Tag Archives: BookStats

A Perspective on E-Book Sales Trends

E-book sales in fiction leaped by 42 percent in 2012 over the year before, to $1.8 billion, according to a recent publishing industry report. Non-fiction sales of e-books rose by 22 percent, to $484.2 million, while e-book sales in the children’s and young adult categories rose by 117 percent to $469.2 million, according to BookStats, the Association of American Publishers and the Book Industry Study Group. The survey included data from 1,500 publishers, including the six major trade houses.

While sales from bricks and mortar bookstores continue to make up the bulk of publishers’ revenue at $7.5 billion, that figure is a seven percent drop. Revenue from online retailers like Amazon, the biggest player in the market, shot up by 21 percent to 6.9 percent of total revenues. This was the first year-long look at the industry since the bankruptcy and liquidation of the Borders bookstore chain.

Sales of downloadable audio-books enjoyed a 22 percent increase in revenues in 2012 compared to 2011 (from $197.7 million to $240.7 million). Publishers saw the increase as the result of the widespread use of mobile devices.

None of these numbers should come as a surprise to those who closely follow the publishing industry. Let’s look at what the numbers mean for writers and for readers. For both groups the key words are choice and accessibility. Writers who can’t crack the Big Six (and that’s most of us) have options to publish their work. And those options are affordable. A writer can upload a novel to Amazon in minutes at no cost, though I strongly recommend investing in a book editor and a graphic designer. Readers can read the work of a dizzying array of writers—not limited to the best-selling authors, but talented indie writers.

This is an amazing time to be a writer or a reader (or both). The downside of the ease of publishing a book is that anyone can do it, from accomplished writers to hacks and neophytes with no writing skills. The proliferation of hastily written, sloppy books makes it difficult for good writers to break through all the clutter. For readers, it’s an equally steep challenge to find literary gold in the new online slush pile.

So what does the future hold for readers and writers? Here are a few predictions to consider:

• E-book sales will continue to rise, but will level off at some point. Some experts say they will reach 50 percent of all sales, but I believe e-books will climb even higher than that.
• Dislocation and mergers will continue in the publishing industry, making it even harder for unpublished writers to land a contract.
• Successful indie or self-pubbed writers will be those who are prolific and can create an effective and far-reaching marketing apparatus. Marketing, more than content, is king when it comes to achieving success in e-book sales.
• Bookstores will continue to close. Those that survive will be the bookstores that can deliver value and a unique customer experience that will engender loyalty.

What about you? Where do you see the publishing industry heading in the years to come?

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E-books Outsold Hard Covers in Adult Fiction: What Does It Mean?

It was both stunning and expected—the recent news that e-books outsold hard covers in the adult fiction category in 2011, according to a report co-produced by the Association of American Publishers (AAR) and the Book Industry Study Group, based on sales figures provided by 2,000 publishers.

It was stunning because it was one of those watershed statistics, never before achieved and unimaginable just ten years ago. It was expected because publishing industry observers knew the day would come when e-books became the preferred mode for the majority of consumers, even if it is happening in just one category at the moment.

Other findings in the report include:

  • Net sales of e-books jumped to 15 percent of the market in 2011, up from six percent in 2010
  • Overall, U.S. book market sales declined by 2.5 percent to $2.72 billion in 2011, down from $2.79 billion in 2010.
  • Majority of publishers’ revenues still come from print books at $11 billion, compared to $2 billion from e-books.
  • In the adult fiction category, e-books accounted for 30 percent of total net publishers’ sales, compared to a 13 percent share the year before.
  • Online retailers represented 13 percent of total net dollars, but grew by 35 percent from the year before.

Read a summary of the report on the AAR site

Read more about the report on the BookStats site

Here’s a good analysis of the report by Jeremy Greenfield on the Digital Book World site.

Greenfield noted two interesting facts in his story. For the first quarter of 2012, e-books represented 25 percent of all sales in trade fiction. He also pointed out the BookStats report found that publishers made over $1 billion selling directly to consumers in 2011, up from $702 million in 2010.

What do all these statistics mean for authors? Clearly, e-books will continue to grow in market share, as some analysts predict they will eventually dwarf sales of print books. The report also shows publishers are still making a heck of a lot of money. The industry is healthy, but undergoing change. Though revenues dipped by 2.5 percent to $2.72 billion in 2011, much of that could be attributed to the demise of Borders, as well as a slew of independent bookstores. Traditional publishing remains the most viable option for authors to achieve success. However, readers are flocking to e-books and that bodes well for authors whose only route to publication is self-publishing. Of course the self-published writer must shoulder all of the editorial, platform building and marketing burden.

It behooves writers to pay attention to what’s going on in the publishing industry. Writers should also watch what goes on around them. More and more of my friends are buying Kindles, Nooks and iPads. Lovers of traditional books (like me) have a dual mindset. I still read printed books, but I also read many books on my Kindle. When I travel, I carry a paperback and my Kindle.

The publishing world continues to change at a rapid pace. The good news is there is so much diversity of content available and that bodes well for reader and writers.

What’s your opinion of the changes taking place within the publishing industry?

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