Barnes & Noble is killing itself

I’ve been chronicling the slow demise of B&N for years now, watching the company bleed out, drop by drop, until it has become a shell of its former value. B&N was a cultural center in places without cultural centers. It was a stopover on rainy days in New York, Chicago, and Cleveland and it was a place you could go to get your kids’ first books.

That’s mostly over now. On Monday the company laid off 1,800 people. This offered a cost savings of $40 million. But that’s particularly interesting. That means each of those people made an average of $22,000 or so per year and minimum wage workers – hourly folks who are usually hit hardest during post-holiday downturns – would be making $15,000. In fact, what B&N did was fire all full time employees at 781 stores. From a former employee:

On Monday morning, every single Barnes & Noble location told their full-time employees to pack up and leave. The eliminated positions were as follows: the head cashiers (those are the people responsible for handling the money), the receiving managers (the people responsible for bringing in product and making sure it goes where it should), the digital leads (the people responsible for solving Nook problems), the newsstand leads (the people responsible for distributing the magazines), and the bargain leads (the people responsible for keeping up the massive discount sections). A few of the larger stores were able to spare their head cashiers and their receiving managers, but not many.

Further, the company laid off many shipping receivers around the holidays, resulting in bare shelves and a customer escape to Amazon. In December 2017, usually B&N’s key month, sales dropped 6 percent to $953 million. Online sales fell 4.5 percent.

It is important to note that when other big-box retailers, namely Circuit City, went the route of firing all highly paid employees and bringing in minimum wage cashiers, stockers, and salespeople it signaled the beginning of the end.

Streamlining a bookstore may work in theory but in practice, a bookstore is far more than a depot for printed matter. It is a play place, a cafe, and a browsing spot. Small booksellers know this and they make their spaces interesting and welcoming.

A Barnes & Noble without a guy in a pirate suit reading stories is a Wal-Mart without the added benefit of selling more than just media. We assume that the people who dedicated their lives to selling books at B&N weren’t there for the money but instead worked there for the love of books. Now they’ve lost those people forever.

Comments

eGym raises $45M Series C for cloud-connected gym equipment and fitness software

eGym , the Munich-based startup that offers cloud-connected gym equipment and supporting cloud software and app for the fitness training floor, has closed $45 million in Series C funding. The round was led by new investor HPE Growth Capital, while existing investors, including Highland Europe, also participated. The problem that eGym is looking to solve is that, whilst gyms have moved from a bodybuilder market to a mass market in the last 20 years, the technology in gyms lags behind. That’s despite the fact that better use of technology can help to reduce customer churn, the biggest pain-point of both gym operator and gym users. Comprising of an app for both gym user and trainer, combined with the company’s connected strength machines, the eGym Cloud makes it possible for gym members to receive better fitness instruction and an evolving and personalised fitness plan based on data collected as they workout. And by providing a better workout feedback loop, gym goers can get an i...

Building a smarter home

The Jetsons presented a highly entertaining vision of what homes of the future would look like . The animated television show anticipated a world where humans would be able to do everything with just the push of a button. In many ways, the show turned out to be prophetic; today we have printable food, video chats, smartwatches and robots that help with housework — and flying cars may even be on the way. The challenge for companies is to integrate digital technologies in meaningful ways that enhance people’s homes and improve their lives. Many of the innovations to emerge over the past few years have been geared toward this kind of “push-button living.” Thanks to the rise of smartphones and the proliferation of cheap sensors, it is possible to make just about any household appliance “smart” and “connected.” By 2019, companies are expected to ship 1.9 billion connected home devices, bringing in about $490 billion in revenue. ...

Airbnb will open its Cuba listings to users outside the United States

Airbnb will now let travelers from outside the U.S. to book properties in Cuba after receiving authorization from the U.S. government, reports the Associated Press . Previously, only Americans were allowed to reserve the site’s Cuban listings . They will open to international users on April 2. Airbnb launched its Cuban operations in April 2014 , four months after the Obama administration revealed that it will begin to restore diplomatic relations with the Communist country . The historic policy change means that travel and trade sanctions will be lifted , which is expected to boost tourism to Cuba dramatically because Americans no longer need licenses to visit. In fact, President Obama is currently on an official visit to Cuba , the first president since Calvin Coolidge to do so. According to the AP, Cuba is currently Airbnb’s fastest-growing market, with about 4,000 homes added since it opened listings. Other travel businesses...

Careless USB removal causes multiple deaths

EIGHTEEN workers have died after a USB stick was removed from a computer without adequate precautions. The offices of Hereford-based Envision Photography were completely destroyed in the ensuing blast. Survivor Norman Steele said: “My colleague Helen had put some files on the stick to work on at home, and she yanked it out of the computer before anyone could scream ‘no’. “I kicked her aside as a jet of white-hot flame belched out of the USB port and set fire to the desk opposite. “Grabbing her, I dived through the window just before all the PCs in the network exploded with purple electricity that fried everyone in the building. “I sprinted to my car, knowing that the printers were already becoming merciless hunter-killer drones, shouting for Helen to follow. “But when I looked round I saw her frozen, something glowing in her hand, the awareness dawning of her fate. She was still holding the USB. “She detonated in a flash of ultraviolet light that turned eve...

Oculus’ New $99 Samsung Gear VR Makes Serious Virtual Reality Affordable

At half the price of its last mobile VR headset, the new $99 Oculus-made Samsung Gear VR is cheap enough to unlock virtual reality for the mainstream. Revealed today at the Oculus Connect conference, it works with the whole 2015 line of Samsung Smartphones including the Note 5, S6, S6 Edge, and S6 Edge+. It will ship in November in time for Black Friday. Compared to the $199 previous Gear VRs that only worked with fewer phones, this headset will be a lot more accessible. The new Gear VR is 22% lighter, making it more comfortable to wear. The trackpad on the temple of the headset also now has a tactile directional pad on it so your finger will know where it’s touching. The previous Gear VRs had a smooth trackpad and sometimes it was to tough to know if you were touching it or just the unsensitive shell of the headset when you couldn’t see for yourself. There’s also a new Gear VR Gamepad which all the Oculus Connect conference attendees will get for free. It features an...

Exciting Technology

Search This Blog