What increasing demand for ebooks is costing libraries

Megan Raposa -

Simplified: More people than ever are taking advantage of digital resources from Siouxland Libraries, including ebooks and audiobooks. That means higher costs and a delicate balancing act for the library system's budget.

Why it matters

  • The amount of digital materials – books, music, magazines, audiobooks and more – checked out by Siouxland Libraries users increased by 40% so far this year compared to the same time last year, according to data shared by Director Jodi Fick.
  • That's adding up to a significant financial impact, Fick said, especially because digital licensing fees are often more expensive than physical books. In some cases, the library pays a $2 fee for every use of a digital resource. In others, the cost per use can be $7.50 or more.
  • Meanwhile, the library is also seeing a 5% increase in in-person visits to the library as well as use of physical library materials.
  • The takeaway shouldn't be to stop using digital library resources, though, Fick said. Rather, the hope is that if you're going to check out an ebook, read it and be mindful of others who might be waiting for the same book – just like you would for a physical book.
"This is a resource that we all share," Fick said. "Don't waste it."

Why do ebooks cost more?

When the library buys a physical copy of a book, typically they get a 40% discount off of retail price.

Fick shared the example of the book "The Women" by Kristin Hannah.

There are three main options for the library to buy a digital book:

  • They can buy a license that gives access in perpetuity – but the challenge there is it's very costly, and it's hard to know how many copies will be needed and if the book will be popular for long enough to justify the added cost, Fick said.
  • The library can also lease the ebook for two years – for $60 per copy in the case of the Kristin Hannah example. The challenge with this option is that if each borrower can keep the ebook for up to three weeks, by the time two years rolls around maybe only eight people have gotten a chance to read it, making the cost-per-use about $7.50.
    • These first two options are most commonly used on the library's "Libby" app.
  • The third option – and the one that's used on the library app "Hoopla" – is a cost-per-circulation. Essentially every time a person checks out an ebook, the library pays a little fee. Right now that fee is $2.14.

The cost-per-circulation in those cases is also increasing. In 2019, it was $1.64.

"In June, we had 7,906 uses at $2.14 each," Fick said. "There went $17,000."

How can I help?

Definitely keep using ebooks and digital library resources, Fick said. She doesn't want to discourage people from using those options.

"Don't burn that $2," Fick said. "Check it out, read it, and wait until you want it to check it out."