Harry Potter Release Won't Mean a Profit for Booksellers

Posted on June 11, 2007

You'd think that the release of Harry Potter and the Deathly Hallows on July 21st would be a day of rejoicing for booksellers, because millions of books will be sold that day. But the deep discounts on the book will make it very difficult for bookstores to actually turn a profit on the book.

"Everywhere you go there is huge, ridiculous discounting by the chains," said Graham Marks, children's editor at the British-based trade magazine Publishing News. "They are literally not going to make one penny out of the book. It is stupid -- just throwing money away ... The world has gone mad."

Online retailer Amazon.com and Wal-Mart Stores Inc. have slashed nearly 50 percent off the book's $34.99 list price, forcing many independent booksellers to follow suit to stay competitive. Barnes & Noble Inc. and Borders Group Inc., the world's largest booksellers, are selling it at 40 percent off.

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"A lot of independent bookstores won't be selling Potter. They say it would be cheaper to buy it from a supermarket than the publisher."

On the bright side, people who show up at an independent bookstore for a Harry Potter party may buy other books. And when they've finished reading the book, they'll buy more. For families on a budget, however, it makes the most sense to order the title from Amazon.com, which is currently offering free shipping, delivery of the book on the day of release and a deeply discounted price of $17.99.

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