Published by: Joe Lenane | Published Date: 1st October 2012
Independent newsagents have reacted angrily after Johnston Press cut profit margins by up to 8.48% on some 37 regional titles throughout the UK.
On the back of recent carriage charge inflation, thousands of independent newsagents have reacted angrily after Johnston Press cut profit margins by up to 8.48 per cent on some 37 regional titles throughout the UK.
NFRN National President, Alan Smith, said: “Johnston Press has failed to acknowledge industry protocols in unilaterally slashing retailers’ margins, to the detriment of the regional press as we know it. If they think these cuts can be used to finance their online strategy without a fight, Johnston Press is gravely mistaken. We will be communicating these cuts to all of our members.
He continued, “We will be asking what part wholesalers played in allowing this to take place. It is unsustainable to continuously slash retailer margins whilst simultaneously imposing carriage charge hikes. Such action sounds the death knell of the industry and publishers and wholesalers must start conducting their business in a sustainable manner if they don’t want the industry to fail.”