Vanishing Bookstores a Painful Blow for Publishing Industry; Over One-Third of Publishing Companies Operating at Loss

By Takafumi Masaki and Chihiro Kosugi / Yomiuri Shimbun Staff Writers

2:00 JST, February 8, 2025

Mounting concerns over the impact of the declining number of brick-and-mortar bookstores on the publishing industry as a whole, including publishers and distributors, inspired a joint proposal by The Yomiuri Shimbun and publishing company Kodansha Ltd. to breathe new life into them.

Bookstores are important cultural centers in their community, and unless measures are taken to support them, people could become deprived of opportunities to frequently come into contact with books.

Across Japan, bookstores have been closing their doors in recent years. Misae Oguri, who regularly reads and submits comments to the Yomiuri’s Honyomiurido book section printed every Sunday, has seen this decline firsthand.

“There used to be unique bookstores by the train station and elsewhere, but they’ve closed down,” said Oguri, 63, of Tateyama, Chiba Prefecture. “Now I shop at chain bookstores and stores in shopping malls.”

Soaring rents and personnel costs have been among the factors behind the demise of bookstores even in urban areas. In September, the Bunrokudo Waseda bookstore near Waseda University in Tokyo permanently closed. A 35-year-old man who had often visited the store and its predecessor since he was a student was saddened by its closure. “It was pretty cramped, but it had a great selection of academic books. It’s sad that this student town has lost this bookstore,” the man said.

Many publishers running at a loss

The falling number of bookstores is directly linked to the worsening financial situation of publishers, due to the decline in book sales. According to the Research Institute for Publications, the size of the market for publications, including print and electronic material, for 2024 fell 1.5% from the previous year to ¥1.572 trillion. The market has shrunk for three consecutive years. For print publications alone, the 2024 figure dropped 5.2% to ¥1.006 trillion.

Despite these financial difficulties, the Hen na ie (The strange house) series by horror writer Uketsu and others have been hot sellers.

“Although there are signs of a rebound in sales of books such as literary works at bookstores, many have closed down and the overall declining trend has continued,” according to an analysis by the institute.

According to corporate credit research company Teikoku Databank, Ltd., 38 publishers closed temporarily or went out of business in 2024, and 24 went bankrupt. An analysis of the fiscal 2023 financial results for 675 publishing companies revealed that 247, more than one-third, were in the red. In addition, 66.1% — a record-high — reported that their financial situation had deteriorated from the previous business year, such as through a fall in profits.

“Publishers are facing rising costs for printing paper, ink, personnel expenses, shipping and other factors,” according to Teikoku Databank. “The declining number of books sold in-store is adding to these difficulties.”

The Economy, Trade and Industry Ministry established a project team in March 2024 for bookstore promotion under the direct supervision of the ministry’s head. The team released comments on Jan. 29 that had been submitted by individuals, bookstores and others on the issue of supporting and reviving bookstores. A total of 409 opinions were submitted, including suggestions for greater collaboration between bookstores and libraries and calls for fees for cashless payments to be lowered.

Passionate people desperately wanted

Injecting fresh life into bookstores will hinge on improving the business environment for these stores, and on bringing people passionate about books into the bookstore industry.

Author Yoshio Takahata is set to open book cafe called Kobikitei (Fox’s bower) in Tachikawa, Tokyo, on Saturday. Takahata studied fairies depicted in folk tales while he was in Ireland and has created a shop that reflects a world that fascinates him. The cafe will feature antiques and about 3,000 books, both old and new. Takahata purchased the books through the Honyal book delivery method that major wholesaler Tohan Corp. developed for smaller bookstore operators.

“I hope people will become interested in the world of folk tales and fairies through my shop,” Takahata, 50, said. “Focusing on a specific field and having a limited number of books are traits of independent bookstores.”

Senshu University Prof. Yashio Uemura, an expert on the publishing field, suggested bookstores do more to ensure they stay around.

“These stores can’t be places that only sell books. The environment surrounding books is changing in this Internet age, so bookstores should come up with ways to change themselves, too,” Uemura said. “I think the government should support those efforts.”