Comments | How to avoid the dilemma of "cheap grain hurts farmers and expensive grain hurts people" when publishing houses boycott the 618 promotion

Comments | How to avoid the dilemma of "cheap grain hurts farmers and expensive grain hurts people" when publishing houses boycott the 618 promotion
16:34, May 22, 2024 Red Star News

Let's take this dispute as an opportunity to let publishers and e-commerce platforms sit at the negotiating table and talk about it fairly and rationally

It is reported that recently, two "joint statement notification letters" from the publishing industry attracted attention, and 56 publishing houses boycotted JD 618 book promotion. Among them, 10 publishing houses in Beijing and the Shanghai Publishing House Management Association, on behalf of 46 publishing units in Shanghai, declared that they would not participate in the 618 promotion plan proposed by Jiangsu Yuanzhou E-commerce Company (a related company of Jingdong), and would not bear any rebate expenses incurred during the activity. This will open up the long-standing price contradiction between publishing houses and e-commerce platforms to the world.

On the evening of May 21, Wei Chao, a JD book purchasing and marketing employee, responded in the circle of friends, "I just want to sell cheaper books to better benefit consumers; I just want to expand sales through small profits and quick sales to create profits for partners.". There are many misunderstandings and grievances between the words.

 ↑ Screenshot of Joint Statement Notification Letter ↑ Screenshot of Joint Statement Notification Letter

According to the public report, the 618 promotion plan requires that all kinds of books should be included in the promotion activity for 8 days from May 19 to June 20 with a discount of 2-3%. Some relevant personage of the publishing house said frankly that the discount was so low that the publishing house had already "sold books at a loss", and the platform party also required all kinds of books to participate in the promotion this time, which was "a great pressure" for the publishing house.

There is no doubt that books need a certain profit space. As a cultural industry, it needs positive income to ensure the survival of employees, ensure the sustainable output of high-quality content, and also encourage the publishing industry to publish better works. However, with the rise of e-commerce platforms and the formation of channel advantages, to some extent, it has formed a situation where publishers are constrained by e-commerce platforms. Some publishers are forced to participate in low price activities and "lose money and earn money". Although at first glance, consumers can benefit from it, in fact, it has a meaning of "low grain hurts farmers".

A friend of mine who runs a bookstore has basically stopped buying from the publishing channel. Instead, he will buy at a low price and sell at a higher price to make a profit when e-commerce makes a big push. This kind of dramatic way also reflects the deformity of the current book market. Now, the boycott of 56 publishing houses against JD 618 is also an outbreak of long-standing contradictions under this market model.

However, it is an indisputable fact that the current book pricing has become increasingly high, starting at 50 or 60 yuan, and even more, climbing to more than 100 yuan. Some people explained that this was because the e-commerce companies wanted to discount when they pushed hard, so the publishing houses often pushed back the book price according to the discount price, so that they could maintain a certain profit after the discount. This undoubtedly constitutes a vicious circle - publishing houses are pricing higher and higher, and platform promotion discounts are lower and lower. It is no wonder that consumers are annoyed, "they dare not buy without promotion". Just as cheap grain hurts farmers, on the other hand, expensive grain hurts people.

On this issue, some people moved out of the "book price protection mechanism" abroad and thought that discounts or the same price online and offline should be limited. However, different countries have different situations, and we cannot simply copy mechanically. In my opinion, we might as well take this dispute as an opportunity to let the publishing house and e-commerce platform sit at the negotiating table and have a fair and rational talk. The pricing should be set within a reasonable range, and the discount should also retain appropriate profits for the publisher. In promotional activities, businesses should also have the right to participate or not to participate. What categories of books can be discounted but not discounted, and how much can be discounted? These should also be the independent scope of businesses. Consumers will naturally decide whether to buy according to their own needs and price comparison.

In the final analysis, the "one size fits all" set of mandatory discounts to meet the platform's slogan of promoting books may actually be a cry to kill the goose that lays the golden egg. Only by allowing the book market to enter a benign and reasonable track can consumers and the cultural industry really benefit from it.

Yu Feng, Special Commentator of Red Star News

Edited by Wang Yintao

Red Star Comment Submission Email: hxpl2020@qq.com

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