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great. We have a story to tell. 2011 Grocery SuperStudy™. Improving Total Store Performance in the Grocery Channel. - Member Sponsor Report -. Revised: January 2012. SuperStudy K ey Message . The Core P rofitability E lements for Magazines are Very S trong. High Margin
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great We have a story to tell
2011 Grocery SuperStudy™ Improving Total Store Performance in the Grocery Channel - Member Sponsor Report - Revised: January 2012
SuperStudy Key Message • The Core Profitability Elements for Magazines are Very Strong. • High Margin • High Unit Profit • Low Labor Costs • Superior Bottom Line Contribution • Superior Profit to Space Ratio
A Fresh Approach for Retail • Worked with MPA to Develop a New Approach • Leveraging industry expertise • Targeting all levels of retail management • Expanding the message to address broader concerns • Look for new ways to communicate • Lean on the strengths of the category • A program with staying power & flexibility
The Power in Print Messages • Great products that connect, engage and resonate with consumers/readers • That despite the digital hype print magazines are valued by consumers and publishers • Magazines is a significant & large category • Magazines are very profitable • There is opportunity to grow • Magazines contribute beyond the sales
Ad 1 Ad 2
Beginning May 14 IPDA contracted for a series of ads in major trade publications
Additional Communication Efforts • In Development • Direct mail to retail offices • Power in Print campaign adapted for retailer use • PowerPoint to be used by the trade.
A Perfect Category at Retail Unique & Respected Educates, Informs, Entertains & Celebrates Engages Consumers Over 93% of Adults Read Magazines Significant Over $3.7 Billion in Single Copy Sales Very Profitable Excels in Top and Bottom line Profit
to Engage Readers Reading a magazine is an intimate, involving experience, which is one reason the average reader spends 41 minutes with each issue *A.B.C., measured circulation
to Drive Profitability Via ..Low overhead , low inventory investment , low fixture cost, low labor,& high margin! • High Margin • High Return on Inventory ($7.31 AGMROII) * • Low Store Labor Costs (.07 DL/unit) • Low Risk ( Guaranteed Sale) * • Delivering Superior Bottom Line Profits* *Willard Bishop 2011 Grocery Super Study
to Drive the Bottom Line .56 *Willard Bishop 2011 Grocery Super Study *True Profit is profit after all expenses and overhead
that’s Efficient Magazines Deliver 12% of General Merchandise’s True Profit while using only 4% of the space *Willard Bishop 2011 Grocery Super Study *True Profit is profit after all expenses and overhead
to Spare Magazines do all this on under 1/2 % of store sales For a category with 92% household penetration. Imagine how much more we can do…. Together!
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