The NFRN, the trade association representing independent retailers, says the moves will take millions of pounds from its members’ tills.
According to the NFRN: The new cover price for the Scottish Daily Express will be effective from Monday December 28 with the retail margin based on the new price.
The price reduction on the Saturday Daily Express will take effect from Saturday January 2. This means that if retailers are to continue to receive the same margin as before the Express will need to increase its Saturday sale by between 89-90 per cent.
The publisher has said the price promotions will run until further notice.
Reacting to the announcements, NFRN Chief Executive Paul Baxter said: “On October 5 the Daily Star halved its price on its weekday, Saturday and Sunday editions, halving the profits that retailers make from the title, as Richard Desmond sought to spark a tabloid war. Despite all his bravura, ABC figures have shown that this action has only led to a 6 per cent increase in sales in the first month. So the reality is that loyal readers happily paying the full price have got a good deal but his product has been badly devalued and the category continues to slide away. We are, therefore, aghast that Richard Desmond has decided to drop the cover prices on the Scottish and Saturday editions of the Express.”
National President Ralph Patel added: “Once again, it seems Richard Desmond is making a rash decision with no consideration about the impact it will have on the newspaper market as a whole and, specifically, the retailers who have previously supported his titles. There is no credible justification for such moves, especially given the fact that both the Sun and Mirror failed to follow suit when the price of the Star was halved. Rather than injecting the promised excitement and long overdue extra sales into the newspaper category it appears that Richard Desmond is hell bent on ruining an industry that has helped earn him millions.
“As a result, the NFRN will be reminding our members that they have choice in what they stock, that they should review the space they give to products that do not deliver the profits needed to run successful businesses and that they should focus on giving display and support to the titles that support them.”
