Barnes and Noble Holiday Sales

Barnes and Noble’s holiday sales were a mixed bag. The sales at their actual stores were pretty similar to last year (fell .2%), but nook devices fell through the floor. This isn’t surprising since they’ve quit putting out new Nooks. Given the choice between an old Nook or a new whatever, it’s not surprising that people took the whatevers. I thought the meat of the article was the last paragraph, where Huseby (CEO of B&N) made a comment that digital content was the “lifeblood of digital business” and that the company was busy making progress in linking their content through other devices – in other words, apps.  the first quote is obvious, your print content isn’t going to be the lifeblood of digital business, but it seems important that he didn’t say it was the lifeblood of Barnes and Noble. It also seems as if B&N is committing to the push away from the hardware side and pushing harder into the software end. they realized that they don’t need a device of their own, if people with ipads, surfaces, notes, etc. can and do click on their apps to buy their books through their store.

Also, I have to think it’s a helluva lot cheaper to make a really good app and then plough extra money into the company. Also, as I’ve linked to before on here, digital sales of stagnated a bit. They roared up for a few years, eating up a chunk of book purchases, but it hasn’t continued its rapid ascent this year. Is this temporary or is there just that much of a desire for printed copy that we’ll see this hold for several years? I don’t know, but it means B&N can probably do very well if they work on maximizing their profits at their brick and mortar stores, while laying a better infrastructure for a strong digital presence in the future. I think B&N has this distinct advantage over Amazon. There have been countless articles about people wandering through bookstores, browsing at the books, only to leave and buy it cheaper from Amazon once they’ve read a few pages and know they like it. there is no reason this couldn’t work to B&N’s advantage. Make it easy to walk through a store, find a book you like, then purchase the digital edition. People could do it now through their phones or whatever without leaving the store.  Find a way to encourage this and make it easier.

So, the sales numbers were a bit of a mixed bag, depending on how you look at them. While the Nook devices took a beating, in a world where I can go and grab a $50 tablet from Meijer, I think getting out of the hardware side where profit margins are shrinking and competition is growing is a good idea. Put your limited funds to better use elsewhere.

Advertisements

Tags: , , , , , , ,

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


%d bloggers like this: