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Comment: Re:E-book prices (Score 1) 97 97

Makes sense. I've been looking into this as a self-published author, and your numbers definitely work out, or should even be maybe more extreme. Selling an ebook through Amazon for $5 gives a 70% royalty, or $3.50. Print versions through CreateSpace are going to vary depending on production values, but may end up being around $5 for the cost of creation, and then Amazon will cite a minimum price (I was seeing around $10 or $12, again depending on the number of pages), though that doesn't give the author the same royalty. I think I had to pick $12.50 (shorter book) and $14 (longer book) to hit the same $3.50 royalty. So at least from the perspective of a self-published author, the ebook can be less than half.

Now that's for print on demand. A traditional publisher run definitely costs less per physical book, so the ratio of electronic to print price ought to be smaller. A 30% discount on electronic may be reasonable.

Comment: Re:E-book prices (Score 1) 97 97

The publishers are the ones that first sell eBooks for the price of the hardcover paper book and only go down with the price when the paperback is released.
It doesn't make sense that the same eBook suddenly should be worth only a third of what I would have had to pay earlier.

That model actually makes a lot of sense to me. Pay more if you're impatient and want to see it new, pay less when it's older. You see that kind of system regularly with DVDs, where a new release may be $20, but it'll be $15 or $10 after a year, and in the $5 bin a few years later. Computer games, too, except that you're starting at $60 and going down in several steps to $20 and then maybe $10 or $5. What's really amazing is that books are so insensitive to this trend.

Comment: Re:Good (Score 1) 97 97

But it *is* 70% to Amazon for books between $0.99 and $2.98. Maybe that's justified by the fixed costs Amazon faces, which are a greater percent of a smaller price, but it still seems absurd to me. Of course my response is just to not price ebooks under $2.99, and then I can avoid it.

Comment: Re: Tell me... (Score 1) 172 172

This is completely inaccurate. See all the other notes that this is for the lending libraries only. Amazon pays out the same total regardless, but they're redistributing royalties in a way designed to better reflect reader enjoyment. This change doesn't result in Amazon keeping any more money than previously.

Comment: Re:Goose Sauce (Score 1) 172 172

This type of pricing will encourage creation of cheap novels and reference material a lot.

There's going to be a mix. It may encourage larger volumes, as long as those volumes are good enough to keep readers turning pages. It will discourage really awful/cheap materials, because if readers give up on it the royalties will drop. It will discourage authors gaming the system by breaking up one long "book" into lots of short novellas, and getting paid, say, 10 times for 10 novellas instead of once for one novel. It will discourage scammy behavior like flooding the market with lots of promising titles with real junk (possibly copy/paste of other works, or procedurally generated stuff, not just poorly written) or behavior like trying to use a similar title to pick up accidental sales, where a reader downloads it and then realizes it's it's the wrong thing and gives up on it. All of those misbehaviors will be punished by diminished royalties. Where before there was an incentive to just get the download so that you can get paid, now tricking them into downloading won't cut it. There has to be actual value inside the book to earn royalties.

Comment: Re:I do you know I read a page? (Score 1) 172 172

I don't think the examples you cite will significantly affect the program. For instance, stalling on a page while you sleep doesn't do anything. Turning to a page today that you don't actually read until tomorrow doesn't do anything. Turning one more page, waiting until tomorrow, and then deciding the book is junk that you're not going to finish, gives the author credit for exactly one additional page read, which is a minimal difference in royalties.

Never say you know a man until you have divided an inheritance with him.