Bad news: Operators are likely to absorb higher purchase costs in coming years, limiting profit

In the five years through 2019-20, operating conditions have been difficult, largely due to increasing levels of IT and telecommunications adoption which have occurred globally, mostly in the form of smartphone technology. Online retailing of stationery has grown dramatically in this time, while the circulation of newspapers has plummeted. Other external players have increased the variety of produce on offer and reduced their prices. As the Newsagent and Stationery Stores industry has been unable to compete with such prices, it has been left in a state of decline. Industry revenue is forecast to decline at a compound annual rate of 3.7% over the five years through 2019-20. In the current year, revenue is expected to fall by 7.7% to under £2.4 billion...read more.

Industry Statistics & Market Size
Revenue
£2.4bn
Annual Growth 15-20
-3.7%
Forecast Growth 20-25
Profit
Employment
39,681
Businesses
3,083

Industry Threats & Opportunities

  • Technology giving consumers easy access to news has limited demand for newspapers
  • A rise in public environmental awareness is likely to limit demand for physical newspapers
  • Consumer confidence is likely to remain weak in the coming years as economic concerns persist
  • Industry Report - Industry Analysis Chapter

    Industry players have endured difficult trading conditions over the past five years. Competition from supermarkets and convenience stores has sliced into demand due to their comparatively lower prices and the convenience they offer to consumers. Furthermore, rising IT and telecommunications adoption and total online expenditure have impeded growth, as consumers increasingly use digital platforms as a replacement for industry products. This has most notably affected the newspaper segment, as consumers have opted for reading newspapers online rather than in print format, significantly reducing newspaper circulations. Annual fluctuations in other areas, including disposable income, consumer sentiment and product innovation, have also affected industry performance in the past five years. Ove...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
    WagesPurchasesProfitDepreciationMarketingRentUtilitiesOther
  • 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 (2011-2025)
  • Industry Gross Product (2011-2025)
  • Establishments (2011-2025)
  • Businesses (2011-2025)
  • Employment (2011-2025)
  • Wages (2011-2025)
  • Wages (2011-2025)
  • Purchases (2011-2025)
  • Profit (2011-2025)
  • Depreciation (2011-2025)
  • Marketing (2011-2025)
  • Rent (2011-2025)
  • Utilities (2011-2025)
  • Other (2011-2025)

  • 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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