As we were talking, a huge explosion shook the INLA's building around 11.35. We, the three of us, ran to the nearest window, and we saw a big and thick grey smoke rising from the direction of al-Mutanabi Street, which is less than 500 meter away from the INLA. I learnt later that the explosion was a result of a car bomb attack. Tens of thousands of papers were flying high, as if the sky was raining books, tears and blood. The view was surreal. Some of the papers were burning in the sky. Many burning pieces of papers fell on the INLA's building. Al-Mutanabi Street is named after one of the greatest Arab poets, who lived in Iraq in the middle ages. The Street is one of well-known areas of Baghdad and where many publishing houses, printing companies and bookstores have their main offices and storages. Its old cafes are the most favorite place for the impoverished intellectuals, who get their inspirations and ideas form this very old quarter of Baghdad. The Street is also famous for its Friday's book market, where secondhand, new and rear books are sold and purchased. The INLA purchases about 95% of new publications from al-Mutanabi Street. I also buy my own books from the same street. It was extremely sad to learn that a number of the publishers and book sellers, whom we knew very well, were among the dead, including Mr. Adnan, who was supposed to deliver a consignment of new publications to the INLA. According to an early estimation, more than 30 people were killed and 100 more injured. Four brothers were killed in their office.
Thursday, June 14, 2007
al-Mutanabi Street: Baghdad Diary
I had not had the chance until recently to return to the diary of Dr. Saad Eskande, Director of the Iraq National Library and Archive . It makes pretty horrific reading and this passage from March 5th describes the scene of the car bomb attack on the well known al-Mutanabi Street Book market. The diary is hosted by the British Library and is well worth reading.
Wednesday, June 13, 2007
Never Catalog Another Book!
Imagine never having to catalog another book. A potential reality but not one we are likely to see unless the publishing community can establish consistent technical standards for RFID (radio frequency identification). RFID tags should be bound into a book (or DVD, CD) at the bindery and that tag should represent a standard syntax that all RFID readers can understand. The process of RFID attributes a unique number (in standard syntax) to the tag that then enables readers at any point in the publishing supply chain to read the tag and identify the exact copy (or item).
As the item follows through the supply chain, data elements are be attributed to the tag representing everything from ISBN – to advanced shipping notice (ASN) – to customer membership number. In an ideal, fully implemented world, the physical touches are significantly less (and potentially zero) than in the traditional model where books are counted, sorted and cataloged repeatedly before they are eventually sold. As the example of BGN in the Netherlands shows, even in a limited implementation – that is from distribution to retailer – significant savings can be had.
Naturally a robust data warehouse sits at the center of any RFID implementation where all data elements attributable to the items reside. For example, once the RFID tag is attributed to an ISBN all the data elements describing that ISBN are now ‘readable’ at any point in the supply chain. This is particularly relevant at the end of the supply chain in the bookstore or library. At this point, a book can be found in any location in the store or library whether miss-shelved or not by reading the RFID tag. Searches conducted in the catalog or in-store kiosk will be able to identify the exact spot where the book can be found.
Potentially, implementing RFID on an industry basis would eliminate significant redundancy in the supply chain and probably increase effectiveness of everything from publishing programs to marketing programs and sales.
Clearly there are more than a few hurdles to over come to get to this point not least of which is the standard for RFID. Retail implementation of RFID in the US booktrade is limited, but not so in libraries where vendors have been selling systems into the library market for years. Unfortunately, the vendors sell their own non-compatible platforms which only partially generate the kind of improvements that could be achieved. In addition, the libraries that implement RFID have to retro-convert their collections at considerable cost and cover the costs themselves. The number of different systems in place at libraries also causes problems for suppliers who are required to place tags on items and must accommodate differing standards (obvious oxymoron) and then test the resulting tag with a version of the software in place at the library. A tiresome and inefficient process to say the least.
It doesn’t need to be so. In the Netherlands, an admittedly strong vendor set its own agenda in establishing an RFID standard for its stores. There needs to be a similar effort in the US but one that keeps the solution simple – a syntax for the RFID tag only – that will allow publishers, retailers and libraries to experiment and implement RFID in the supply chain.
Ultimately, RFID will be implemented in the publishing industry and booksellers and libraries will never have to catalog or attribute bibliographic information to a title. The bibliographic database is the other key item that needs to be addressed and there are some interesting trends in this area which I will discuss in my next article.
As the item follows through the supply chain, data elements are be attributed to the tag representing everything from ISBN – to advanced shipping notice (ASN) – to customer membership number. In an ideal, fully implemented world, the physical touches are significantly less (and potentially zero) than in the traditional model where books are counted, sorted and cataloged repeatedly before they are eventually sold. As the example of BGN in the Netherlands shows, even in a limited implementation – that is from distribution to retailer – significant savings can be had.
Naturally a robust data warehouse sits at the center of any RFID implementation where all data elements attributable to the items reside. For example, once the RFID tag is attributed to an ISBN all the data elements describing that ISBN are now ‘readable’ at any point in the supply chain. This is particularly relevant at the end of the supply chain in the bookstore or library. At this point, a book can be found in any location in the store or library whether miss-shelved or not by reading the RFID tag. Searches conducted in the catalog or in-store kiosk will be able to identify the exact spot where the book can be found.
Potentially, implementing RFID on an industry basis would eliminate significant redundancy in the supply chain and probably increase effectiveness of everything from publishing programs to marketing programs and sales.
Clearly there are more than a few hurdles to over come to get to this point not least of which is the standard for RFID. Retail implementation of RFID in the US booktrade is limited, but not so in libraries where vendors have been selling systems into the library market for years. Unfortunately, the vendors sell their own non-compatible platforms which only partially generate the kind of improvements that could be achieved. In addition, the libraries that implement RFID have to retro-convert their collections at considerable cost and cover the costs themselves. The number of different systems in place at libraries also causes problems for suppliers who are required to place tags on items and must accommodate differing standards (obvious oxymoron) and then test the resulting tag with a version of the software in place at the library. A tiresome and inefficient process to say the least.
It doesn’t need to be so. In the Netherlands, an admittedly strong vendor set its own agenda in establishing an RFID standard for its stores. There needs to be a similar effort in the US but one that keeps the solution simple – a syntax for the RFID tag only – that will allow publishers, retailers and libraries to experiment and implement RFID in the supply chain.
Ultimately, RFID will be implemented in the publishing industry and booksellers and libraries will never have to catalog or attribute bibliographic information to a title. The bibliographic database is the other key item that needs to be addressed and there are some interesting trends in this area which I will discuss in my next article.
BBC US News: More competition for Katie
Admidst the Katie C bashing The BBC has announced that they will launch an hour long US newscast on BBC America and BBC World.
Personnally, I enjoy the contrast between the US networks approach to news and the BBC's international viewpoint. I wonder if I will enjoy watching US news on BBC and World news on BBC. For the most part I think US news is fairly shallow so if BBC is able to provide the type of coverage of the US that they do for international news their new program may become an interesting alternative. I'll never give up The Daily Show however.The BBC is betting on a show that fills a niche in TV similar to the one The Economist fills in print. The London-based magazine saw circulation rise on the popularity of its in-depth international and financial reporting.
Tuesday, June 05, 2007
Are We On The Right Frequency?
Rather than wait for an industry to bless a standard for RFID or a data requirement for each chip, the Dutch retailer BGN launched a major strategic initiative to build ‘the book retail store of the future’ using self-designed RFID tools and technology. The resulting implementation has been the talk of the RFID industry and why not since this relatively small retailer operating in a relatively small industry has done what the mighty Walmart has been unable to do. From the outset, success for BGN was more assured because the company embarked on this effort for its own business reasons rather than having to implement it due to some directive from a third party.
The Dutch experience was presented at a panel meeting on Saturday at BookExpo to a disappointingly small group. RFID is in the process of transforming the BGN business and while publishers and retailers from the US have visited their operations to see the implementation in detail there doesn’t appear to be immediate impetus in the US to launch an RFID initiative. The Dutch example is notable for several reasons: Firstly, the company approached the initiative from a complete supply-chain view and they recognized that they needed to involve other parties in the planning and design of the initiative. Secondly, the company was first to implement the solution, and as a result, key software and hardware vendors were more willing to be flexible to support the implementation since it was in their interests to succeed. Thirdly, the company used experiences gained by others-such as Borders’ use of kiosks, Gartner’s research on store design and Metro of Germany’s test store.
The retail (not just publishing) industry suggested it couldn’t be done, arguing that privacy, tag costs and product breadth were issues too difficult to overcome. While BGN understood and addressed these concerns, Matthijs vd Lely, CEO of BGN, commented while on the Panel that, even prior to implementation, some executives remained skeptical.
The results have been more than impressive. At the Donner store location, the company stocks about 240,000 titles on 55,000 sq/ft and receives about 8million units each year. In a ‘traditional’ store, stock takes require the closing of the store for 2days. The new store remains open and the inventory is counted in hours. Theft and shrinkage have been reduced because the company accurately tracks items from receipt through purchase and the RFID tags acts as a theft alarm. (Privacy has been addressed by deactivating the tag on purchase). In a presentation at Frankfurt last year, the company estimated that they save over $250,000/yr just from stock take efficiency alone. Evidence also suggests that average revenue per customer has increased 6-8%, due to better inventory information at store level.
During implementation, the company needed to address minor issues such as metal shelving that interfered with RFID reception, metal or part metal packaging on books, CDs and DVDs; and, in some cases, location of a title was not specific enough – covering two bookshelf bays for example. These issues appear minor and, post-implementation, the store experience for shoppers is considerably enhanced. Employees and customers can identify with certainty an item and its location in the store. More integration with their web site and with store promotions and bundling is planned. The company hopes to have RFID implemented store-wide by the end of 2008, with added improvements (such as RFID enabled shelving) which could eliminate stock taking entirely.
The prospects for success in the US appear muted for two reasons. Firstly, well-intentioned industry volunteers seem to be fixated on defining the data that may or may not ride along on the RFID chip. In the BGN implementation, the chip only contains a unique number. At the point when the RFID chip is applied to the item (by BGN), the chip number and associated meta-data are married up in the BGN product database: Taken at face value, this approach appears more flexible, cheaper and faster. (For example, what happens if data ‘formatted’ on an RFID chip is inaccurate? The same mistake could be rectified once in a database rather than having to recall all RFID chips and rewriting the information). In the US, the initiative may move faster if we just define the syntax for the ‘dumb’ RFID number. Secondly, no one in the industry appears to want to take the first step but, as the BGN example shows, significant advantages could accrue to the company that goes first. In my opinion, this is most likely to be a retailer and, perhaps, should be a retailer, because the business case seems to be more obvious.
In looking to the future, BGN hopes that tags will be applied at the bindery and supply-chain partners can adopt the technology when they are able. In the US, we don’t seem to have reached that point of mutual desire. In an industry where a half- point gain in operating margin is hard to find, one would think that capital investment supporting RFID implementation at store level would be a no-brainer- especially given the example of BGN.
The Dutch experience was presented at a panel meeting on Saturday at BookExpo to a disappointingly small group. RFID is in the process of transforming the BGN business and while publishers and retailers from the US have visited their operations to see the implementation in detail there doesn’t appear to be immediate impetus in the US to launch an RFID initiative. The Dutch example is notable for several reasons: Firstly, the company approached the initiative from a complete supply-chain view and they recognized that they needed to involve other parties in the planning and design of the initiative. Secondly, the company was first to implement the solution, and as a result, key software and hardware vendors were more willing to be flexible to support the implementation since it was in their interests to succeed. Thirdly, the company used experiences gained by others-such as Borders’ use of kiosks, Gartner’s research on store design and Metro of Germany’s test store.
The retail (not just publishing) industry suggested it couldn’t be done, arguing that privacy, tag costs and product breadth were issues too difficult to overcome. While BGN understood and addressed these concerns, Matthijs vd Lely, CEO of BGN, commented while on the Panel that, even prior to implementation, some executives remained skeptical.
The results have been more than impressive. At the Donner store location, the company stocks about 240,000 titles on 55,000 sq/ft and receives about 8million units each year. In a ‘traditional’ store, stock takes require the closing of the store for 2days. The new store remains open and the inventory is counted in hours. Theft and shrinkage have been reduced because the company accurately tracks items from receipt through purchase and the RFID tags acts as a theft alarm. (Privacy has been addressed by deactivating the tag on purchase). In a presentation at Frankfurt last year, the company estimated that they save over $250,000/yr just from stock take efficiency alone. Evidence also suggests that average revenue per customer has increased 6-8%, due to better inventory information at store level.
During implementation, the company needed to address minor issues such as metal shelving that interfered with RFID reception, metal or part metal packaging on books, CDs and DVDs; and, in some cases, location of a title was not specific enough – covering two bookshelf bays for example. These issues appear minor and, post-implementation, the store experience for shoppers is considerably enhanced. Employees and customers can identify with certainty an item and its location in the store. More integration with their web site and with store promotions and bundling is planned. The company hopes to have RFID implemented store-wide by the end of 2008, with added improvements (such as RFID enabled shelving) which could eliminate stock taking entirely.
The prospects for success in the US appear muted for two reasons. Firstly, well-intentioned industry volunteers seem to be fixated on defining the data that may or may not ride along on the RFID chip. In the BGN implementation, the chip only contains a unique number. At the point when the RFID chip is applied to the item (by BGN), the chip number and associated meta-data are married up in the BGN product database: Taken at face value, this approach appears more flexible, cheaper and faster. (For example, what happens if data ‘formatted’ on an RFID chip is inaccurate? The same mistake could be rectified once in a database rather than having to recall all RFID chips and rewriting the information). In the US, the initiative may move faster if we just define the syntax for the ‘dumb’ RFID number. Secondly, no one in the industry appears to want to take the first step but, as the BGN example shows, significant advantages could accrue to the company that goes first. In my opinion, this is most likely to be a retailer and, perhaps, should be a retailer, because the business case seems to be more obvious.
In looking to the future, BGN hopes that tags will be applied at the bindery and supply-chain partners can adopt the technology when they are able. In the US, we don’t seem to have reached that point of mutual desire. In an industry where a half- point gain in operating margin is hard to find, one would think that capital investment supporting RFID implementation at store level would be a no-brainer- especially given the example of BGN.
Saturday, June 02, 2007
RFID Can Save Book Retail
BGN is a Dutch retailer that has launched their own RFID initiative to resounding success. (I used their experience as a basis for my re-think of the Borders business strategy). At this mornings panel discussion, the compelling business case seemed to escape the audience although BGN did say that all major publishers and B&N had visited to see the RFID implementation in action.
In the US it seems we are making our standards discussion more complicated than it needs to be and thusfar the primary players in the supply chain are engaged in an infinite loop-like discussion about who should take the lead on implementation.
As a result, we are in the words of one of the panelists engaged in a "rolling five year" implementation. Which means don't hold your breath - more later.
Friday, June 01, 2007
IPhone: The best IPOD we have ever made
Walt Mosberg interviews Steve Jobs about the Apple business - well worth watching.
"we are in three businesses and a hobby" Apple MAC and iTunes Music business generate $10billion each and the third business they are about to get into is the phone business (he calls it "handsets") and the hobby is Apple TV.
Where is the MAC business? Growth is about 3x the market growth rate and greater if US is stripped out.
Jobs: IPhone is the best IPod we have ever made. Available on the last day in June.
Reason 2 cingular did the deal: Existing Phones are not capabile of taking advantage of 3G phones particularly in how users access the interent. They get the 'baby internet'
Zillions of independents are looking to offer DRM free music: many more by end of year.
Mosberg asks about 'lock-in': Jobs notes that less than 25 songs on average IPOD were purchased via Itunes store. Given average user has hundreds of songs on their IPOD. Clearly not getting the majority of their music from Itunes and not even getting a medium sized minority. Suggestion "we have a lock in is ridiculous." "IPOD wins because it is the best music player".
Mosberg: is the IPhone a wireless Ipod? Jobs: It is three things, the best Ipod ever made, the best (and incredibly good) phone and "the internet in your pocket" If it were any one of the three it would be sucessful.
Itunes software versus number of IPODs: 300mm + copies of Itunes versus 100mm Ipods. Makes Apple one of the largest windows developers. Jobs: "we get cards and letters from people that say we are their favorite app on windows," and "Its like giving a glass of ice water to somebody in hell."
Link via Paid Content.
"we are in three businesses and a hobby" Apple MAC and iTunes Music business generate $10billion each and the third business they are about to get into is the phone business (he calls it "handsets") and the hobby is Apple TV.
Where is the MAC business? Growth is about 3x the market growth rate and greater if US is stripped out.
Jobs: IPhone is the best IPod we have ever made. Available on the last day in June.
Reason 2 cingular did the deal: Existing Phones are not capabile of taking advantage of 3G phones particularly in how users access the interent. They get the 'baby internet'
Zillions of independents are looking to offer DRM free music: many more by end of year.
Mosberg asks about 'lock-in': Jobs notes that less than 25 songs on average IPOD were purchased via Itunes store. Given average user has hundreds of songs on their IPOD. Clearly not getting the majority of their music from Itunes and not even getting a medium sized minority. Suggestion "we have a lock in is ridiculous." "IPOD wins because it is the best music player".
Mosberg: is the IPhone a wireless Ipod? Jobs: It is three things, the best Ipod ever made, the best (and incredibly good) phone and "the internet in your pocket" If it were any one of the three it would be sucessful.
Itunes software versus number of IPODs: 300mm + copies of Itunes versus 100mm Ipods. Makes Apple one of the largest windows developers. Jobs: "we get cards and letters from people that say we are their favorite app on windows," and "Its like giving a glass of ice water to somebody in hell."
Link via Paid Content.
BookExpo Quotes: Friday
Amazon Digital:
4mm orders in one day - during Christmas season
42mm unique visitors each month
67mm active accounts
1 in 2 Books sold is in the Search Inside the Book Program: "Browsing pages sells more books"
Incremental sales up lift is 6.5%
Amazon allows consumers that "the know have a propensity to buy based on their account details to delve deeper into the content and gain more access to content"
Generally an very interesting presentation of the completeness of Amazon's digital marketing and promotions support for publishers.
Overheard in the isle: "this book is a combination of Catch 22 and Patrick O'Brien"
4mm orders in one day - during Christmas season
42mm unique visitors each month
67mm active accounts
1 in 2 Books sold is in the Search Inside the Book Program: "Browsing pages sells more books"
Incremental sales up lift is 6.5%
Amazon allows consumers that "the know have a propensity to buy based on their account details to delve deeper into the content and gain more access to content"
Generally an very interesting presentation of the completeness of Amazon's digital marketing and promotions support for publishers.
Overheard in the isle: "this book is a combination of Catch 22 and Patrick O'Brien"
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