Industry Analysis & Industry Trends
Newspaper and book retailers have faced tough trading conditions over the past five years due to a decline in the sale of printed publications and growth in the volume of sales lost to international e-tailers. Industry trading conditions have been affected by competition from external operators, including supermarkets and department stores. The challenging operating landscape has culminated in industry revenue declining. Revenue is estimated to drop at an annualised 7.1% over the five years through 2013-14. Consumer demand for newspapers has been influenced by trends in real household discretionary income, consumer sentiment, internet connections and the volume of shopping done via internet sites. Industry revenue is forecast to fall by 5.3% in 2013-14, to $4.3 billion... purchase to read more
Industry Report - Starting a New Business Chapter
The industry has low barriers to entry and the trend is steady. Capital intensity and concentration are low, which is an incentive for new operators to enter the industry. Capital costs include the financial investment required to purchase or establish a new store along with the cost of store fit-outs and stock requirements once the store is operational. Although these investment requirements are significant, the daily capital requirements for ongoing businesses are minimal.
New entrants are encouraged to enter the industry due to its low concentration. The industry is fragmented as the top four players account for less than 40.0% of the market and the majority of smaller operators employ less than 20 people... purchase to read more