EuropeGermanyIn the first half of 2013, book sales in Germany saw a slightgrowth of 2.5% (Branchen Monitor Buch, July 2013). However,for the preceding two years, German book salesshrank to 9,520 million Euros (from 9,601 million in 2011),according to the annual statistical report of Börsenverein,the German publishers’ and booksellers’ association. (Buchund Buchhandel in Zahlen 2013) Hardest hit were the traditionalbook chains, with a loss of 3.7% (buchreport, January10, 2013).Ebooks meanwhile, developed into a sector of significantgrowth. Overall, the market share of ebooks has been estimatedat around 10% by mid-2013, representing frequentlyeven 8 to 10% and more for new releases. 84% ofall German publishers currently offer ebooks or plan to doso soon (according to a survey from Börsenblatt, June 7,2013).An in-depth analysis of the survey findings point at a wideninggap between the struggling traditional chain bookstores on the one hand and the leading online platforms,which account for an estimated 16% of all book sales, onthe other hand, with those online platforms also in controlof ebook downloads.Amazon is estimated to own roughly half of the Germanebook market, followed by the Tolino alliance of the twolargest book chains, Thalia and Weltbild-Hugendubel at34%, and Apple at 10% (according to Libreka’s CEO RonaldSchild, in an estimate for this report). As a result, 90% ofGerman publishers consider the consolidation to pose arisk to the entire traditional book business (quoted fromthe Börsenverein and GfK survey in buchreport).The role and impact of Amazon and its market force inGermany was at the center of several debates in both professionaland general media in the country. In Bad Hersfeld,at Amazon’s largest logistics center in Germany, unionsand the management clashed several times throughout2013 over wages, resulting in several strikes, as well asAmazon’s policy of avoiding taxes in large European marketsby transfetring profits to European headquarters inLuxembourg were critically discussed in German media(Der Spiegel, July 20, 2013, and FAZ, July 12, 2013).Independent booksellers as well as chains responded withseveral initiatives of their own. A “buy local” campaign hasfound support from over 90 retailers and was broadly echoedby the media (Börsenblatt, March 13, 2013).The two largest book chains chose to attack Amazon withtheir own reading device, branded the Tolino. The consortiummade of the book chains Thalia, Weltbild-Hugendubel, together with Bertelsmann’s Club and DeutscheTelekom, as technology partners introduced their firstdevice in March 2013, taking aim at Amazon’s Kindle Paperwhite.At €99, the Tolino sold clearly below Amazon’s€129 device. Backed up by a catalogue of 300,000 titles atThalia, and 500,000 at Weltbild, the declared goal for 2013is a market share of 36% in the German device market, amark that reportedly should be met by the end of the year(Buchreport, June 17, 2013).Competition over ebooks and devices was however onlypart of the opposition to Amazon, chain stores, and independentsin Germany in 2013.Thalia had put significant efforts into a restructuring planto cut down on its losses from its overall business, whileearlier efforts by mother company Douglas to sell off thebook arm did not bear fruit. Altogether, it cut down its salesfloor by 8,000 square meters to 239,000 by March 2013.(Buchreport, May 15, 2013)At Weltbild, earlier turbulences over the group’s strategyand future among its owners -a consortium of Catholic26 The Global eBook Report
GermanyKey Indicators Values Sources, commentsBook market size (p+e, at consumer prices) €9,520 million Börsenverein (Publishers and Booksellers’ Association),2012Titles published per year (new and successive editions) 91,100 Börsenverein (Publishers and Booksellers’ Association),2012New titles per 1 million inhabitants 1,138eBook titles (available from publishers) ca. 200,000 EPUB Estimate by LibrekaMarket share of ebooks 5% (mid 2013) (2012): 2.4% (Börsenverein)Key market parameters Fixed book price for printed books; VAT 7%for print, 19% for ebooksBörsenverein lobbying for extended fixed pricing forebooks.dioceses in Southern Germany- erupted again by late summer,with rumors of serious financial strains reported in themedia (FAZ, September 10, 2013; for more details on thecompanies of Thalia and Weltbild, see below at “Earlierdevelopments in 2012 and 2011” on page 27).Selfpublishing has taken off in Germany recently both inpopularity among authors and in recognition as a validway to release professionally works of various formats,segments, and ambitions. Several dedicated platformscould extend their scope and reach, including epubli,owned by the Holtzbrinck group, and independent Xinxii.Numerous service providers have also started to enter thewidening market niche (for an overview see Buchreport,July 19, 2013).In 2012, Amazon announced a first title (authored by JonasWinner) to have sold over 100,000 copies in the GermanKindle Store, and new bestselling titles continue to emergefrom its Kindle Direct Publishing author service.For an overview of new specialized ventures go to “Dedicatedebook publishers and distributors in Germany” onpage 29.The situation is also evolving rapidly with regard to thenumber of titles offered. The first half of 2012 has seenebook sales worth some €7.83 million (plus an additional3.24 million free downloads, or 41%), equal roughly to allsales in 2011 (Media Control, buchreport; September 11,2012).Earlier developments in 2012 and 2011In recent years, most notably in 2012, market developmentsin both German print fiction and, as a consequence,in the emerging ebook sector, have been driven by a fewblockbuster bestsellers, notably Susanne Collins’ HungerGames trilogy in the first half of the year, E.L. James’ FiftyShades of Grey in the second half, and Jonas Jonasson’s TheHundred Year Old Man (translated from Swedish), throughoutthe entire twelve months (buchreport on the annualbestsellers for 2012, December 31, 2012).The massive impact of just a few megatitles points to thegrowing fragility of a market that, in Germany, has traditionallyrelied on a broad and diverse mix of successfulmidlist titles for its stability. The old balance seems to begiving way to a new unpredictability in the market. As aresult, a debate has opened regarding how to best stabilizethe German book market as it stands today and prepare itfor major shifts driven by a variety of forces, includingchanges in consumer habits and new entrants to the market.Nevertheless, Germany can still be seen as a haven ofrelative stability and calm compared to many other internationalbook markets.Two works of fiction in particular may have helped bringebooks to a wide reading audience: Susanne Collins’s HungerGames trilogy, which hit German movie screens in early2012, and E.L. James’s Fifty Shades of Grey, the wildly popularfan-fiction and self-publishing phenomenon fromRandom House. Other books that drove the German readingmarket in 2012 figure prominently in the top digitalsales positions, such as Ken Follett’s Century of Giants, J.K.Rowling’s Casual Vacancy, and the most popular examplesof crime fiction, be they translated (such as Jussi Adler Olsenfrom Danish) or home grown (Nele Neuhaus).The boost from ebooks comes primarily from the threemarket leaders in German publishing —Random House,the Holtzbrinck group, and Bonnier (with their Ullstein andPiper imprints)—and a few midsized publishing housesThe Global eBook Report 27
- Page 2 and 3: ContentsAbout the Global eBook Repo
- Page 4 and 5: Receptiveness for foreign (English)
- Page 6 and 7: Produced in Atlas by O’Reilly Med
- Page 8 and 9: Mapping and Understandingthe Emergi
- Page 10 and 11: publishers’ agreement with Apple
- Page 12 and 13: January 18, 2013; “Un rapport env
- Page 14 and 15: 1980s, global cities in the 1990s,
- Page 16 and 17: The ambitions, and thelimitations o
- Page 18 and 19: Metadata is the key to online sales
- Page 21 and 22: English Language eBookMarketsThe fo
- Page 23 and 24: Overall, the spectacular growth in
- Page 25 and 26: hit (source: various reports summar
- Page 27 and 28: Debates Shaping the Book Industry i
- Page 29: Contributed article BookwireAvailab
- Page 33 and 34: than 10% of all online sales by the
- Page 35 and 36: warm at best, and the half-year res
- Page 37 and 38: SNE had earlier started to systemat
- Page 39 and 40: ginning by Hachette Livres, among o
- Page 41 and 42: SpainKey Indicators Values Sources,
- Page 43 and 44: focusing on both Spain and Latin Am
- Page 45 and 46: The emerging ebook market may confr
- Page 47 and 48: SwedenKey Indicators Values Sources
- Page 49 and 50: Netherlands2012 was a tough year fo
- Page 51 and 52: inging ebooks to the tenfold larger
- Page 53 and 54: magazines, and devices, with a cata
- Page 55 and 56: ever, in the first half of 2013, si
- Page 57 and 58: Source: Vesselin Todorov, Ciela Nor
- Page 59 and 60: Contributed articleCopyright Cleara
- Page 61 and 62: Emerging MarketsRussia70% of Russia
- Page 63 and 64: (see details in “eBook piracy in
- Page 65 and 66: The first research comparing the pe
- Page 67 and 68: Revenue Service has been receiving
- Page 69 and 70: on ebooks. It has not gained much t
- Page 71 and 72: ChinaKey Indicators Values Sources,
- Page 73 and 74: Key players in the digital environm
- Page 75 and 76: The Government of India is leading
- Page 77 and 78: Android-based devices in the countr
- Page 79 and 80: and Mathematics books, Hindustan Bo
- Page 81 and 82:
When it first launched, most ebooks
- Page 83 and 84:
3. Source: Personal interview with
- Page 85 and 86:
The Expansion of GlobalPlatformsPub
- Page 87 and 88:
Amazon’s performance in 20122012
- Page 89 and 90:
strict or eliminate competition”
- Page 91 and 92:
settlement is expected to make avai
- Page 93 and 94:
Forces Shaping the eBookMarkets: Ke
- Page 95 and 96:
Average top 10 ebook prices in sele
- Page 97 and 98:
As for the UK, The Bookseller compi
- Page 99 and 100:
ation solutions have recently emerg
- Page 101 and 102:
In Germany, the by far the largest
- Page 103 and 104:
(SSRC, the American Assembly, Colum
- Page 105 and 106:
In its report of May 2011, by Le Mo
- Page 107 and 108:
Of those who admitted to downloadin
- Page 109 and 110:
1,200 titles (see this blogpost by
- Page 111 and 112:
The AcceleratedTransformation of th
- Page 113 and 114:
AcknowledgmentsThis report has been
- Page 115 and 116:
Mandarin, she has specialized in re