INDUSTRY INSIGHTS

2016 VS 2015 NEWSSTAND SALES OVERVIEW

The industry continues to slide in a direction that no one is pleased with, with that said, there are several positive points that 2016 yielded. As you will note below under the Top Publisher Ranking, 33% of the Top 15 Publishers increased retail dollar sales YOY. This increase is primarily the result of 1) Increased releases/issues; 2) increased cover prices, and 3) additional or new title/BIPAD launches. We also witnessed a surprisingly low sell through in the 4th quarter of 2016, 23.7% in the US. 

MagNet realizes that the trends, while not overall positive, must still be communicated to the industry and the positives brought to light as we dig into the details. MagNet is committed to providing the industry useful, meaningful trends with the goal of providing all publishers insight into what may be the next "BIG" topic, theme or launch. 
US & CDN COMPARISON BY QTR - 2016 VS 2015

The newsstand in total continues to provide disappointing results as we are all aware. However, as we dig into the depths of the data we are seeing categories and publishers improving their positions and increasing total sales, improving profitability and some improving sell through inefficiencies at the same time. When you consider the sell through for the 4th quarter in the US slid to a very disappointing 23.7%, the improvements sighted are not by luck, they are the result of a high level of analyses. Publishers that are expanding their title stable through new releases, increasing frequency where schedules allow and are focusing on data trends earlier in the process are seeing positive results. Reviewing the Top 15 publishers, 33% of the Top 15 resulted in increased retail dollar sales YOY, as you will see in the Publisher Ranking chart below. 
US & CDN TITLE RANK 2016 VS 2015

The Title Ranking recap is a bit deceiving when reviewing, as you dig into the details you notice, for example, that the titles ranked 101 - 200, the units are flat, and dollars are up 10%. The interesting factor in this group, is the average cover price is nearly $9.00 US. The titles in this group fall, primarily, into the "Book-a-zine" and/or "SIP" group, but nonetheless indicate the "opportunities" that are available. Included in this group are titles that were part of the adult coloring book phenomenon. 
NATIONAL DISTRIBUTOR COMP. 2016 VS 2015


These numbers are based on which national distributor is currently billing titles to the wholesalers. 
PUBLISHER COMPARISON 2016 VS 2015


While the industry continues to struggle, there are publishers that have been able to improve YOY retail sales. Again, the primary cause for the increase was the result of additional releases and/or new launches. Secondarily, you will note the Penny Press and Trusted Media Brands improved the sell through while the industry declined by nearly a point.
CATEGORY COMPARISON 2016 VS 2015

As mentioned in the opening remarks, there are categories that are performing above the industry. The primary reason for this continues to be Book-a-zines and Specials that are published under the same BIPAD. 
TOP CHAINS COMPARISON 2016 VS 2015

* Barnes & Noble are estimated sales

Chains in the top ten are Ahold/Delhaize, Albertsons/Safeway, Barnes & Noble*, CVS Health, Hudson Retail, Kroger, Loblaws, Publix, Walgreens and Wal-Mart. 
CLASS OF TRADE COMPARISON 2016 VS 2015

* Bookstore totals include estimated sales for B&N

The bookstore, club store and discounts class of trades continue to perform better than the industry; while the C-Store and Newsstand COT's continue their struggle.
All sales are based on issues off-sale in the period described. All data expressed in millions. All data is based on actual wholesale O&R records and reflect all returns processed through 02/26/2017. Any questions or additional information requests should be submitted to businessinsights@magnetdata.net.