The NFRN has announced that it is suspending further involvement in the Joint Industry Group (JIG) including its Boards and working groups, pending an announcement from the Office of Fair Trading on its decision whether or not to refer the news industry to the Competition Commission for a full market investigation (MIR).
The lack of any real progress to deliver on the independent newsagents’ agenda does not, in the NFRN’s view, warrant the time and resource necessary to participate in meeting forums that are little more than talking shops that are “long on promises but short on delivery”.
Says the NFRN’s JIG Main Board representative, Stefan Wojciechowski (pictured): “Whilst there are still some positives from processes such as ISSA and the non- JIG fast track restitution schemes, elsewhere JIG is failing to deliver on self-regulation for the independent newsagent sector. FODI (the Focus on Distribution Initiative) is one example where, having drawn up an accord in 1998 in which the industry agreed how it was going to work cooperatively to increase newspaper sales by improving the news industry’s record for on-time delivery to retailers, a further 11 years on, FODI is still talking and talking and talking. On time delivery is crucial to sustaining Home News Delivery but it continues to decline through inadequate levels of service.”
“Other working groups have come and gone and some have made positive contributions along the way. Unfortunately, however, there are still a number of key issues that remain to be resolved that are continually shunted into the “long grass” by publishers and wholesalers, who are unwilling to relinquish or even share any control over this industry in the pursuit of serving consumers better.”
Mr Wojciechowski continues: “For JIG to deliver true self-regulation we do not want an industry that is merely content with the status quo whilst looking to strengthen its monopoly control even if it’s occasionally at the cost of sales, completely ignoring what the consumer wants. We want leaders with vision who are prepared to trial supply chain improvements.
He concludes: “If JIG is not capable of achieving these goals, the NFRN is ready and willing to work bilaterally with anyone who wishes to gain a competitive advantage and have genuine discussions with us about improving sales.”