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e-Book or Paper Book – Where Do You Earn More?

As a novice self-publisher you might have started out with e-books, but at some point just too many inquires call for a paper version. Then the question comes up:  shall I use a book printer or go the POD (print on demand) publishing route?

Get as many quotes from book printers and digital printers as possible in order to compare them with prices and royalties from PODs.  Check out the quality of books printed and bound when you do your comparison of the printers.  Digital printers are often located in university areas or can be found on the internet. 

CreateSpace, POD, a branch of Amazon, offers a handy calculator:
https://www.createspace.com/Products/Book/#content5

As a book example I typed in:
$9.99 as retail price, interior black&white with bleed, 128 pages and a trim size of 6×9 inches.

Result:  Your royalties could vary from $1.61 to $5.61 – depending on where and in which format your book is sold.  CreateSpace is the manufacturer and aggregator (and uploads your book to retailers) at the same time.  The sales channel percentage is deducted from your book’s list price, depending on the sales channel the book is sold: CreateSpace e-Store (e-book) 20%, Amazon 40% and through expanded distribution channel 60%.

CreateSpace has a “Pro Plan” which is an annual title subscription that provides authors with the opportunity to earn a larger royalty share on their title, reduce your book’s manufacturing fees, and gain access to the Expanded Distribution Channel (optional). You can upgrade your book to Pro Plan at any time for $39.00. After your first year, you pay just $5.00 annually for each of your Pro Plan titles.

ROYALTY COMPARISON

Paper Book Amazon:

With the Pro Plan – Royalty = $3.61 (CS share $6.38*)

Without the Pro Plan – Royalty =$1.93 (CS share $8.06*)

Paper Book Expanded Distribution (Wholesale & Book Retailers):

Only with the Pro Plan – Royalty = $1.61 (CS share 8.38*)

(*CreateSpace Share (CS) is for formatting ebooks or printing paper books). However they are not the only ones who can format and upload your books to Sony, Diesel or Chapters (Canada) and handle the payments: eBookIt.com and LuLu.com are other options. Yet for paper books CreateSpace seems to be a convenient option.

Kindle Book

What are the E-Book Royalty Rates for Amazon.com, Barnes & Noble and Apple?

Comparison of the maximum eBook royalty rates offered by Amazon.com, Barnes & Noble, Apple iBookstore, etc. This is the percent of the book’s list price that the publisher (or you, if self-publishing) will receive if an eBook is sold through the following vendors:

List Price Amazon.com Barnes & Noble Apple
FREE 0% 0% 0%
$0.99-$2.98 35% 40% 70%
$2.99-$9.99 70% 65% 70%
$10-$199.99 35% 40% 70%

Amazon: For e-books between $2.99-$9.99, Amazon has a delivery charge. For each book sold, it subtracts $0.15 per MB of the book’s size from the list price, after which it calculates royalties. Books <$2.99 or >$9.99 don’t have a delivery charge, but they do have certain size requirements. Books $0-$0.99 are supposed to be ❤ MB, books $1-$1.99 are supposed to be 3<MB<10, and books $2-$2.98 are supposed be >10 MB in size in order to qualify for 35% royalties.

CreateSpace e-Store (e-book):

With the Pro Plan – Royalty = $5.61 (CS share $4.38)
Without the Pro Plan – Royalty = $3.93 (CS share $6.06)

Provided you have a professionally edited and formatted e-book with an appealing cover, you can upload direct to Amazon, which gives you one additional dollar more on royalty per e-book sold -always worthwhile for a successful book!

 
 

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Where Can You Sell Your e-Books?


E-Book sales will rise to almost $10 billion in 2016, according to a JuniperResearch.

Authors and small publishers gain more and more opportunities to market their book and magazin content via online publishers and e-book distributors.  But exactly where can e-books be sold, beside their own e-commerce website – which every author should have to keep 100% profits?

Ebook Stores to submit your book

Amazon (Kindle)
They offer currently over one million ebooks and audio books in various sattelite estores around the world. Royalty rates are 70 percent for titles priced between $2.99 and $9.99 that are at least 20 percent lower than the lowest list price for the title’s print version. For prices below or above, the royalty rate is 35 percent.
Supported formats are PDF, AZW, Mobipocket and ePub.

Barnes&Noble Books (Nook)
Only US-based authors and publishers can distribute through B&N’s PubIt! site.  Royalty rates are 65 percent for titles priced between $2.99 and $9.99. For other prices 40 percent.
Supported formats are PDF and ePub.

Apple iBookstore (iPad)
The Apple iBookstore lists presently over 700,000 titles. The royalty rate is 70 percent for all book prices over $2.99. To publish there you have to use a Mac device and have a US Tax ID (including non-US residents), a valid iTunes Store account among others.

Ebook Stores to submit your book via Aggregators / Author Services

Sony Reader Store
Over 1.2 million titles are currently listed at the Sony Reader Store. Selling books Sony using an aggregator such as eBookIt, FastPencil, LuLu or BookBaby, earned royalty be 60 percent.

Kobo
Kobo lists over 2.3 million titles on their own Kobo eReader Touch. Their focus is on mobile devices including cell phones.  Authors and small publishers must use the eBookIt Distributor. In addition to royalty rates, Kobo charges a conversion fee that starts at $29.
Kobo supports ePub format.

 

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The near Future of Books

Kindle Reader

Kindle e-Reader

Myriads of articles have already been written about the Kindle, Nook and iPad and how they have revolutionized the way people read. Many experts are forecasting that more than 90% of books will go straight to a digital state in the future. More interactive, dynamic literature shows up on e-Readers. Consumers flock to these devices for their ease of use, durability, portability and the fact that they clear up plenty of space on living room shelves.

Authors will grow even more media-savvy
The gap between readers and their favorite authors becomes more and more narrow. Through Facebook, Twitter, foren and blogs, writers can completely bypass the agents and managers and publishers and go straight to the readers themselves. Authors feel as if the trend will continue, they need a viable internet life. Failure to do so, they fear, compromises their chances of getting picked up for publication and capturing the interest of readers — and their money. The industry will probably experience an upswing of writers eagerly embracing social media and blogging in order to promote their work.

Memoirs expand as a genre
Autobiography and memoirs have always been around, but over the past few years have enjoyed more and more popularity — even blending with other genres such as business and travel guides, self-help and how-to books, comics and plenty more. Books will no longer have a minimum length, writers now have a platform to release the works they want people to read on their own terms.

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If you enjoyed this blog post, please feel free to check out all previous posts (there are more than 560 of them : ) if you haven’t already. Why not sign up to receive them regularly by email? Just click on “Follow” in the upper line on each page – and then on “LIKE” next to it. There is also the “SHARE” button underneath each article where you can submit the article to Pinterest, Google+, Twitter, Tumblr and StumpleUpon.

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e-Book Trendspotting

e-Book Trends & Surveys

Several surveys of consumer attitudes towards e-books, e-readers and devices have been released, that revealed trends for the future of digital publishing, helping to support common (sense?) e-predictions.

Respondents who said they prefer to read e-books on e-Readers e.g. Amazon’s Kindle or Barnes & Noble’s Nook, only 27% are buying fewer paperback titles, and only 25% are buying fewer hardcovers, despite almost 40% increasing their purchases of e-books.

This suggests that people will continue to buy multiple formats, despite using an e-reading device.  4% of dedicated e-reader users have bought more hardcovers since they started buying e-books and 2% have bought an increasing number of paperbacks. It turns out that content in multiple formats actually increases book purchasing across the board.

Similarly, of all the US e-Reader owners surveyed by New York-based Verso Advertising’s, over 90% said that they would continue to purchase printed books. The majority (70.1%) said they would purchase over six printed books next year and a quarter (25.8%) said they would buy 13 or more print books.  The context is that e-Reader early adopters would be keener readers.

Are digital growth predictions too optimistic?

No question, digital is increasing, and publishers need to meet their customers demand. Market researcher Mintel’s report, Books and E-Books, February 2011, notes that judging the true size of the market is difficult because of the scant hard data on e-book sales, yet adds: “Regardless of the paucity of data on the subject, there is little doubt from comments made by publishers and retailers that the e-books market is growing rapidly.” The report then suggests that in the US, e-book sales in 2010 were up by 164%, and now account for almost 10% of the market; and that in the UK, e-books are estimated to account for anything between 1% and 3% of the total market.

 

Price issues
E-book readers suggested they should pay less for an e-book than for a hardback, the vast majority is expecting to pay 40%–70% less for an e-book.  Just 19% said they expected to pay the same price for the printed equivalent. The report also states that “e-book readers are most likely to buy books online because it is cheaper (49%), suggesting that, as e-books increase their share of the market, there is going to be even more pressure on prices than there is at present.”

Similarly, BISG’s survey finds “affordability” ranks highest in importance for consumers when deciding whether to buy e-books instead of print books, with just over 70% stating that the price of the title being within an “acceptable range” is a key factor. The ease of acquisition of titles is not far behind, however, with just under 70% suggesting that the ease of downloading or streaming an e-book is very important.

Price slips down a few notches in importance when it comes to the devices themselves. BISG found that when it comes to customer satisfaction with devices, portability (just under 80%) and the ability to carry multiple e-books on a single device (just over 70%), are more important than the actual cost of e-books (just over 60%).

Verso has found that customers’ satisfaction with their devices also seems to be leading to some acceptance of higher prices for e-Readers.
See the whole Verso Survey as power-point-presentation  http://www.versoadvertising.com/dbwsurvey/

 
 

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