The Complex World of Library eBooks

If you’ve requested an eBook from a public library in recent months, you may have noticed longer wait times. The main reasons libraries are struggling to order enough titles and/or copies of popular eBooks to meet customer demand involves price, licensing restrictions, and budget. When it comes to eMaterials (eBooks, eAudiobooks, etc.), things can get complicated for libraries for many reasons. In this blog post, we’re going to focus on eBooks and eAudiobooks, which will be referred to as eBooks for simplicity.

eBook prices

Let’s start with the price. The average consumer may assume the eBook price they see advertised online is the same for libraries. Unfortunately, this is simply not the case. For example, some titles have a very expensive digital licensing price for libraries, which may be as much as 3-10 times more than what they pay for the physical book or what consumers pay for the eBook.

Publishers charge libraries much higher prices than consumers due to fear that lower prices for libraries and unlimited access would damage sales. Unfortunately, there are no laws restricting what publishers are allowed to charge libraries for eBooks at this time.

In recent years, some of the big five publishers have continued to increase their eBook prices quite a bit for both new and older titles for libraries. A few years ago, the average price was fifty dollars or lower, now the average price for popular titles has doubled or even tripled in some cases.

E-Book Pricing: A Crisis for Public Libraries – Urban Libraries Council

Why is knowledge getting so expensive? – TEDxPSU

Licensing restrictions

Now let’s talk about licensing versus ownership. When consumers and libraries purchase eBooks, they are technically purchasing a license to access that eBook. Believe it or not, long-term access to that eBook is not guaranteed.

The eBook licenses currently available to libraries include perpetual access (one copy, one user, license does not expire), metered access (expires after a set number of checkouts or time frame), simultaneous use (multiple copies check out at once, expires after a set number of checkouts), CPC (cost per circ), or subscription (unlimited access, expires after one year). Publishers, not libraries, set the licensing terms available, which can be expensive and restrictive. This is the reason for long wait times for popular eBooks. In many cases, libraries need to buy multiple copies to keep up with demand since each license purchased may restrict use to one user at a time (depending on the license available).

When it comes to traditional hardbound books, libraries own the copies they purchase and may be able to circulate copies for years. Sure, replacements are needed from time to time, but libraries don’t have to give all of the books back after only one or two years after they purchase them.

Some people working in the library world feel that as long as libraries continue to pay the increasingly exorbitant prices then publishers will simply keep raising them. Publishers raise prices to increase profits and restrict access to encourage consumers to buy more eBooks and not check them out from the library. After all, if consumers had unlimited access to eBooks from libraries, would they purchase them on their own? Maybe or maybe not – that is really hard to know for sure.

Libraries Need More Freedom to Distribute Digital Books – The Atlantic

Inside libraries’ battle for better e-book access – Axios

E-Book Contracts are a Big Cost for Public Libraries. One Harvard Librarian is Fighting to Change That – The Harvard Crimson

Current state of eBooks in libraries

In recent years, some of the top publishers have moved away from what’s known as perpetual access (copies that do not expire) and may only offer metered access for many titles, which again, expire after a certain number of checkouts or length of time. The need to replace expiring eBooks so often, sooner than traditional print books, makes balancing the budget really complicated for libraries that are publicly funded. If the prices were reasonable for all eBooks, that would be one thing, but in many cases the costs of eBooks far exceed the price of the physical book. Many believe the prices libraries are paying for eBooks are simply out of control.

Basically, the current state of the eBook industry is unsustainable for libraries. The current restrictive, and costly licensing models work against the mission of most libraries to provide equitable access to library materials in a variety of formats.

Selector considerations

Library eBook selectors must consider prices, customer demand, and new requests. When selecting new or older materials, the number one factor is price and licensing terms. For example, a title that has a license that will eventually expire (metered access), but costs way more than the print book may require careful consideration.

For new materials, selectors must factor in how many copies will be needed to meet customer demand, which is incredibly hard to predict. After all, libraries typically do not just purchase one or two copies of popular titles and often need to add more copies of eBooks to meet customer demand. This also impacts a selector’s ability to purchase non bestseller titles (that are equally important).

Due to expiring licenses, selectors need to consider long-term demand for eBooks. So, if an eBook has low use over the life of the license, the license may not be renewed. After all, selectors need to leave room in the budget to meet demand for newer materials.

Finally, selectors must consider the impact of not having the titles customers are asking for in their preferred formats. Unfortunately, due to the current licensing models available to libraries, and continuing price hikes, purchasing enough titles in digital formats has become challenging.

Public library budgets

Public libraries are working with limited budgets, which are set every few years when the state budget is finalized and/or when local levies are passed. So, when prices continue to rise exponentially, and the amount of money in the budget is tight, tough decisions need to be made.

Libraries must be very cognizant of using public funds responsibly. Sometimes this means choosing not to purchase or re-purchase a digital license that has a much higher price point or in some cases purchasing less copies (even for popular titles).

So, while libraries may really want to provide equitable access to a variety of materials in multiple formats, with enough copies to meet demand, it is not always possible considering their limited funds. After all, in recent years, libraries have seen their budgets shrinking, inflation growing, and licenses shift from perpetual access (never expire) to metered access (expires after a set number of checkouts or after a year or two).

Libraries are feeling the cost burden of e-book popularity – The Week

Behind E-Books, Libraries Find Restrictions and High Costs – Government Technology

The fight for eBook access and fair pricing

In recent years, libraries and library advocates like the American Library Association have been talking to lawmakers to discuss some of the challenges they have faced with rising eBook prices and restrictive licensing terms. Thankfully, lawmakers in many states have started to join libraries in the fight to push back against what some consider unfair practices.

Recent litigation has accused Amazon and the Big Five publishers (Hachette, HarperCollins, Macmillan, Penguin Random House, and Simon & Schuster) of inflating eBook prices and/or price fixing. Of course, this is incredibly hard to prove, and some cases have been thrown out, but libraries and library advocates are continuing to fight the good fight.

Amazon, Big Five E-Book Price Fixing Suit Is Revived – Publisher’s Weekly

Libraries can’t afford the high cost of eBooks. D.C. lawmakers want to fight back – The 51st

E-books are expensive for libraries. Some states are trying to change that – NPR

Libraries pay 5 times more for eBooks than consumers. N.J. Lawmakers want to change that – Philly Voice