Newsagents cite various factors for revenue slump.

 

Sales of stationery in newsagencies appear to be slipping after a period of growth prompted by an increase in people working from home due to the pandemic.

 

Newsagency owner and director of the newsXpress group Mark Fletcher said early figures from his regular newsagency sales survey revealed “concerning data” for stationery.

 

“I’m currently collecting data for a July – September 2020 newsagency sales benchmark study. While the process is in its early days, with data from 30 businesses in so far, already I am seeing concerning data for stationery with sales down, against an overall trend for the businesses,” he posted on his Newsagency Blog on 6 October.

 

“I have data for one business where overall revenue is up 13 per cent while stationery revenue is down nine per cent,” he said. “In another case I can see revenue up nine per cent but stationery revenue is down 12 per cent.”

 

“While stationery has been challenged in the channel for a few years, these results are worse than the trend. It’s concerning,” he said.

 

In response to Fletcher’s blog, several newsagents confirmed a downturn in stationery sales. Among the comments: 

 

PETER: My total sales are up but stationery is down - 13 per cent for me. My range is good. I’m regional in a town of 11,000. I’m not worried because so much else is doing well. But the stationery decline has me wondering about whether to trim what I have. There was a small increase when people were working from home but that was early this year. 

 

GRAEME: Maybe you can put it down to COVID and lack of work participation. Other areas are up in retail in general as well however work-related purchases are not.

 

STEVE: We have been struggling with this category for some time and having been searching for our niche. The decline is in mainly old world business stationery associated with improvement and take up in technology. Officeworks and other online stationery suppliers are also winning market share. We are also noticing a number of boutique retailers and gift stores who seem to be offering fashion stationery. Luckily for us we found some support in this reporting period with art and craft. Having said that whilst our overall revenue for the period was up over 20 per cent, our stationery sales declined by 1.2 per cent.

 

PJ: If they sell to businesses then sales could be affected. Filing products were above average last quarter but regular business consumables like pens and markers were down. Supply issues are also a problem, if you don’t have it then you can’t sell it. It can be seen with even the big boys, out of stock or simply not carrying as many lines. Another factor is very little demand for fundraising or show supplies products, due to COVID making events be cancelled. Cardboard is well down due to this and raffle tickets.