| SIC Codes: | 5942 |
| NAICS Codes: | 451211 |
The US bookstores industry includes about 9,500 stores with combined annual revenue of about $11 billion. Major companies include chains Barnes & Noble and Books-A-Million, large independent bookstores such as The Tattered Cover, and Hudson’s Booksellers, which operates stores in airports. The industry is highly concentrated: the 50 largest companies account for about 85 percent of sales.
Demand is driven by demographics and consumer income. The profitability of individual companies depends on merchandising and marketing. Large companies can provide broader selections and lower prices. Small companies can compete by offering specialized products or serving a local market. The industry is labor-intensive: average annual sales per employee are about $115,000.
The industry is segmented into general, college, and specialty bookstores. General bookstores sell mostly trade books (fiction, nonfiction, adult, children’s); college bookstores, mostly textbooks; and specialty bookstores, mostly religious books. Trade books account for about 35 percent of sales, textbooks for nearly 30 percent, and religious books about 5 percent. Bookstores may also sell music, DVDs, magazines, and gifts.
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