Written off: Increasing digitalisation has lowered industry demand and caused revenue to fall

Operating conditions have been difficult for newsagents and stationery retailers over the past five years. Industry operators have had to operate in a tough trading environment and have faced declining newspaper circulation numbers, and increasing competition from external players, including online retailers. As a result, industry revenue is forecast to decline at a compound annual rate of 4.4% over the five years through 2018-19. In the current year, revenue is expected to fall by 4.2% to £3.1 billion.Over the past five years, an increasing number of retailers such as supermarkets, convenience stores and petrol stations have been incorporating industry products into their own offerings, which has drawn demand away from specialised newsagents and stationery stores...read more.

Industry Statistics & Market Size
Revenue
£3.1bn
Annual Growth 14-19
-4.4%
Forecast Growth 19-24
Profit
Employment
49,295
Businesses
3,827

Industry Threats & Opportunities

  • Increasing external competition has lowered industry demand, causing revenue to decline
  • The National Living Wage has increased costs owing to the labour-intensive nature of the industry
  • Price competition means operators are unlikely to pass on cost increases resulting from the weak pound
  • Industry Report - Industry Locations Chapter

    Population and income trends primarily govern the geographic location of newsagents and stationery retailers across the United Kingdom. Newsagents in particular are more common where there is greater population density. As a result, industry establishments are most concentrated in the South East, London and the North West. Establishments in the other regions of the United Kingdom are also distributed in line with their relative population sizes.The South East, London and the North WestTogether, the top three regions account for 40% of industry business establishments and contain approximately 38% of the population. Not...purchase to read more.

    Additional Insights for the Newsagents & Stationery Stores Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Newsagents & Stationery Stores Industry are

  • Ability to control stock on hand
  • Attractive product presentation
  • Effective product promotion
  • IBISWorld analysts also discuss how external factors such as Total online expenditure and IT and telecommunications adoption in the Newsagents & Stationery Stores industry impact industry performance..

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    What's in this report

    What is the Newsagents & Stationery Stores Industry?

    Operators in this industry primarily sell newspapers, magazines, greetings cards and stationery, including office supplies. Products are sourced from a variety of local and international suppliers and sold chiefly to consumers and businesses.

    Industry Products
  • Newspapers and magazines
  • Greetings cards
  • Stationery
  • Other goods
  • Industry Activities
  • Newspaper and magazine retailing
  • Stationery retailing
  • Greetings card retailing
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total online expenditure
  • IT and telecommunications adoption
  • Real household disposable income
  • Consumer confidence index
  • Demand from supermarkets
  • Number of school students

  • Current Performance
  • Competition grows
  • Newspaper circulation
  • Profit performance
  • Adding value
  • Chart: Revenue Growth

  • Industry Outlook
  • Online competition
  • Consumer confidence
  • Innovative services
  • Industry profit
  • SOHO opportunities
  • Table: Newsagents & Stationery Stores Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Newsagents & Stationery Stores Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Book Publishing
  • Confectionery Wholesaling
  • Wholesale of Other Household Goods

  • Products & Services
  • Stationery
  • Greetings cards
  • Newspapers and magazines
  • Other goods
  • Chart: Newsagents & Stationery Stores Industry Products and Services Segmentation

  • Demand Determinants
  • Consumer and business variables
  • Paper prices
  • Digital communication

  • Major Markets
  • Private consumers
  • SOHO consumers
  • Professional consumers
  • Chart: Major Market Segmentation for the Newsagents & Stationery Stores Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Rent, utilities and depreciation
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Newsagents & Stationery Stores

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Newsagents & Stationery Stores Industry

  • Industry Globalization
    WH Smith plc, McColl's Retail Group plc,
  • Table: WH Smith plc - financial performance
  • Table: McColl's Retail Group plc - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Newsagents & Stationery Stores Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Newsagents & Stationery Stores Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    E-Card
  • Similar to a postcard or greetings card, only it is created using digital media instead of paper or other traditional materials.
  • Newspaper Circulation
  • The number of newspaper copies distributed on an average day.
  • Soho
  • Stands for small office and home office.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Newsagents & Stationery Stores market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Newsagents & Stationery Stores:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Newsagents & Stationery Stores market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Newsagents & Stationery Stores, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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