Thread: Smashwords Moves to Agency Model
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Old 12-04-2010, 04:52 PM   #63
Kali Yuga
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Quote:
Originally Posted by rhadin View Post
I still buy from Smashwords but my question remains: If the author sells the ebook for less than the agency price by providing a discount coupon, don't the terms of Amazon's contract allow Amazon to lower the price to the coupon price?
I may be wrong, but I believe coupons don't count in this situation. It's not the same as if Smashwords put it on sale, since the buyer needs to take additional steps to get the lower price, and it is unlikely to be applied 100% across the board.


Quote:
Originally Posted by rhadin
The reality is that Amazon is not a fair player in the ebook market -- never has been and probably never will be.
Or in the paper market. They've been the proverbial 800 pound gorilla in the book industry for years now. (And it was not long ago that many people vilified Amazon up and down on MR.)

However, I tend to doubt that eliminating Amazon would truly resolve this issue. B&N used to be the big bruiser; whoever succeeds Amazon will likely be just as abusive.

Plus "monopoly" is not necessarily an unethical or illegal position. It is only problematic when they engage in damaging anti-competitive behavior -- which, by the way is going to be rather difficult with agency pricing.


Quote:
Originally Posted by rhadin
Amazon dictates the terms of the contract to indie authors. There is no negotiation.
True, but the same goes for Smashwords, B&N and the other distributors.

Meanwhile, none require exclusivity, all let the author keep the copyrights, and there is (afaik) no minimum time you need to offer your books through them.

And let's face it, if you're selling 10 books a week @ $3 each, you are not in a position to negotiate. If you're selling 1,000 books @ $10 each, then perhaps you've got some leverage.


I won't say that Amazon is fantabulous. But for better and for worse, there isn't much doubt that they are the most significant force in developing online book sales and in developing the ebook market; and at this point, they are unlikely to be supplanted by a company whose board of directors is composed of puppies, sunbeams and rainbows.
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