Are rebrands mag distribution to Are Direct

Are Media is rebranding its newly acquired Ovato Retail Distribution (ORD) business to Are Direct across Australia and New Zealand, now that the sale has been approved in both countries.

Are Media says it “remains committed to supporting and strengthening the retail and newsagency sector and the magazine category in its entirety”, by "ensuring retailers receive a reliable supply of diverse and relevant magazines to drive revenue and foot traffic in store".

Are Direct will continue to distribute Are Media’s magazines and the magazines of local and international publishers to 2,800 newsagents and travel outlets, 2,300 supermarkets and 1,900 convenience stores around Australia, and to retail outlets across New Zealand. Around half the magazines distributed by Are Direct will be those published by Are Media, the other half from rival publishers.

Are Media paid Ovato $15m for the former Gordon & Gotch business, and took on its $27.5m debt. Ovato’s exit from distribution, and from marketing services, leaves it solely focused on print.

Are Media is Australia’s largest magazine publisher and publishes titles such as The Australian Women’s Weekly, New Idea and Gourmet Traveller. It is a major shareholder of Ovato, with a 16.48 per cent stake in the business. Are’s owner Mercury Capital is also the majority owner of New Zealand’s other heatset printer Webstar.

Some 250 employees who previously worked for ORD have transitioned to Are Direct, with David Hogan continuing to lead the newly acquired business in Australia, and Tony Edwards continuing to lead it in New Zealand.

Jane Huxley, CEO of Are Media said: “Are Direct’s focus continues to be on ensuring magazines from all publishers are efficiently distributed to retailer partners, supporting their businesses and enabling easy access to magazines by all consumers. So it is very much a case of business as usual.

“I’m delighted to welcome Are Direct’s team to the Are Media family, meaning the deliveries and service support our partners have come to expect are not only maintained but enhanced.”

The Are Direct name change will be effective from Monday 1 November. Are Media was formerly Bauer Media.