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Introduction : Book publishing in Germany – an industry facing disruption
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The German book market , a segment worth an estimated EUR 9bn in 2020 1 ) , is in turmoil . Members of the industry are facing dynamics that challenge the very core of this centuries-old business .
First , paper and ink are increasingly being substituted by screens and bits . Digital literature formats are radically changing consumer patterns . And the trend ’ s full impact may only materialize within the next decade as technology-savvy generations enter literature ’ s most targeted age groups . The main features of this trend are well-known : e-books are expanding their overall share of literature consumption formats , and sales channels are also increasingly becoming digital . These dynamics also favor the emergence of new players like Inkitt and Read-O and threaten the role of established publishing houses in their traditional ecosystem 2 ) .
The COVID-19 pandemic and related containment measures have only accelerated this shift as e-book revenues rose by almost 20 % and retail closures created an additional edge for online sales channels 3 ) . As literature has become digitalized , publishing houses have started to become aware of the untapped potential offered by consumer intelligence , a trove of information unavailable in stationary retail channels .
We expect the value from such insights to increase exponentially as a growing share of consumer spending is attributable to the digitally native Generation Z . Their preferences , ideas and value must be clearly understood in order to tailor publishers ’ programs toward them .