Retail the books at whatever price the publisher wants, but then arrange with publishers to do amazing sales. If they manage to advertise the sales to likely consumers based on product purchasing history (Nico buys fantasy novels at a disproportionate rate to others, advertise this fantasy novel to him) they stand to make a lot of money. For instance yesterday I had been watching some comic con panels that featured some of my favorite authors. One of the other authors (Patrick Rothfuss) on the panel was an author I had been interested in and meaning to read for some time. Yesterday I went to buy the book and to my pleasant surprise it was marked down to only four bucks. I bought it instantly. However if that had happened and it had been advertised to me at any point in the last six months, I would have bought the book on the spot at that point. If they can find a way to make such happy accidents happen regularly, everybody wins.