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I follow Todd Sattersten's blog as he wrestles with the arrival of e-books and how big they are going to be because he is watching the world for ideas and is sceptical of overheated claims. For local shopkeepers who sell newspapers, magazines and books, it is a useful source of intelligence. It is worth checking out his recent blog http://toddsattersten.com/2010/11/three-strange-perspectives-on-publishing.html?utm_source=feedburner&utm_medium=email&utm_campaign=Feed%3A+ToddSattersten+%28Todd+Sattersten+%7C+Business.+Books.%29  in which he observes three things. First, that old media keeps on imaging how its business model will be successful on an e-platform, which involves lashings of wishful thinking. Second, how pundits keep on applying what has happened to the music industry to the book industry, which Mr Sattersten challenges as books are different to music. Third, and this one is a gem, is how do you lend an e-book. One of the great things about print on paper

Last weekend I spent some time discussing business with 10 local retailers from all parts of the UK. Their message was that sales are tough.  Probing further, they were saying that they were trading 10 per cent down year-on-year, on average. What were they doing about this? They were out in the market looking for new ideas, things that would work for their shops. However, many accept that progress will take some time. One shopkeeper told me how she could see her customers counting out how much money they had to spend before coming into her shop. While this was depressing, she is looking for ways to get them spending more. Yesterday, talking to wholesalers I heard them saying that sales were flat. While everyone in public wants to talk up how well they are going, they admit that many of their customers, the retailers are struggling. At the same time, across London, Tesco's new UK head was busy talking up how his company is performing. Christmas sales will be the best ever, he

Planning for his speech at the Independent Achievers Academy last week, Theo Paphitis asked an assistant to buy a basket of six essentials from a Tesco, a Londis (independent operator in a symbol group) and a One Stop (Tesco's CTN/convenience chain). Tesco was cheapest by a big margin. Second came Londis. The most expensive was One Stop. Mr Paphitis understands the power of the supermarkets and he says the way to counter them is to focus on how to make the experience of shopping with you more relevant to shoppers or more enjoyable for them. John Heynan, sales director of Molson Coors, told Retail Newsagent at about the same time that occasional beer buyers will pay 13 per cent more for their beer in an independent convenience store, provided the retailer targets them appropriately. Tesco has carved itself out this 13 per cent head start. Looking at pricing, if Tesco is 100, then Tesco Express is 108, One Stop is 112, a good symbol group is 115 and non-affiliated independents

Shoppers with an iPhone or iPad could soon be using their Apples to scan in groceries as they walk the aisles of Tesco supermarkets, Tesco.com head of digital Nick Lansley told Computing this week. His team has already developed home shopping apps, a Tesco store finder app and a Clubcard app. But the mission now is to consolidate to three: transactional apps, banking apps and an app for information on Tesco. What else is he working on? A mobile device for his in-store stockpickers that tells them where products are in the shops as they pick orders for Tesco.com. The current devices are on the carts that the stockpickers push around. The weakness of this approach is that the carts are bulky and its pickers would prefer to be able to walk nimbly around and bring products back to the carts when the shops are busy. Mobile devices fit the bill. And if you can make that device an iPhone? Of equal interest is the company's attitude to development. Instead of using outside companies,

Pejorative is an adjective that is used to indicate a word with a disparaging connotation. When I say that shelfstaker is a pejorative word, I am not saying that people should not stack shelves or keep stock keeping units free from dust. What I am saying is that no true retailer should ever wish to employ shelfstackers. At the Independent Achievers Awards last night, Theo Paphitis, retailer and entrepreneur, asked the audience of local shopkeepers and trade suppliers who the most important person in his Ryman business was? The customer, said many. My staff, said Theo. Retail is fantastic, he said. As a youth, Theo learned about life and about business by running his school tuck shop. When the teachers complained to him about crisp wrappers littering the playground, he paid youngsters in crisps for every 25 packets they picked up. Where did he get the crisps from? From his supplier, who provided free stock once it understood his purpose. Retail is about working with your suppliers

As commodity prices rise, so manufacturers seek to cut back on the raw materials that they use... The November 15 issue of Fortune illustrates this well with an analysis of Scott 1000 toilet paper. In 1995, a single sheet measured 4.5 by 4.5 inches. Four years later the sheet was cut to 4.5 by 4.1 inches while its maker, Kimberly-Clark made "softness enhancements". Seven years later, more "softness enhancements" plus a pattern added and the sheet is 4.5 by 3.7 inches. This August, a "10 per cent strength product enhancement" and, you guessed it, the sheet is 4.1 by 3.7 inches. The Cottonelle double roll reduced from 308 sheets to 260 in February. The Angel Soft Double Roll went from 352 sheets to 300 and reduced from 4.17 inches wide to 4.0 in April. Charmin Ultra Soft Big Roll dropped from 200 sheets to 176 in July. Quilted Northern Soft and Strong Double Roll went from 286 to 242 sheets in September. A year ago it went from 4.5 inches wide to 4.0.

Look at the ceiling and top wall of this McDonalds restaurant. There is a picture of two good looking healthy people having fun and some bright primary colours. Ask yourself what is the purpose of this picture? In the latest issue of Retail Newsagent in a feature on merchandising, Andrew Knight of RI tells its independent readers that they need to think about using sharp pictures of non-packaged products linked to people consuming goods. Perhaps this has been taken to the next level by the fast food chain - that is selling the feeling of being happy and healthy rather than the products. A second, related tip from the same feature is made by most contributors - it is vital to keep windows clean and clear of clutter. "I believe that less is more," says Roli Ranger, a retailer from Ascot, Berkshire. He has posters for promotions in between the windows that are regularly updated and discreet signs in the windows. Third, a highly visible well-stocked promotion at the entranc

Writing in the FT this week, John Kay tackles the claims made by the health lobby for the impact of the ban on smoking in public places and the potential benefit of reducing the limit on blood alcohol for drivers. In both cases, he shows that the statistics quoted by proponents are tortured "to reveal conclusions that do not obviously follow from them". "It is time to reassert the principle that research must pursue the truth wherever it leads," he writes. While the objectives being pursued may be worthwhile, this principle should not be sacrificed. The problem that local retailers face in resisting the display ban is that the stories are already out there and mostly unchallenged. So many MPs believe that the smoking ban is a good thing and a popular piece of legislation that they are open minded about adding further legislation on top. While Mr Kay's comments are useful, local retailers can not turn the clock backwards. However, they do need to challeng

Retail analyst Dave McCarthy says that the big four UK grocers are planning to add 5 million square feet of extra selling space each year in the next four, increasing total floor space by more than 20 per cent by the end of 2014. Are shoppers going to be spending 20 per cent more? Not likely. So what will the impact be? "It is inevitable that the big four will be going head to head more than at any time in history, with consequences for sales, profits and returns," says Mr McCarthy. At first look, independent retailers may think this is terrible news. But that assumes that the 75 per cent market share of the big four can grow. The other side of the coin is that the big four have already reached the maximum share that they can reach and each new square foot of selling space will impact on their own profitability. Two stories from local retailers this week bear consideration. Navin Bupthani assured me that a large Tesco Express near his shop was missing its numbers and fe

At some time in the 1990s retail marketing decided that the experience shoppers had in-store helped determine how satisfied they were with the goods that they bought. Put simply, this means that they distiniguish between the bottle of Coke they buy in Asda and the bottle of Coke they buy from you. While the product is identical, it is likely shoppers will value one more. The response to this was to invest in in-store theatre, where the products could be included in a sympathetic environment. Quite quickly shoppers reacted to this and negatively. The reason that shoppers no longer rationally evaluated value was because there were simply too many products to compare. Adding theatre made the shopping experience even more difficult. However, you have to know which market you are in. Here are policy statements from two stores at the polar opposites of the in-store theatre debate. Target: "We design our stores to be easy and intuitive to shop, with related departments placed next

Adrian Smith, the former WHSmith News executive who has chaired the Press Distribution Forum in the UK, is a passionate promoter of the strengths of the newspaper and magazine supply chain in the UK. In his introduction to last week's launch of the Press Distribution Charter, Mr Smith says the intention is to "help retailers to serve their customers". The charter has 80 clauses and a complaints mechanism, which builds on the previous ISSA regime. However, while well intentioned the charter is always likely to fall short as far as retailers are concerned. The reasons for this are set out in an unrelated column by FT writer John Kay, who chose this week to discuss the weaknesses of regulation. In 1887 the US decided to regulate its railroads at the request of farmers and merchants. However, Mr Kay quotes the president of the Union Pacific Railroad who supported regulation as saying: "What is desired is something having a good sound, but quite harmless, which will

While the local pub has been faring worse than the local shop, there are signs that operators are starting to think more creatively about how to use their franchise. In particular, pubs are opening at 9am and offering breakfast. This week the 217 outlet Barracuda pub chain announced it will open at 9am and offer Costa coffee to attract breakfast business. "Young people value brands and we respond to that. By putting Costa in, we're perceived as taking coffee very seriously," a Barracuda executive told the FT. "If pubs just remain retailers of alcohol, then that is a diminishing market." While many local retailers fear that unsuccessful pubs might be reopened as Tesco c-stores, they may also find some enterprising publicans see their shoppers as a target. The trick though is in the execution. While pubs may have more comfortable seating areas, will their staff be as welcoming as yours and will the service be outstanding? How will they do this? Pretty mu