ARE BOOKSTORES A THING OF THE PAST? THE ONLY LARGE REMAINING RETAILER, BARNES AND NOBLE, GRAPPLES WITH ITS FINANCIAL DOWNTURN.

ARE BOOKSTORES A THING OF THE PAST?  THE ONLY LARGE REMAINING RETAILER, BARNES AND NOBLE, GRAPPLES WITH ITS FINANCIAL DOWNTURN.

courtesy: whitegadget.com

A few days ago, this blog touched upon the somber subject of the imminent closure of hundreds of retail outlets among retailing giants. One of them was Barnes & Noble, the sole remaining large retailers of books.

What then is Barnes & Noble's future?  The picture seems grim.  Altough its largest competitor folded just last year, Barnes and & Noble struggles to turn a significant profit.

It appears that the long term plan of the company is to reduce gradually the number of stores by half, from roughly 1000 plus stores, to about 450-500 nationwide. 

Many gloomily forecast that the digital era has all but spelled the demise of the printed media.   But the data points to something entirely different. 

In fact, most of B&N's stores are turning a profit, but the company's bottom line has been greatly affected by the investment in the Nook instrument.  This in fact would look to be the insurance ticket to see B&N out of the possible slump in the demand of printed books.

So what it is exactly that is making many predict a fast decline int he chain's fortunes?  The demise of Borders was believed to bring a wave of business from their customers to B&N, but that did not materialize.  

It seems that true book aficionados, who eschew the novelty of digital books for the more classical form, are opting to bring their business to small mom and pop stores and independent outlets.  

Another problem is the imminent shakeup in the publishing sector, which is seeing an eye watering merger between Penguin and Random house, while Simon and Shuster has begun a contentious negotiation over the renewal of its contract with B&N.

The untold truth about book publishing is that no matter how fast the digital era is ensuing, the publishing houses sees its highest profit margin in the printed copy. Indeed one idea that has enticed marketers is that of a double package of a printed volume, coupled with its digital copy as a marketing strategy. If this occurs, it would be a bonanza for the likes of B&N.

But ultimately, it is the customer that decides the question; will the digital readers outnumber the printed ones? or will the connubium of digital and print not stimulate the appetite of book lovers?

Trends among book buyers have also shifted in the past two decades.  People are reading less and spending much more time on computer or social networks.  What impact this will have in the decades to come is still an unanswered question.

Adapted from : the Atlantic 2.6.13