October 26, 2009

While the FTC dawdles over the price war, some state laws step in to protect consumers

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As the price war between Amazon, Wal-Mart, and Target continues, publishers see more clearly every day how it could spell their demise: As this story from the Milwaukee Journal Sentinel notes, many indie booksellers are buying books from the warring parties because they are taking losses on the books — i.e., selling books for discounts greater than the publishers can sell them at.

Of course, one would think the booksellers would recognize how this will kill not only publishers, but not long after, themselves as well. Nonetheless the JS story opens with a Wisconsin bookseller doing exactly that — loading her Amazon shopping cart with books she can’t get as cheaply at her normal suppliers.

There is, at least, one more factor helping the local book business from not only the predatory practices of the big boys, but the indies helping them out: In Wisconsin, “Wal-Mart and Target won’t ship the below-cost books to customers here because of the state’s law banning retailers from selling merchandise below their cost.”

The article also notes, however, that Amazon was apparently willing to ignore the law: Amazon.com, it reports “was accepting orders from Wisconsin.”

Dennis Johnson is the founder of MobyLives, and the co-founder and co-publisher of Melville House.

  • http://www.candlelightstories.com Alessandro Cima

    Yes, it’s important to apply the law to retailers. However… and I say this while watching for snipers on rooftops… but aren’t books simply too expensive? Really. I have not found a single new hardback book on any shelf in any store that is worth $36. No way way on my planet. $36 for T. Pynchon making my day even more difficult for me than it already is… I don’t know.

    I’m walking over to B&N and saving with 10% membership card plus a cover discount.

    I think perhaps publishers are living in the 20th century, not the 21st. Smarter publishers print books more cheaply and sell them cheaply. Don’t they?

  • http://www.candlelightstories.com Alessandro Cima

    Yes, it’s important to apply the law to retailers. However… and I say this while watching for snipers on rooftops… but aren’t books simply too expensive? Really. I have not found a single new hardback book on any shelf in any store that is worth $36. No way way on my planet. $36 for T. Pynchon making my day even more difficult for me than it already is… I don’t know.

    I’m walking over to B&N and saving with 10% membership card plus a cover discount.

    I think perhaps publishers are living in the 20th century, not the 21st. Smarter publishers print books more cheaply and sell them cheaply. Don’t they?

  • Zach Thomas

    So, the law only applies when it doesn’t cost you money? This is exactly the problem with the country right now. Artists, writers, publishers, should price everything to suit me. Fuck their concerns. Fuck concepts of value. Anyone who disagrees is a dinosaur. ONLY PRICE MATTERS.

  • Zach Thomas

    So, the law only applies when it doesn’t cost you money? This is exactly the problem with the country right now. Artists, writers, publishers, should price everything to suit me. Fuck their concerns. Fuck concepts of value. Anyone who disagrees is a dinosaur. ONLY PRICE MATTERS.