The NFRN says: This will add a much welcomed 2.14p (1.42p) to retailers’ income for each copy sold, increasing the pence per copy margin from 14.98p to 17.12p (14.63p to 16.05p).
Kieran McDonnell, NFRN National President, said: “As a responsible organisation, the NFRN believes in balance and fairness. Whilst we have been strong in our condemnation of publishers who have reduced retailer terms, it is right that we should publicly thank and praise publishers when they act responsibly and maintain pro rata terms when cover prices increase.”
NFRN Chief Executive Paul Baxter (pictured) added: “During our recent series of meetings with newspaper publishers we have impressed on them the vulnerable financial climate in which our members operate, yet they are critically important to publishers not just because of their market share of circa 60% of sales, not even because they are one of the last bastions of home news delivery, but because it is these retailers that provide consumers with access to the publisher’s titles in every corner of the country. That will not be sustained unless publishers ensure these retailers remain financially viable. That viability depends partly on publishers maintaining pro rata terms, but equally it depends on publishers taking an active interest to suppress carriage charges (how about a freeze next year?) and it depends upon publishers taking more interest in the quality of service provided by their wholesalers, to ensure that the margin they grant to retailers is not frittered away.”
Also being discussed in meetings with pro active publishers is the NFRN’s desire for the publishers’ and NFRN’s commercial teams to work more closely together. A number of ideas are currently being worked on and it is hoped that this will bring positive benefits to both publishers and NFRN members over the months to come.
