Industry Analysis & Industry Trends
It has been a sad story for newsagents and stationery retailers over the five years through 2011-12, with industry sales expected to fall by 0.6% per annum. Industry retailers have faced a tough trading environment over this period due to increasing competition from external players, declining newspaper circulation numbers and the influence of cheaper stationery imports from Asian countries. Industry performance during this time has also been affected by annual fluctuations in real household disposable income, consumer sentiment and growth in the relative share of UK households with internet access.
In 2011-12, newsagents and stationery retailers are expected to post a 1.6% decline in sales to £3.6 billion. Weak growth of 1.0%.. purchase to read more
Industry Report - Industry Investment Chapter
Newsagents and stationery retailers operate in a labour-intensive industry. As part of the retail trade division, operators rely on their store staff to undertake a number of duties, including customer service, inventory control and assisting with store displays. Hence, unlike capital expenditure which can vary between years, labour costs remain an integral part of this industry's daily operations. In 2011-12, the labour-to-capital ratio for this industry will be 14.7: 1, such that every £14.7 in labour costs will be balanced by £1.0 in capital costs, supporting the labour-intensive nature of the industry... purchase to read more