The royalties I'm getting on my paperback sales are much smaller
than my ebook royalties, too.
Not exact matches
I'd love to have an agent if they were able to address the changes in the industry as they occur, rather
than turning only to older models of publishing, e.g. arranging
eBook contracts in which the
eBooks are overpriced and the author receives a small
royalty — ugh, who would want that?
What, other
than conversion, is the publisher doing for the author regarding the
ebook that justifies them taking such a huge chunk of the
royalties?
Smashwords also has some perks that make me wish the outfit had made more inroads into the
ebook market on its own merits (as a seller and not just a distributor), such as the ability to issue coupons, to offer affiliates a greater percentage of the sales price, and the fact that authors receive a higher
royalty rate there
than at any of the other stores.
Each time an
ebook is borrowed the author gets a payment of about $ 2, which is many cases is more
than the
royalty they would result had the
ebook been purchased.
I find it curious that the
ebook royalty rate is 50 % for direct sales, lower
than the 70 % rate most self - published authors get for their e-books on Amazon.
Amazon's
royalty structures drops back to 35 % if your
ebook is priced more
than $ 9.99
And if you price your
ebook over $ 9.99, you need to know that you're losing money on every sale between $ 10.00 and $ 19.99, because you're making half the
royalty — but you're also killing your sales, because (as I mention in # 2 below),
ebook prices tend to be fairly elastic — raising the price by a dollar can often lose you more
than a dollar in sales.
Writers can set the prices of their
ebooks higher
than $ 9.99, but who's going to buy those, and then their
royalties are cut in half.
I mean seriously, if Joe Konrath can make more selling his
ebooks at $ 2.99
than he would get in
royalties off a $ 24 HARDBACK, there's something seriously wrong with the money side of things in traditional publishing.
«Indie
ebook authors are earning
royalty percentages that are 3 - 5 times higher
than what traditionally published authors earn.
It also lends credence to rumors that some top - name authors are already receiving
ebook royalties higher
than 25 % of net.
Essentially, BookBaby, has found that charging legitimate authors an upfront fee to process and distribute their
ebooks may cause some to ultimately opt for one of the sites that makes its profit out of
royalties rather
than pay an initial investment; however, this same business model means that spam and piracy can be kept to a minimum as get - rich - quick scammers are loathe to shell out the upfront cost.
The
ebook must be at least 20 % cheaper
than the print book in order to be eligible for a 70 %
royalty.
What this means is that even though the author and narrator may split audiobook
royalties 50/50, the author gets a better return for advertising
than the narrator ever could; because some people who are sold by an audiobook ad will buy the print or
ebook instead.
After all, it offers the highest percentage
royalty, and
eBooks are usually priced lower
than print books, which appeals to readers who might not want to drop $ 15 on an author they've never heard of.
Even though the retail prices of
ebooks are usually lower
than print, the actual dollar value of
ebook royalties may, surprisingly, be higher!
Because traditional publishers are often foolish in how they handle
ebooks — insisting on seeing them as contenders for paper sales rather
than a different market entirely and generally overpricing them, in addition to generally giving the authors a pittance of a
royalty on them.
Regarding
royalties, it goes like this: Smashwords Wholesale compensation = 60 % of retail (when sold on sites other
than their own) Example: if your
eBook is selling for $ 7.95, the author would get $ 4.77.
(Note that my book is no longer for sale because it's coming out in a revised / updated edition from Writer's Digest Books this fall, and I have little doubt my net
royalty on each
ebook copy of that edition will be less
than what I used to get on the self - published edition — but I'm OK with that).
While the
ebook is available from Untreed's network of more
than two hundred
ebook retailers in its distribution channels, readers who purchase the book from the Untreed Reads store, thereby providing the maximum amount of
royalty for the author and the publisher, as well as bringing consumers to its storefront to discover its catalog of
ebooks, will receive additional content for free, this time in the form of Francke's music.
And at only a 15 %
royalty rate for
ebooks sold through Smashwords, the platform offers the authors a greater percentage of their sales price in
royalty than platforms like Amazon or Barnes & Noble, who take 30 %.
The
royalty program for the Direct to Author program is fairly solid, giving more
than most other websites distributing
ebooks.
What actually may make this venture far more profitable
than enhanced
ebooks from a few years ago is the building on the HTML5 platform for ease of consumption across multiple platforms, as well as Pubsoft's original offering to the digital publishing industry of creating streamlined, one - stop - shopping for authors and publishers to market, sell, and retrieve
royalties on their titles, regardless of retail outlet.
Add to that the problems caused by charging ridiculously high
ebook prices and getting paid less money for those high - priced
ebooks than if the books were properly priced, and the traditionally published writers, who receive 25 % of net
ebook royalties, are really losing money here.
A new report claims that self - published authors have surged to 31 % of
ebook sales on Amazon.com, and are now earning more
ebook royalties than writers published by the «Big five» traditional publishers.
While self - pubbed authors generally price their
ebooks lower
than $ 9.99 (the
royalties they receive by Amazon are cut in half otherwise), indies have responded to the new ruling with an average 5 % price increase.
I've sold audio rights to it for 2.5 times what the audio rights for Riyria sold for, I've sold one foreign deal for it, and I'll make 100 % of the
ebook royalty and more
than twice as much of the audio
royalty.
Different publishers have different rates, you will get a different physical
royalty structure
than you would with
eBooks.
While this still results in a
royalty, that amount is far, far lower on a print edition
than on an
ebook.
With its outrageous download fees for
ebooks (megabyte for megabyte, over five times more expensive
than Verizon cell phone data charges) and the low
royalty it pays on books outside a narrow price range ($ 2.99 - 9.99), Amazon is probably earning double the profits on
ebooks as competitors such as Apple or various national
ebook retailers.
Data shows that authors who sell their
ebooks at a $ 2.99 price point can actually end up earning more in
royalties than authors whose books are priced at $ 6.99 or higher because they move more product.
With a 70 %
royalty and no printing or shipping costs, you are likely to make a higher profit selling your
ebooks at a lower price
than the print version.
US publisher Simon and Schuster has announced that its
ebook royalties will shift to a payment based on percentage of net receipts rather
than a share of the list price.
It demonstrates that at present
royalty rates, publishers benefit from higher margins on
ebooks while authors receive less income
than on the sale of a printed book.
Authors and agents will immediately note that much of the additional profit exists because the
royalty allocation once earned out is $ 1.58 lower on the
ebook than for the hardcover.
To get more in
royalties than an
ebook pays at $ 9.99, its price has to be raised to above $ 27.
Managing director Javier Martín explained that Balcells has a large enough list of authors that they have the ability to negotiate independently with any partner they choose, and believes the
royalties for
ebooks should be higher
than the agreed rate, closer to 40 %.
Many indie authors eschew pbooks over
ebooks because of costs and
royalties and other things (I can release an
ebook more efficiently
than a pbook), but even Amazon does paper (Create Space).
At a certain level of success as an author, it makes a lot of sense to go for the much broader print market in large volume
than the smaller
ebook market with higher average
royalties.
Sales of Konrath's $ 2.99
ebook will deliver him about $ 2.10 a copy (Konrath says $ 2.04; not sure where the other six cents is going...), as much or more as he would make on a $ 14.95 paperback from a trade publisher, and significantly more
than he'd make on a $ 9.99
ebook distributed under «Agency» terms and current major publisher
royalty conventions.
It's almost certain that
ebooks, because they're often self published, and even when traditionally published have higher
royalty rates
than print, make up a substantially higher fraction of author earnings
than they do of consumer spending.
-- 100 %
royalties & Rights — Higher payouts
than CreateSpace and Ingram Spark — Distribution to 39,000 + Book Retailers Worldwide —
eBook, Paperback, and Hardcover Options — Unlimited Consultation — Free ISBNs — Lowest Cost Book Printing — No Minimum Purchase Requirement — Satisfaction guarantee
Since advances from publishers for other -
than - the - biggest titles are also declining, those next - tier authors will find self - publishing or publishing with smaller houses that pay lower advances but higher
ebook royalties an increasingly tempting alternative.
So they can have their star authors sign the boilerplate contract, permitting the publisher to say — almost truthfully — that they don't pay more
than 15 % of cover price
royalty on print or more
than 25 % of net
royalty on
ebooks (among other things).
Written about by several of us, including Michael Cader, Brian DeFiore, Nick Harkaway, the Authors Guild and me, this is the slide that indicates a higher profitability in some circumstances for
ebooks than print, partly in reflection of lower
royalty rates for authors.
Earn better
royalties when you publish an
eBook, better
than paper back books, or hardcover books.
Firstly, although you mention the lower
eBook pricing, you failed to discuss the higher
royalty rates which more
than make up for the price reduction (on the author's side).
«Authors have come to realize that as self - publishing
ebook author, they can enjoy faster time to market, four to five times greater per - unit
royalties, greater creative control, and greater price competitiveness
than traditionally published authors,» asserts Coker.
More
than a few people are asking how long
ebook subscription models can pay a full
royalty — since greater success in engaging users / subscribers means costs can outpace revenue.