With the Mail and Guardian recently increasing third party insert rates for advertising inserts, members who offer home news delivery should make sure they are registered now.
Whether you love or hate it, the marketing tactic of additional insertions – which can range from leaflets to hefty catalogues – reaching consumers via their regular newspaper read does prove to be effective so it cannot be ignored.
What is important, however, is that any member who offers a home news delivery service gets their share of this important and lucrative income stream from national newspaper publishers.
That’s why the Third Party Advertising Inserts scheme (TPAI) was set up in 2002 – and it followed representations from the NFRN to newspaper publishers for a contribution to help cover the additional costs incurred by HND retailers when the weight of inserts meant members had to provide additional delivery resource.
Now, every time the weight threshold of 70g is triggered, a payment is made for delivering these external inserts – but only if you are registered.
These payment rates are always high on the NFRN’s agenda so newspaper publishers are written to each year and asked to review and increase these to ensure that retailers who deliver these inserts within their HND copies are paid accordingly.
Following our latest representations – just before Christmas – Mail Newspapers confirmed that its rates were increasing with effect from January 1 2019. The Guardian has also announced it will be increasing its TPAI rates, with payments backdated to 1 January 2019. It is hoped that other publishers will follow suit.
While this is good news, the NFRN fears that thousands of pounds are still going unclaimed because members have not advised their news wholesaler that they offer an HND service. That’s why we want every member to check that they are registered with their news supplier to receive the third-payments for delivering these extra items when the weight threshold is triggered.
How does the scheme work?
Back in 2002, publishers decided that there would be no payment for the first 69g of a TPAI but, starting at 70g, each publisher has determined a sliding scale of payments based on the weight of their individual inserts.
Payment rates* do vary from title to title and some are based on the number of copies delivered as well as the weight. Under the scheme, publishers will notify the news wholesalers of the third party advertising inserts that have been distributed to retailers and the wholesalers will issue a credit to registered retailers quarterly in arrears.
To receive payments your news wholesaler needs to know how many copies of each participating title that you home deliver. You can do this by contacting your news wholesaler directly, or by calling NFRN Connect on 0800 121 6376 who will advise your news wholesaler on your behalf
If you are already registered but have seen a noticeable difference in the number of newspapers that you deliver, it is important to adjust the values to the correct amounts to ensure accurate records. This is especially important if you are no longer providing an HND service or if your HND numbers are significantly down from your original registration as continuing to accept payments in these circumstances could be deemed to be fraudulent.
* correct as of 7 March 2019.