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We're lucky enough to have an independent bookshop in the town I live which I frequent maybe about once a month. Part of the reason is that in browsing it I'll find books I wouldn't find through the usual ebook websites and recommendations.
A good physical bookshop supports serendipity (no, not the movie) in books. And that means more than a pile of the latest big book the publishers are pushing. The question for Waterstones is whether it will keep the habit of good recommendations and placing books you'd otherwise miss. The place, in future, for the physical bookshop will a mixture of factors built upon knowlegeable staff with a passion for books of every type.
I wouldn't bet on it doing this, but if they keep good shop floor staff and management, then I won't bet against it either...
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