What the NFRN says…
Independent retailers have thanked the Daily Mail for accompanying a price increase on its Saturday edition with pro rata margins.
From January 18, the cover price of the Saturday newspaper will increase by 10p to £1.10 but unlike some of its publishing colleagues, the Mail is maintaining the margin that retailers receive at 21 per cent.
Announcing the move, the Mail said this would give retailers an £8.5 million annual revenue boost.
Responding, NFRN National President Stuart Reddish said: “Independent news retailers are facing challenging times and it is crucial that they remain as profitable as possible.
“Fixed and printed cover prices, together with fixed retail margins, make it extremely difficult for retailers to stay in business unless they receive periodic pay rises through pro rata terms to offset the increasing overheads in running their shops.
“This move by the Mail shows that it appreciates the difficult trading conditions that newspaper retailers are operating in and the higher costs that they are experiencing and that it understand that with a fixed price product, the only way of maintaining retailers’ incomes is through pro rata terms.
“The NFRN will shortly be embarking on a new Protecting Print strategy when we will be taking the opportunity to make all publishers aware that our members will be looking to develop their businesses in association with the suppliers that are prepared to support them.”
What the Daily Mail says…
Retailers will benefit from an £8.5m annual revenue boost as Mail Newspapers announced a 10p increase to the cover price on the Saturday edition of the Daily Mail.
With retail sales close to 1.7m copies every Saturday, the UK’s best-selling daily newspaper, which on average sells more than 230,000 copies than its closest competitor each week, increases to £1.10 from issue on sale 18th January 2020.
In a boost for retailers, Mail Newspapers have confirmed that retail margin will increase pro rata, generating almost £1.8m additional profit per annum.
“Saturday’s Daily Mail is the stand out performer in the market accounting for over 29% of Saturday copy sales through retailers in the UK” said Mail newspapers’ Head of Circulation, Shaun Jones. “It continues to offer consumers fantastic value for money with great reporting and content, including the UK’s best read TV Guide, Weekend magazine”.
Mail newspaper’s Andy Law added “Retailers should maximise their opportunity to take full advantage of this price increase by providing additional facings for the Daily Mail and, where they have space, actively promote and sell the title from till point”