Finding the right bookshelf for the Nook


What will the Nook’s future be?

Barnes & Noble’s Nook e-readers face fierce competition from the Kindle and iPad. B&N has tripled its advertising since 2009, adding to the huge development costs of the Nook, The Wall Street Journal reports. B&N’s EBITDA (earnings before interest, taxes, depreciation and amortization) have fallen to $163 million in the year ending April 2011 from $281 million the previous year.

One of the leaders of a minority shareholder firm recently said competing with Amazon and Apple is a “big-boy game” and that B&N may need partners to play that game. B&N, meanwhile, said it is seeking partners for overseas ventures.

The Wall Street Journal reports that the bookseller could possibly either sell a minority stake in the Nook line, setting up a separate management team, or sell the Nook brand outright.

I believe it would be short-sighted to sell the Nook brand outright. Barnes & Noble could very effectively use its brick and mortar stores – the ones that survive in the years ahead – to promote the Nook e-reader and its accessories. Bookstore customers are good candidates to buy e-readers. And Barnes & Noble and Nook can be co-promoted together if the corporation continues to own both brands. You lose that cohesiveness if Nook gets sold; even if a tech behemoth like Microsoft or Google buys the Nook, the new owner has lost that connection to a traditional bookstore and its customers.

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About Jason Reynolds
I'm a reporter, blogger, husband and aspiring author. When I'm not working, spending time with the family, or reading (which is quite a bit), I enjoy cooking, traveling, photography and wrangling my family's cats and chickens.

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