Based on the current rise in enrollment, sales are expected to remain healthy over the next several years. Textbooks have historically been the most profitable types of books for publishing houses. This is largely due to the nature of the textbook industry. Second, publishers and college bookstores charge high cover prices for their textbooks, primarily because university students and graduate students are a captive audience. The student population is formed from a wide array of consumers with substantial buying power.
Students currently buy their textbooks almost exclusively from their respective college bookstores.
However, according to the National Association of College Stores, students have a negative perception of campus bookstores. In 1995, there were 2.8 million students enrolled in graduate and professional programs. These 2.8 million students are currently under the instruction of over 200,000 graduate professors. This adds to the attractiveness of this market. Rapid innovation has created a new electronic marketplace, which is in turn changing education.