Feeling the press: Strong competition from online retailers has caused revenue to decline

Newspaper and book retailers have faced tough trading conditions over the past five years due to declining sales of printed publications and increasing competition from international online retailers. Competition from external operators, including supermarkets and department stores, has also affected industry trading conditions. Overall industry revenue is expected to drop at an annualised 5.7% over the five years through 2017-18. Consumer demand for newspapers has been influenced by trends in real household discretionary income, consumer sentiment, internet connections and the growing popularity of online shopping. Industry revenue is expected to fall by 2.3% in 2017-18, to $3.5 billion...read more.

Industry Statistics & Market Size
Revenue
$3bn
Annual Growth 13-18
-5.7%
Forecast Growth 18-23
Profit
Employment
26,000
Businesses
4,320

Industry Threats & Opportunities

  • Growth in discretionary incomes has failed to stem industry revenue declines
  • Book publishers have turned to ebook sales due to flagging printed book revenue
  • Online shopping trends will continue to influence demand for newspapers and books
  • Industry Report - Industry Key Buyers Chapter

    The industry exhibits low market share concentration, with the top two players expected to account for considerably less than 40.0% of the market. According to ABS data, a reported 31.2% of operators were non-employing businesses in 2015-16, with a further 66.5% of industry participants being small-sized operators with fewer than 20 employees. Prospective entrants face low barriers to entry, which acts as an incentive for new operators to enter the industry and gain market share. The entry of new players is supported by low capital requirements.The book retailing market has suffered a period of rationalisation over the past five years. New...purchase to read more.

    Additional Insights for the Newspaper and Book Retailing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Newspaper and Book Retailing Industry are

  • Ability to control stock on hand
  • Being part of a buying group
  • Attractive product presentation
  • IBISWorld analysts also discuss how external factors such as Real household discretionary income and Consumer sentiment index in the Newspaper and Book Retailing industry impact industry performance..

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    What's in this report

    What is the Newspaper and Book Retailing Industry?

    Operators in the industry primarily retail newspapers, books and magazines. Industry players may operate as independent businesses, as part of a retail chain of stores or under a franchised model. Newspapers and books are largely purchased from the relevant wholesalers and then sold via stores or online sites to end consumers. Players that operate purely online are excluded from the industry.

    Industry Products
  • Books
  • Lottery
  • Ebooks
  • Magazines
  • Newspapers
  • Cards, gifts and party items
  • Other goods and services
  • Industry Activities
  • Book retailing (including ebooks)
  • Newspaper retailing
  • Magazine and periodical retailing
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Real household discretionary income
  • Consumer sentiment index
  • Demand from online shopping
  • Internet connections

  • Current Performance
  • Trading landscape
  • Profit
  • Enterprises and employment
  • Chart: Revenue Growth

  • Industry Outlook
  • Online competition
  • Profit and products
  • Enterprises and employment
  • Table: Newspaper and Book Retailing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Newspaper and Book Retailing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Book and Magazine Wholesaling
  • Book Publishing
  • Magazine and Directory Publishing
  • Newspaper Publishing
  • Paper Product Wholesaling

  • Products & Services
  • Books
  • Other goods and services
  • Cards, gifts and party items
  • Ebooks
  • Lottery
  • Magazines
  • Newspapers
  • Chart: Newspaper and Book Retailing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • People aged 35-54
  • People aged 55 and over
  • Business accounts and subagents
  • People aged 15-34
  • Chart: Major Market Segmentation for the Newspaper and Book Retailing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Newspaper and Book Retailing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Newspaper and Book Retailing Industry

  • Industry Globalization
    Newspower Newsagents, Nextra Group,
  • Table: Newspower Newsagents - financial performance
  • Table: Nextra Group - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Newspaper and Book Retailing 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 Newspaper and Book Retailing Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Ebook
  • An electronic or digital book.
  • Ereader
  • A portable device designed for reading digital publications.
  • Etailers
  • Operators that sell goods online.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Newspaper and Book Retailing market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    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 Newspaper and Book Retailing:
    • 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 of 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 Newspaper and Book Retailing 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 Newspaper and Book Retailing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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