Book Trade: Literacy matters – and Libraries matter too

Libraries are once again in the news, and not for the most encouraging of reasons. Closures, cuts and low staff morale seem to be the order of the day. Austerity has taken its toll. In that sense, libraries and bookshops have much in common. Both are fighting for the attention of the reading public, both are under pressure, feeling under-appreciated and threatened in a fast-paced and increasingly digital reading environment.

Closure statistics are salutary. 100 libraries are slated for closure this year, plus 200-300 others to be taken over by volunteers, with the inevitable loss of a professional service. One library campaigner was reported in The Bookseller in February as saying, ‘We are in a state of emergency’. Local authorities will see cuts to their budget this year of 2.9%. One library assistant from British Columbia posted, ‘Cutting libraries during a recession is like cutting hospitals during a plague’. That quote obviously resonated as it’s now all over the Internet.

The authoritative Public Library News website states that, since April 2013, 489 libraries (including 81 mobile libraries) have been closed, or are likely to be closed or have already been passed over to volunteers. This disturbing figure is almost 12% of the total library estate of approximately 4,134 libraries around the country. It is just possible that local campaigning may halt a small number of these closures.

Yet this is not the whole story. There is another aspect to this particular soundtrack. The fight back has started. Central government is being forced to listen to a growing chorus of concern. The many thousands of employed librarians and their libraries are an irreplaceable national treasure. Most agree that libraries are vital centres for literature and reading. Libraries – along with most well run bookshops – emphatically have a future, albeit one that may be somewhat different from that which has gone before.

In September 2013, against these current trends, Birmingham City Council opened their flagship 31,000 sq. feet, 10-floor ‘Library of Birmingham’; one of the largest libraries in the world, and built at a cost of £189m. This library houses over one million books, the Quaker Cadbury family’s ‘Bournville Village Trust Archive’, and one of the two most important Shakespeare collections in the world. Manchester and Liverpool have also opened revamped libraries very recently, both projects costing many millions of pounds.

What are the actual facts about libraries in the UK today?

• There are 4,134 public libraries in the UK (including mobiles)
• 40 new libraries opened in 2012 and 2013
• There are 288 million visits to public libraries each year
• This represents 4,522 visits per 1,000 of the population
• There are 42,914 computer terminals in libraries, all with library catalogue and public internet access
• Public libraries lend 262.7 million books a year
• This breaks down into: 91.6 million children’s books; 116 million adult fiction; 54.6 million adult non-fiction
• There are 10.3 million active borrowers

(Source: The Reading Agency – accessed 20 March 2014)

The Bookseller noted in a recent editorial, ‘there were 10 times as many library visits last year as there were votes cast at the last General Election!’ These statistics are impressive. Closures are obviously a real concern but these numbers are evidence of very considerable traffic flow in and out of the public library service every day.

The reinvention of the public library – as with the local bookshop – is underway. The coalition government has just reconvened the Sieghart Commission (chaired by a Publisher) to report independently on the English library service, and report back to Parliament later this year. Its remit is to investigate how our public libraries should adapt for 21^st century use. The importance of this commission is that its members are widely respected across all parts of our industry. This same group published a report on E-lending via libraries last year; the conclusions of which have been broadly supported, although the Booksellers Association has since expressed well-argued concerns and is requesting certain safeguards for bookshops. One of the newer members of the commission, Luke Johnson, suggests that future library services may well include computer training, childcare and career advice. However, the core activity of promoting literacy and reading must surely continue.

Anyway, why am I writing about libraries in an esteemed journal dedicated to retailing and publishing? Well, for one thing, we each share a common vocation and the deep conviction that books are vital to the health of society, and need to be made available as widely as possible. Speak to anyone, and most will be able to recall their own childhood library. I visited my own local library in the Cotswolds on a weekly basis, taking out a pile of books every time. I came to know exactly what was on each of the shelves, and I was given special dispensation to take out more books than was normally allowed! There is no way that my parents could have supported my reading habit financially were it not for this library. As I write, in my mind’s eye, the whereabouts of those books and layout of the shelves remain a clear memory. My two-year-old grandson has taken up the mantle, delighting in a large pile of children’s picture books on a regular basis. I too have discovered the capers of Elmer the Elephant.

We should all care about the future fate of our local libraries. The library continues to form part of that vital chain in introducing books and learning to future readers. In other words, the future customers of all good bookshops! We have tended to take our libraries for granted. I realise that there are those who see them as an anachronism in an age of the god, Amazon. Governments dislike the expense. The 152 separate local authorities responsible for the UK’s library estate are caught between ‘a rock and a hard place’ in trying to balance their books, so the easiest option is their closure. This is short-termism at its very worse.

Thankfully, councils have a statutory duty under a 1964 Act of Parliament to provide a ‘comprehensive and efficient library service’ for their local communities. Anyone living in the UK is legally entitled to borrow a book free-of-charge from the public library. Oddly, whilst prisons have the same duty to provide a prison library, this is not the case for schools.

We sometimes fail to realise that for some people, books remain expensive, particularly for the vociferous reader. Affordability of books remains a real issue, especially for young families and other sections of society. Not everyone has sufficient disposable income to spend on books. Why then are we closing so many libraries in the UK and removing this hard won social resource? Like bookshops, once they are gone, it’s next to impossible to bring them back again. Does anyone actually care? Well, yes – many people do, and the Internet is full of campaigning websites indicating significant grass-roots support around the country.

Among these websites are:

www.publiclibrariesnews.com

www.readingagency.org.uk/news      Click on ‘library facts’

www.voicesforthelibrary.org.uk

One of the more concerning aspects of this unfolding story is the sheer loss of library staff from the profession. Figures collated by the Chartered Institute of Public Finance and Accountancy show that employed staff numbers dropped 6.8% in the year 2012-13 to 20,302 professionals. Yet library volunteers in the same period shot up 45% to 33,808. For a vital public service this represents a double whammy: the closure of library buildings, and the loss of books and professional staff. The six million dollar question within the profession is whether volunteers are really in any position to run an efficient library service? That particular jury will remain out for some while yet. Readers of this magazine will keep these closures and redundancies in their prayers, especially as many Christians work within the library world. Their profession is hurting in much the same way as in the publishing and retailing world, with the attendant impact of uncertainty and unsettledness on so many families.

I remain as passionate about the future of libraries as I do the future of bookshops. I fully expect both to remain part of our literary landscape. This is one reason why I am involved with Speaking Volumes, a growing charity that exists ‘to help libraries stock good-quality Christian books for all readers to enjoy’.  We work with public libraries, and also libraries in schools, prisons, hospices, playgroups and churches – anywhere, in fact, that books are lent or made available to a wide readership, and we assist by providing 50% of the full price of the books and DVDs.

In April, the ‘Librarians’ Christian Fellowship’, recently re-branded as ‘Christians in Library and Information Services’ (CLIS), appointed me as their next President. I am the first non-Librarian to hold this post, so feel something of a fraud! No matter, I’m a bookman at heart and anyway, I’d always harboured an ambition (unfulfilled) to train as a librarian.

This appointment signals CLIS’s desire to bring those of us involved in books – whether authors, booksellers, librarians or publishers – closer together. To quote ‘The Christian Librarian’ journal, this change of name:

‘Signals to the wider professional world that CLIS is responding to changing times; to the way jobs and work places may be nothing like the work patterns and careers of the past. We have come to this point out of a deep conviction about our calling as a Christian voice in an increasingly secular world’.

This is absolutely a platform upon which I am proud to stand.

This article was written in March for publication in Together Magazine (May to June 2014).

Book Trade – Trends in the Wider Market

Canadian retail blogger, PaulThinkingOutLoud was upset recently by one publisher’s website and its aggressive discounting policy. Writing in his blog – which is well worth following – he saw this as

 ‘Another example of a publisher or distributor bypassing the brick and mortar stores. Although some of this might be legitimate overstock inventory, it raises the expectation of consumers for this level of discounting to be normative, which adds to the discouragement of already battered retailers’.

In another post, Paul writes movingly of competing emotions during the closure of one of his stores. He ends with an appeal to press on towards the goal of in-store ministry.

Do you feel battered by falling sales or emboldened by spiritual opportunity? Yes, Christian bookshops continue to close, footfall is in decline, competition from online is savage and at best support from churches is patchy. Yet we are not always that well informed of current trends in the wider publishing scene. In the same way as what happens in the USA often affects the UK, the same is true of events in the general market impacting the Christian trade.

Generally speaking, our grasp of the financials on both ‘sides’ is often lacking. Retailers operate on lower margins with high fixed costs (upward only rents, rising business rates – up 2.6% again in April) whereas publishing in the main has higher margins and a far more flexible cost base. Clearly there are worries on all sides and as publishers face lower physical sales, print-runs continue to fall making the viability of mid-list titles ever more tenuous. Many publishers struggle with storing high levels of physical stock, much of which will eventually be written-down. Ironically for publishers, digitalisation represents yet more cost and a growing overhead; this, coupled with falling average cover prices (ebooks sell at half the average price of a paperback: £3.21 v. £6.31).

Our industry is a torrid place. The physical consumer book market declined by 4.6% in value in 2012, with fiction down 4.5% and non-fiction down 6.3% – only Children’s books held steady. The value of print sales slumped by £74m last year. (It could be worse – in Australia their market fell 6.3%). The marketplace churns violently in a volatile landscape; over 200 libraries were closed between 2011/12 and in another sign of turbulence, Cambridge University Press ceased print production on their Cambridge site after 400 years.

Yet 2012 saw the continued growth in digital publishing, social media marketing and self-publishing. Hive became established. Amazon’s Kindle grew faster than ever and a number of other e-readers, notably Nook, Kobo, and Nexus gathered momentum. Controversially Waterstones began to sell Amazon’s Kindle, recognising that they had neither the time nor money to develop their own platform. The Fifty Shades publishing phenomenon came out of nowhere ending the year with sales of £47.3m.

The market for ebooks was revised upwards to £300m late last year and continues to grow, albeit more slowly. Major publishers report e-sales of between 8% and 17% of overall revenue. In November, the ebook agency price probe in the USA and the EC brought a chill to the major houses as they battled against what felt like unfair external pressures. Now ebooks sell for an unsustainable 20p (a marketing idiocy pioneered by Sony) and most slots in the Kindle top 20 are populated by cheap ebooks. Nielsen data suggest that there are 7m UK ebook adopters, with heaviest use amongst ages 35-44, lowest in the under 20’s. However, the BBC reports that just as many UK adults, 7.4m or 15% of the population have yet to access the Internet.

Bookshop closures continue apace with The Booksellers Association figures documenting ongoing decline: down to 1,028 shops (2012) from 1,535 in 2005 – conversely Children’s bookshops are thriving with more opening this year. In the USA, the one surviving major bookstore chain, Barnes and Noble announced after Christmas that they expect to slim down store numbers by a third. B&N have 689 stores currently with 190-240 of these slated to close over the next decade. It’s a widely held view that the holy grail of ‘Discoverability’ is best achieved in a physical bookshop; browsing activity is their USP.

The debate over the future of our libraries is equally as fierce. The UK Government’s Sieghart ebook library lending review is yet to report but author, Terry Deary said recently: ‘Libraries have had their day. They are a Victorian idea and we are in the electronic age’. How to win friends! It’s worth noting that the PLR on printed books from library lending is more than £6m paid out to 23,000 authors. The debate remains live as people continue to ask if digital will trounce the physical book or whether in due course it will all settle down benignly?

There’s a lot of anger amongst booksellers towards the perceived lack of a level playing field. Writing in The Bookseller, Charles Tongue of the Stroud Bookshop said, ‘I believe Publishers are blindly colluding with Amazon and the result will be the destruction of High street retailing’. He was widely applauded.

I like Foyle’s of London advertising slogan; This Bookshop Will Change Your Life – no ambiguity there! Earlier this year, Sam Husain, CEO of Foyle’s sent an open letter to publishers arguing the need for better terms (an average of 60%) and increased support (promotional stock on consignment). He stated that the current bookshop model is broken, needing a complete rethink. This at a time as Foyle’s announced eight redundancies. Bravely, Foyle’s and The Bookseller have since conducted a two-day ‘Re-imagining the Future Bookshop’ workshop, held in London, allowing the trade to collaborate on what the bookshop of the future might look like. 

WH Smith continue to do a sterling job in showcasing books but even their sales fall year on year; down 7% to the end of August 2012 and down a further 6% in the 20 weeks to mid-January 2013. Another indication of the parlous state of the High Street trade is wholesaler Gardners sales results which dropped 3% to the end of February last year. Blackwell’s did improve their results last year but remain loss making.

Waterstones is far from being out of the woods with the release of poor results (admittedly pre-James Daunt) showing a £37.3m loss. I wish Waterstones well because if their 290 branches were to disappear from the High Street then it would be a very serious matter, and I might add, particularly for publishers. However, I’m encouraged for two reasons: anecdotally, people seem very warm towards the ‘W’ brand and some are switching their buying away from the mighty ‘A’. The question is, will it be enough? Waterstones iconic branding campaign last autumn was well received and this year it has plans for the refurbishment of another 60 shops.

My other reason is that when I visit Waterstones, they generally prove to be busy places and people are markedly buying books. It’s just a shame that Waterstones do not ‘do’ Christianity better and with more visibility. On a positive note, I welcome the announcement by Waterstones of the launch of its staff-training academy and Certificate in Bookselling (accredited by the University of Derby); surely a vote of confidence in its own future by a visionary book chain?

Maybe I’m pipe dreaming? After all, Amazon had overall sales in the UK in 2011 of £2.91 billion (on which they famously paid £416m UK tax). They reported Q4 worldwide revenue growth of 22% to £13bn last Christmas! Latest innovations include customer collection lockers in railway stations and newsagents. This is an immensely powerful online juggernaut and our small trade faces a very significant challenge indeed!

Yet I dare to believe that localism can prevail, customer attitudes can change and that people continue to care about their local shops – you must just hope that I am right! The demise of retailers, Jessops and Blockbuster earlier this year followed by HMV going into administration shows just how tough conditions are. Incredibly, HMV was selling 27% of all CD’s and 38% of DVD’s at the time of its demise.

I would echo Philip Downer’s (ex-Borders) comment from last year;

 ‘The old days of Borders and Ottakars will not return … Coffee, carrot cake, cards and an ebook offer are now essentials for Indies who want to stay in business and thrive for the future’. 

We have to give customers a reason to come to our shops. Why should they shop with you? I was recently handed a forward-dated 15% off voucher for a national (non-book) retailer. It worked. I visited the shop on the stated date, I used my voucher … and I bought far more than I had intended. In the Christian trade we must start thinking more creatively and connecting with customers in a very different way to the past.

Church engagement is a hugely important topic that needs far greater attention and one to which we shall return in the next issue. Many shops find difficulty in communicating with ministers. An earlier church / retail compact has seemingly broken down as leaders shop around – usually online – driven by ‘best price’ owing to the Churches’ own financial constraints. Managers struggle to venture outside their own premises due to low staffing levels or sometimes, unwillingness. And yet, somehow, retailers have to get back in touch with their core customer base – the Churches.

The days of waiting for a church to contact you are long gone. It’s often a salutary task to record daily footfall and till data – but it may just serve as the severe jolt you need in order to take action?

This article was written in early March 2013 for Together Magazine (April – May 2013)