Dia 1 - The Booksellers Association

Only dead fish
float along the river
One can remain with the mouth open long,
before the roasted duck flies inside …
(Old Japanese saying)
Former way of businnes winning
booksellers …
Current way of business winning
Google, Apple and Amazon…
KBb – 1050 Members
Totl revenue books
Member Contribution
6% 3%
1%
Edu
- Wetens. (%)
Academic
26%
35%
21%
Internet(%)
Internet
Zak.prof
(%)
Professional
16%
2%
Academic
Edu
- Wetens. (%)
53%
Internet(%)
Internet
37%
Retail-organized
Retail
georg. (%)
Retail-organized
Retail
georg. (%)
Zelfst.ongeb.
Independent(%)
Zelfst.ongeb.
Independent(%)
Number of members
1%
1%
1%
Edu
- Wetens. (%)
Academic
52%
46%
Zak.prof
(%)
Professional
Internet(%)
Internet
Zak.prof
(%)
Professional
Retail- organized
Retail
georg. (%)
Zelfst.ongeb.
Independent(%)
Major participations KBb
KBb
Strengthen, develop, connect and accelerate with focus on vitality
Association
1.
Representing
Members
•
9-3-2015
Commercial company
2.
Helping members to
generate traffic
FBP, CLA, VAT, Equal Level
Playing field Libraries
•
•
KBb participations
•
Member benefits
3.
Helping members to
accellerate their
business
Core activity
Result areas
Gift card market
enhancement
•
Book Seller of the future
program
•
Book token / mobile loyalty
•
Professional education
•
Promotional Campaigns
•
Lean startups
Common Book Market
Market declines
Changing consumer behaviour, digitalisation, increased competition
Revenue common book in million €
Numbers sold common book in million
Revenue common book
Digital vs fysical in (million €)
700
600
Fysiek
Digitaal
4
7
12
17
500
18
22
400
300
619
588
545
509
467
200
443
100
2010
2011
2012
2013
2014
2015
Totale groei :
-3%
-5%
-6%
-6%
-8%
-4%
Fysieke groei :
-4%
-5%
-7%
-7%
-8%
-5%
Bron: GfK 2013
Revenue common book
NL per category in 2014 (million €)
Fiction
Non Fiction Leisure
Non Fiction Information
Children’s books
Other
Total
Revenue common book
NL 2013 vs 2014 (million €)
25
2013
2014
Cadeauperiode (week 47 t/m 52):
20
Sales Mio €
ECI & Polare
Boekenweek:
+3,9% in 2013
10
-3,1% in 2014
Moederdag
Bankrupcies
15
-5,2% in 2013
Vaderdag
-18,1% in 2014
Maand van het
Spannende Boek:
Kinderboekenweek:
-2,8% in 2013
-13,7% in 2013
-16,2% in 2014
+2,9% in 2014
5
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52
Weeks
Bron: GfK, 2015
Marketshare ebook
NL 2014 (million €)
Bron: GfK, 2015
Numbers sold and Revenue ebook
NL 2014 (million €)
Bron: GfK, 2015
Decline retail wide
GfK Retailpanel NL
2013
2014
YTD
TOTAL
0,1
FASHION
-1,3
WATCHES
0,4
OPTICS
6,4
TRAVEL
BOOKS*
ENTERTAINMENT
-3,3
-7,9
-5,4
BICYCLES
6,1
TEL **
IT-OE
5,2
-4,1
SDA
6,0
MDA
CE
8,1
-2,8
Bron: GfK, 2015
Academic Book Market
Distributors
Academic Book Market
Not limitative
•
•
•
•
•
•
•
•
Van Dijk Educatie bv
Iddink voortgezet onderwijs b.v.
Wink Studieboeken b.v.
Studystore bv
Athenaeum Boekhandel b.v.
Boekhandel Boek en Service
Lisette Werter Groep BV
Bookshop J.P. de Vos
> 80% market share
Publishers
Academic market
Key Focus areas
Academic market
•
•
•
Educational tools policy related to:
–
the transition to digital
–
Tests
–
Privacy
–
Copyright
–
VAT on digital learning resources
Major projects:
–
Leerkracht (Teacher)
–
Doorbraak (Break through)
Major issues:
–
Shift from products (books) to access (relevant content)
–
Shift from collaboration to competition between publishers and distributors
–
Student / Teacher relevance – where to dominate, differentiate, stay ‘on par’
–
Strategic choices in a game changing playing field
Law Fixed Book Price
Academic market
•
Publisher determines Book category:
–
A-book 42% margin (common)
–
W-book 22% (academic)
–
S-book 12% (school)
•
Definition according to law criteria (made for…, set by…, except school Books)
•
Law objectives on A/W/S books except S books that has been set for education
•
School book – distribution more times per year, target group student
•
HVE/SE – distribution frequently, target group not predefined (broad availability)
•
Impossible to say “HVE/SE book is made for education
•
Therefore impossible to exclude HVE/SE book out of scope FBP like school book
W-book cannot be excluded from the FBP scope
Professional Book Market
Book Sellers
Professional Book Market
Not limitative
•
•
•
•
•
•
•
•
•
•
Boekhandel Minerva b.v.
Boekhandel Infotrading b.v.
Van Dijk Zakelijk (primarily governement customers)
Houtschild Internationale Boekhandel b.v
Jongbloed Information Services B.V. (taken over by
managementboek.nl)
Waltman b.v. Technische boekhandel
Ebsco
Swets (now bankrupt)
Bol.com
Amazon
Publishers
Professional Book Market
Not limitative
•
Wolters Kluwer NV
•
Reed Elsevier
•
Sdu Uitgevers BV
•
BDU Uitgevers BV, Koninklijke
•
Boom uitgevers BV, Koninklijke
•
Noordhoff Uitgevers
•
Pearson Benelux BV
•
Springer Media
•
ThiemeMeulenhoff
•
Veen Bosch & Keuning Uitgeversgroep BV
> 80% market share
Battle for content
Professional book market
•
real-time web
•
web 3.0
•
‘online first’ towards ‘mobile first’
•
search engines for real-time and social search
•
Social media
•
Cloud computing
•
Stretch share of wallet
•
data- en performance based advertising
•
Powerbase shift from distributors toward end users: ‘content is king; social media is the
kingdom’ (and customer is emperor).
Trends
Sillicon Valley Study Trip
“Most trends we know…”
… except speed of change is stunning!!
Trends
1. No difference between online offline – Walk into the store and buy mobile
2. Exceeding customer expectations – ‘wow’-experience
3. Changing buying behaviour – Targeted shopping enhanced with inspiration
4. Driven by smartphone – eBay:
–
–
–
150 billion downloads Mobile App
€ 1.4 billion yearly revenu across smartphones
15.000 cars are weekly sold by smartphone
5. Heavy competition – Price transparancy
6. Within 3-5 years everybody will pay mobile
7. Super Consumer knows 3x more than your best store employee
Amazon: the hidden empire
Amazon’s three big ideas:
Digital = Cash flow = low prices = beat all retailers
All players in the value chain start to focus
on the end consumer directly
Consumer
Retail
Library
Bibliotheek.nl
Foreign sector
V&D.nl,
Hema.nl
Bijenkorf.nl
Webshop author
Or Publisher
Yindo
Managementboek.nl
Elly’s choice
Traditional
Bookseller
Internet
Bookseller
24 Symbols,
Management.nl,
Boekenwarenhuis.nl,
Cosmox.nl,
Wazza.nl
De Vries
Libris/blz.
Bruna,
Ako,
Drvkkery
Paagman
Digitaal Platform
Publishers
Concern Publishers
Independend publishers
Author
Author as Publisher
Consumer as publisher
Value Creation Bookstore
profitable m2
Omzet Y
Lessons from the past
Former disruptions and transformations
‘Gouden Eeuw’
1822
Mechanisation
based on
water
1887
Mechanisation
based on
steam
1780
= Disruption and transformation
1840
1890
1900
Elektricity
1890
1905
1920
Motorisation
1920
1934
1948
1950-2000
Internet
Digitalisation
1970
2000-2015
2008
TIme
1970 eMail 1998 Google/MP3 2007 Google books
2006 FaceBook
1969 Internet 1994 Yahoo
1993 CD branders Online travel/twitter
1989 WWW,
2005 YouTube
2001 Wikipedia / iTunes/iPod
DISAPPEARED PROFESSIONS
Milkman
Bron: Ard Vos, zeg ken jij de mosselman, Scriptum
Fuel attendant
Jobber
Golden Cache Syndrom is killing
Which companies go under
 Successes from the past…
 Inability to adapt mental model
 Focus on ‘Past Performance’
 Current customers and relationships
 Potential channel conflicts
 Lack of rejuvenation and regeneration
How to regenerate on the disruption and
sector transformation?
Opportunities for a vital future
Opportunity Bookseller
• Consumer has a strong desire for:
– A self conscious authentic guide
– Who provides access to everything that contributes to personal development and
wellbeing
– With the word and story as a starting point
• The bookseller:
– Stands in the middle of society
– Connects everything and everybody around him
– Knows what is and is part of it
– Dominates from passion and knowledge on customer experience and personal
customer relationship
– assortment, access, service and price are ‘On Par’ with the (online) competition.
21nd century: prosperity & wellbeing
(John Maynard Keynes 1930)
To benefit from these opportunities the
bookseller has to move
From
Anticipate on the future
Listening
Know your products
Modest reader
Reactive cognoscente
To
Create the future
Conversations
Develop relationships
Pronounced connector
Self conscious entrepreneur
What’s required?
Tooling
Yes
Can?
Yes
No
Coaching
Yes
Transfer plan
Willing?
No
Academy
Can?
No
Stop or die
“We can't solve problems by using the same kind of thinking we
used when we created them.”
Albert Einstein
Scenario’s for a vital future
Financial impact
Scenario 1
“Meer result
out of books”
Huidige
Omzet
Scenario 2
“Stories as new
revenue streams”
Scenario 3
“Culture as
commercial
connection”
Scenario 4
“Valuable third
space”
About your Core Capabilities
• Where to dominate?
Gain
• Where to differentiate
Market knowledge
C
Access
• Everything else ‘on par’
• Leadership
Solutions
Ease
Relationship
network
Delight
Branding
When you don’t control your own destiny
Somebody else will (Jack Welch)
Op weg naar vitaliteit
In Co Creatie met elkaar!!