Prologue: The Email
“Dear Customer,
Matthew Caddy, Damien Pasfield and I were appointed voluntary administrators (Administrators) of Booktopia on 3 July 2024.
Booktopia’s records indicate you may be a creditor.”
If you received this email, congratulations, you are officially on Booktopia’s radar! But hold on, what’s this? Booktopia. Voluntary administration. Creditor.
You have officially come across the news that Booktopia hath collapsed.
What does this mean for the last order you submitted, whether that be a “pre-order” of a 21st century book on history recommended by a Guardian review or a “partially delivered order” of a 19th century novel by Charlotte Brontë that is not Jane Eyre?
What was once a stalwart rocky island in a seething sea of Amazon advertising — because who wants to give Jeff Bezos their money — has sunk. It was the green place where one could fulfil University reading lists, purchase a bulk order that is efficiently shipped from Australia, and quickly source books not available at other retailers. So what happens next?
Well we weren’t the only ones with this question. Honi Soit endeavoured to get to the bottom of the parcel, and asked students how they felt about the situation. Most of the students we spoke to either had “no idea” what being a creditor meant, and “had to research” what they were entitled to. Only one student out of the six we interviewed was familiar with the process.
Chapter 1: Show me the money!
The book distributor that was a staple of the Australian literary industry is sitting in $60 million of debt and has entered “voluntary administration”.
Here’s the breakdown: people external to the Booktopia leadership have been assigned the role of administrators and are to manage all assets and undertakings. In other words, they are in control of the business.
They must strategise to maximise Booktopia’s existence, and represent the interests of all “creditors”, aka all the parties that are owed money. This includes customers who are considered “unsecured creditors” as they await for Booktopia to return what they may owe them.
Unfortunately, dear reader, this is not guaranteed. But the bottom line explained at the first creditors meeting: you had to register through a link sent to your email to confirm yourself as a creditor in Booktopia’s system and contact your financial institution (your bank) to pursue a refund.
As of now, no orders are being shipped by the administrators, and around 170 000 customers have unfulfilled orders or gift cards. The next move for the administrators is due for July 31: a completed preliminary investigation, and a report advising on the future of Booktopia.
Chapter 2: Guided Reading
Yet actually retrieving the money owed is no doubt an administrative burden. One student, Katniss Everdeen, said she wouldn’t follow up a refund as “it is only a book.” “I’m disappointed to write off the money because I do need it for other things,” she said, “but there are more important things going on in my life than chasing a company, the onus should be on them.”
A general theme was frustration. Susan Pevensie said that she “might have to” secure a refund, as “this was my most expensive order from Booktopia.” “I was quite frustrated,” Susan said, as “I had to wait ages to receive it” before finding that the order wouldn’t be arriving at all.
But this frustration extended beyond simple disgruntlement at poor treatment at the hands of a corporate entity. Many of the students we interviewed expressed dismay at the failure of the company for broader reasons.
“I’ve always bought my books from Booktopia,” Susan said, as it was “easy to search and find when I’m looking for specific stuff.” She continued: “with a lot of in person retailers, especially regarding history, it’s hard to find variety in books and nuanced opinions. So online shopping for books has always been good.”
Lemuel Gulliver lamented Booktopia’s “good prices, great distribution, quick delivery and wide range,” whilst Katniss spoke to the challenges of sourcing books in regional areas without a resource like Booktopia: “Booktopia is a habit, and the range was larger than my regional town QBD [bookstore] could provide.”
For some students (including us), Booktopia represented a reliable alternative to Amazon — infamous for its dodgy employment practices and billionaire owner. “I’m so mad,” Flat Stanley said, “there’s so many books I need and Booktopia is the only place that stocks them other than Amazon.”
Chapter 3: Going Green
But there are alternatives, as raised by many students. Many identified independent bookstores as worthy of consumer support. “It might be worth now looking to local independent booksellers and second-hand stores,” Lemuel said. “Often they can source a book for you, even if they do not have it on hand, which I think a lot of people seem to forget.”
Katniss said she would “be glad to continue to buy Australian and support smaller businesses” by “pivoting and finding a good independent bookstore that is cost effective with posting.”
Alternatives included Kinokinuya, Abbeys, Gleebooks, Harry Hartog, QBD and Dymocks.
Now why did Booktopia succumb to this fate all of a sudden? Atticus Finch argued that you need “a strong niche to survive in the book market”, explaining that Booktopia attempted to position itself in “too many lanes at once”.
“Booktopia is stuck in between Amazon and independent booksellers and I think that’s why it ultimately failed,” Atticus declared in his closing statement.
Kim Possible also pointed out that Book Fair Australia, scheduled for November, has terminated its partnership with Booktopia. Who will rise to take its place? Upon browsing their website, Better Read Than Dead has been listed as the sole bookseller partner, so it’s safe to say no matter the pressure from online giants, bookstores remain on top.
Katniss reminisced that as a 10-year customer she cannot recollect how much she spent with Booktopia and that its absence “will change the landscape but our literary landscape is fairly diverse and quite strong” in that it will be able to adapt and move on.
Kobo, Booktopia’s eBook and audiobook partner, most certainly have. For those unable to access their library during this “time of change”, they have you covered:
“In case your Booktopia login does not work, please create a new account on kobo.com using the same email address you have used for your Booktopia login. This will ensure all your books are synced and transferred, and your full library will be available to you.”
Epilogue: Book Forever After?
If you have pressing enquiries and wish to address the bookkeepers, contact [email protected]. If not, we hope your orders are in book heaven, and pray that one day you will recoup the losses, page by page.
As for our final message to the Big B: goodbye old friend (2004-2024?), may our bookshelves be a testament to your existence.
Names of students have been altered to fictional characters.
UPDATE as of August 19: Booktopia will resume trading after being bought by digital electronics company Digidirect, founded and owned by Shant Kradjian. Digidirect is expected to retain Booktopia’s employees.
Booktopia: Phase One (2004-July 2024). Welcome back (resuscitated) Booktopia (August 2024 – )!
