Nook makes UK gains

Nook has won market share in the UK over the past 12 months, the company has told The Bookseller.

Colin Eustace, general manager, international, said: “We are really happy with our performance and publishers are telling us we are gaining share in the UK market. We have seen double-digit growth in device sales and content sales. With Nook apps, we are seeing people coming into the Nook ecosystem through Windows 8 and our Android system throughout the world.”

Eustace heads the 12-strong European Nook team from Luxembourg. The country offers a 3% VAT rate on e-book sales, which contrasts favourably to other countries such as the UK, which applies a 20% VAT rate to e-books.

The company launched in the UK in October 2012, selling devices through Blackwell’s, Foyles and other retailers. Amazon still has a dominant share of e-book sales (estimated at 80%) and Nook has priced its e-book titles competitively since launching in the UK.

Nook ran a Hot Summer Books promotion last year, offering frontlist e-books from major publishers for 99p, which Amazon price-matched. Eustace told The Bookseller Nook did not deliberately set out to price-match with Amazon: “The pricing is more around us being competitive within the market, such as our Daily Find promotion. We will push a book to Nook users and there will be a 70%–80% discount on that title.”

Nook is the digital media arm of US chain bookseller Barnes & Noble. Last month, B&N announced it would split off Nook Media from the bricks and mortar business in a bid to increase shareholder value. Eustace said: “I think it is positive news in itself and for the business. We are going to continue to invest in the UK market, continue to launch devices and continue to get support, both from publishers and retailers.”