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News    >    20 January 2006

Magazines the star performers of the Australian convenience channel

- Magazine growth significantly outpacing convenience channel performance

20 January 2006
Sydney

In the face of slowing merchandise sales in the petrol and convenience channel, sales for magazines are bucking the trend with strong double-digit growth rates, research company ACNielsen revealed today.

According to ACNielsen | C*Track data, sales for the magazine category across the petrol and convenience channel increased by $7.8 million (18.5%) in the year to December 2005. This growth was in contrast to general convenience sector trends, and was achieved despite a slow down in overall merchandise sales in the convenience sector, driven by increasing petrol prices.

While merchandise sales increased by 3.6 percent in the latest year, during peaks in petrol prices in July and September of 2005, merchandise sales were actually declining by two percent. In spite of growing pressure on the convenience channel, magazine performance held ground and continued to achieve growth rates between 15 and 20 percent (refer to Chart 1).

“Petrol and convenience outlets represent a significant channel for Australian publishers,” says Anton van den Berg, Client Service Director, ACNielsen. “By ensuring efficient distribution of magazines to convenience stores, and adequate stock control, publishers have an opportunity continue with this level of growth in the foreseeable future.”

Source: ACNielsen | C*Track

Chart 2: Magazine performance in the convenience channel - MAT to Dec 2005

Total Magazine
Value sales $50.3 million
Value % growth vs YA 18.5%

Top 5 titles based on annual value sales
Title Publisher
Picture ACP Magazines
Woman's Day ACP Magazines
NW ACP Magazines
People ACP Magazines
New Idea Pacific Magazines

Source: ACNielsen | C*Track

About ACNielsen
ACNielsen, a VNU business, is the world’s leading marketing information company. Offering services in more than 100 countries, the company provides measurement and analysis of marketplace dynamics and consumer attitudes and behaviour. Clients rely on ACNielsen’s market research, proprietary products, analytical tools and professional service to understand competitive performance, to uncover new opportunities and to raise the profitability of their marketing and sales campaigns


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