Melbourne’s Mag Nation explains their business model.
Why do we let people browse and sit around reading magazines? People are appreciative of the fact that we allow it, but many wonder if it is good business sense. Those of you who know us well will know that we do more than just “allow” it. We actively encourage it and are known for it.
Here is how we think about our business. For every 100 people who walk past our doors, a certain percentage enter our store. This is our entry rate. For every 100 who enter, a certain percentage buy something. This is our conversion rate. Does our conversion rate suffer because of our browse policy? Of course it does. Lots of people come in and don’t buy from us. However, our entry rate is significantly higher as a result. It is one of our points of difference. Our no pressure approach is what defines us. It makes us a destination. This means more people come in and they come in more often. We might have fewer people as a percentage buying off us, but the total number is higher because more people come in. To the person who tweeted us, this is our business model.
Also, our retailing philosophy encourages our customers to pick up different mags that they might not have seen before. The try factor at mag nation is much higher than other stores. It exposes you to new mags, many of which are niche and collectable. While some of the mainstream magazines can be consumed in one setting, so many of the mags we sell are titles that people want to take away with them. Our model is biased towards these types of magazines.
I definitely think it’s a great business model.
My partner and I regularly plan to go to Mag Nation read mags. We ALWAYS buy coffee, so we don’t completely free load, and often end up walking out with something.
Last time I was there I spent $21 on an air freight copy of a Computer Music magazine. I would never have planned that purchase… but I was there, and I’d enjoyed a coffee, and it looked interesting, so I bought it.
I really like how honest the Coke Machine Glow reviews are. They aren’t afraid to say what they think, and tend to actually review with their real opinions. Makes for a much more insightful, and human, review.
Everyone give Kyle and Jackie-O a round of applause for finding the new low that none of us could have imagined was possible.
Let’s get these fuckwits off the air.
What a disgrace. Like Karen Willis says in the article, regardless of whether or not 2Day FM knew of the rape, “an adult person asking a child about their sexual experiences is not on, and to do that in a public arena is quite frankly harassment of a child.”
The rape compounds an already disgusting broadcast.