Thalia, the largest bookstore in the German-speaking world, has expanded its services beyond selling books since January by also accepting previously read books in its twelve branches located in Vienna. Andrea Heumann, Austria’s managing director, has been impressed by the customer response and is contemplating rolling out this model nationwide. The Thalia headquarters in Hagen is also paying close attention, stating, “We are following the topic at Thalia in Germany with great interest.”
Thalia is not directly entering the used book market; instead, it serves as a collection point for a reseller with ambitious plans: Knihobot sro, based in Prague, operates under the name Bookbot for clarity. Like its competitors, it has primarily relied on receiving old books by mail. Five years after its inception, Bookbot aims to double its revenue to 24 million euros in 2024. Founder, managing director, and co-owner Dominik Gazdoš, at the Prague headquarters, emphasizes that their expansion is far from complete.
Located a few subway stops from the city center, the building was previously a warehouse for metal goods, ensuring its structural reliability, according to Gazdoš. Inside, there are 600,000 books distributed over more than 5,000 square meters. An additional 200,000 books are stored elsewhere, and new 3,000-square-meter halls will open in August for further inventory. The total length of the shelves amounts to 20 kilometers.
Berlin is on the agenda
On the ground floor, pallets filled with boxes of books are organized. Students examine the newly received used goods, photograph the titles for the website, and attach a tracking slip with a barcode to each book, which contains key information about the book and its seller. The volumes are later positioned on the shelves wherever there is space, resulting in a diverse assortment: children’s books beside art books, travel guides next to crime novels and management guides, and Czech editions alongside German, English, or French versions.
Each shelf has a barcode that links to the barcode on the book’s “boarding pass,” making it simple to locate once purchased online. If a book is sold, it moves to the packing station on the ground floor, where students prepare it for shipping in three four-hour shifts daily. Gazdoš states that up to 15,000 books can be processed in a single day. Since its inception, the company has handled approximately five million books, and that number continues to rise rapidly. The customer database includes 795,000 buyers and 130,000 sellers.
In just five years, Bookbot has become the largest bookseller in the Czech Republic, capturing a 5 percent market share, and is expanding into Slovakia, Austria, and Switzerland. Gazdoš is now targeting another market: “We are focusing on Germany,” with plans to launch by the end of summer.
Gazdoš aims to differentiate
German readers can already send their unwanted books to Bookbot for free through DHL or GLS, as offered by other popular online platforms in Germany like Rebuy or Momox. However, Gazdoš seeks to differentiate his service. Similar to current practices in Vienna, Prague, and Bratislava, he plans to offer a “book taxi” in Germany, which would pick up books directly from customers’ homes, with contact made through the website.
Gazdoš intends to launch the German “book taxis” in Berlin, with plans to expand to other cities afterward. The core objective is to simplify the book-buying process for customers, removing the burdens of scanning or typing in ISBNs, printing shipping labels, and finding packaging. “It makes a significant difference when people don’t have to pack their books into parcels,” he explains, referring to the inconvenience of dragging heavy shipments to the post office. Collection points like Thalia, which receive a handling fee from Bookbot and book-loving customers, serve as an excellent alternative, according to Gazdoš.
Viennese customers share this sentiment. According to Thalia, they submit up to 7,000 read books per week, resulting in an impressive inventory of 150,000 volumes since the campaign’s launch in February. After positive experiences with second-hand stores in Prague, Gazdoš plans to open a “flagship store” in Berlin, a place where readers can buy used books, donate their old ones, and collect new orders. He would also like to replicate the Viennese Thalia model in Germany, although currently, “there are no concrete plans for this.”
“We can also accept 2000 books, that’s no problem”
There is a significant distinction from the competition, according to Gazdoš. Bookbot accepts every book, provided it is not damaged, with no limit on the quantity. “We can also accommodate 2,000 books, that’s not an issue.” Returns are not allowed. If a book does not meet the quality criteria, it can still be utilized—whether as decoration for hotel bookshelves or for artistic purposes. The rest is sent for recycling.
While many platforms purchase used books, often for as little as 15 cents per copy, Bookbot only accepts used books on a commission basis. Thus, the risk of sale remains with the customer. If a book sells at the price determined by an algorithm, the seller receives 60 percent of that price, minus a processing fee of 1.19 euros.
Those who have ever tried to clear their bookshelves using online platforms know that it is not a lucrative venture. Gazdoš asserts that Bookbot offers better prices than its competitors, though this is challenging to verify. He understands that many book lovers are particularly concerned about ensuring their finished books do not end up in the trash. For those who prefer not to donate their books to community shelves or charities, platforms like Bookbot offer an alternative. The motto “Read. Love. Pass it on” gives a moral dimension to the everyday used goods market: “Save the environment and your wallet.” Book donations are also welcomed.
Ambitious goals
The business idea came about by chance and necessity. Gazdoš, a passionate reader and a financially struggling student, was expelled from school multiple times, making traditional education untenable. With limited funds, he began selling old books online as a teenager, realizing there was a market for them. At 19, he opened a bookstore, launching in 2012. Seven years later, it evolved into Bookbot, which now generates double-digit millions in revenue, and Gazdoš serves as CEO. Even today, he feels awkward about the company name, thinking it “sounds somewhat strange.” Most of his management knowledge was acquired through reading and self-study.
In 2020, Bookbot had not yet surpassed one million euros in sales, but by 2023 it achieved 12 million euros. Last year, management consultants from Deloitte recognized Bookbot as the tenth fastest-growing tech company in Central and Eastern Europe. According to market research from Persistence, the used book market is growing. It was projected that sales across Europe would reach 6.2 billion dollars last year, though actual sales in 2022 were only 5.7 billion dollars. The German market is the largest, making up nearly a quarter, approximately 1.5 billion dollars. Fantasy, horror, and science fiction books are the bestsellers.
Bookbot aims to capture a more substantial market share. The projected sales target of 24 million euros for this year is just the beginning, according to Gazdoš. In three to four years, this 31-year-old entrepreneur aspires to surpass the 100 million euro sales threshold, with the German market playing a significant role in achieving this. He anticipates a return before taxes of ten to fifteen percent. Bookbot currently employs 600 part-time students and 70 full-time staff. From the outset, he has been generating profit with the company he developed alongside his brother David, transitioning from chipboard-reinforced photo booths to data management. With almost no capital and challenges obtaining loans, that path was not simple. At times, he even lived in the book warehouse with his wife and three young children to save on rent. Those days are behind him, especially since a Czech venture capital investor joined forces in 2021.
A second round of funding is currently being finalized to facilitate the next phase of growth. Gazdoš expects approximately 4 million euros from the new investor. However, the process poses challenges, as investors are often hesitant to invest in the analog economy. Discussions about broadening the business to include other categories such as clothing, electronics, or additional products have taken place but were ultimately discarded. “For now, we want to focus on books,” says the book enthusiast, who dedicates two hours a day to reading.
The Future of Book Sales: Thalia and Bookbot’s Unique Collaboration in Germany and Austria
The largest bookseller in the German-speaking world, Thalia, has recently added a new and innovative service—it now accepts used books in 12 branches throughout Vienna. Managed by Andrea Heumann, this initiative has garnered impressive customer feedback, prompting considerations for a nationwide rollout. Meanwhile, Bookbot, a reseller based in Prague, is making waves in the used book market, which complements Thalia’s new offering.
Thalia’s Commitment to Sustainability
Thalia is not merely entering the used book business; it is acting as a collection point for Bookbot, a company with ambitious growth plans and a vision for transforming how readers engage with literature. Thalia’s collaboration with Bookbot mirrors a larger trend within the retail space that prioritizes sustainability, recycling, and community engagement—values that today’s consumers increasingly seek.
Introducing Bookbot: The Driving Force Behind the Reseller Movement
Bookbot, or Knihobot sro as it is known in its home country, aims to revolutionize the used book market. With aspirations to double its sales to €24 million in 2024, Bookbot was founded by Dominik Gazdoš, who has created an impressive infrastructure to handle the volumes of books that come through its system. The company operates out of a large facility filled with over 600,000 books and plans to expand further in response to soaring demand.
Operational Efficiency at Bookbot
Standard operating procedures at Bookbot include:
- Students assess and photograph newly received books.
- Each book is assigned a unique tracking barcode.
- Books are then processed for online sales or held for in-store transactions.
This efficient system allows Bookbot to process up to 15,000 books daily, attributing to a customer database that includes 795,000 buyers and roughly 130,000 sellers since its inception.
Future Plans: Expansion into the German Market
Gazdoš has identified Germany as the next target market for Bookbot, leveraging the company’s success in the Czech Republic and its growing presence in Slovakia and Austria. With plans to launch in Berlin later this summer, there are growing expectations surrounding how the German audience will react to Bookbot’s unique proposals.
Convenience as a Market Differentiator
A key differentiator for Bookbot in the crowded online used book space is the addition of “book taxis”. Customers can request a home pickup service for their used books, simplifying the selling process by eliminating the need for packaging and shipping—pain points for many online sellers. This service will initially target users in Berlin, setting Bookbot apart from competitors like Rebuy and Momox.
Thalia’s Role in the Used Book Ecosystem
Thalia’s integration of used book collection has yielded impressive results. Since launching the program, the company has reported receiving up to 7,000 used books weekly, totaling a remarkable 150,000 volumes. This has placed Thalia at the forefront of promoting sustainable reading habits and has increased foot traffic in stores, creating a win-win scenario for their business model.
Feedback from Customers
Consumers are responding positively to the used book initiative. The accessibility and convenience offered by having a place to drop off read books align with contemporary trends emphasizing sustainability and community sharing. Feedback suggests that customers appreciate the ease of participation without the complexity often encountered when dealing with online platforms.
A Dive into Bookbot’s Operations and Success
Bookbot has truly revolutionized how used books are handled in the market. Their model has allowed them to capture a significant market share, making them the largest used bookseller in the Czech Republic with approximately 5% market share. Gazdoš’s strategy includes:
- Accepting all undamaged books without limits on quantity.
- Using an algorithm to determine pricing, with customers receiving 60% of the sale price.
- A commitment to sustainability by redirecting books that do not meet quality standards towards recycling initiatives.
Comparison with Competitors
| Feature | Bookbot | Rebuy/Momox |
|---|---|---|
| Home Pickup Service | Yes | No |
| Commission Rate | 40% | Varies |
| Processing Fee | €1.19 | Typically higher |
| Book Acceptance Policy | All undamaged books | Limited categories/issues |
Empowering the Community through Book Donations
In addition to selling used books, Bookbot actively promotes community engagement through book donations, which resonates with readers who care about sustainability. Their motto, “Read. Love. Pass it on,” captures the spirit of responsible reading and sharing. By providing a platform where readers can circulate books they no longer need, both Bookbot and Thalia promote a culture of recycling and reusing.
Ambitious Goals for the Future
With Gazdoš at the helm, Bookbot aspires to achieve further growth, targeting €100 million in sales over the next three to four years. This goal is ambitious yet demonstrates the confidence in their sustainable model and innovative service offerings.
Challenges and Triumphs
Gazdoš’s journey to success has not been without challenges. Having started from humble beginnings, he understands the difficulties of growing a business in a competitive landscape. Despite navigating rough waters, including living in the warehouse to save on costs, the support from a venture capital investor has positioned his business for the next stage of growth.
He emphasizes his commitment to books and community engagement but also notes the potential for other markets. Still, for now, the focus remains on the literary world—one book at a time.