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Barnes & Noble

Barnes & Noble, Inc.
TypePublic
Traded asNYSE: BKS
IndustryRetail (Specialty)
FoundedWheaton, Illinois, United States (1873 as a printing business)
New York City, U.S. (1917 first bookstore opened)
Founder(s)Charles M. Barnes
William Barnes
G. Clifford Noble
Headquarters122 5th Ave
Manhattan, New York City, U.S.
Number of locations723 stores as of April 30, 2011; 639 college bookstores
Key peopleLeonard Riggio, Chairman
William J. Lynch, Jr., CEO
Steve Riggio, Vice Chair
Mitchell S. Klipper, CEO, Retail
ProductsBarnes & Noble Booksellers
Nook Media
Scribner's Bookstores
Bookstop
Doubleday Bookstores
Sterling Publishing Co.
SparkNotes
RevenueIncrease US$7.129 Billion (FY 2012)[1]
Operating incomeIncrease US$-61.303 Million (FY 2012)[1]
Net incomeIncrease US$-68.687 Million (FY 2012")[1]
Total assetsIncrease US$3.765 Billion (FY 2012")[1]
Total equityDecrease US$747 Million (FY 2012)[1]
Employees30,000 (Apr 2012)[1]
Websitehttp://www.barnesandnoble.com (consumer site)
http://www.barnesandnobleinc.com (corporate site)
Barnes & Noble's flagship store at 105 Fifth Avenue in Manhattan, New York has been operating since 1932.

Barnes & Noble, Inc. (NYSE: BKS) is a book retailer in the United States, operating mainly through its Barnes & Noble Booksellers chain of bookstores headquartered at 122 Fifth Avenue in the Flatiron District in Manhattan in New York City.[2] Barnes & Noble also operated the chain of small B. Dalton Booksellers stores in malls until they announced the liquidation of the chain. The company is known for large, upscale retail outlets, many of which contain a café serving Starbucks Coffee, and for competitive discounting of bestsellers. Most stores also sell magazines, newspapers, DVDs, graphic novels, gifts, games, and music. Video games and related items were sold in the company's GameStop retail outlets until October 2004, when the division was spun off into an independent company. Barnes & Noble is also known for selling the Barnes & Noble Nook, as well as various incarnations of its mascot, a teddy bear named "Barnsie".

The company operates 689 stores (as of July 28, 2012) in all 50 U.S. states in addition to 667 college bookstores that serve more than 4.6 million students and faculty members across the country.[3]

Contents

History

1800s-1969

Clifford Noble in 1893
Barnes and Noble corporate headquarters

Barnes & Noble originated in 1886 with a bookstore called Authur Hinds & Company, located in the Cooper Union Building in New York City.[4][5] In the fall of 1886, Gilbert Clifford Noble, a then-recent Harvard graduate from Westfield, Massachusetts, was hired to work there as a clerk.[6] In 1894 Noble was made a partner, and the name of the shop was changed to Hinds & Noble.[7] In 1901 Hinds & Noble moved to 31-35 W. 15th Street.[8]

In 1917 Noble bought out Hinds and entered into a partnership with William Barnes, son of his old friend Charles; the name of the store was changed accordingly to Barnes & Noble.[9][10] Charles Barnes had opened a book-printing business in Wheaton, Illinois in 1873; William Barnes divested himself of his ownership interest in his father's firm just before his partnership with Noble, and it would go on to become Follett Corporation. Although the flagship store features the motto "founded in 1873," the C.M. Barnes-Wilcox Company never had any connection to Barnes & Noble other than the fact that both were partly owned (at different times) by William Barnes.

In 1930 Noble sold his share of the company to William Barnes' son John Wilcox Barnes.[11][12] Noble died on June 6, 1936, at the age of 72.[13] In the long history of the bookstore, the namesake partnership was a brief interlude.

In 1932, at the height of the Great Depression, the bookstore was moved to its current flagship location on 18th Street and Fifth Avenue.[14] The Noble family retained ownership of an associated publishing business, and Barnes & Noble opened a new publishing division in 1931.[12]

In 1940 the store was one of the first businesses to feature Muzak; it underwent a major renovation the following year.[15] That decade the company opened stores in Brooklyn and Chicago.[16] William Barnes died in 1945 at the age of 78, and his son John Wilcox Barnes assumed full control.[16] The company underwent a significant expansion in the 1950s and 1960s, opening an additional retail store on Twenty-third Street in Manhattan and shops near the City University of New York, Harvard, and other Northeast college campuses.[17]

The company continued to do well until 1969, when John Barnes died and the company was sold to the conglomerate Amtel.

1970s

The business was purchased in 1971 by Leonard Riggio for $1.2 million.[17] By then it had been badly mismanaged over the prior two years and consisted only of "a significantly reduced wholesale operation and a single retail location—the store at 105 Fifth Avenue."[17] In 1974, Barnes & Noble became the first bookstore to advertise on television, and a year later, the company became the first bookseller in America to discount books, by selling The New York Times best-selling titles at 40% off the publishers’ list price.[18] During the 1970s and 1980s, Barnes & Noble opened smaller discount stores, which were eventually phased out in favor of larger stores. They also began to publish their own books to be sold to mail-order customers. These titles were primarily affordable reissues of out-of-print titles, and selling them through mail-order catalogs allowed Barnes & Noble to reach new customers nationwide.

1980-1999

Barnes & Noble continued to expand throughout the 1980s, and in 1987 purchased the primarily shopping mall-based B. Dalton chain from Dayton Hudson. The last B. Dalton stores were slated to close in January 2010. The acquisition of 797 bookstores turned the company into a nationwide retailer, and as of the end of fiscal year 1999, the second-largest online bookseller in the United States.[19] B&N's critics claim that it has contributed to the decline of local and independent booksellers.[20]

Before Barnes & Noble created its web site, it sold books directly to customers through mail-order catalogs. It first began selling books online in the late 1980s, but the company’s website was not launched until May 1997.[14] According to the site, it now carries over 2 million titles.[21]

Barnes & Noble store in Winston-Salem, North Carolina

2000-present

In 2002, Leonard Riggio's brother Stephen Riggio was named CEO, a position he held until 2010.[22]

In March 2010, William Lynch, formerly the president of the company's website, who is credited with helping launch the company's electronic book store and overseeing the introduction of its electronic book reader, the Nook, was appointed CEO, in a move that according to USA Today, underscores the importance of digital books to the bookseller's future. Steve Riggio stayed on as vice chairman.[23]

Publishing

Barnes & Noble publishes some of the books it sells, inexpensively reprinting non-copyrighted titles or acquiring the U.S. or English language rights from another publisher. In addition, Barnes & Noble commissions reprint anthologies and omnibus editions using in-house editors.

Barnes & Noble began to publish books during the 1980s, when they started reissuing out-of-print titles. One of these titles, The Gentle Art of Verbal Self-Defense by Suzette Haden Elgin, has sold over 250,000 copies.[24] The reissued edition of The Columbia History of the World by John Garrity, for example has sold over 1 million copies.[25]

Since then, the company has expanded its publishing operation. This expansion was aided by the company’s acquisition of SparkNotes, an educational website and publishing company. Further expansions of the company’s publishing business include the purchase of how-to publisher Sterling Publishing in 2003.[25]

From around 1992 through early 2003, Barnes & Noble released a series of literary classics for adults and children under the imprint Barnes & Noble Classics Collection. Originally available only in hardcover, most titles came in a black or cream-colored dustjacket edition. In 2003, Barnes & Noble revamped and expanded its line of literature classics, releasing books in hardcover, trade paperback and mass-market editions.[citation needed]

In addition, Barnes & Noble has a second paperback series called the Barnes & Noble Library of Essential Reading.[26]

The Barnes & Noble cafe in Springfield, New Jersey

Cafés

The first store to feature a café serving Starbucks beverages was in Springfield, New Jersey in 1993. Since then, most stores have been amended or constructed specifically to feature a cafe serving Starbucks beverages, Harney & Sons or Tazo Tea, FIJI Bottled Water, bakery goods from The Cheesecake Factory, candy from Godiva Chocolatiers, sandwiches and other specialty products. Although the cafés are owned and operated by Barnes & Noble, servers follow Starbucks' standards in beverage preparation.[citation needed] The Barnes & Noble membership card is accepted to receive a discount on any café related goods.[27]

In 2004, Barnes & Noble began offering Wi-Fi in the café area of selected stores, using SBC FreedomLink (now the AT&T Wi-Fi network). All stores currently offer Wi-Fi, an effort which was completed in 2006. As of July 27, 2009, Wi-Fi is offered for free to all customers.[28]

The Barnes & Noble at The Grove at Farmers Market, Los Angeles.
Barnes & Noble in Lynnwood, Washington, using the former 1990s logo sign.

Community involvement

Barnes & Noble hires community relations managers to engage in community outreach. These managers' responsibilities include organizing in-store events, such as author appearances, children’s storytimes and book groups. Community relations managers also work closely with local schools and groups to promote literacy and the arts. For example, Barnes & Noble sponsors a children's summer reading program that promotes literacy and puts over 2 million books into the hands of the children each year.[29] Barnes & Noble also hosts bookfairs, which raise funds for schools and libraries, and an annual holiday book drive to collect books for disadvantaged children. 1.16 million books were collected and distributed in 2007.[30] To promote nationwide literacy among 1st to 6th graders and encourage more reading during the summer, Barnes & Noble has implemented a summer challenge: if children read 8 books and write about their reading, Barnes & Noble will give the readers a free book.[31]

Barnes & Noble Nook

See also: Barnes & Noble Nook

Barnes & Noble Nook is an electronic book reader developed by the company,[32] based on the Android platform. The device was announced in the United States on October 20, 2009, and was released November 30, 2009, for US$259.[33] On June 21, 2010 Barnes & Noble reduced the Nook's price to US$199, as well as launched a new Wi-Fi-only model, for US$149 and released a Nook colored touch screen for US$249.[34]

The Nook competes with the Amazon Kindle, Kobo eReader, Sony Reader, Apple's iBooks for the iPhone, iPad, iPod touch, and other e-readers. Various Nook models feature a 6-inch or 7-inch touchscreen.[35] Version 1.3 of the Nook introduced Wi-Fi connectivity, a web browser, a dictionary, chess and sudoku games, and a separate, smaller color touchscreen that serves as the primary input device. The Nook also features a Read in Store capability that allows visitors to stream and read any book for up to one hour while shopping in a Barnes & Noble Store. According to a June 2010 CNet article, the company plans to expand this feature to include periodicals in the near future.[36] The color version of the Nook introduced a 7-inch color touchscreen, and the ability to view at a portrait or landscape orientation.[37]

On April 30, 2012, Microsoft invested $300 million dollars for a 17.6% stake in Nook, which valued the business at about $1.7 billion.[38]

In November 2012, the technology publications Techdirt and Mashable criticized the license agreement with which Barnes & Noble sells ebooks to consumers, pointing out that the rights to re-download a purchased ebook expire when the customer's credit card expires, and a valid credit card must be added to the account to restore this functionality.[39][40]

College bookstores

Barnes & Noble College Booksellers, Inc., headquartered in Basking Ridge, NJ, is a subsidiary of the company which operates bookstores at more than 600 institutions of higher education. College Bookstores was previously owned by company chairman Leonard Riggio.

Barnes & Noble College Booksellers also operates the self-proclaimed "world's largest bookstore", located on Fifth Avenue and 18th Street in New York City. This flagship store carries a large variety of textbooks, medical and legal books, and medical supplies in addition to the various trade titles carried at the company's main stores.[citation needed]

See also

Portal iconNew York City portal
Portal iconCompanies portal
Portal iconBooks portal


References

  1. ^ a b c d e f "Barnes & Noble, Form 10-K, Annual Report, Filing Date Jun 27, 2012". secdatabase.com. http://pdf.secdatabase.com/2193/00011 93125-12-285399.pdf. Retrieved Feb 6, 2013.
  2. ^ "National Sponsorships and Donations." Barnes & Noble. Retrieved on January 29, 2010. "Barnes & Noble 122 Fifth Avenue New York, NY 10011"
  3. ^ "For Investors" at barnesandnobleinc.com
  4. ^ "Barnes & Noble to Move." The Bookseller and Stationer, January 1. 1922 pg 13
  5. ^ The Noble Legacy: The Story of Gilbert Clifford Noble, Cofounder of the Barnes & Noble and Noble & Noble Book Companies by Betty N. Turner. iUniverse: 2006 ISBN 0595374786, 9780595374786 page 71
  6. ^ The Noble Legacy: The Story of Gilbert Clifford Noble, Cofounder of the Barnes & Noble and Noble & Noble Book Companies by Betty N. Turner. iUniverse: 2006 ISBN 0595374786, 9780595374786 page 65
  7. ^ The Noble Legacy: The Story of Gilbert Clifford Noble, Cofounder of the Barnes & Noble and Noble & Noble Book Companies by Betty N. Turner. iUniverse: 2006 ISBN 0595374786, 9780595374786 page 101
  8. ^ "Barnes & Noble to Move." The Bookseller and Stationer, January 1. 1922 pg 13
  9. ^ The Noble Legacy: The Story of Gilbert Clifford Noble, Cofounder of the Barnes & Noble and Noble & Noble Book Companies by Betty N. Turner. iUniverse: 2006 ISBN 0595374786, 9780595374786 page 146
  10. ^ Blair, Cynthia. "1917: First Barnes & Noble Bookstore Opens in Manhattan". Newsday. Archived from the original on 2007-10-01. Retrieved 2007-08-01. 
  11. ^ The Noble Legacy: The Story of Gilbert Clifford Noble, Cofounder of the Barnes & Noble and Noble & Noble Book Companies by Betty N. Turner. iUniverse: 2006 ISBN 0595374786, 9780595374786 page 151
  12. ^ a b The Late Age of Print: Everyday Book Culture from Consumerism to Control by Theodore G. Striphas. Columbia University Press: 2009. 978-0-231-14814-6 pg 62
  13. ^ The Noble Legacy: The Story of Gilbert Clifford Noble, Cofounder of the Barnes & Noble and Noble & Noble Book Companies by Betty N. Turner. iUniverse: 2006 ISBN 0595374786, 9780595374786 page 153
  14. ^ a b Tavani, Andrew. "End of an Era for Barnes & Noble in Hoboken" Hoboken Patch; January 29, 2010
  15. ^ The Late Age of Print: Everyday Book Culture from Consumerism to Control by Theodore G. Striphas. Columbia University Press: 2009. 978-0-231-14814-6 pg 64
  16. ^ a b Barnes & Noble: Groundbreaking Entrepreneurs by Kayla Morgan. Abdo Publishing: 2000 ISBN 9781604537581 pg 78
  17. ^ a b c The Late Age of Print: Everyday Book Culture from Consumerism to Control by Theodore G. Striphas. Columbia University Press: 2009. 978-0-231-14814-6 pg 65
  18. ^ Barnes & Noble History. Barnes & Noble. Archived from the original on 9 May 2008. Retrieved 2008-06-13 
  19. ^ "BarnesAndNobleInc.com" (PDF). http://www.barnesandnobleinc.com/for_ investors/annual_reports/bnannual99.p df. Retrieved 2012-09-18.
  20. ^ St. John, Warren (1999-07-06). "Barnes & Noble's Epiphany". Wired. Archived from the original on 6 May 2008. Retrieved 2008-05-19. 
  21. ^ About Barnes & Noble.com; Barnes&Noble.com; Accessed September 4, 2010
  22. ^ "Barnes & Noble Booksellers". Barnesandnobleinc.com. http://www.barnesandnobleinc.com/our_ company/management_team/steve_riggio/ steve_riggio.html. Retrieved 2012-09-18.
  23. ^ "Barnes & Noble names website head William Lynch as CEO". USA Today. March 18, 2010
  24. ^ BarnesAndNobleInc.com
  25. ^ a b Barnes & Noble History; Barnes & Noble Inc.; Accessed September 4, 2010
  26. ^ "Barnes & Noble Library of Essential Reading". Barnes & Noble. http://www.barnesandnoble.com/u/Barne s-and-Noble-Library-of-Essential-Read ings/379001270/. Retrieved 8 April 2012.
  27. ^ "Membership Program: Frequently Asked Questions". http://www.barnesandnoble.com/u/Membe rship-FAQ-Questions/379002832. Retrieved 27 February 2013.
  28. ^ Colker, David. "Internet wants to be free at Barnes & Noble", Los Angeles Times, July 29, 2009
  29. ^ Community page at Barnes & Noble Booksellers; Accessed September 5, 2010
  30. ^ Holiday Book Drive; Barnes & Noble Booksellers; Accessed September 5, 2010
  31. ^ "Summer Reading Challenge". Barnes & Noble website. Archived from the original on 30 April 2009. http://www.barnesandnoble.com/summerr eading/. Retrieved 2009-05-08.
  32. ^ Jeffrey A. Trachtenberg and Geoffrey A. Fowler (October 20, 2009). "B&N Reader Out Tuesday". The Wall Street Journal. Archived from the original on 21 October 2009. Retrieved October 20, 2009. 
  33. ^ Ina Fried (October 19, 2009). "Barnes & Noble's 'Nook' said to cost $259". cnet news. http://news.cnet.com/8301-13860_3-103 78525-56.html. Retrieved October 20, 2009.
  34. ^ "Barnes & Noble Cuts Nook Price". CBS News. June 21, 2010. 
  35. ^ Nook Features. Barnes & Noble. accessed August 3, 2011.
  36. ^ David Carnoy (April 23, 2010). "B&N delivers meaty Nook update, teases iPad app". cnet news. http://news.cnet.com/8301-17938_105-2 0003085-1.html. Retrieved June 7, 2010.
  37. ^ Nook Color Features. Barnes &. Noble. accessed August 3, 2011.
  38. ^ Ovide, Shira (2012-05-02). "Microsoft to Invest in Barnes & Noble's Nook". Online.wsj.com. http://online.wsj.com/article/SB10001 424052702303916904577375502392129654. html. Retrieved 2012-09-18.
  39. ^ Cushing, Tim (November 27, 2012). Barnes & "Noble Decides That Purchased Ebooks Are Only Yours Until Your Credit Card Expires". Techdirt.
  40. ^ Rosen, Kenneth (November 28, 2012). "Barnes & Noble: That Ebook is Only Yours Until Your Credit Card Expires". Mashable.

External links


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