The NFRN say: The increase applies across all four weight bands – 70 – 100g, 101-200g, 201-300g and 301-400g – and came into effect from January 1 this year.
It follows representations to the newspaper publisher from NFRN Chief Executive Paul Baxter (pictured) and National President Kieran McDonnell.
In talks with the Guardian’s Director of Production, Distribution and Circulation Bob Steadman, Mr Baxter reminded him that there was an agreement that publishers would review the rate of payments for handling third party advertising inserts in January each year and further pointed out that the Guardian had failed to index link payment against increases in the national minimum wage. Increasing the payments for third party advertising inserts would take account of the fact that paper rounds could require extra resource or double runs as a result of the additional weight.
Mr Baxter concluded by advising that this meant that a 2.53 per cent increase across all weight bands was due.
In response, The Guardian’s Mr Steadman confirmed that the new rates were acceptable and advised that these would be applicable from January 1 2012.
Commenting on the increased payment, Mr Baxter said: “We have made it clear to all publishers that we are unhappy with the current rate for third party advertising inserts. We are therefore delighted that The Guardian has responded so quickly and positively in recognising that the extra weight caused by these advertising inserts requires additional work by newsagents who home deliver and agreeing to reward them accordingly. We will now be negotiating with other publishers in a bid to secure further increases on third party advertising inserts.”
Mr Baxter added: “This is a great start to the year for the NFRN which, this month, also embarked on its biggest and most exciting news promotion ever with our six week voucher promotion with the Guardian and Observer to boost sales and profits in members stores.
“And with plenty more exciting newspaper and magazine initiatives on the horizon there has never been a better time to be a member of the NFRN.”
The Guardian’s Mr Steadman said: “GNM are pleased to support the continued fine work of our retail partners by increasing the TPAI payment rate."
