Hearst Magazines President Cathie Black on Riding the White Waters of Change

On Thursday, May 31, following the "What Are You Reading?" Breakfast, the American Booksellers Association's educational programming, sponsored by Baker & Taylor, got off to a rousing start as more than 500 booksellers attended an insightful keynote address on adapting to change presented by Hearst Magazines President Cathie Black. Speaking to a packed audience at the New York Marriott at the Brooklyn Bridge, in Brooklyn, Black -- cited by the Financial Times as "one of the leading figures in American publishing over the past two decades" and the author of the forthcoming Basic Black: The Essential Guide for Getting Ahead at Work (and in Life) (Crown Business, October 2007) -- discussed the tenets of successful change, and, of course, her new book. "I am about to be a published author -- on October 23 -- and if I didn't talk about my book with pride, then why would you?" Black said.

Hearst Magazines President Cathie Black addresses the more than 500 booksellers at Thursday's Plenary Session.

Discussing her philosophy on adapting to change, Black pointed to a recent New York Times article that noted publishing is a casino. "Every business in every corner of the media are placing their bets," she said. And everyone, of course, is wondering where the wheel will eventually stop. Noting that booksellers and publishers share this common concern, Black said, "You have two choices, getting in the game of change and beginning to accept it."

In the past, Black said, a popular catchphrase in the business world was change management. "But you cannot manage change. We are in white waters, you and I," she explained, adding that certainty was lost with the collision of consumers, technology, and consolidation. "There are new demands and new ways to reach the consumer.... You can't manage change, but you can bring a fresh perspective."

Black stressed to the booksellers in attendance, "Don't let anyone put you in the old media department -- you are very much in tune with your customers."

Black discussed the five pillars of successful change:

• Understanding the imperatives;
• Building the brand and determining what makes yours unique;
• Expanding your reach;
• Serving your customers what they want in the ways they want it; and
• Changing the model when necessary to stay ahead of the game.

Today, being able to adapt to change is crucial because the relationship between print and readers is changing due to the digital revolution--perhaps the biggest change to media since moveable type, Black said. "All you have to do is watch how teenagers consume media, how they move effortlessly between them--they are our future." At the same time, "we cannot let change blind us."

As for independent booksellers and how they fit into this ever-morphing picture, Black said that locally owned bookstores "bring that connection to the community. Like former House Speaker Tip O'Neill said, 'All politics is local.' You are local. You are the community bulletin board. What does the consumer want from the experience? Why do we walk into a bookstore? It feels good, it looks good--it's refreshing, energizing, and it makes you feel smart." Moreover, she noted, independent bookstores can provide personalized service, which keeps the consumer "excited."

Said Black, "[At Hearst], we have seven titles that are more than 100 years of age. How do you stay in business?.... By constantly reinventing and rethinking [the publication]. By asking, How has my reader changed? And you should ask, How has my customer changed?" She said that booksellers should ask themselves if they could find ways to reach out that are not in their target space, such as offering knitting lessons because knitting has become more popular.

Black noted that hockey legend Wayne Gretzky once said, "It's not where the puck was, but it's where the puck is going." For those in the book industry, she said, the questions are "Where is the reader going? And how do we connect to that?"

Following the session, prospective bookseller Liv Grey, who is hoping to open a bookstore in Westchester County, New York, told BTW, "I thought [the Plenary Session] was helpful." Noting that Black touched on much of what she has been learning from Paz & Associates at ABA's Booksellers School, Grey said, "Bookstores need to be the Third Place.... You've got people going back to local. That's what [Black] was talking about." --David Grogan