The pandemic has changed various aspects of our lives irreversibly. Whether it is hybrid working, a shift to work-from-home altogether, or an increased affinity towards online shopping, its effect on our lives is extremely visible and potent. This has, undoubtedly, had wide-ranging ramifications for businesses as well. Many brands marked a sharp pivot towards online sales channels during this time, while many existing online retailers built on their reputations to spur sales and growth.
But as the world adjusts to the new ‘normal’, how are such online retailers and brands remaining relevant for their audience? In this interview with SmartCompany Plus, Adam Freedman, head of brand at Booktopia, shares his insights on this change, #BookTok, marketing a business online, and his tips for creating a seamless customer experience.
Founded in 2004, the ASX-listed Booktopia recorded a 35% increase in revenue between 2020 to 2021. Freedman credits this to customers who were seeking different forms of entertainment and inspiration. At this point, “we positioned ourselves as a platform that could meet this demand”, he says. Investing in an extensive library and fast shipping also proved to be a game changer as it resulted in “orders being dispatched to Booktopia customers on average every 3.9 seconds”.
What was worth noting was the rise of #BookTok and #Bookstagram during this time. So much so that Freedman says it gave “rise to genres and authors that may not ordinarily have had as much fame and popularity as they may otherwise had through more ‘traditional’ marketing channels and campaigns”.
Adam Freedman is the head of brand at Booktopia. Source: Supplied
Freedman says this goes on to confirm the interesting notion of “how eclectic audience tastes really are”.
“While the young adult (YA) category naturally has benefited overall from a strong youth presence on social media, there are dozens of fiction categories, such as romance and fantasy, that have become more mainstream than before and unlocked new audiences,” he explains.
Talking about what effect social media may have had on sales, he says it is “difficult to specifically quantify its contribution to sales but it’s safe to say, it’s certainly had a positive impact”.
“Many of our top titles on a weekly basis include top-trending books and authors from TikTok and Instagram that have exploded in popularity in a short space of time. Names like Colleen Hoover and Taylor Jenkins-Reid are some of these,” says Freedman.
So does this mean Booktopia is harnessing the power of social media and influencer marketing to stay ahead?
“We are increasingly working with more Bookstagrammers / BookTokers as well as online book clubs to harness their love of books and continue to provide a platform to feed and amplify their content to a broader audience base, to help fuel the talkability and shareability of books in the broader social conversation.,” says Freedman.
“These creators and channels are a fantastic asset for authors, publishers and retailers alike and this will likely continue for the foreseeable. It’s important to recognise they do a great job for marketing and publicity but they are also consumers at the same time, so there is a wonderful parallel grassroots component in engaging them as bona fide customers which can in turn also provide insights to inform future marketing strategies.”
Speaking to Freedman, I wonder if that means physical bookstores have lost their charm for Australian readers, but he responds with a passionate: “Absolutely not!”.
“Bookstores remain a cornerstone of book buying for many Australians”, he shares.
According to research by IBISWorld, there are currently 1457 bookstores in Australia. The industry has seen a negative growth of 8.3% from the previous year even though the sale of books in Australia grew by 7.2% in the previous year, as per data posted by Neilsen BookScan.
The Australian book industry sold about 70.9 million units to the tune of $1.4 billion in 2022, marking an 8.2% increase in total unit sales.
Booktopia has a dedicated business unit – Booktopia Publisher Services (BPS) – that supports the distribution of books into physical bookstores.
“We love books and have a team of book lovers who all want the book industry to grow. We have provided a destination to meet demand through online retail but we know physical bookstores remain a cultural glue and hold an important place in many communities and as such, we will continue to support their work where we can,” says Freedman.
Freedman says Booktopia conducts in-depth research into consumer practices and behaviours with a team of digital specialists who “have spent thousands of hours analysing customer behaviours while engaging with our website, understanding their unique needs and delivering solutions based on that“.
His response highlights the need for online retailers to prioritise customer experience.
Technology and automation have been at the forefront of the Booktopia business model. Ever since its inception, the company has been using the latest technologies and making them an inherent part of its processes. From an internally built warehouse management system to an onsite database, there are a lot of takeaways from the business winning against the likes of e-commerce giants such as Amazon.
“Our mission is to create the ultimate bookstore experience, allowing customers to seamlessly browse and be inspired by books across categories and collections. The website functionality and UX is designed to provide clear choices and ‘book-spiration’ at customers’ fingertips without making them feel overwhelmed with what is available…”
Freedman will speak more on this topic at the upcoming Online Retailers conference.
But with the cost of living pressures and return to physical stores, how does an online book retailer stay relevant?
Freedman responds candidly and is confident of the book industry’s resilience. He agrees inflation and cost of living pressures have affected all retail categories as “consumers tighten their belts”, but says “the book industry remains steady and buoyant overall”.
“When you compare books to other forms of entertainment, they remain a cost-effective option,” he adds.
Booktopia also priorities digital campaigns and events with authors, along with podcast interviews, which Freedman says have “a cumulative reach of more than 40 million”. These provide customers opportunities to “engage with content and compel them to support the industry,” he adds.
So what is next for the online book industry?
“There has always been a great affinity with books and the industry continues to flourish in all forms, through physical, e-books and audiobooks — the increased talkability and shareability, particularly through the rise of the book club phenomenon, is now taking this to a new level and continues to gain momentum in this brave new world,” says Freedman.
“We see opportunities for greater diversity in author talent, from new literary authors reflecting a broader spectrum of storytelling to a new wave of influencers sharing their stories in new and interesting ways beyond their social channels.”
Freedman’s faith is backed by the company’s annual revenue of $240.8 million in the previous financial year, marking a 7.5% increase from the year before. Booktopia is also in the midst of transitioning into a giant customer fulfilment facility in Western Sydney “which will provide us with the ability to house even more stock than we currently do and further enhance the book-buying experience we already offer”.
Having a clear, single-minded mission with your customer at the heart of it and a well-defined strategy to deliver on that mission, backed by data and insight, will help create opportunities to deepen the connection with your prospective customer base from the outset and build your brand in parallel.
Experience is everything for today’s and tomorrow’s consumers. It’s important to keep listening and finding ways to solve their problems in an easy and meaningful way.
Production Editor
Prior to joining SmartCompany, Mrinaal was the content head at Lawctopus. She has a dual degree in business and law, with a Masters in constitutional law. You can follow her on Twitter at @mrinaaldatt.
