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How did CITIC make an annual income of RMB 20 million from e―book?.doc
How did CITIC make an annual income of RMB 20 million from e―book?
Huang Yikun, editor-in-chief of the E-book Center, China CITIC Press. Since May 2013, he has been in charge of the publishing business of the China CITIC Press, when Amazon entered China’s book market later in June. In this article, he pointed out that the Chinese online book market which was considered difficult yet turns out to be profitable. The last year has witnessed many great changes.
The prospect of digital publishing is profitable
First, the actual income of the China CITIC Press last year was nearly RMB 20 million. This is a real figure.
Second, we have two management teams- the operator team and the Internet team at a rate of 7:3. However, Internet has been so important a channel that the income it has achieved this year is 10 times of the income of last year. What’s more, according to our observation, the Internet sector grows fast and stable. But we didn’t pay too much attention to its revenue as we consider it as a long term business. That’s why we’d established an independent company to run e-book business when many other domestic publishing houses were hesitating whether to establish an independent digital department.
The market witnessed great changes in the first quarter of this year, yet these changes need further observation. It should have something to do with Amazon Kindle’s entering China last year, for which the whole market has been activated.
Baidu and Taobao launch e-book business
People want to read. The market for reading is right there. In this regard, e-book has more potential as it performs better as a carrier than printed books, while we should also see that it’s valuable in increasing the flow rate. That’s why we have seen Baidu and Taobao (“China’s eBay”) have set in the e-book sector, such as Taobao, e-book sector has taken one fourth of its entire business units in the area of entertainment.
Mobile reading has become a trend in China
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