1. Barbara Schleihagen, Miriam Schriefers, German Library Association E-Books in German Public Libraries: business model with aggregators and others
NAPLE seminar on e-book business models for public libraries, 13 May 2013, Milano

2. Background: German e-book market
2011: 4,7 Mio e-books sold (2010: 2 Mio)
2011: e-book buyers (2010: )
2012: 2,4 % of the customer book market (2011: 1%)
2012: 6,2% of the total turnover in publishing
2015: 17% of total turnover in publishing expected
available now are about titles (Libreka) (Source: German Publishers and Booksellers Association, )
Customer book market = no science, non-fiction and educational books
German Library Association | Barbara Schleihagen, Miriam Schriefers

3. Background: German public libraries
82 Mio inhabitants
8,131 public libraries altogether: professionally led (2.100) and voluntarily run (6.000) public libaries
7,9 Mio readers are registered public library users
125 Mio patrons visit our public libraries each year
124 Mio media units are held by our public libraries
380 Mio media units are borrowed in pl by users/year
Statistical data of 2011 (DBS)
German Library Association | Barbara Schleihagen, Miriam Schriefers

4. Two aggregators in Germany: Ciando eBooks
takeoff in 2003 for scientific libraries
since 2011/12 also available for public libraries
used by 50 public libraries (2013)
media units
1.000 audiobooks
Loan for end customer foreseen in 2013 (lending fee per title)
German Library Association | Barbara Schleihagen, Miriam Schriefers

5. Two aggregators in Germany: Divibib GmbH
Digital virtual libraries started in 2007
only for public libraries, no commercial offer yet, library pass needed for use
2012: participation of 670 public libraries of professionally run libraries (2013: expected)
2012: 4 Mio loans
2012: media units (e-magazines, e-papers, e-books, audiobooks, music and videos)
German Library Association | Barbara Schleihagen

6. E-lending in German public libraries: Divibib GmbH
Offers complete service with all components (comparable to US-aggregator „OverDrive“):
Implementation of online platform as digital library branch
Internet based service without installation needed
Technical support for running services
Negotiation of licences and distribution of digital contents
Subject indexing and delivery of catalogue entries in MAB2
Small libraries offer divibib in a network with others
German Library Association | Barbara Schleihagen

7. How it works: Registered library users…
Visit homepage of local library
Log-in with personal data before lending
Browse digital content (format, topic, full text)
Put interesting materials into library basket
Download of materials to PC/e-book reader (no streaming, Digital Rights Management in place)
Library determines length of lending/no. of items (2-4 weeks, filing extension possible when no other reservation)
German Library Association | Barbara Schleihagen

8. Business model Divibib GmbH
One supplier that negotiates on behalf of libraries
Single platform for delivery to the user
Package possible (e.g. the whole offer by Penguin), individual titles possible
Current most common business model: M-Licence = one digital copy to one reader at a time
German Library Association | Barbara Schleihagen

9. Business model Divibib GmbH
New Licensing models:
L-Licence: augmented availability for titles that are 2 years or older, also for former M-Licence books
XL-Licence: parallel downloads for current titles possible for an extra price. If all titles are „on loan“, 2 M-licences are automatically available (classic single download)
German Library Association | Barbara Schleihagen

10. Selection of e-books
almost all books are available to public libraries for the same price as for customer
window time for some titles
over 650 publishers (2.220 total) are offering their e-material!
one big publishing house is missing (Holtzbrinck group – Rowohlt, Klett-Cotta etc., own comercial offer „Skoobe“)
on the whole, continous good dialogue with all publishers
German Library Association | Barbara Schleihagen

11. Ownership, long term access, preservation
digital preservation is not a public library task in Germany (modernisation of 10% of the public libraries‘ stock each year)
e-books are not owned by public library
access to e-books via licences, no long term access
Purchase of e-books and digital long term copy only relevant for scientific libraries
German Library Association | Barbara Schleihagen

12. Pricing
licence at same prices for public libraries (M-licence) as for end costumer
one publisher (Beck) asks for triple price, this seems to be unlawful
conversion from loan to sell models: no „buy it“ links yet, but possible
German Library Association | Barbara Schleihagen

13. Access on site
remote access for all registered library users coming from the libraries‘ serving area
Constraints on access: analogue model for digital world = one copy for one user (friction strategies)
amount of loans: if any then set by libraries
(some exceptions, e.g. public libraries in Hamburg with remote access offer for users not from Hamburg)
German Library Association | Barbara Schleihagen

14. Distribution platform
Platform owned by Divibib GmbH
Managed by Divibib GmbH
Cost unknown (business secret)
German Library Association | Barbara Schleihagen

15. Integration in library environment
Library catalogue: Some library software producers offer interface, DiviBiB offers MAB & MARC data and media covers for integration into catalogues for a maximum of visibility of the digital offer
LMS (Library Management System) in place to check the user‘s identification and his library registration
Apps for iPad, iPhone and Android platform only for e-books in e-Pub
German Library Association | Barbara Schleihagen

16. Visibility
Marketing tools available from DiviBib: digital frames, bookmarks, posters, stickers and labels on media, give-aways, flyer, postcards…
Increased local media work at various occasions: new ebook reader, new offers, new applications…
Increased advertisement in Internet: Homepage, Facebook, Twitter, Blog, YouTube, mailing…
Integration in reference service and training offers
German Library Association | Barbara Schleihagen

17. Commercial business models for E-Book lending
Amazon.de: takeoff in 10/2012; lending-system; limited for prime patrons; one e-book for free per month; proprietary software for Kindle reader; german titles
Libreka! : takeoff in 10/2012, lending-system for end customers by German Publishers and Booksellers Association; test phase; 760 titles; lending time 4 weeks; price setting by publishers with rebate system
Skoobe: takeoff in 02/2012; subscription-system for end customers; flatrate: 9,99 Euro/month; joint venture by Arvato, RandomHouse and Holtzbrinck; simultaneous loan of 5 titles possible; available for iPhone, iPad, Android or Kindle Fire; titles
Paper C: takeoff in 2013, evolution of a subscription-system for end customers, only scientific and educational books; flatrate: 29,99 Euro/month; about 400 publishers
German Library Association | Barbara Schleihagen

18. E-lending legal framework
(Copyright): Exhaustion should be extended to electronic books so that libraries won‘t depend on the publishers‘ offer
Reduced VAT should also be applied for e-books
German Library Association | Barbara Schleihagen

19. Thank you! Barbara Schleihagen schleihagen@bibliotheksverband.de
German Library Association | Barbara Schleihagen