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O’Reilly TOC Conference

NFAIS: Mobile Delivery of Content

30 October 2009

Neelan Choksi

CEO, Lexcycle

[email protected]

twitter: stanza_reader

Lessons Learned from the

(2)

Outline

Who am I?

Where do eBooks stand today?

eBook Opportunity Drivers and Challenges

An overview of Stanza

How to work with Stanza
(3)

Who Am I?

CEO, Lexcycle (acquired by Amazon in 2009)

Former open source software COO,

SpringSource (acquired by VMWare in 2009)

President and Co-Founder of SolarMetric (acquired by BEA Systems in 2005)

Previous Employers – Exxon, Andersen

Consulting, TechTrader, MIT Blackjack Team

BS from MIT, MS from Stevens Institute of
(4)

Last 10 Months in eBooks

•  Jan 26 – Classics featured in iPhone TV

advertisement

•  Feb 5 – Google Book Search for iPhone, Android

•  Feb 9 – Amazon Kindle 2 Launch

•  Feb 16 – Adobe Reader Mobile SDK

•  Feb 25 – Indigo Shortcovers launched

•  Feb 27 – Hearst announces plans for eBook reader

•  Mar 4 – Amazon Kindle for iPhone Launch

•  Mar 5 – B&N acquires Fictionwise

•  Mar 11 – Sony Reader launch in Germany

•  Mar 17 – Apple iPhone 3.0 O/S announced (eBook examples)

•  Mar 19 – Sony and Google – 500,000 books

Mar 23 – Borders UK ends iLiad for cheaper e-Book reader

Apr 1 – Blackberry App World launches

Apr 2 – News Corp. confirms looking into investment in “eReader

Technologies”

Apr 8 – Lexcycle, Adobe, Internet Archive release catalog spec - OPDS

Apr 11 – B&N / Sprint ereader discussions announced

Apr 17 – Random House announces first to put books into Blackberry app

Apr 22 – Penguin signs English eBook distribution in China
(5)

Last 10 Months in eBooks

•  Apr 28 – B&N/Fictionwise add EPUB to Multi-format titles

•  May 6 – Amazon announces Kindle DX

•  May 12 – New Cybook update announced

•  May 13 – Sony announces 3rd party advertising in Sony Reader

•  May 15 – New BeBook Reader announced

•  May 27 – Interead COOL*ER debuts

•  Jun 1 – E-Ink acquired by Prime View

•  Jun 2 – Google sets plans to sell eBooks

•  Jun 8 – ScrollMotion in WWDC keynote

•  Jun 9 – California to scrap school textbooks in favor of eBooks

•  Jun 12 – S&S to sell eBooks on Scribd.com

•  Jun 22 – ScrollMotion and LibreDigital announce 100,000 books and magazines delivered via iPhone

•  Jun 30 – Borders release Elonex Reader

•  Jul 13 – Stanza passes 2M users and 12M books downloaded on 1 year anniversary

•  Jul 20 – Barnes & Noble launch eBook store

•  Jul 23 – Shortcovers announce

discounted conversion service to EPUB

•  Jul 29 – Google / Sony announce

1,000,000 public domain titles available

•  Aug 4 – Sony announces 2 new Reader models

•  Aug 8 – Astak PRO eBook Reader announced

•  Aug 12 – Sony announces they will only sell EPUB content from Sony Bookstore •  Aug 24 – Sony announces Reader Daily

(6)

Last 10 Months in eBooks

•  Aug 27 – Asus CEO tells DigiTimes that its <

$150 eReader will be available by end of 2009 at the earliest

•  Sep 6 – Nick Cave’s “Death of Bunny Munro” combines video, eBook, sync’d audio

•  Sep 9 – Interead announces 1+ million Cool*er devices sold

•  Sep 15 - DNAML releases PDF to EPUB conversion software

•  Sep 16 – Anthony Zuicker’s Level 26 rolls out as a “digi-novel”

•  Sep 29 - Disney announces subscription for access to 100s of Disney books

•  Sep 30 – HarperCollins delays eBook release of Palin memoir 3 months

•  Sep 30 – Further rumors of Apple Tablet

•  Oct 1- Simon & Schuster announces first set of Vooks – video/book hybrids

•  Oct 7 – Amazon announces Kindle Worldwide (Oct 19)

•  Oct 9 – Egmont + Penguin + EA Games to create eBook for on Nintendo DS

•  Oct 13 – Jane Friedman launches

company that will republish old titles by big name authors as eBooks

•  Oct 15 – Browser based Google Editions announced

•  Oct 19 – Spring Design announces Alex eBook reader

•  Oct 19 – Internet Archive announces Bookserver project

•  Oct 20 – B&N announce Nook

•  Oct 20 – B&N and Adobe to support RMSDK and eReader Social DRM

•  Oct 20 – AUO unveils 20” eInk display

•  Oct 22 – Amazon Kindle for PC announced at Windows 7 launch

(7)

eBooks – Rapid Growth

$94 million Wholesale eBook sales in last 4 quarters

$30.6 million Wholesale eBook sales - July/Aug 09 * Source: IDPF and AAP US Trade Wholesale Electronic Book Sales
(8)

Small %age but Growing Fast

2008: 0.467% of all books sales were eBooks per the

AAP

2008: 0.6% of all books sales were eBooks per Bowker Pub-Track

Q109: 2.4% of all books sales were eBooks per Bowker Pub-Track

October 2009 – For every 100 printed copies of a title sold, Amazon.com sells 48 Kindle books, assuming the book is available in both versions

Forrester Research predicts 3 million eReaders will sell in 2009 in the U.S. (up 50% from their May projections)

(9)

eBook Opportunity

(10)

Mainstreaming of e-books

(11)
(12)

New Hardware

Netbooks
(13)

So Many More Devices

•  Aztak Mentor EB-900

•  Bookeen Cybook Gen3

•  Bookeen Cybook Opus

•  Foxit eSlick

•  Ganaxa GeR2

•  HanLin eBook V3

•  HanLin eBook V5

•  Hanvon HandyBOOK N516

•  Interead COOL*ER Classic

•  iRex Digital Reader 1000

•  iRex iLiad

•  Pocketbook 360°

•  Pocketbook 301 Plus

•  STAReBOOK

•  Asus E-Reader

•  Aztak Mentor Electra

•  Fujitsu FLEPia •  Hanvon WISEreader N518 •  Hearst reader •  iRex DR800 •  iriver Story •  Lubix L’Book •  Onyx Boox60 •  Pocketbook 302 •  NUUTbook NUUT2

•  Plastic Logic Que

•  Polymer Vision Readius

•  Samsung Papyrus*

(14)
(15)

Improved Mobile Displays

Larger touch screens w/ crisp color

OTA, wireless
(16)

Mobile Reading

iPhone

Stanza

Kindle for the iPhone

B&N Reader

Shortcovers

eReader

Classics

BookShelf

BookZ

Libris

Wattpad

Eucalyptus

standalone books apps

Other Devices

FBReader

eReader Pro

MS Reader

Global-Reader

Mobipocket ebook Reader

Aldiko

Word-Player

… many more
(17)

e-book Alphabet Soup

Formats

-

.LIT

-

Mobi

-

AZW

-

PDB

-

FB2

-

PDF

-

RTF

-

BBeB

-

EPUB DRM

-

Microsoft Reader

-

Adobe Adept

-

eReader

-

Mobi

-

Apple FairPlay

-

DNL

-

many others

-

HTML

-

RB

-

CHM

-

OEB
(18)
(19)

iPhone Distinctions

As an eReader:

International reach

Color display

Multi-function device

Built-in wireless

No external light required

App Store

15% of smart phone market; 50% of web hits
(20)

Stanza iPhone & iPod Touch

•  2.5+ million users in 75+ countries

•  ~15 million books downloaded

•  115,000+ books available (half free)

•  Books in 25+ languages

•  Featured in:

•  NY Times, Boston Globe

•  Time “Top 11 iPhone Applications”

•  Forbes

•  Wired “10 Most Awesome Apps”

•  iTunes Top Applications of 2008

•  App Store 1 Year Anniversary Featured Application

(21)

Geographic Breakdown

Top 10 Stanza Downloads

US

UK

France

Germany

Canada

Australia

Russian Federation

Japan

Italy

Spain Sales

North America Europe

South America Asia

(22)

Stanza User Customizations

App available in 12 languages

21 fonts options

Wide range of font sizes

135+ font colors

135+ background colors + nearly 30 background textures; choose your own background image

Completely customize layout: alignment, hyphenation language, margins, line spacing, paragraph spacing, paragraph indentation

Adjust behavior: page turn effects, book rotation
(23)

Primary Usage

In bed – 32%

Commuting on bus / train – 27%

In waiting areas – 13%

At home – 13%

At work – 6%

At a bar or café or lunch or dinner – 5%

On an airplane – 5%

2 write-ins mentioned “In the bathroom”

Readers enjoy having access to their library at all times in their pocket or handbag

(24)

Stanza Bookbinder

Create standalone books applications for sale directly in iTunes App Store

LibreDigital and others soon - aggregator

Bookbinder

(25)

What We Did Right and

(26)

What We Got Right

Holistic view of the entire experience for a reader:

Not enough to focus just on one piece. Readers expect more. Search / browse content Find book Start Reading Down-load book Pur-chase book
(27)

What We Got Right

Focused on the reader’s experience

Every reader is unique

Respected users’ historical eBook investments

Free/public domain content

Partnered to extend reach

Supported standards, where possible

Active at events and with PR

Translated app to 12 languages and added catalogs with foreign language content
(28)

What We Got Right

Innovated very quickly

Fast releases (historically 1 per month)

Honest and open

Admitted when we didn’t know something

Community around the software

Actively listened and participated

Admitted when we made mistakes
(29)

What We Need to Work On

More foreign language and international content

Haven’t made commerce as easy as we could

Have not merchandised well

1 newsletter ever focused solely on Stanza eBooks

Publisher promotions can tie better into purchasing

Are not using social media enough

From within Stanza: Twitter, book clubs, etc.

Outside of Stanza: Help our community show their Stanza pride
(30)

Lessons Learned – Readers

The bar is constantly moving up on everything

-

Reading experience

-

Purchase experience

-

Discovery
(31)

Publisher Lessons

Make sure your books are available

electronically:

-

Minimum formats: PDF, AZW, EPUB

Keep experimenting – be bold

 Have a budget for marketing e-books

-

Better integrate your physical book marketing
(32)

Publisher Lessons

(continued)

Figure out ways to support your authors better in the electronic world

-

Websites

-

Blogs, Twitter, social networking, Book Trailers

-

Understand the technology

Don’t let this just turn into a blockbuster industry:

-

Find self-service methods and appropriate revenue splits for mid-tier authors
(33)

NFAIS 30 October 2009 Neelan Choksi CEO, Lexcycle [email protected] twitter: @stanza_reader

Lessons Learned from

References

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