To wonder what WH Smith's secret is...

[HeadsDownThumbsUpEveryone]

So news this morning suggests that WH Smith are struggling again and have reported losses and a plan to overhaul their stores. As part of this review they have announced they are closing 6 of their stores (they still have 610 stores on the high street and 839 travel outlets in airports, train stations etc).

Am I the only one amazed that they are only closing 6 stores. I cannot think of a single thing they sell that cannot be purchased elsewhere for less. Whilst it is horrible news for those employed at these stores, how on earth are they still operating? Other than merging some post offices into some of their stores what key service do they provide to make them such a viable business? What is the secret to their survival when so many bigger stores have disappeared?

people call for newspapers but there's about 1p profit on a paper.

Actually it's between 10-50p profit per paper depending on selling price. Margin is usually 20-22%. A daily Mail at 65p gives a 15p profit. Retailers also get an extra 2p per copy for inserts, such as tv guides in weekend editions.

Years ago (and I mean many years, I'm an old gimmer), WH Smith was my favourite shop ever.

Why? They held an annual 'WIN A PONY' competition. I always entered, so bloody excited and totally convinced I'd win.

We lived in a semi in the suburbs. No idea where I was going to put this pony when I won it

There can't be if WH Smith's is the 'best place around,' to get all the stuff you have named! confused

No one else sells the same range of magazines. WHS sell 1.1 million magazines per week.

I’m surprised that they are still in business tbh

No one else sells the same range of magazines.

You seem very fixed on the fact they sell so many magazines. They may sell 1.1 million but with apps such as Readly. Magzter and Zinio to name a few that number is not going to remain at 1.1 million forever.

Relying on people not moving with the times and accessing digital magazines is pretty foolish.

They closed their big Sunderland store a while ago - my mum was most pissed off at having her supply of craft magazines cut off (so I passed her my Readly password to placate the angry craft-deprived diva). That was a big, fairly new build store as well.

Our local one is dire - the range of craft magazines for my particular vices is better in bloody Tescos! I remember the glory days of the 80s and 90s, in the middle of the summer holidays where you'd be allowed relatively free rein in the stationery section of WHSmiths to pick your new pens and pencil case for the coming school year - and you felt absolutely like the king of the world with a shiny new case, pencils all the same length with beautiful points and it was just the most epic way for a stationery-obsessed young teen to spend a Saturday's pocket money wasting.

These days even DD1 who is my stationery-obsessed younger self in miniature clone version isn't impressed with WHS!

I agree with a pp. People can go on about how many magazine they supposedly sell, but it doesn't alter the fact that it's an overpriced, outdated shithole.

And I am willing to bet that most of the sales they DO have, are at train stations, and airports and service stations. The places where WH Smith's is the only place to buy a mag or newspaper or chocolate and snacks etc...

These days even DD1 who is my stationery-obsessed younger self in miniature clone version isn't impressed with WHS!

And this is where they will fail, they are too concerned with keeping their old customers to move with the times and build a new customer base. If she is unimpressed as a child she is hardly going to become a customer as an adult. She will have found other places to buy her stationery. Naturally then when she is a parent taking her child to buy school supplies WH Smiths wont even be on the radar.

They sell 4,000 A4 pads a day - big increase in the number of students in the last 30 years of course. None of them seem poor these days and they probably don't want to buy childish stationery.

They sell 4,000 A4 pads a day - big increase in the number of students in the last 30 years of course. None of them seem poor these days and they probably don't want to buy childish stationery

I’m really surprised by that stat!

On the subject of shops which might be struggling - are Debenhams in trouble? Our local store always seems to have some kind of sale on, and their own brand of clothes has increased in price (but not quality).

Ah, thanks, Becca19962014

Glad to hear that. I'd like to pay another visit sometime soon, when I get chance.

@Clavinova

They sell 4,000 A4 pads a day - big increase in the number of students in the last 30 years of course. None of them seem poor these days and they probably don't want to buy childish stationery.

What a bizarre post! 😂 Are you suggesting that only WH Smiths sell 'mature stationary?!' And what planet are YOU from if you think no students are poor? Seriously, are you just making this up as you go along?!!!

Do you work for them? You seem very defensive of WH Smiths, and you are coming out with some bizarre 'facts and figures!'

I am willing to bet that many other stores sell WAY more stationary (and items,) than WH Smiths do.

As I said, I can only imagine WH Smith's selling a decent amount of magazines and newspapers when there is no other option.

I think they own all their stores which means overheads are much lower.... I remember reading somewhere they would go bust if they had to pay rents as well... (oh and the airport businesses are v. profitable.)

@KatieB52

Ah ha, yes.... ANOTHER overpriced, outdated, overrated dump. Debenhams. How the fuck they are still going, baffles me as much as how WH Smith's, M & S, and Waitrose are still going!

You seem very fixed on the fact they sell so many magazines. They may sell 1.1 million but with apps such as Readly. Magzter and Zinio to name a few that number is not going to remain at 1.1 million forever.

Of course things change. But sales of around a third of magazine titles are actually increasing rather than falling. The biggest fallers are the low-quality ones such as Hello. Garden Answers and Good Housekeeping have increased substantially. This thread is about why WHS still exists - part of that is magazine sales - that's the here and now, today, etc. The future is a different beast.

And this is where they will fail, they are too concerned with keeping their old customers to move with the times and build a new customer base.

Whereas M&S have alienated their old customer base and tried (and failed miserably) to move with the times to build a younger customer base.

They sell 4,000 A4 pads a day
so their 610 High street stores, and their 839 sell an average of 2.76 A4 pads a day each?

Excellent news for the shareholders.

The only time I ever used to go in our WH Smith was to buy a specific niche hobby magazine. Then they stopped stocking it, so I don't go in there at all any more. All their stationery is far more expensive than anywhere else, and as for their cards - eyewatering prices.

their 610 High street stores, and their 839 sell an average of 2.76 A4 pads a day each?

Who cares? They operate at a higher profit margin than other retailers like Tesco or Waitrose/John Lewis. The shops may seem shabby and not worth using but they make a good profit - and that's the point of being in business after all.

If I am buying a niche magazine, I want to look inside before buying it. Some are useless and some are brilliant. Its not like buying a newspaper.

Apparently Patisserie Valerie is on the brink of collapse too.

The shops may seem shabby and not worth using but they make a good profit

Yes, and this is what baffles most of us. HOW? How do they do it?

I couldn’t believe how shoddy a Patisserie Valerie was the other day, they used to do so well, I didn’t stay. I can’t remember which one it was

What a bizarre post! 😂 Are you suggesting that only WH Smiths sell 'mature stationary?!'

No, but they sell 'stationery'.

Do you work for them? You seem very defensive of WH Smiths, and you are coming out with some bizarre 'facts and figures!'

Copied straight from their marketing - the marketing bods obviously think it's a relevant/interesting fact. Perhaps lazy students go in for an A4 pad and buy an overpriced bottle of water, a bar of chocolate and a pack of batteries at the till?

I don't work for WH Smith at all but I'd hate my local branch to close down - so convenient for 'after-school' purchases and I can afford to spend £30-£50 on folders/pens/photocopying paper/revision books without worrying about the cost.