global ebooks monitor presention at bea, june 2012

Jo Henry, DirectorBowker Market Research

International ebook sales & trendsBEA Constellation Presentation June 7th, 2012

US and UK ebook overview

November 19, 2007

March 12, 2010

Dedicated eReaders are the device of choice in the US

Source: BISG Consumer Attitudes Study

And dedicated eReaders have now surpassed PCs as device used most often in UK

Source: Bowker Understanding the Digital Consumer

Aug 2010 Feb 2011 Nov 2011 Mar 20120

10

20

30

40

50

60

Chart Title

Axis Title

Axis Title

Aug 2010 Feb 2011 Nov 2011 Mar 20120

10

20

30

40

50

60Device used most often

Dedicated e-reader

PC (desktop, laptop, netbook)

iPad/other tablet

Smartphone

© 2012, the Book Industry Study Group, Inc, R.R. Bowker

In late 2010 eBooks took off the launch pad in the US…

Source: Bowker Books & Consumers

0%2%4%6%8%

10%12%14% 13%

0.0333197574048987

% of book buyers who purchased an eBook

US Market UK Market

© 2012, the Book Industry Study Group, Inc, R.R. Bowker

But what does the future hold?

Source: Bowker Books & Consumers

Jan_

11

Feb_

11

Mar

_11

Apr_

11

May

_11

June

_11

July_1

1

Aug_

11

Sept

. 11

Oct._11

Nov_1

1

Dec_1

1

Jan_

120%

4%

8%

12%

16%

20% 19%

12%

% of book buyers who purchased an eBook

US Market UK Market

Genre share of eBook market in US (vol)

Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011

-5%

0%

5%

10%

15%

20%

25%

30%

Total Market

Mystery

Romance

Biography

Cooking

Young Adult

Children's Picture Book

Source: Bowker Books & Consumers

© 2012, the Book Industry Study Group, Inc, R.R. Bowker

Source: Bowker Books & Consumers

Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 20110

5

10

15

20

25

Romance

Crime/mys-tery

YA

Biography

Total

Cooking

Children's picture books

%

Genre share of eBook market in UK (vol)

© 2012, the Book Industry Study Group, Inc, R.R. Bowker

Ebook volume share by age of buyer (USA)

Source: Bowker Books & Consumers

Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 20110%

5%

10%

15%

20%

25%

18-29 Years

30-44 Years

45-54 Years

Total

55+

13-17 Years

© 2012, the Book Industry Study Group, Inc, R.R. Bowker

Ebook volume share by age of buyer (UK)

Source: Bowker Books & Consumers

Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 20110

1

2

3

4

5

6

7

8

18-29

55-79

Total

30-44

45-54

13-17

%

Sponsors

GeM Details & Methodology

• 10 country study: Australia, Brazil, France, Germany, India, Japan, South Korea, Spain UK and USA

• Conducted online

• Country sample* of >1000 persons 18+, designed and weighted to be representative of the adult population in terms of age, sex and region

• So effectively only represents the populations with Internet access in each country

• Fielded in early 2012

* India this was confined to the main cities

EBOOK PENETRATION

World-Wide eBook penetration

Country Total pop % with internet use

Est. % of total pop purchased ebook

m % %

Australia 22 89.8 19Brazil 203 37.4 7France 65 69.5 3Germany 82 79.9 10India 1189 10.2 2Japan 127 80.0 6South Korea 49 82.7 12Spain 47 62.2 8UK 62 82.0 17USA 313 78.3 16

World-Wide eBook penetration

Australia Brazil France Germany India Japan S. Korea Spain UK USA

21

18

5

13

24

8

1413

21 20

Base: All online adults

% of respondents purchasing eBook in past 6 months

Free as a driver in emerging markets

Australia Brazil France Germany India Japan S. Korea Spain UK USA

32

47

11

23

53

11

42

3330

25

Base: All online adults

% of respondents downloading FREE eBook in past 6 months

Penetration Findings• Much of the world is on par now with US

in access to and experience with eBooks• ‘Free’ in emerging markets still major

source of access to eBooks • High-tech countries do not always equate

to high eBook penetration – e.g. France and Japan

• While only ~2% of Indian population has purchased an eBook – that number is > UK with 17% penetration

FUTURE GROWTH POTENTIAL

Future digital behaviour – buying of ebooks

Australia Brazil France Germany India Japan S. Korea Spain UK USA

15

29

610

23

4

18

917 16

17

29

12

14

31

9

23

21

1614

Very likely (4) Fairly likely (3)

Base: All online adults

Future digital behaviour – downloading free ebooks

Australia Brazil France Germany India Japan S. Korea Spain UK USA

24

54

1117

52

6

3425 22 20

22

25

17

19

28

15

33

28

1917

Very likely (4)

Base: All online adults

Future digital behavior – no interest Country No interest past

or future - %

Australia 45

Brazil 16

France 66

Germany 56

India 11

Japan 72

South Korea 26

Spain 38

UK 52

USA 59

DEVICES & DOWNLOADING

Devices used most often for ereading

Australia

Brazil

France

Germany

India

Japan

S. Korea

Spain

UK

USA

0 20 40 60 80 100

40

72

50

46

76

59

37

47

30

23

23

14

28

18

9

12

18

18

14

29

22

8

12

13

11

20

39

10

15

11

13

2

8

22

2

1

4

22

36

36

2

4

2

2

3

7

3

3

4

1

1

1

1

PC/laptop Tablet Smartphone Ereader Games console Other

Base: All downloaderss

eBook purchase sources

Australia

Brazil

France

Germany

India

Japan

S. Korea

Spain

UK

USA

0% 20% 40% 60% 80% 100%

35

9

26

43

16

13

5

30

66

61

10

23

12

12

24

12

16

14

4

4

23

8

20

10

11

19

20

7

11

7

8

21

5

12

21

16

16

10

3

5

8

21

27

7

10

11

22

17

6

13

17

19

11

16

19

29

22

23

10

11

Amazon/Kindle Publishers Apple iBookstore/iTunes Indie booksellersHigh street chains Direct sellers/other

Base: All paid downloaders

COUNTRY DEMOGRAPHICS

Indian eBook buyer profile

• Male – 58%

• 25 – 34 years of age – 34%

• Lives in city

• College Grad

• Works Full Time

Brazilian eBook buyer profile

• Female – 52%

• 25 – 34 years of age – 36%

• Lives in city

• College Grad

• Works Full Time

UK eBook buyer profile• Female – 56%

• 55+ years of age – 33%

• Lives in small town/rural

• College Grad

• Works Full Time >25% not working

German eBook buyer profile

• Male – 67%

• 55 + years of age – 28%

• Lives in city

• College Grad

• Works Full Time

Closing thoughts…• Other countries are fast catching the US up in their

per capita use and desire to read eBooks – but will they follow the same pattern? Or will new models emerge?

• Amazon plays a central role in US and UK eBook distribution, but other world regions tend to be more fractured…for now

• Education and business genres are important in emerging world countries versus leisure genres in traditional Anglo markets

• As devices become more affordable and content more pervasive to emerging economies…but will they have the infrastructure to make eBooks more available beyond a select few?

GeM reports available :All Country Comparison free report available now from participants:Angela Bole, Book Industry Study Group+1 646-336-7141 x11 or angela@bisg.orgJohn Wicker, Tata Consultancy Services+1-973-452-7120 or john.wicker@tcs.comJo Henry, Bowker Market Research0207 831 1782 / jo@bookmarketing.co.ukEdoardo Bottai, A.T. Kearney +39  3493982741 or Edoardo.bottai@atkearney.com

Individual country reports available from Bowker Market Research: £499 / $795 each