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Book Trade: Retailing as we know it – is it finished?

March 16, 2014 2 comments

There has been a slew of bad retail news of late. Legacy retail versus on-line resellers continues to make headlines. As I write this (mid-January), HMV have announced the relocation of their flagship Oxford Street store after 30 years of trading, to a much smaller London pitch. Shop closures persist. Retail – even Christian retailing – can, at times, take on the appearance of a soap opera. This last Christmas was no exception with what had the makings of a good game of snakes and ladders!  Christmas 2013 was far from easy for some on the High street, although December sales overall rose more than 5% year-on-year.

HMV in Birmingham

Clearly major societal changes are gathering speed. I guess we will look back and see that we have lived through quite a revolution; one of those extraordinary times when a significant step change occurs. Newspapers too continue to be caught up in the ‘old media, new media’ debate. This past Christmas saw the annual winners and losers emerging across the wider retail sector. John Lewis, Asos, Next and discounters Aldi and Lidl triumphed, whilst grocer Morrisons and department store Debenhams slipped further, at least in the eyes of the City.  Waterstones, whilst not having a storming Christmas, turned in a credible sales performance ‘slightly down on last year’. This is an unsurprising outcome with Nielsen BookScan reporting that total printed book sales in the UK fell by £98m during 2013.

In the Christian market, Koorong-owned Wesley Owen has now migrated fully on-line. This January, Wesley Owen ceased to exist as a physical brand having made such a notable contribution to Christian retailing over the past two decades. The independent UK Christian Bookshops Blog carried an in-depth piece on the winding up of Wesley Owen.  Birmingham and York were the last two stores to close, completing the demise of the once ubiquitous chain.  A number of high profile Christian bookshops including the Horsham Christian Centre and CLC’s Kingston-on-Thames branch (previously Chapter and Verse) also shut their doors for the final time.

I have long held the view that the failure of IBS-STL in 2009 and its terrible impact on Wesley Owen was entirely preventable; the result of an ill-judged overseas expansion from which it was unable to recover. Without this chain of events, the national chain may well still be trading today. Having been close to the creation of the brand in 1992/93, I obviously lament this outcome, but recognise that the clock cannot be turned back. The SPCK Bookshops chain went through a similar trauma over a comparable period and this too is cause for enormous regret. Many fine, committed retail staff were displaced as a result of these two catastrophic events; a major loss of skills, spirituality and calling to the wider ministry.

And yet – ministry through print and through bookshops continues on a daily basis, often-times unseen and unnoticed. Perhaps that’s how it should be? A verse from the Psalms speaks to this, ‘The Lord will not let you stumble. The One who watches over you will not slumber. The Lord Himself watches over you’ (121:3 NLT). There remain many fine exemplars of Christian bookselling in this country; a good example of which is Faith Mission Glasgow.

Our calling is not primarily to run bookshops or publishing houses but to disseminate the Christian message in such a way as to reach as many people in this country and around the world as possible. As a colleague put it recently,

Lives changed, hearts changed, through the power of God’s word’.

Our ministry is all about distributing gospel content, however that is packaged. Once we understand this, then criticism of those who choose to package truth digitally should cease. Personally, I’m relaxed about digital, as it seems to fit St Paul’s dictum ‘by all means, to save some’. If we keep these aspects of our trade in balance, we will be far less stressed by any seeming unfairness. There has been an irreversible way to how people consume content. No one can change that. Does this reality negate ministry through bricks and mortar? Of course not. In fact in some ways it strengthens it. We are certainly not going to see the complete disappearance of either physical shops or on-street shopping. I remain optimistic. Justin King, the well respected CEO of Sainsbury’s said in a December interview in relation to on-line competition:

On-line is more than a decade old. The truth remains that 96p in every pound is spent by real customers in real shops doing their own shopping’.

Many people and groups remain committed to maintaining a physical High street presence. Don’t believe all you read about digital. Statistics in this area are wildly variable. Independent physical bookshops, run well, with a eye on costs and in partnership with their local community can and do succeed, especially where they are equipped with space in which to provide local services such as debt counselling, childcare etc. New and imaginative ways of providing spiritual care and counselling can be found which, when allied to a good bookshop, can and does make a real difference to that community.

The new Foyles Bookshop at London's Waterloo Station

Together magazine exists to celebrate all that is best about this trade. There is so much that is good. An unbalanced but persistent tidal wave of bad news can knock us off our feet but Scripture exhorts us to ‘stand firm’, ‘to take heart’ and ‘to work whilst it is still night’. These are encouragements to not let circumstances dictate our feelings and deflect us from the joy of serving God through this ministry.

God give me strength’ should be our exclamation, but in a prayerful and positive way!

This article was written in mid January for publication in Together Magazine (March to April 2014).

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Book Trade History; ‘200 years of Christian Bookselling’ – Part 3

April 28, 2010 4 comments

The growth of the two largest Christian bookselling chains was not to last. Sadly, SPCK Bookshops failed in 2008, having been taken over by the USA based entity St Stephen the Great (SSG) in 2006. That acquisition was mired in controversy almost from day one and the takeover foundered due to the single issue of mismanagement. The assets of SSG today remain under the interim management of the Charity Commission.

Melanie Carroll (ex. SPCK Bookseller) confirmed;

SPCK Bookshops reached their peak in 2000 when there were 33 shops. In 2001, SPCK Brighton closed down so it was 32 but later that year SPCK Online opened. From 2002 onwards there was a slow decline and by the beginning of 2007 only 23 plus SPCK Online remained, and it was these 23 outlets which were acquired by SSG.

The shops that have opened / re-opened (since the failure) are not all on the same site as before but were opened either by SPCK team members or by supporters/space owners of the old shops. As far as I know, these (eight shops) are; Lincoln, Leicester, Cardiff, Chichester, Norwich, Truro, Hereford and Birmingham”.

Wesley Owen failed as a result of the parent company IBS-STL running into serious financial difficulty brought about by a failed IT system installation and the effects of the worldwide recession. The Wesley Owen chain of 41 shops went into administration in December 2009 and was disposed of in various lots in January 2010.

The fallout on the High Street from this undoubted disaster continues.

CLC in the UK has stepped in and acquired six of the Wesley Owen shops, Koorong (a respected Australian Christian retailer, founded in 1978, with 18 stores and 60% of its home market) took over the eight largest (and most profitable) shops and Living Oasis (part of the Nationwide Christian Trust) have so far reopened 17 shops.  Some shops will inevitably remain closed.

In my view, Koorong has the potential to be the ultimate winner. They have the management capability and financial capacity to truly shake up the current UK marketplace. They are most definitely the ‘ones to watch’.  Koorong have a reputation of not taking any prisoners! The out-turn for Christian bookselling over the next few years is likely to be very interesting indeed as a result of the entry of Koorong into the UK.

However, although I sincerely wish CLC and Koorong well in their endeavours, I am no longer convinced of the chain model when it comes to running Christian bookshops. For a variety of reasons, so many major book chains have simply failed over the years. It would appear that, in many cases, their high central costs have acted as the drag on the business and this, in a crisis, then hinders rather than helps the business.

In a centralised operation, flexibility can be very limited, hampering the ability to react quickly to any change in market conditions. It’s one thing to read the winds of change; it’s quite another to alter course in time to bring about the required changes. Once I would have argued strongly for the efficiencies of scale and the need for the central buying of stock that the chain model provides. Now I am no longer so sure. 

There is still a lot to be said for a very good independent shop operating solely at the local level. Perhaps we’ve just gone full circle? Regardless of the unique external pressures in retailing, I remain convinced of the need for good quality bookshops sited in the local community. I find myself agreeing with Nick Page in his recent blog of the need for ‘really good’ local bookshops with knowledgeable staff who in turn are passionate about selling books.

I am equally convinced that people still want a ‘shopping experience’. In turn, to survive, bookshops have no option but to provide the very best of experience; to stand out from the rest of the retail crowd and to remain totally focused on the customer.

I’ll let Melanie Carroll, an experienced bookseller from Lincoln and, in my view, one of the most original and inspirational trade bloggers, have this final word; ‘Think Local, Buy Local, Be Local – Don’t let our local businesses become a thing of the past’!

The final part will follow shortly.

This brief history of the ‘Christian book trade in the UK’ is extracted from a lecture given by the author to the Librarians’ Christian Fellowship (LCF) Annual Conference in London on Saturday 24 April 2010. For further information see www.librarianscf.org.uk.

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