Library visits rise; sales fall at booksellers
Associated Press
Tuesday, September 02, 2008

CHARLESTON, W.Va. --- Check it out.

That's what users of public libraries are doing in record numbers these days. In an effort to stay entertained and informed without breaking the family budget, Americans across the U.S. are increasingly taking advantage of the best deal in town: everything -- books, CDs, even video game sessions -- is free.

"When the economy goes down, public library use goes up," said John Moorman, the director of the Williamsburg Regional Library in Virginia.

Though the trend bodes well in the long-term for libraries, whose funding depends on visits and circulation, it is placing strain on branches faced with tighter budgets as counties try to keep spending in check. A growing population of book borrowers also comes at a bad time for retailers such as Barnes & Noble and Books-A-Million, whose sales and profits are falling as consumers' discretionary spending shrinks in the face of rising food and fuel prices.

Wall Street analysts say the book industry's troubles are mostly because of the lack of any hit titles for sale, not a surge in library usage.

The American Library Association says usage nationwide was 10 percent higher in the past year than during the 2001 economic downturn, when it tracked a similar spike in visits and circulation. Libraries recorded 1.3 billion visits and patrons checked out more than 2 billion items from April 2007 to April 2008.

At the downtown Charleston branch of the Kanawha County Public Library, Heidi Campbell's 2-year-old son Carter recently scampered from shelf to shelf before settling on a thick book with pictures of baseball players.

"This is something we can do once a week where we don't have to spend any money," said Ms. Campbell, whose family skipped its summer vacation and has cut back on visits to relatives in Tennessee, in large part because of soaring pump prices.

Book industry experts say the extra traffic witnessed by libraries does not pose a real threat to the business.

"Book publishers have a lot of challenges, and folks getting their books via the library doesn't even make the first page," said Michael Norris, a senior analyst for Simba Information, a Stamford, Conn.-based media research company. Mr. Norris said that when consumer spending in general rises again, book sales will grow, with patrons possibly buying titles they first borrowed from the library.

LIBRARIES BOOM

Librarians around the country say that the recent bump in visits might be the largest in memory.

- The Nancy Carson Library in North Augusta ran out of cards this summer after issuing more than 100 in two weeks.

- In Highland Park, Ill., the library recorded 60,700 items checked out in June -- its highest total ever and nearly 4 percent higher than a year earlier.

- Visits to the six branches of the Howard County Library in Maryland have increased by 26 percent over past year.

STORES BUST

The nation's three biggest booksellers are struggling, with shares trading near 52-week lows.

- Barnes & Noble saw second-quarter sales dip 1.6 percent to $1.22 billion and profits fall 14.6 percent to $15.4 million.

- Books-A-Million's second-quarter sales fell 7.5 percent to $122.8 million and earnings declined 79 percent to $645,000 from $3.1 million.

- Borders Group Inc. narrowed its loss to $9.2 million for the second quarter, but its sales fell 6.6 percent to $758.5 million.

-- Associated Press

From the Tuesday, September 02, 2008 edition of the Augusta Chronicle
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