine cards a year. Cards are a high margin habit purchase. Most shops still make less from them than they should.

The problem is rarely the supplier. It is the pockets. In almost every card department, some pockets earn their space many times over while others sit close to idle. Without data, you cannot tell which is which.

That is where our work starts. newsXpress has developed proprietary pocket-level performance analysis, exclusive intellectual property not available anywhere else. We apply it to your own sales data and return specific recommendations on which pockets are earning their space and which are not. There is no charge for participating members.

The results are why we keep talking about it. One member moved 120 pockets from one supplier to another and more than doubled the return per pocket. Another cut card pockets by 25%, moved to a split supplier model, and grew card revenue 33%. The list goes on: a 70% revenue lift from splitting cards between two suppliers with no capital outlay, and a 50% lift from replacing $2 everyday cards with a better margin mix.

The analysis is ongoing rather than a one-off. Run it, make changes, then run it again and see whether the changes worked. Card departments drift over time, and the data catches the drift before it costs you a season.

“On implementing newsXpress’s card advice, I saw 76% growth in cards over 12 months. Their strategies contributed to an overall sales increase of 57% in the same period.” — Matt Donkin, newsXpress Mount Lawley, WA

There is no restriction on which card suppliers newsXpress members use. We hold preferred terms with Henderson Greetings, Waterlyn, Hallmark, Simson, Affirmations, Vevoke, Paper Street and Spirit, but the goal is not to push any particular supplier. The goal is the best possible return from the space you give to cards.

If cards are a wall you fill rather than a category you manage, there is money being left on the counter. Call Michael Elvey on 0400 331 055 or email help@newsxpress.com.au and ask about the card analysis.

Newsagents: Why your greeting card range might be your biggest untapped opportunity

Australian newsagents sell a third of all greeting cards in the country. The average Australian buys eight or nine cards a year. If your store has a card section, you are almost certainly sitting on more revenue than your current range is delivering.

Most newsagents know cards matter. Fewer know exactly which pockets are working and which are not. A pocket that looks busy is not necessarily profitable. A pocket allocated to a supplier because they have always been there may be returning half what a different range would in the same space.

This is where data makes a real difference. newsXpress has developed proprietary pocket-level analysis that goes through your card sales by individual pocket, identifies which are earning their space, and provides specific recommendations on what to change. It is applied to your data, not a generic template.

The results members report are worth taking seriously. One store moved 120 pockets from one supplier to another and more than doubled the return per pocket. Another cut their card range by 25%, shifted to a split-supplier model, and saw revenue rise 33%. A third split their range between two suppliers with no additional capital investment and grew card revenue by 70%.

These are not outlier results. They reflect what happens when a category that is often managed on habit gets managed on evidence instead.

Cards also reward in-store execution. How they are arranged, how signage works alongside them, and how seasonal displays draw shoppers in all have a measurable effect. newsXpress provides professionally designed seasonal collateral for members before each major card season — Valentine’s Day, Mother’s Day, Father’s Day, Christmas — ready to display without any design work on your end.

If you have not reviewed your card range in the past 12 months, it is worth doing. If you want to do it with data rather than instinct, that analysis is available to newsXpress members at no additional cost.

newsXpress helps newsagents grow card sales beyond this work. We offer an active marketing program that includes newsXpress funded in-store prize packs and more – all working well to maximise the card sales opportunities.

Growing card sales is easy if you’re backed with good tools that work.