Watch those credits
The CSNA advises on how to errors when returning newspapers and magazines to your distributors
14 February 2011
Retailers of newspapers and magazines should be aware of the importance of checking their credit notes on a regular (daily) basis.
No retailer can afford to lose the value of rejected returns, yet we are aware of innumerable examples of multiple rejections by both Newspread and EM News on retailers’ accounts due to errors and shortcomings in retailers’ own return procedures.
The main errors relate to:
Product being returned too late to qualify for credit
Products being returned to the “wrong” wholesaler
Products being returned in excess of the quantity delivered, or for product that is “Firm Sale” (not sale or return)
We know that many retailers have delegated designated staff members to look after their news/magazine section. This is a normal style of management, but we must advise each owner to view the credit notes on a regular basis to confirm to their satisfaction that their staff are carrying out the procedures correctly. If these are rejections based on delays in return or returns to the wrong wholesale or missing returns/returns out of sequence, it may be necessary for you to ensure your staff are re-trained in the processes.
The Irish Daily Star Sunday ceased publication on 9 January. A new publication, supplied by EM News called Star Sunday was brought in to the market by Express Newspapers to fill the perceived gap. Over 12,000 copies of this paper were returned to Newspread in error! This error was caused by retailers not changing the returns process that had been in place for the Irish Daily Star Sunday, a publication that had been supplied through Newspread. Fortunately for retailers, credits for these errors have been granted, but this is not normally the case when one publication transfers it distribution contract from one company to the other. Buy and Sell, Image and some UK magazines have all changed distributors in the past year, if and when retailers sent products to the “old” distributor, these were rejected in cases where they had not provided them with the copies returned – be advised, check the paperwork today.