eBook Industry in S.Korea
Team8 Gaee | Jihee | Jaehoon
2nd Trimester | Internet Business Professional Engagement Project
Contents
1.  Domestic eBook market situation 2. eBook failed in Korea 3. Business Opportunity and threats 4.
Solutions
Domestic eBook Market
The domestic market Stagnation o In 1999, Booktopia came out
o With many problems, the company broke down o → Stagnation for a decade o Sales of e-book is going up in online market
Domestic eBook market
The domestic market Growing market magnitude, Fluctuation of growth rate over 6 years
Foreign market
Domestic market
Domestic eBook market
The domestic market Market share ratio by genre and customer age group
Domestic eBook market
Value Chain Value chain comparison with existing publishing players
Domestic eBook market
Failure of eBook in the past Why did eBook fail? ü Lack of contents ü Legal battles for fixed book prices ü Difficult to sell devices due to stiff market ü Reduce investment after falling of BookTopia ü Fail to release new model ü Low demand in B2B market ü Lack of active participation with publisher
Domestic eBook market
Business Opportunity Analysis
Opportunities Growth of Domestic eBook Market 1. Increasing number of mobile device users Number of users 4000 3500 3000 2500 2000 1500 1000 500 0 2010
2011 Smartphone
2012 Tablet PC
Business Opportunity Analysis
Opportunities Growth of Domestic eBook Market 2. Increasing number of eBook contents Year
2004
2005
2006
2007
2008
2009
2010
Number
31,194
3,281
45,029
6,987
246,882
2,034,961
360,840
Korea Electronic Publishing Association, 2010
3. Diversification of E-Book Contents ü SF ü Literature ü Novel
Comics
4. Support from Government 60 billion won, during 5 years (MCST) 2,228 billion won for eTextbook, 2015 (MOE)
Business Opportunity Analysis
Problems in eBook market On the process of paradigm shift Problems in Transitional period
• Cannibalization of paper book • Cost of E-Book and paper book • No standard E-Book technology ePub from IDPF (International Digital Publishing Forum) DRM (Digital Rights Management) related problems
Customer’s inconvenience
Business Opportunity Analysis
Problems in eBook market Too many, varied eBook apps
Business Opportunity Analysis
Proposal For the Breakthrough in eBook market
Proposal No.1
Activating Multimedia based eBook o Increased accessibility through various devices o More than reading ,
Listening, watching and feeling
Kids’ Book
Cook Book
News
& Magazines
Story books
Proposal For the Breakthrough
Proposal No.2
Integrated platform, Necessity of eBook agency o  Scattered contents, bad UI o  Difference from the conventional chain Contents creation Contents Packaging Print & Distribution Wholesaler Retailer Purchase & Delivery
Proposal For the Breakthrough
Proposal
Publishing
Contents provider
Publishing & Revising
Data Rights
Management
Distribution
Distribution eBookreader devices Channels
Sales
Proposal For the Breakthrough
Proposal No.2
Integrated platform, Necessity of eBook agency
Proposal For the Breakthrough
Proposal o Benchmarking : ISSUU.COM
ü Social Curation ü UI design with high usability ü Customizable book stacks
o Fruitfulness of Contents : Crowd sourcing ü Individual writers who needs literary career
Proposal For the Breakthrough
Problems in eBook market No.2
Integrated platform, Necessity of eBook agency o Further considerations ü The importance of unified DRM|Data Rights Management Developing universal file format
ü Sustainable profit structure Adequate pricing / payment system from the end users Efficient contract strategy with existing publishing companies
Proposal For the Breakthrough
eBook Industry in S.Korea Text and design copyright â“’2013 InternetBusiness Limited
First published in 2013 by Team8, 2nd Trimester Internet Business course UNIST, Banyeon-li, Eunyang-eup, Ulju-gun, Ulsan metropolitan city
This book is sold subject to the condition that it shall not, by way of trade or otherwise, be lent, resold, hired out or otherwise circulated without the publishers prior written consent in any form of cover or binding other than that in which it is published and without a similar condition including this condition, being imposed upon the subsequent purchaser.
All rights reserved.
SID 20101611| 20101677 | 20111302
Publishing Manager : Gaee Kim Domestic Market Specialist : Jihee Shim Market analyst : Jaehoon Song Production: Gwangwook Kang
Thank you
Course price : invaluable