1. EBLIDA - MILAN – May 13th 2013 Diederik van Leeuwen, Director Stichting Bibliotheek.nl AN INTRODUCTION TO THE DUTCH E-BOOK PROGRAM

2. The Dutch libraries @ a glance 2 Libraries 2011 indicatief¹ # books (*1000) # lendings (*1000) # of lending 2010 Some key facts & figures (euros) NL inhabitants: 16.7 mln Subsidies (local): 500 mln py Government: 80 mln py (incl Nat. Library and innovation budget BNL 18 mln) Holdings: 6 mln (17,lm incl universities) Copies: 33 mln total Lending: 100 mln py by 4 mln members Spend on media around 60 mln py BNL facilitates digital activities including buying licencees, creating national catalogue, databanks, etc

3. E-library Infrastructure 3 Content 500 + eBooks online (2,000 end ‘13) Streamed music Apps (with 1.000 + free eBooks) Literature webcontent Datawarehouse - DWH Basic reports Data enriched Marketing output Portal-strategy SEO-strategy Social media strategy Campaigns National Catalogue Searching / finding / ordering 160 library content synchronised National Library content Data banks, (open) sources Website-as-a-services Live around 40 websites 120 to go Widgets (around 100) White label structure

4. Market e-books Market drivers for e-books* 4 Content (volume & quality) Devices (availability) Consumer behavior Internet (coverage) Pricing *) E-books in NL are not books but services (VAT 21%)

5. BooksMusicFilms & TV Magazines & News Aanbieders New business models set new standards for reading 5 advertisements subscriptions Freemium PAY PER USE Cheap technology Vouchers File sharing Internet business modellen

6. Next step in reading-revolution is taken place in NL: 6 From print To digital From Owning To USE Change in technology Change in business models Own books Download e-books Lending booksRead e-books streamed Library

7. Model 1 Head titles (< 1 year old) Library offers e- books simular to book-sellers / retail with extra service & in context, no discount Patron pays per title Model 2 Shoulder titles (1 – 3 year old) Library offers e- books for additional subscription fee (EUR 20,- py) This budget is available for buying e-book licencees Model 3 Long tail titles (3+ year old) Library offers e- books uncapt to regular members, no additional fees will be charged. Budget is made available by (local) governement.

8. E-books results NL Available (uncaped, streamed/online): 500+ titles for ‘members only’ – price on average EUR 625,- per title p/y In app’s: selection of 1,000+ titles and 26 special ‘galery of honour’ e-books – development app around 25k, cost for epubs around EUR 30,- per title Nearly 100 titles in ‘Read More’ campaign also for non-members – includes our own e-reader software (development cost around 25k only) and lead-generation tool Plus over 40,000 right-free titles (Gutenberg) – licence for catalogue around EUR 40k per year Coming up Contract with over 1,000 titles (Autumn 2013) with largest publisher in Holland @ new e-book platform for libraries connected to publishers directly – expected costs: pre-paid non-refundable fee of EUR 500,- per title and EUR 0,36 per lending Holiday-app: 25 titles in an app (Android/Apple) available as download for holiday’s (Summer, Autumn, X-mas) – expected costs EUR 2,000 per titles for 1 - 2 months downloadable Trial is being prepared – direct contacts with publishers are productive

9. ‘Read More’ Campaign Only 100 e-books Budget licencees 100k Budget media 400k Results: Over 50,000 new readers in 4 months 25% of all inhabitants took notice of campaign Positive contribution to (digital) library proposition Locations and events contact us for ‘next round’

10. Why we should have e-books 10

11. Commercial companies have strong advantages over libraries, however libraries have some strong USP’s Traditional bookseller transfering (Barnes & Nobles) Online bookseller (Amazon) Startups e-books lending The library 11 Success valuesweakstrong Technology/time to market Marketing power ‘Deep pockets’ Volume of digital collection Span of (digital) collection Independ. & Inspiring Guide Fysical/Digital Proposition mln Revenues48,077 mln23 mln Marketing1,630 mln3 mln Technology2,909 mln10 mln Strategy Barnes & Noble – inspiring?! continue to invest in the digital business to fuel NOOK use infrastructure to deliver e-content wirelessly/online utilize the strong Barnes & Noble brand and retail footprint to attract customers to multi-channel platform develop innovative technology expand its distribution channels through strategic partnerships with hardware, software and retail partners Relative Position Potention when libraries join forces and digitize strongly