Industry Analysis & Industry Trends
Book retailers have struggled through a difficult chapter over the five years through 2015-16. Industry operators have faced a tough trading landscape, with revenue expected to contract at a compound annual rate of 2.3% over the period. This is predominantly the result of increasing competition exerted on the industry by external operators, such as supermarkets and online retailers, and the growing popularity of e-books. The performance of book retailers has also been affected by fluctuations in the level of real household disposable income and subdued consumer confidence.
Despite this negative narrative, there have been signs of improvement over the past year. Physical book sales have been somewhat rejuvenated as sales of e-readers have slowed... purchase to read more
Industry Report - Starting a New Business Chapter
In the UK Book Retailers industry the barriers to entry are considered to be medium. Buying a shop and acquiring stock may not be prohibitively expensive, but the level of competition and the declining industry means that the many potential independent operators may be discouraged from starting up a store. Businesses require initial capital to set up a shop and acquire stock, however the products are relatively inexpensive compared to stocking electronic goods, for example. Establishing a business with a profitable business plan may be difficult in an industry characterised by generally low margins. Book wholesalers supply products to this industry at a discount, which may be as high as 35%, but this may be dependent on the size of the order... purchase to read more