Pratham Books - Business Model

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  • Pratham Books - Business Model

    1. 1. “ A book in every child’s hand ”
    2. 2. Pratham Books is one of India’s largest children's story book publishers It is also India’s only not for profit children’s book publisher Key Factors Pratham Books
    3. 3. Genesis of Pratham Books Read India campaign launched by the Pratham network to enable children to read Ongoing campaign targets 60 million children by 2010. Campaign active in 400 districts and the number is growing every day BUT – once children learn to read there is no access to books to build a reading habit Pratham creates a network of over 9000 libraries BUT there is shortage of quality, low-cost children’s books for these libraries Pratham Books set up in 2004 to fill this gap – it is the first non-profit children’s publishing brand in India
    4. 4. Objectives <ul><li>Create high quality, affordable books for children </li></ul><ul><li>Publish books in multiple Indian languages </li></ul><ul><li>Create an open platform for authors, illustrators, and book publishers to collaborate and build a reading country. </li></ul><ul><li>Create a new paradigm in publishing and catalyze existing publishers to explore new markets at lower price points </li></ul>A book in every child’s hand
    5. 5. Market Size <ul><li>Total organized children’s book industry value estimated at $ 25 million* </li></ul><ul><li>12.50 million books being printed annually at an estimated average of $2 per copy </li></ul><ul><li>Average size of print run is 5000 copies </li></ul>* Published Data
    6. 6. Market Penetration * Census 2001 <ul><li>There are 300 million children in India in the age group of 3 to 14 years* </li></ul><ul><li>Only 3% market penetration for children’s books </li></ul><ul><ul><li>UK sells 72 million children’s storybooks for 12.1 million children </li></ul></ul><ul><ul><li>Mobile phones in India have a penetration of 30% at 300 million plus users. And slated to reach 50% by end of 2010 </li></ul></ul><ul><li>70% of books published in English/Hindi. </li></ul><ul><ul><li>Regional languages a neglected category </li></ul></ul>
    7. 7. Pratham Books Mix Available in multiple Indian languages Stable captive market with Pratham Affordable pricing Child centric approach Bright colourful enjoyable books Good quality printing and paper Strong credibility among NGOs and Government
    8. 8. Current Status <ul><li>150 original titles created across genres for children aged 3 to 14. </li></ul><ul><li>Books published in 11 Indian languages </li></ul><ul><li>Over 3 million books shipped </li></ul><ul><li>All books priced under 60 cents </li></ul>
    9. 9. <ul><li>Innovated on product form to create a very low cost variant called “story cards” </li></ul><ul><li>Over 10 million story cards shipped </li></ul><ul><li>Built a robust roster of authors and illustrators </li></ul><ul><li>Operated with a small amount of donations – growing on cash flow </li></ul>Current Status … (contd.)‏
    10. 11. Problem definition <ul><li>Pratham Books has reached an estimated 1 million children through its books </li></ul><ul><ul><li>Each copy is read by approx.100 children in each library. </li></ul></ul><ul><ul><li>10,000 libraries*100 =1million </li></ul></ul><ul><li>The story cards have reached between 8 - 16 million children </li></ul><ul><ul><li>A set of 24 cards is used in 1 classroom with 20 – 40 children </li></ul></ul><ul><li>How do we reach the remaining children? </li></ul><ul><li> Efficiently. Effectively. Economically. </li></ul>
    11. 12. Multiple Stakeholders Readers: Children aged 3 -14 Facilitators: NGOs/Govt. Buyers: Parents
    12. 13. Key Questions <ul><li>Can we develop new non traditional models of distribution to sell Pratham Books to the end user? </li></ul><ul><li>Develop a sustainable pricing strategy </li></ul>
    13. 14. The challenge is to build a self sustaining business without losing sight of the key objective of “a book in every child’s hand”

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