Yes, I continue to buy hardcover books. I just bought 2 yesterday and have ordered a half-dozen more. However, in comparison to my ebook purchases, hardcover purchases are quite small. For example, during eBook Week, I bought 105 ebooks and I have purchased another 12-15 since. In contrast, since the beginning of 2011, I have bought or ordered fewer than 20 hardcovers. (I do not buy paperbacks.)
For me the issue is one of permanence. And, yes, I know that I can lose a hardcover to fire, theft, flooding, tornado, earthquake, and any number of other causes that are within or beyond my control. The permanence I speak of is one of intent. If I buy a hardcover, I am buying it in that form because I want to add it to my permanent collection/library. eBooks, however, I expect to read once and throwaway; in other words, nearly all ebook purchases are of novels. Hardcover purchases are mixed -- fiction and nonfiction -- but 90% nonfiction. Additionally, it depends on the type of book. For example, I just ordered a $350 2-volume set on the art of William Bouguereau. It would make no sense (in my mind) to buy the books, even if available, in ebook form. For that price, I want to own the book, not rent it.
I believe there a place remains, and will remain for decades to come, for pbooks, even if the number of buyers continues to dwindle.
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