Daily Mail Group (DMG) has launched with a new scheme that gives stores ‘enhanced payments’ on delivered copies, with rival publishers urged to follow suit.

Retailers and home news delivery (HND) agents taking part in the publisher’s existing subscription platform on HND management software PaperRound can now opt in to receive an extra 0.7p ‘Level one’ payment every copy of the Daily Mail and Mail on Sunday they deliver.

On top of this, all participants will also receive an extra 2p ‘Level two’ payment on every copy delivered on orders place through the publisher’s subscriptions platform. The changes give participants up to the equivalent of 25.3% margin, a level not seen on a major newspaper in nearly a decade.

The publisher’s letter to stores last week announcing the incentives examples a fictional existing partner delivering around 106 copies a day, around 16 of which were ordered through the publisher’s subscriptions platform. Analysis by RN showed the account would make nearly £400 extra per year as a result of the new payments.

Speaking to RN, Mail Newspaper’s head of circulation Shaun Jones explained: “We understand retailers have to go many extra miles to make sure customers have their copy delivered. It makes sense that we reward them and to encourage them to join our subscriptions platform and the PaperRound system.”

To take advantage of the offer, stores need to use PaperRound and contact DMG at retailerhomedelivery@dmgmedia.co.uk to register.

More than 200 stores and HND agents have signed up for the publisher’s subscription programme since it launched last August, covering 80% of the UK. Mail Newspapers senior account manager Andy Law told RN the company is aiming to achieve a minimum of two HND agents for every postcode. Stores remain free to set their own delivery charges and can amend their coverage area.

Describing the additional payments for delivered copies, Law added: “We’re happy to lead the way and I would like to think other publishers are keeping a close eye on our developments and how they are being received, which may also influence their thinking towards HND, which will only be a good thing for retail.”

PaperRound director John Harris told RN: “PaperRound is delighted to partner with the Mail to bring higher margins to Home News Delivery specialists. Using cloud-based technology, PaperRound ensures the added margin is paid every week directly into retailers’ bank accounts.  Retailers only have to sign up once. No extra work or form filling.  All this is achieved without sharing details of hard earned customers with the Mail or any other party.”

DMG said its objective is to understand the number of Mail HND copies sold and ringfence store allocations accordingly.

Geoff Bohannon of Durham City Newstore has landed four new Mail customers since joining the publisher’s HND scheme. He described the scheme and enhanced payments as a “Fantastic industry leading initiative by DMG, that brings the current antiquated, time consuming paper based subscription voucher system in to the 21st century.”

Will Garner of Garners News covering Sussex and Kent said stores had nothing to lose and ‘everything to gain’ and praised the removal of the need for stores to handle vouchers and direct payments from participating Mail customers.

Welcoming the payments, Brian Murphy, the Fed’s head of news, said: it is great that the Mail is recognising the work [HND agents] do in a tangible way.  Clear opportunities exist to modernise HND for how customers purchase today, along with publishers needing to know their readers.  We look forward to supporting this initiative and encouraging other newspapers to replicate it.”

Want more information? Email editorial@newtrade.co.uk with the subject ‘Mail HND’ to find out more.