Weltbild, the German bookseller, is closing its doors permanently after its insolvency administrator was unable to find a way to revive the struggling business. The company's 14 remaining branches will hold clearance sales before closing at the end of August, while online orders will continue to be fulfilled until then. Unfortunately, all 440 employees will receive their termination notices in September.
The company had filed for bankruptcy in June, citing ongoing losses and a lack of fresh capital. Despite attempts to restructure and find investors, the high operating costs, particularly in IT and marketing, coupled with a fiercely competitive market dominated by Amazon, proved insurmountable.
While there was interest in the brand rights and inventory, no suitable buyer emerged. Negotiations regarding these assets are still ongoing.
Weltbild's roots trace back to a company owned by the Catholic Church. The publishing group faced insolvency a decade ago, following which investor Walter Droege acquired a majority stake. However, despite cost-cutting measures like closing 70 branches, the company continued to struggle.
This closure marks the end of an era for Weltbild, which has been a prominent player in the German bookselling industry for years. The increasing dominance of online retailers like Amazon, coupled with high operating costs, ultimately led to its demise. The loss of 440 jobs is a further blow to the German economy, which has seen a rise in bankruptcies recently.
