Indigo Books and Music announces it plans to sell fewer books

Books, Bookstores, Uncategorized

This will put pressure on publishers to increase their media presence and pump up their marketing department, to compensate the reduced presence in bookstores. The consequence will be a greater scrutiny on the sale potential of published titles and the restraining of access for new authors (especially for small publishers). They will probably go “indie”, but the success rate there is small (until now). Academic publishing will be even more affected, forced to exist mostly in the online environment, where Amazon will squeeze every penny out of them. The prices of textbooks and academic books will get even higher and accessible to only a small minority of readers. As digital format books will be even more present, DRM will be even more hard to bypass. Suit against sites like Libgen and SCI-Hub might have foresight value. Brave new world.


Skirmishes between Amazon and Apple

Books, ebooks, publishing, retail

For those who do not know what this is about: Apple and some of the Big Five Publishers were accused of fixing prices to counteract Amazon’s monopoly in e-book pricing. The publishers and Apple agreed to use what’s called the agency model, where publishers set the price of ebooks and Apple takes a 30 percent cut, rather than a wholesale model where the publishers sell titles at a discount and the bookstore adds their margin on top deciding the final price without input from the publishers. The agency model isn’t illegal; the accusation is one of ebook price-fixing, which Apple and the publishers deny. The court decided that antitrust laws should apply.

This is just one of the recent skirmishes caused by Amazon’s hegemony and the big publishers. Jeff Bezos’s online empire, in its annual contracts with the Big Five Publishers (HarperCollins, Penguin Random House, Hachette, Simon & Schuster and Macmillan) increased the co-op promotional fees, seen by these as an illegal gouge by another name (in some cases, Amazon has raised promotional fees by 30 times their 2011 cost). In 2012, some of them did not sign the contracts and while the Independent Publishers Group had seen its titles removed from the site, others experienced the threat of a missing “buy” button and no promotion whatsoever.

The book trade is rarely seen as the site for big corporate clashes, but the mergings in the past 20 years or so brought very close accumulations of capital and interests that are not at all innocent and passive. The book trade is full of sharks and sharp teeth.

Why are textbooks so expensive?

Books, prices, publishing

“The College Board recently estimated that the average student spends upwards of $1,200 per year on textbooks. (This figure is much higher for students at for-profit colleges and trade schools.) But American schools in the 19th century used the same books for all grade levels, mainly as a memorization tool. Textbooks then began to take precedence over instructors, as high school and college courses increasingly became structured around a book’s table of contents in the early 1930’s. The books were cheap and were reused for decades; publishers prided themselves on the durability and longevity of their products.

At some point during the 1970s, books started to get expensive. Publishers capitalized on professors’ willingness to adapt new editions of a book every two or three years. Textbooks became less about educating the masses and more about exclusivity and profitability. By the 1990s, the textbook market was an oligopoly, and prices skyrocketed.”