Reshaping the Book Industry or Back to Basics? (B) The Case of France Loisirs

Published 18 Dec 2002
Reference 5075
Topic Strategy
Industry Retail Media Production
Region Europe
Length 6 page(s)
Summary

The Bertelsmann-owned French book club, France Loisirs, has successfully operated a subscription-based business model delivering a remarkably high profit margin. Considering rising economic pressure and a declining member base, the case introduces the club's basic business principles and summarizes strategic options for sustainability and further growth from a top management perspective.

Teaching objectives

The teaching objectives include: (1) understanding subscription-based business rules and their pros and cons, (2) recognizing profit optimisation options in a hybrid mail-order and shop business model, and (3) defining and formulating strategies to bolster and sustain mid-range growth and profits for a profitable, but seemingly old-fashioned business model.

Keywords
  • Strategy
  • Media
  • Business model
  • Commitment business
  • Retailing
  • Management
  • Industry and business analysis
  • Customer service
  • Marc Oliver Sommer