Publisher Backlash Against Amazon

[Alisa]

So it seems pretty worthwhile if you figure you will sell at least a few hundred copies of each book. If it won't sell that much then maybe it's not worth it to do your back catalog, but doing your new stuff would be practically no additional cost. You just need to keep track of your final digital copy.

[Elfwreck]

It's definitely worth it financially; the key issue is whether the publisher has the ability to figure out the tech involved and how to enter the marketplace. That costs an indefinable amount in concentration and education.

It's not a case of "don't you want to make money?" but "are you willing to change your focus to include a new industry?" Ebook production is done differently; they'd need new workers, new software, new training methods. Ebooks are marketed differently; they'd need to either hire someone they trust to arrange deals with BoB or Fictionwise or whatever, or they'd need to figure out the market themselves.

All that means changing what they do, what "being a publisher" means. And while I very much want all publishers to get into ebooks, pronto ('cos I can't stand to read paper anymore), I understand it's not as simple as "just scan the books & hire an extra proofreader or two."

It's as big a switch as going from restaurants to fast food drive-throughs... and a lot of publishers think it involves the same loss in quality.

[redhairgal]

Good thread! Of course almost everyone who is sentient knows how well ignoring technology worked for RIAA and MPAA LOL! Just because you ignore technology progress will not stop because of you and when you refuse to control your own destiny you often don't like the future others create for you.

[HansTWN]

When we are talking about the cost of converting a book for a publisher we do not have to consider scanning. They have an electronic version anyway, before printing. I think it is purely a marketing decision. They don't want to relinquish so much power to Amazon and others, and some may just not believe that their target readers would actually prefer e-books (for small, specialty publishers). And some will be worried about unauthorized copying.

[Alisa]

Originally Posted by HansTWN

When we are talking about the cost of converting a book for a publisher we do not have to consider scanning. They have an electronic version anyway, before printing. I think it is purely a marketing decision. They don't want to relinquish so much power to Amazon and others, and some may just not believe that their target readers would actually prefer e-books (for small, specialty publishers). And some will be worried about unauthorized copying.

You would think they would have such a thing but apparently they often don't with back catalog stuff. I assumed that, too, when I first got into ebooks but apparently many publishers don't have good version control or a system of electronic archiving. They're doing that now but from what I've heard from publishing folks here, even a few years back that wasn't terribly common. Shocking, isn't it?

I think the biggest thing they worry about is their margin. Printing and distributing is expensive and there are certain fixed costs associated with it that will be higher per-copy as more digital works and fewer print works are sold. If they could abandon print, that wouldn't be an issue but it will be awhile before that happens. There's a lot of pressure to lower the digital price, too, since consumers don't feel it's fair to stick them for print costs. The publisher needs to make their product (the title) profitable across the combination of all formats. If its highest margin sales, the hardbacks, are cannibalized by ebook sales, they have to really restructure how they do business. Personally I think we'll end up with a combination of ebooks and POD but it's going to be a painful transition.

I'm sure they are also quite worried about unauthorized copying but what many fail to realize is that just because they don't release an ebook, that doesn't mean they aren't out there. It just takes one person digitizing a copy and there you go. The unauthorized copy gets them no money in addition to taking away from print sales. An authorized copy gets them some money. Last I checked, some was better than none. So they can resist ebooks all they want but it won't get them anywhere. The more people get used to reading on a device, the less they will tolerate having to go out and buy a paper book. If publishers don't make it easy for customers, they'll get it off the net for free. If they charge an unreasonable price, same thing. Most folks have a threshold where they will justify it. Sure, some will always get the pirate copy. Worrying too much about that can make them miss the big picture. I think most will buy if it's reasonable and simple.

[nekokami]

Originally Posted by Alisa

Printing and distributing is expensive and there are certain fixed costs associated with it that will be higher per-copy as more digital works and fewer print works are sold. If they could abandon print, that wouldn't be an issue but it will be awhile before that happens.

Very good point.

I know there are book trade conventions (like the mystery one mentioned earlier). Maybe some of us who read and enjoy ebooks should try to attend such events when they are near us, to show publishers and authors examples of ebooks and readers done well. What might be a good way to coordinate such an effort? Start a sticky thread specifically for posting information about events and responses from people who can attend? I could probably help with digging up info on events, but I'd need a few more people, especially outside of the US, to be able to get good coverage.

[Daithi]

That's a great idea Nekokami!

[griffonwing]

Originally Posted by Alisa

......... The publisher needs to make their product (the title) profitable across the combination of all formats. If its highest margin sales, the hardbacks, are cannibalized by ebook sales, they have to really restructure how they do business. Personally I think we'll end up with a combination of ebooks and POD but it's going to be a painful transition.

I don't thing Hardback sales will ever be cannibalized. There are too many people who purchase the hardbacks for collections.

I see ebooks really only taking over the paperback sales.

This is regular ebooks, not manuals/pdfs/textbooks etc...

[nekokami]

Originally Posted by griffonwing

I don't thing Hardback sales will ever be cannibalized. There are too many people who purchase the hardbacks for collections.

I see ebooks really only taking over the paperback sales.

This is regular ebooks, not manuals/pdfs/textbooks etc...

Current practice with many publishers is to hold off the paperback release until about a year after the hardcover release, to try to make as many high-margin sales as possible. Would it be better, do you think (plural "you" here), for publishers to hold off a year for ebooks, or charge hardcover prices for the first year? (Or a price at equivalent profit margin, as presumably a new ebook would be less expensive to generate than a print run of hardcovers?)

[Alisa]

Originally Posted by griffonwing

I don't thing Hardback sales will ever be cannibalized. There are too many people who purchase the hardbacks for collections.

I see ebooks really only taking over the paperback sales.

This is regular ebooks, not manuals/pdfs/textbooks etc...

I don't think they will be cannibalized 100% but the hardback buyers are typically either people who want the nice binding, people who are collecting or people who want the book right away will pay more not to wait. That last group is why they delay the paperback. They want to make a high margin sale on that consumer who is willing to pay a premium to have it now. Many in that group will end up going for the ebook. For them, the attraction isn't the better binding and paper, it's the timing.

[nekokami]

Of course, Baen has found a good way to capitalize on this market as well-- charging a premium for e-ARCs (Advance Reader Copies), which aren't completely proofed yet. There are books for which I'd happily pay the premium.

[rhadin]

Originally Posted by griffonwing

I don't thing Hardback sales will ever be cannibalized. There are too many people who purchase the hardbacks for collections. I see ebooks really only taking over the paperback sales. This is regular ebooks, not manuals/pdfs/textbooks etc...

I think you are correct. I buy only hardcover and ebooks now (although my wife still buys paperbacks) and I only buy hardcovers for books that I want as permanent members of my library.

[BooksForABuck]

This is very funny. I did a quick search and found that at least some of their books are available in paper format through Amazon. Surely if they hate Amazon so much, they would find a way to keep their books from being listed there.

Seriously, being a book lover, I can understand a reluctance to go with eBooks. The first time I was exposed to the idea of eBooks, back in the late 1980s, I thought, useful for reference but not the same as reading. The first time I read an entire novel on my Palm, though, my eyes were open. After a while, the device goes away and only the story remains.

I've got no knock against publishers going with business models that work for them. I sell paper as well as eBooks because my authors like to have paper available. If Rue Morgue's authors and customers don't demand eBooks, more power to them. I also have no knock against anyone who's suspicious of Amazon. I'm suspicious, too. But I believe in finding my customers where they are. If some of my customers have Kindles and buy through the Kindle store, you can bet that I'll be there, too, and Amazon does make it affordable for small publishers to participate (although they do take a nice little cut for themselves).

Rob Preece
Publisher, www.BooksForABuck.com

[poohbear_nc]

To recap my queries of small publishers as to their plans for ebooks:

Rue Morgue Press -- Hell no! Death to Amazon!
Landrau & Crippen -- Never - we love pbooks.
Poisoned Pen Press -- Yes - will be increasing number of titles offered!
Felony & Mayhem -- No answer yet. Last year I got a definite no from them - the rep said they were reluctant to re-negotiate contracts with their authors.

Will update as I get more info!
Other folk might want to email their favorite smaller publishers - so we can get some idea of how the publishing industry is dealing with the ebook dilemma!

[ayrkain]

I realize this topic has mostly been about book publishers, but I saw this article in the New Yorker on Techmeme, and thought it might be relevant also.