The Printers' Evolution
BB: How have changes to distribution/the book retail market affected your business?
Spall: I think this is a tremendous development for our industry. What we see is that there is growing demand for direct-to-consumer distribution. Print-on-demand or print-to-order distribution will continue to grow as a percentage of sales, and this means that those who can cost-effectively produce and ship a single copy of a book will be well-positioned to meet the demand. There is a tremendous amount of technology involved to make this happen quickly and without error. The cost to enter is not to be taken lightly, but once a workflow is established it is a wonderful process for publishers to use. As Amazon, Google and B&N.com grow as a percentage of distribution for books, this will only increase the amount of effort put into creating a streamlined flow from order to distribution of a single book. As manufacturers, I think this will ultimately be a preferred method of producing, and it will create tremendous value for publishers in the form of speed to market and reducing cost to inventory—both very important in a lean and competitive economy.