Tag Archives: pricing

Articles I Like: Shatzkin on ebook pricing

PolyWogg.ca
February 17 2017

I read a lot of different blogs about ebooks, writing, self-publishing, the publishing industry in general, etc. and there are several that are quite popular. Kristine Kathryn Rusch on anything to do with the business side of being an author; Dean Wesley Smith, her husband, on churning out new copy and generating revenue; Konrath et al on the wild west of self-publishing; ThePassiveVoice on an overview of just about everything newsworthy (a curation service); and then people like Mike Shatzkin if you want the view of big publishing. None of those descriptions are entirely fair, they’re not one-trick ponies, but Shatzkin often is on the opening tail of self-publishing as a viable business model. So it was interesting to see him last September talking about pricing with a bit more “indie-cred” than he would normally show (eBook pricing resembles three dimensional chess):

Amazon doesn’t need big publisher books to offer lots of pricing bargains to their Kindle shoppers; they have tens of thousands of indie-published books (many of which are exclusive to them) and a growing number of Amazon-published books, that are offered at prices far below where the big houses price their offerings.

That probably explains why Amazon can see its Kindle sales are rising while publishers are universally reporting that their sales for digital texts, including Kindle, are falling.

… Read the rest

Articles I Like: DW Smith on publishing, early decisions

PolyWogg.ca
May 2 2012

Dean Wesley Smith is one of my favorite bloggers. As another blogger described him, Dean is an ex-midlister who has drunk the self-publishing Koolaid, is happy with his success in multiple worlds, and is happy to share his approach and results with others. He has a couple of blog-based ebooks going, where he writes a chapter at a time and posts it for digestion and comment. Then he cobbles them all together into an actual book. His latest endeavour, the second edition of “Think Like a Publisher”, is being “reposted” with updates in close sequential order. Here are some excerpts from Chapter 1:

Some of the earliest decisions a publisher has to make can be changed down the road easily. Some are difficult to change. So, I’m going to break down some of these early decisions into basic groups. And keep in mind, there are no correct answers on any of these decisions. Just what you want to do.

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Get the business set up, do the chores, look at your start-up inventory, and then look hard and fast at what kind of publisher you want to be.

See the full post at Dean Wesley Smith » Think Like a Publisher 2012.
… Read the rest

Articles I Like: Consumers vs. Publishers

PolyWogg.ca
April 24 2012

Jeremy Greenfield had an interesting post on Digital Book World about e-book pricing — but focused on the costs. The article tries to basically explain both why consumers think costs (and the price) should be a lot less, and publishers saying, “No, wait, costs are not that far off”.

Here are some excerpts from Greenfield’s post:

Publishers are making a killing on e-books because they cost nothing to produce, distribute and sell and are almost 100% pure profit. At least, that’s what many consumers think.

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While consumers understand the basic costs involved in the bricks-and-mortar retail world, they don’t understand the costs involved in selling something that is, well, much, much smaller than a bread box.

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“We still pay for the author advance, the editing, the copy-editing, the proofreading, the cover and interior design, the illustrations, the sales kit, the marketing efforts, the publicity, and the staff that needs to coordinate all of the details that make books possible,” said Bob Miller in February 2009 on the HarperStudio blog (which has been defunct since April 2010 when the publishing start-up folded) when he was president and publisher of that company; he is now president and publisher of Workman Publishing.

… Read the rest

Articles I Like: E-book lawsuit in Canada

PolyWogg.ca
April 24 2012

Marsha Lederman had an interesting article in the Globe and Mail on April 18th trying to put a Canadian spin on the charges in the U.S. of collusion and price-fixing by the Big Six publishers (Harper Collins, MacMillan, Penguin, Random House, Hachette, and Simon & Schuster) with Apple. Just to be clear, there are TWO lawsuits in the U.S. — a class-action civil suit launched by “consumers” against this group for trying to raise ebook prices above Amazon’s preferred ceiling of $9.99 (targeting all six plus Apple) and a completely separate Department of Justice civil suit that targets everyone in that list except Random House. I’m not including separate state plans in that list.

Here’s an excerpt from Lederman:

A proposed class-action lawsuit filed in B.C. Supreme Court by the Vancouver firm Camp Fiorante Matthews Mogerman alleges that Apple Inc. and a number of publishers engaged in a “conspiracy” to lessen competition and “fix, maintain, increase or control the prices of e-books.” It is the most recent of at least five such suits filed recently in courts in Ontario, Quebec and B.C.

It also alleges that the defendants or their representatives communicated secretly, in person and by phone, to discuss and fix e-book prices, in the lead-up to the introduction of Apple’s iPad, which can function as an eReader, in April of 2010.In

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Articles I Like: The Threat of Free Riders

PolyWogg.ca
April 23 2012

The Harvard Business Review has a great website, combining not only the articles from their magazine, but daily summaries of key articles, interesting statistics and a number of cool blogs ranging from “soft” HR issues to “hard” business articles. Frances Frei and Anne Morriss wrote a blog entry called, “Target and the Threat of Free Riders” that is pretty good. I know what you’re thinking — umm, doesn’t the heading for this blog entry say it’s about “publishing”? Yes, yes, it does. Because while Frei and Morriss are primarily talking about Target, the hidden subtext behind it is Amazon.

You might remember the big kerfuffle at Christmas time…Amazon released a new App that could scan bar codes, and they encouraged you while shopping in bricks and mortar stores to do some price comparisons. And then, *gasp*, buy from Amazon if the price was cheaper. They even had the audacity to offer initial discount coupons to those using the apps. The blogs exploded with stories of how Amazon was evil, how dare they do this, it was destroying the local infrastructure. They were essentially complaining that Amazon was being a “free rider” — the store chains have physical locations with large overhead costs they have to pay, and here Amazon was saying “go visit them, touch and feel your items in person, exploit their overhead, and then buy from us.”… Read the rest

Online piracy, music and ebooks…

PolyWogg.ca
February 1 2012

One of the blogs I follow is Passive Guy (at his site called the Passive Voice), partly because he has a really good site for the latest news on the ebook front with several excerpts / re-tweets a day. And one of his posts today caught my eye given the whole Megaupload thing in the past week — the post was entitled “Piracy Does Depress Sales”. The post is an excerpt from another site by an attorney named Terry Hart, linking to a study by Stan Liebowitz at the University of Texas entitled “The Metric is the Message: How Much of the Decline in Sound Recording Sales is Due to File-Sharing?”. The claim from Liebowitz? That *all* of the decline in record sales could be attributed to file-sharing.

Now many of my readers know that I did a MA in public policy. Which means I also did graduate-level stats and economics courses. So, when I see an academic making such bold claims, two things happen — first, my interest is piqued … maybe they have some ground-breaking analysis and research to support this argument, after all it’s “published” and their careers depend on on it, and if not, maybe at least an innovative approach; second, my BS detector goes haywire.… Read the rest

Articles I Like: The world of ebooks

PolyWogg.ca
January 27 2012

Leslie Gaines-Ross has an interesting article on the HBR blog network today, dealing with business models in general (In a New Era for Marketing, Parental Discretion Advised — note link may expire). An excerpt from her post appears below:

Every well-trained manager knows about the “four P’s” of marketing. To make a sale, a company must offer the right product to meet customers’ needs, and at the right price. It has to be offered in a place they find convenient and, in order for them to know about it and how it can help them, it has to be promoted well. New research by my colleagues and me, however, suggests that another “P” is growing in importance. Customers also care who the parent of the product is.

For those who are interested, the article goes on to discuss basically how people are looking for who the parent company is, their corporate brand so to speak, and whether its someone with whom they want to do business. In fact, I would go one step further — not only do people want to know who your “parent” is (if your company has one) but also who your partners are, what they’re like, and if they reflect positively on your brand.… Read the rest

Articles I Like: The 99 cent price point for ebooks

PolyWogg.ca
January 24 2012

Jeffrey A. Trachtenberg has an interesting article in today’s WSJ that deals with ebook pricing models, and the 99-cent “impulse” price point (E-Book Prices Get Slashed — note link may expire). An excerpt from his post appears below:

The book world is discovering the 99-cent special. Nearly two years after book publishers forced a sharp increase in the price of newly released e-books, a new low-price trend is emerging. A growing number of publishers are experimenting with 99-cent temporary prices on e-books, in hopes of persuading readers to sample a wider range of authors.

The latest example is George Pelecanos’s new crime novel “What It Was,” which goes on sale Monday. The digital edition costs 99 cents for the first month, and then $4.99 afterward. While Mr. Pelecanos is known for his work on HBO’s gritty Baltimore series “The Wire,” he has also authored 18 books. But he has never been a big seller.

I’ll eventually get around to posting my own take on e-book pricing from an “economics” perspective i.e. what is an “optimal” price if the economists were tackling the question, but I like the idea that the “big” names are suddenly realizing they’re getting their butts kicked by the mid-listers or the newbies.… Read the rest