The CEO of Barnes & Noble has responded robustly to allegations from the proprietors of a local independent bookstore, who claim their business is being driven to closure by the opening of a Barnes & Noble outlet nearby.

In a situation reminiscent of the classic film “You’ve Got Mail,” two sisters who manage Volumes Bookcafe in Chicago’s Wicker Park have reported a significant downturn in sales following the launch of a Barnes & Noble branch just a short distance away in October 2024.

Rebecca George, co-owner of the Volumes Bookcafe, shared with the Daily Mail that their sales have plummeted by 30 percent. This drop has forced them to make the tough decision to shut the doors of their combined bookstore and café by the end of January 2026, after nearly ten years in business.

In response to these claims, Barnes & Noble’s CEO, James Daunt, has strongly refuted the suggestion that their new store is the catalyst for Volumes Bookcafe’s closure. Daunt expressed his stance in an email to the Daily Mail, stating, “I am sorry that Volumes Bookcafe believes that our bookstore is the cause of their difficulties. This is unlikely to be the case.”

He elaborated by contrasting the two businesses, noting, “We do not have a café in our bookstore and do not run events within it. Volumes Bookcafe is not a full-fledged bookstore, as you will know if you have visited it: it is a café with a very limited selection of books in the rear.”

‘We do not have a café in our bookstore and do not run events within it. Volumes Bookcafe is not a full-fledged bookstore, as you will know if you have visited it: it is a café with a very limited selection of books in the rear.

‘If the sales of these books has been impacted, it can only have been to a limited extent.

‘Neither Barnes & Noble, nor Waterstones, have opened a bookstore under my tenure which directly impacts an independent bookstore.’

The mom and pop store has a cafe area for people to enjoy a coffee while browsing, they also hold various literary events at the store

The planned closure of the store echoes the plot to You’ve Got Mail – the 1998 film that saw a small store owned by Meg Ryan’s character have to compete with a new chain store that moved in nearby

Meg Ryan starred alongside Tom Hanks in the movie that saw the duo unaware that they were writing to each other online while their stores were competing in real-life

Trouble began when the book giant revealed its new store’s location less than 10 minutes walk from Volumes.

When Barnes & Noble opened in October 2024, George said her store’s sales were hit hard. 

‘The holiday season last year hit the hardest, because you’re expecting the amount you make that month to “pay off you’re debts” right?’ George told the Daily Mail.

‘[Our] last holiday season was down about $15,000 to $20,000 if memory serves from the year before or any year for a while,’ she added.

George claims the new Barnes & Noble has been ‘100 percent’ behind her having to close her store. 

‘Nothing else was happening during [the holiday season] that would have had that dramatic of an effect,’ she told the Daily Mail.

Amid plunging profits and sales that had slowed to just a dozen books on some days compared to highs of 100 per day, Volumes announced in November that it would close.

George has received overwhelming support from the community since Barnes & Noble announced it was moving into the area and supporters have had tense exchanges with Daunt.

CEO of Barnes & Noble James Daunt responded to emails from concerned members of the community before a new branch of the chain opened

Volumes Bookcafe owners Rebecca and Kimberly George announced they would close the store at the end of January

One of George’s close friends, Katie Sparks, who works in the publishing industry as a developmental book editor, contacted Daunt, stressing the value of independent stores and urging him to reconsider the location.

Daunt answered, writing in an email dated February 10, 2024, and viewed by Daily Mail: ‘As a chain bookseller we should never intrude on the locality of an independent bookseller of new books.

‘This is rooted not in my running of Waterstones, which is the UK equivalent of Barnes & Noble, but of my having set-up, and continued ownership, of my own independent bookstore in London, Daunt Books.’

But Daunt went on to add what appeared to be a pointed jab at independents, claiming his general bookstore is more inclusive than local shops.

‘A general bookstore selling new books, however, fulfills a very different role to other forms of bookstore.

‘A general bookstore, whether independent or Barnes & Noble, allows access to newly published books and is essentially democratic and inclusive – that is, everyone, of every age, feels welcome in the store.

‘Teenagers after school come to a new bookstore to pass the time, so everyone else of whatever age or educational attainment. We are not as important in this respect as public libraries, but we are important.

‘Other forms of bookstore, from specialists to those selling used books, are much more exclusive. They are exclusive in what they sell and exclusive in their narrow appeal. No gang of teenagers piles out of school to go hang out at the local used bookstore.’

The new Barnes & Noble location down the street from Volumes, at 1601 N Milwaukee Ave in Chicago

The plot of the 1998 movie You’ve Got Mail that starred Tom Hanks and Meg Ryan saw her small bookshop battling against his corporate chain

Daunt again called Volumes ‘a café with a very small selection of books’ and defended the opening of his new mega store.

Sparks told the Daily Mail she ‘was extremely upset’ and found it ‘very insulting that he labeled Volumes a cafe with a small selection of books.’

‘They are 100 percent an independent bookstore. A very popular and loved one at that,’ she said. 

Sparks highlighted that Daunt ‘mentioned twice in his email that a “chain bookseller should never intrude on the locality of independent bookstores that could threaten the sales and livelihood of indie booksellers”.’

‘That’s unfortunately exactly what happened here,’ she continued. ‘People have stated it correctly: it’s unfortunately a You’ve Got Mail situation in real life.

‘It’s a real shame because I think there is an opportunity for all of them to exist without being one of the causes for the others to go out of business.’ 

The 1998 film stars Meg Ryan and Tom Hanks as Kathleen Kelly and Joe Fox, online pen pals who fall in love while unknowingly competing in real life – her small bookshop against his encroaching corporate chain.

Volumes has built a strong following: 30,000 in its loyalty program and 12,000 on its email list. It has seen authors launch their debut books and hosted a number of literary events – just like The Shop Around The Corner in You’ve Got Mail. 

Rebecca George and her sister Kimberly with Carla Bruni (right) who is the author of the book Chicago Homes 

Meg Ryan’s store in the movie also held many events for customers including children’s book readings

The shop opened in 2016 and has stood its ground in Wicker Park for nearly a decade

Daunt referred to Volumes as ‘a café with a very small selection of books’ but the owners insist have operated as a full fledged book store since 2016

George was also frustrated that Daunt called Volumes a ‘cafe’ despite operating as a full bookstore since 2016, prompting a neighboring bookstore owner, Rachel Weaver, to also contact the CEO.

She defended Volumes, saying it ‘always has been a full-service independent bookstore,’ adding ‘what they lack in size they make up for in knowledge and service.’

‘Call this a cafe with a few books if you like, but they operate suspiciously like a bookstore,’ Weaver wrote in an email.

Emphasizing the use of Volumes’ cafe, she added: ‘Their cafe is a literary event space, just like so many independent bookstores provide. They’re not serving lattes just to serve lattes – they are feeding and nurturing a literary community.’

Pushing back on the CEO, she wrote: ‘If you’re going to operate B&N like all of your predecessors, just say so. Don’t pretend like you’re the perfect gentleman, insisting you’ll never encroach on others’ territory.’

Daunt replied, emailing: ‘My understanding is that it is an inspiring café/bar with a vibrant literary events program.’

Furthering his ‘understanding,’ he wrote: ‘Volumes has a limited range of books. It is, in their own words, heavily curated.

George said sales have struggled and some days she has sold just 12 books

 

The emails from Barnes & Noble CEO James Daunt to members of the community 

‘It is not a general bookstore in the way that yours is. It is a place to drop into for a coffee, to meet people, and perhaps pick up a book. That will not change.’

Daunt then said he is not ‘denigrating’ Volumes but believes his new location could strengthen the local business, writing: ‘When you strengthen bookselling in an area, complementary booksellers all benefit.’