Tuesday, August 23, 2011

Convenience store exec says magazines sections are shrinking because they're too much trouble

Magazine sections at convenience stores are shrinking and one of the reasons is that stocking and shelving magazines is too labour intensive, according to Peter Chappell, senior category manager for Mac's. He told a Toronto meeting last week of the Periodical and Book Association of America (PBAA) that magazine sales represent just one per cent of sales at Canadian convenience stores, while foodservice sections were markedly more profitable.
For the first quarter of 2011, magazine sales are down six percent compared to the same period in 2010, a downward trend that shows no sign of flattening,  he said, and said that while suppliers of potato chips, soft drinks and other products help stock shelves at Mac’s, "magazine wholesalers do not service convenience stores." In other words, store personnel have to fill and tidy the racks and arrange for returns.

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