Hoover's, Inc. Competition
Now Viewing Hoover's, Inc.'s competition in: Book Publishers
Call Preparation Questions
Customers, Marketing, Pricing, Competition
What are the company’s largest markets? - Trade books account for 30 percent of the market, textbooks 25 percent, and professional books 15 percent.
What are the company’s major distribution channels? - Publishers use multiple channels, including wholesalers, independent book stores, book chains, mass merchants, supermarkets, toy stores, and direct sales to school districts.
What are the company’s most profitable book imprints (brands)? Titles? - One top-selling consumer book (“title”) can produce large profits.
Who are the company’s main competitors? -
How does the company differentiate itself from its competitors? - A book publisher may focus on a specific market or subject matter.
What percentage of company revenue comes from new titles? What percentage from backlist (previously released) titles? - Keeping inventory of backlist titles can be expensive, so companies tend to produce multiple printings to meet demand.
Does the company have statewide textbook contracts? If so, when do they expire? - Twenty states have statewide contracts that can span a five to seven year adoption cycle.
If a textbook publisher, in what states does the company have major sales? - The number of school-aged children will decrease in some states in the next decade.
What is the range of suggested retail prices for the company's books? - Trade hardcover books generally sell for just under $30, paperbacks for $15, mass market books for less than $10.
Competitive Landscape
Demand for books is driven by demographics and is largely resistant to economic cycles. The profitability of individual companies depends on product development and marketing. Large publishers have an advantage in bidding for new manuscripts or authors. Small and midsized publishers can succeed if they focus on a specific subject or market.
Business Challenges
CRITICAL ISSUES
Low Growth in Some Segments - Although the industry's total revenue has grown an average 3 percent annually, demand in some segments has been weak in recent years. Sales of adult fiction, which compete with other sources of entertainment, have been flat. A study by the National Endowment for the Arts shows that fewer than half of adults read literature for entertainment.
Industry Consolidation - Taking advantage of economies of scale in production and marketing, a handful of large book publishers have grown rapidly by acquiring smaller publishers. Larger publishers can more easily sell a full line of books to big booksellers like Barnes & Noble, Borders, and Amazon. Smaller publishers have less marketing leverage. Just eight large publishers hold more than 50 percent of the US book market.
Industries Where Hoover's, Inc. Competes
- Media
- Internet Content Providers(primary)
- Information Collection & Delivery
- Publishing
- Book Publishing
