When colleges sell text books do they make more money on new or used books?

Question

Obviously I know that new books cost more, but percentage wise do they make more money on new or used books. It just seems like when I go to sell my new books back at the end of a term alot of them are too old to sell back. How is it that a book I bought brand new 7 weeks ago (short summer semesters) is already outdated?

Answer 1

I'd say used books. True, the markup is less, but they pay pennies on the dollar when they buy them, plus they're selling the same book multiple times. The books aren't truly outdated- it's just a profit making scheme to force students to buy new books and not buy and trade used books with each other. Pure greed.

Answer 2

The mark-up on a new book, depending on the sales volume of the store, is about 20%. That is, if they sell the book for $100, they made about $20

The mark-up on a used book is several hundred percent. The bookstore, which already made $20 on that book once by selling it to you new, buys the book back for about 25% of retail. So, when you sell back, they'll give you $25. They will then sell the book as used for 50-75% of retail or $50-75. That makes them up to $50 more dollars on that book.
They will buy it back again for $25 and sell it again for $75.

In just three semesters, the one book has made them (20-25+50-25+50) $70 -- selling that same title three times as a new book would have made them only $60 and the cost to put three in inventory would be significantly higher. In this way, the percentage of return is much higher on used books.

You can get considerably more for your used books by selling them yourself on half.com or amazon. If it's a book that retails for $100, you can expect to buy or sell that book used on half.com for less than $50. It's very possible to get free textbooks this way. You buy the book for $50, use it for class, then sell it for $50 online.

The really good thing about half.com and amazon is that they don't rely just on titles in use at your college - if your college changes editions then your bookstore won't want the book. Someone online may still need that edition that you have.

I know a couple people who make a decent income asking friends for their books that the bookstore won't buy back. They then sell those online. The book cost them nothing, everything is profit.

Used textbooks is a highly profitable business.

Answer 3

They make a lot on older books when they buy them back for much less than they sell them back for. Here is a lesson I have learned the hard way: Don't buy or sell your books at the school bookstore. You can get much more reasonable prices and sell back prices on half.com.