Incentives? Or Shmears? A Window Into Bookselling's Heart of Darkness

Adam Pennenberg, writing for Fast Company, has discovered that books don't find their way to the front of bookstores by themselves. Someone puts them there, and that's because money has crossed hands. "The practice is known as Co-op," Pennenberg writes in Bookstore Baksheesh: The Real Estate Deals That Sell Books,"and each book on each table costs publishers anywhere from $3,000 to $30,000, and even up to $50,000 depending on placement. The closer a table is to the front of the store, the more expensive the real estate."

Pennenberg's depiction of the seamy side of bookselling will come as a revelation to newcomers to the book industry, and some of you will feel the same poignant disillusionment as the discovery that it was mommy and daddy who slipped the dollar under your pillow to compensate you for that tooth that fell out.

For older timers, however, Pennenberg's article is just an update of an age-old practice that reveals the ugly underbelly of our glamorous book business. More than ten years ago I wrote about it in a piece called Incentives? Or Shmears? For those of you who understand a shmear to be helping of cream cheese spread on a bagel, it also has a second connotation in the Yiddish lexicon, namely, a bribe or payoff. "It is somewhat disconcerting," I said, "to learn that such elegant phrases as 'sales incentives,' 'slotting allowances,' 'co-op contributions,' and 'display fees' may be euphemisms for something more akin to what was done in the garment business than to the way ladies and gentlemen conduct business upstairs in Editorial.

"Bismarck said that it is unwise to look too closely into the way we make our laws or our sausages. You may be able think of some other things that don't bear up too well under intense scrutiny. High on my list is what publishers, particularly mass-market paperback publishers, have to do these days to get their merchandise displayed in and promoted by bookstores. It might be described as publishing's dirty little secret, except that it's not so little. In fact, it's become so pervasive that it touches everybody in publishing."

If you'd like to descend into the sewer system that runs beneath your local chain bookstore, click here.

Richard Curtis