Books, Music and Video Retailing - Netherlands
About this report
 
About the market…
 
This report is essentially three reports in one as it covers three distinct markets, namely, book, music and video retailing. The three product categories are often grouped together under the heading of “cultural goods” and while the three sectors have enjoyed varying degrees of success over the last five years, the products share certain similarities that justify our decision to include them in one report title.
 
 
This category as a whole showed growth of 8.5% between 1999 and 2003, within this, books showed steady growth of 13.4%, whereas picture and sound recording media (music and video) performed sluggishly overall, advancing by just 0.5% over the period. The music and video sluggishness is especially bothersome considering the overall Dutch spending growth of 19.6% over the same period. Booksellers in the Netherlands have been able to resist the encroachment of price competition, thanks to legislation which fixes prices on books for retailers for two years from the date of publication. The negative growth in the picture and sound recording media categories was impacted by both the declining VHS market (although this has been to some extent compensated for by the growth in DVDs), and the growing interest in digital music.
 
 
About Mintel’s research…
 
Pooling together the latest market analysis, Mintel's new report offers you all the insight and inspiration you need for designing clever, creative and profitable business strategies in the Dutch market. Use Mintel's research to:
 
 
Develop your sales strategies to win share of developing markets
 
 
Discover what consumers think about purchasing books, music and videos
 
 
Switch Dutch book browsers, to book buyers
 
 
Pinpoint market potential before your competitors
 
 
Find out how to best reach key audiences with the most effective marketing communications
 
 
Track the sales performance and trading strengths and weaknesses of the market’s leading retailers
 
 
Measure market forecasts and build realistic business models
 
 
Intriguing findings include…
 
Internet shopping outperforms all other sectors in Dutch retailing, registering growth of 32% in 2003
 
 
In the Netherlands, the breakdown of spending on audio products falls heavily towards the male gender, in 2003, 66% of spending on music products was by men
 
 
Data for videos shows that market penetration was highest in the 30-39 age bracket in 2003, in contrast to the music market, in which the 20-29 age bracket was the most significant in terms of purchases.
 
 
Contents
 
 
Executive Summary – The Netherlands
 
 
Music market declining, books steady
 
Data on leaders scarce
 
Despite price protection…
 
Independents suffer across the board
 
Video market booms
 
Dutch economy forecast to improve
 
Report Scope
 
 
Definitions
 
Booksellers
 
Music retailers
 
Video retailers
 
Home shopping retailers
 
Technical notes
 
Financial definitions
 
Currencies
 
Figure 1: Exchange Rates: National currencies against the Euro, 2002-04
 
Country codes
 
VAT
 
Figure 2: Europe: Standard VAT rates, 2004
 
Other abbreviations
 
Background Data – The Netherlands
 
Population
 
Figure 3: The Netherlands: Population trends, 1999-2004
 
Figure 4: The Netherlands: Population, by age group, 2004
 
Figure 5: The Netherlands: Households, January 2003 (a)
 
Figure 6: The Netherlands: Major regions and cities, 2003
 
Economy
 
Figure 7: The Netherlands: Gross domestic product, 1995-2003
 
Figure 8: The Netherlands: Consumer prices, 1998-2003
 
Figure 9: The Netherlands: Consumer expenditure, 1995-2003
 
Figure 10: The Netherlands: Detailed breakdown of consumer expenditure, 1999-2003
 
The Dutch Book, Music and Video Market
 
Market value and trends
 
Figure 11: Netherlands: Consumer spending on books, music and video, 1999-2003
 
Figure 12: Netherlands: Share of market by format, 2003
 
Product breakdown
 
Books
 
Music
 
Figure 13: Netherlands: Music market performance, 1999-2004
 
Figure 14: Netherlands: Breakdown of music sales by format, 1999-2004
 
Figure 15: Netherlands: Music sales, by age group, 1999-2003
 
Video
 
Figure 16: Netherlands: Video sales by format, 1999-2004
 
Figure 17: Netherlands: spending on video products, including rental, 1999-2004
 
Figure 18: Netherlands: Video sales by age group and format, 2003
 
Retail prices
 
Figure 19: Netherlands: Consumer price inflation, 1999-2004
 
Channels of distribution
 
Books
 
Figure 20: Netherlands: Channels of distribution for books, 2003
 
Music
 
Figure 21: Netherlands: Channels of distribution for music market, 2003
 
Video
 
Figure 22: Netherlands: Channels of distribution of dvd format, 2003
 
Figure 23: Netherlands: Channels of distribution of VHS format, 2003
 
Book specialists
 
Music specialists
 
Department stores
 
Electrical retailers
 
Home shopping
 
Internet
 
Other
 
Book, music and video retailers
 
Sales values and trends
 
Figure 24: Netherlands: Retail sales, 1999-2003
 
Enterprise and outlet data
 
Figure 25: Netherlands: Retail enterprise data, 1999-2003
 
Figure 26: Netherlands: Retail outlet data, 1999-2003
 
Figure 27: Netherlands: Retail employment data, 1999-2003
 
Leading Players
 
 
Figure 28: Netherlands: Leading retailers, 2003/04
 
Market shares
 
Figure 29: Netherlands: Market shares of leading retailers, 2003/04
 
Music downloads
 
Figure 30: Netherlands: Leading digital music providers, 2005
 
Prospects and Forecasts
 
Figure 31: Netherlands: Retail sales forecast, 2004-09 (f)
 
Major Company Profiles
 
 
amazon.com
 
Background
 
History
 
International expansion
 
Customer focus
 
Financial data
 
Figure 32: Amazon.com: Financial performance, 2000-04
 
International division outperforms North America
 
Figure 33: Amazon.com: Sales and gross profit by segment, 2001-04
 
Figure 34: Amazon: Sales by division, 2001-04
 
Products
 
Operations and systems
 
Loyalty card
 
SWOT
 
Bertelsmann DirectGroup
 
Background
 
Financial data
 
Bertelsmann Group
 
Figure 35: Bertelsmann Group: Financial performance, 1999-2003
 
Bertelsmann DirectGroup
 
Figure 36: Bertelsmann DirectGroup: Financial performance, 2000-03
 
DirectGroup operations
 
Figure 37: Bertelsmann DirectGroup: Sales by region and business type, 2003
 
Figure 38: Bertelsmann: DirectGroup clubs and businesses, 2003
 
Europe
 
European book clubs
 
Figure 39: BCA: Leading clubs, 2003
 
US
 
Asia
 
SWOT
 
Free Record Shop
 
Figure 40: Free Record Shop: European operations, 2005
 
Background
 
Financial data
 
Figure 41: Free Record Shop: Financial performance, 1999/2000-2003/04
 
Figure 42: Free Record Shop: Estimated sales per country, 2003/04
 
Outlets
 
Figure 43: Free Record Shop: Outlet data, 1999-2005
 
E-commerce
 
Figure 44: Free Record Shop: Internet activities, March 2005
 
Products
 
SWOT
 
HMV Group
 
Market share
 
Background
 
Financial data
 
Figure 45: HMV Group: Financial performance, 2000-05
 
Outlets
 
Figure 46: HMV Group: Outlet data, 2000-04
 
Figure 47: HMV Group: International stores by country, Year to April 2004
 
E-commerce
 
Music downloads
 
Products
 
Figure 48: HMV Group: HMV UK & Ireland (a) product breakdown, 2000/01-2003/04
 
Figure 49: HMV Group: HMV UK & Ireland Estimated sales by product breakdown, 2000/01-2003/04
 
Figure 50: HMV Group: Asia Pacific & North America product breakdown, 2003-04
 
SWOT
 
Mini Company Profile
 
Rigu Sound (Music Store)
 
Background
 
Financial data
 
Outlets