Mining Network Reading proposes five stores closed by Saraiva

After the market maker closed his 20 stores, the book market transformation plant began: The Leitura bookstore, now the second largest network in the country, made proposals to try to take over the five outlets Saraiva has closed in recent weeks. Some of these units are located in São Paulo, where a mining company that is strong outside of Rio-São Paulo has a discrete presence. According to the president of the Marcus Teles reader program, it is possible that two or three of the offered offers lead to the change of Saraiva's reading flag.

In recent weeks, the state has talked with several publishers of books on the state of the industry, and executives have focused on reading as the lead candidate for offsetting the thrash part that the books market faces Sarava's problems. With a debt of $ 485 million, the leading industry is delaying payments to publishers and is trying to conclude a new deal to avoid court enforcement, a path that has already emerged from another heavy industry in São Paulo's Culture.

As well as publishers, the President of Reading says the crisis faced by a large bookstore is less associated with the product itself and more with specific corporate governance issues. According to the National Book Publishers Association (Snel), books sold expanded by 3.65% of volume and by 5.37% in value from January to October 2018 compared to the same period in 2017. The routes Teles says it wants to avoid, are a strong bet for online sales – a sector in which, as he said, margins are usually negative, and opening in "megastores."

Without opening competition, markets in capital cities, which are rarely served by bookstores – such as Teresina, João Pessoa and Porto Velho – and in inner cities such as Mogi das Cruzes (SP) with a focus on profitability. "If the trade loses more than two years, we will close it," Teles explains. One of the "victims" of this pragmatism was the unit that Reading opened on Avenida Paulista.

It is expected that the "traditions" of closing the deficit points will be maintained in 2019 when the reader plans to open seven trades – including Saraiv conversions – but is expected to close two. In this way, readings should be closed in 2019 with 75 units, which is the number of nearly 84 that Saraiva has today. After several years of decline, the entrepreneur says the network has risen again in 2018 – roughly 8% in a cumulative year – and predicts a larger increase of about 10% next year. The company does not show revenue, but the state has found that revenue is approaching R $ 480 million.


With two major rivals in a crisis, the reader intends to keep the pace of growth so that in three or four years he is the leading physical retailer in the country. To gain space, the company looks for opportunities in areas ignored by large networks. In Sao Paul there are sales outlets such as the Tietê and Barra Funda road terminals. The goal is to keep rental spending under control, with stores ranging from 300 to 500 square meters.

While conducting physical retail sales of books, Teles says he is not interested in the same step in e-commerce. Leaving the sale of websites from 2014 – after the end of the 16-year operation – prepares to return to virtual media for 2019, but without much ambition. The President of Reading intends to take advantage of what he already has, using physical outlets as distribution centers. Information comes from newspapers State S. Paulo.

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