Newsquest upsets newsagents by cutting their margin on newspaper sales

By Éilis Cronin in Industry News 4th November 2021

Newsquest’s decision to cut retailers’ margins at the same time as it increases the cover prices of many of its weekly newspaper titles has been branded a disgrace by the NFRN.

The newsagents’ organisation said that the combination of the price rise in many titles of up to 7p contrasted with Newsquest’s decision to reduce the retailers’ cut from 15% to 14.5%.

NFRN head of news and Connect, Brian Murphy, said: “Over the last year, other major publishers including Reach, News UK and GNM have all included pro rata terms for retailers as part of price increases to their titles.

“These publishers recognised and publicly acknowledged the vital part independent newsagents and retailers have played to maintain and increase sales of newspapers during the Covid pandemic.

The decision made by Newsquest is nothing short of disgraceful and shows a total lack of appreciation for the independent retail sector.”

The NFRN warned that some newsagents might “seriously think twice” about continuing to stock some Newsquest titles.