Some college bookstores are already putting this plan into action, and Better World Books CEO, David Murphy, is calling the commercial version “taking a Netflix approach to the book market.” Websites like Chegg.com are already capitalizing on the idea of renting out textbooks to students. According to students, renting saves them a significant amount of money and, if they like what they read, they have the option to buy. So how does it work? You choose your book, they ship it out, you read it, then use their pre-paid shipping label to send it back.

While textbook renting has been a staple at Missouri Southern State University since 1967, the concept is still fairly new and untested in the mainstream. Its success, though, will push companies towards the idea of renting in the trade book industry. As usual, there are two sides to every story. Some like the ease of having books delivered to your door and having no deadline for returns. It could also open the possibility of people reading more books. If they don’t have to buy a book to see if they like it, they may take more risks in their reading. Others, though, grapple with the effect such a concept could have on library services and on author royalties. The question is asked: Who gets the money that Chegg and similar companies are making from these books?

Views from an Industry Insider:

Recently there has been talk about a creation of book rental services, something akin to Netflix, surfacing in the book world. Programs for college textbooks are being developed and talk of going commercial has surfaced. How could this concept affect books sales and publishing?

The one benefit to this approach is the reduction in costs. Books simply cost too much. This is one of the primary flaws of today’s publishing arena. It’s a lesson music companies finally learned when CD sales topped out above $20 each. Now the price of most CDs has fallen to less than that. Books need to follow suit. Until the industry fixes the wide-ranging flaws that in part are driving its high prices (such as allowing returns of unsold books), the Netflix approach might be one way to address this problem.

How will the marketing of a book change if these services come about? Will it be more difficult to get a book out there or simply different?

The Netflix approach will have the exact same benefits and obstacles as current marketing methods. They will have a limited number of slots in their catalogues for marketing new books, which obviously will go to popular, established authors or new authors for whom publishers are willing to go the distance. Make no mistake…publishers are primarily responsible for who survives in the market and who doesn’t. The lack of marketing they offer most individuals practically guarantees failure for many new authors. This approach will be one more venue but not substantially different.

How might the idea of profits change in a book rental world compared to a book-buying world?

The idea of different profits is interesting. By eliminating the need for book returns from the supplier, this system does have the ability to increase demand for books by getting the books into readers’ hands without the risk of paying full retail price. However, it will work primarily by driving sales through traditional houses. Most book readers want to own copies of the works they enjoy most.

Questions for you to consider:

Would you consider renting a book that you wouldn’t consider buying?

How do you market a book to a potential renter as compared to a potential buyer?