The NFRN statement says: The Saturday issue rises in price by 7% from £2.80 to £3.00 but at least there is a pro-rata of Retail margins from 63.28p to 67.8p therefore the 22.60% margin is maintained.
However the weekday issues are a completely different story where the price has moved up from £2.50 to a staggering £2.80, an inflation busting 12%, worse still the margin to retailers has been slashed on invoice from 22.20% down to just 20.0% (-5.5p).
The Financial Times have however stated that Retailers who redeem their subscription vouchers will now receive an extra 6p (on top of the 1p handling allowance). So the Financial Times variable terms scheme is to simply benefit Retailers whose customer’s part pay using vouchers (currently estimated at just one third).
Says NFRN National President, Kieran McDonnell (pictured), “Whilst we have always expressed a willingness to discuss variable terms with publishers, we have always made it clear that existing terms are a starting point, with additional terms being earned through positive performance and additional services such as HND. The NFRN does not accept FT’s punishment of certain groups of retailers through reduced terms in order to push its voucher scheme. This is unfair, immoral and unjustified and certainly no way to encourage retailers to promote the FT’s sales. We will be seeking further discussions with the FT to fully discuss this matter.”
