Newspaper Distribution Is Not As Simple As It Seems, Distributor Raphael Auad Will Tell You Why

In a recent story run by New York Times, they reported that printed news (dailies) totaled up to 70% of their annual revenue. Adding to that number, 23% of print readers were between the ages of 20 to 40 years old. Now, that is indeed good news for the newspaper business, especially when most people in that age group are resorting to electronic and digital media for news consumption.

However, newspaper distribution is not as simple as it sounds. With newer and more interactive sources of news becoming available, at almost no cost, the newspaper business does face a serious challenge to its existence. The biggest and strongest of such challenge is ‘subscriber retention’ and is the primary reason for a dip in print circulation. With innovative news media in play, it has become imperative for distributors to retain every single reader that the publication has.

For those who are aspiring to join the big club of newspaper distribution, it is a long and a tough road ahead. Though it might look like it is shrinking, the U.S. newspaper industry is still massive. At this present time, there are roughly 300,000 distributors in the United States who collectively contribute to a whopping $3.2 trillion in annual revenue.

As promising as it might look, the newspaper business comes with its own challenges. The industry is still fragmented and highly competitive in nature with a large number of participants. Retaining subscribers has been tougher than before. The industry calls for more focus on the customer service every time.

Distributors who have been in the business have gone through these challenges and those who survived succeeded. “It takes at least 5 years to scale. Whether you have prior business experience or not, it does not matter in the news distribution industry. You need to get your analytics right, prioritize your customers and above all, communicate properly. After all, you are in the business of communication”, says Raphael Auad, a leading newspaper distributor located in the New York/New Jersey area.

Raphael was a manager and consultant at a logistics and distribution firm. Raphael started his newspaper distribution business in 2012, in Boston. Today, he and his company have secured a 3 year contract for multi-million in news distribution. Raphael seconds on the struggles of the initial years before the investment starts showing returns, but being a determined entrepreneur, he also believes that “with the right planning, a high entrepreneurial spirit, anyone can enjoy a good amount of success in the newspaper distribution business. All you need is time, patience and a tactical entry strategy to get your through the initial hurdles.” says Raphael Auad.

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