Trendspotting: Booming Hardcovers and Email Privacy

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Where there’s smoke…

As a reminder, Trendspotting is an occasional feature in Hot Sheet where I segue into first person and discuss informally what’s happening in publishing and media. First up: hardcovers.

The hardcover format enjoys tremendous growth in the US
This is a sales trend that pre-dates the pandemic and has been gaining steam this year. In a recent webinar delivered by Ingram Content Group, Ingram shared an impressive graph (see below) showing ever increasing sales of print-on-demand hardcovers. Key takeaway: There’s untapped sales potential for publishers who aren’t offering their backlist in this format.
Ingram graph showing Lightning Source print-on-demand hardcover unit sales 2016 through midyear 2021.
Source: Ingram Content Group. Important: the 2021 sales trend line does not account for all sales and did not nose-dive as indicated. Quite the opposite, in fact.
Before I elaborate further, it might help to know: Hardcover sales generally, as tracked by NPD BookScan, are up by 23.4 percent versus 2020, while paperback sales are up 17.4 percent. And just about every category and format in the commercial publishing industry is enjoying growth right now.

So why the attention on hardcovers by Ingram?

Well, POD hardcovers at Ingram are selling more right now than paperback, according to Katie Connolly at Ingram Content Group. “Growth is unparalleled,” she said. They are printing twice as many hardcovers each month as compared to last year. Ingram is one of the very few places that publishers can go to for print-on-demand hardcover services, putting them in a unique position to know about this opportunity.

However, smaller publishers and self-publishing authors are less likely to bother with a hardcover edition; the assumption has long been that most consumers opt for the cheaper paperback or ebook. Ingram is saying “Not so fast.” There is apparently an ongoing “renaissance” for backlist titles released in hardcover for the first time. And Ingram has a program to help convert POD paperbacks into POD hardcover, so publishers can start enjoying those added sales. Not only does this avoid the financial risk of a print run but it also sidesteps the challenge of getting any kind of book printed right now (turnaround times and costs remain heightened due to myriad supply chain problems).

Connolly added that, so far, having the hardcover format available is not affecting the success of paperback sales. As evidence, small publisher West Margin offered its own case study of The Dizzy Cook, which is printed using Ingram’s hardcover POD service. While the hardcover is expensive ($43.99 versus $25.99 for the paperback), it has still sold 2,500 copies. The paperback has sold 6,000 copies. West Margin publishing director Jennifer Newens said, “People who want [the hardcover] are willing to pay for it.” (Note that POD hardcover prices almost always exceed standard market pricing due to their higher unit cost.)

But are consumers in fact willing to pay? If you shop for The Dizzy Cook at Amazon, you’ll find that the hardcover currently costs about $24—because Amazon is discounting it by 45 percent. Amazon is currently selling the paperback edition for only a few dollars less. Are we seeing a “renaissance” of the hardcover as a result of Amazon discounts? I have a hunch. Either way, there’s no denying that these hardcovers are moving.

Amazon discounts aside, I have spoken with at least one small publisher who says Ingram’s POD quality is “dicey” and they would not risk it for hardcovers. It’s also possible that Amazon KDP may offer hardcover POD services in the future. I received a tip in February that KDP was looking for beta testers for a “new printing option on KDP.” Hardcover seems like the obvious missing format to add.

Privacy protections are extending into the email inbox
Apple recently announced it’s changing privacy settings on the new iOS (rolling out this fall) that will eliminate the ability for email marketers to know whether their emails are being opened. This is part of an ongoing trend of Big Tech companies putting an emphasis on privacy. It affects every profession and industry but especially anyone who markets or advertises online.

Some folks are panicking, but I’m not sure it’s entirely deserved. First, this change by Apple affects only the universe of people who use the Apple Mail app (although, yes, this app is used by 90+ percent of people checking email on their iPhones or iPads). Second, open rates have never been that accurate to begin with because they rely on people loading images or tracking pixels or on clicking the email. And finally, perhaps most importantly, there will still be plenty of ways to measure success without open rates and to keep your list healthy.

But before I get to that, here’s the most important thing you can do right now if you’re paying for your email marketing list: Identify people who have been unengaged for a very long time, at least relative to the frequency of your sends. For example, if you’ve had an active email marketing list for a few years, and you’ve been consistently sending every month, try to segment out the people who haven’t opened or clicked in six to 12 months. Send these unengaged subscribers a specific email and attempt to re-engage them in some way. If that fails, take them off your list.

You should do this in August, before the new iOS arrives.

Once your list is in good shape, full of engaged people, then it’s time to consider the following:

Look at your list foundation. What percentage of your list uses Apple Mail? Knowing this percentage will be useful in the future.

If your email marketing service gives you the necessary tools, create a segment or audience of non-Apple Mail users. That way you can easily look at a reliably tracked audience and compare open rates in the future.

Seek out blog posts, articles, or informational sessions from your particular email marketing service to see what they recommend. Every service’s tools and features are different, and what you can do or try may be limited by how much you pay.

Consider some kind of strategy—that’s not obvious or annoying—that will encourage people to click or respond on occasion. One email I subscribe to always has a “mystery box” at the end. I include a link to my most popular blog post of the month in Electric Speed (my free newsletter). Some people run surveys or polls or do giveaways. A consistent feature that fits with your overall approach is what you’re looking for.

Okay, now I’ll concede there is good reason to feel despondent about this change. It will be harder to clean up an email list in the future because it’ll be harder to tell who is engaged and who isn’t. This is going to result in a lot of email marketers begging, pleading, and tricking readers into clicking their emails. It’s going to get ridiculous, and I’m not looking forward to it. I will be clicking with vigorously rolled eyes.

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