Why grocery stores sell magazines: According to a new study from the MPA, magazines are a profitable supermarket product category with high gross margin performance, compared with overall supermarket performance.
Magazine gross margin performance is above the gross margin performance level of total store. Once trade allowances are included, a representative adjusted gross margin level for magazines, compared with all supermarket categories, is an estimated 33.6 percent vs. 27.6 percent.
Reminds me of my favorite movie scene of all time, when Steve Martin (Navin Johnson) has an epiphany in The Jerk and says to his boss, “Oh, I get it. It’s a profit deal.”