When it comes to the latest activities of Audible Inc., the provider of downloadable spoken-word audio based in Wayne, N.J., many audiobook publishers and retailers are all ears.
That's because with its 143,000-strong paid-customer base, Audible is considered the leader in offering spoken-word audio online—taking a bold stand on the digital frontier that publishers, retailers and consumers have been eyeing warily for a while now. In recent weeks, the company posted its 13th consecutive quarter of increased revenues (although it currently faces a potential delisting by Nasdaq) and announced progress in the library, retail and direct-to-consumer arenas.
In a program that is still in the public beta stage, Audible.com customers now have the capability to burn their own CDs of Audible.com content. Audible has joined forces with digital media company Roxio to provide this option and, in turn, Audible plans to market and distribute its service through Roxio's retail and Web distribution channels. According to Audible director of public relations Jonathan Korzen, "The timing is right on the CD-burning front, because we've always wanted to lower the barrier to entry to anyone who wants to try our content and listen to it mobily. CD burning provides a low-cost test basis for people."
As an example of how new users might sample Audible's content, Korzen mentioned the ability to automatically download and burn onto CD newspaper and magazine articles overnight, so commuters can listen to the material on the way to work. Korzen noted that, in the long term, the business logistics make sense. He pointed to a general rise in CD-burning by consumers. "Blank CD sales have eclipsed those of music CDs for the first time," he said. "There are over 100 million CD burners in the market, and we think of them as potential Audible players." He compared this figure to approximately 10 million PDA (portable digital audio) players currently in the marketplace. As further incentive, Audible.com customers who subscribe to the service for 18 months will receive a free AudibleReady Otis digital audio player that can play up to 20 hours of downloaded Audible content or two hours of music.
In terms of copy protection, Korzen explained that AudibleManager "locks" the file after 1.5 burns (users are given the .5 as a margin for error, meaning they have 1.5 tries to get it right). Korzen noted that this makes newly burned CDs from Audible as secure as any audiobook or CD sold at retail. To further enhance the listening experience, the AudibleManager software inserts a section break approximately every seven minutes, so that listeners can easily find their place when listening is interrupted. AudibleManager users who burn CDs also have the option to print CD labels to create their own packaging. So far, Korzen said, "user response has been nothing short of a rave."
By the end of July, Audible will be reaching out to consumers in a whole new way: Audible's service will be sold as a retail item in a test group of eight Costco warehouse club locations. Costco shoppers will be able to purchase an Audible Air Pack containing a CD-ROM version of AudibleManager software for $28.99. With the Air Pack, users can install AudibleManager and then, after being directed to a unique welcome page, can download two titles of their choice from Audible's 5,500-volume collection. "We're interested to see what the retail experience will be like for our service," said Korzen. He noted that the Audible packages will be shelved in the technology/software section at Costco. "We believe that the person browsing in that section is already a savvy Internet surfer and computer user," he explained. In addition, Korzen believes that the Costco demographic—suburban car owners—dovetails nicely with Audible's typical customer profile.
Libraries Like It, Too
Several pioneering library systems, such as Michigan's Kalamazoo Public Library, have been participating in Audible's digital audiobook lending program for more than a year now, with positive results. As participants, libraries are able to circulate audiobooks by downloading titles from Audible.com and then lending them to patrons along with a portable digital audio player. Librarians have reported good patron demand for the downloaded titles, the kind of results that have prompted more than 25 other public library systems to join the lending program from January 1 to June 1. That brings the total number of participating libraries/systems to approximately 50, according to Audible's Korzen.
Librarians pleased with digital audio have remarked that it saves shelf space, allows them to appear in step with technological advances and enables them to offer convenience and novelty to their patrons. Librarians interested in exploring a low-risk trial contract for the lending program can find more information at www.audible.com/ala2002.
