Holiday season figures for Barnes & Noble did not make for pretty reading as Nook sales struggled against the likes of the Amazon Kindle. The book retailer has been going through troubling times recently, with their Nook rapidly losing e-book market share to competitors.
According to reports the sales figures for the Nook dropped 60.5% over Christmas, a huge slide compared to the nine week holiday period from the previous year. Total revenue for Barnes & Noble from devices and content totaled $125 million. Market share for the Nook dropped another 20% last year, in 2009 when the e-reader was launched it commanded a 25% share alone.
In contrast fellow retail giant Amazon has been having a field day, expanding their Kindle e-books into a range of tablets like the Fire HD X. Amazon has continued to roll out new publishing services and content to customers, keeping a tight grip on the e-book market. Their online sales continue to increase each year, selling an incredible 426 items per second over the holidays!
Barnes & Noble are looking to get out of this overcrowded territory and have admitted they need to start fresh. The book chain knows it will struggle to compete against the likes of Amazon or Apple in the future and so needs to focus on its strengths to stop the decline.
Sales of paper books made in retail stores across the US made up for the failings of the Nook and has relieved the pressure of the situation somewhat. Barnes & Noble appear aware that their future in the e-book market is on borrowed time and that unless they want to expand they need to call it quits.
The decision not to bring out a color Nook last year showed that the future for their e-readers is coming to an end. Do you feel that Nook still has a purpose in this situation or should they focus on their stores rather than wrestle with Amazon and Apple?