Thread: Prediction for 2011 from Smashwords Founder
View Single Post
Old 01-20-2011, 04:14 PM   #99
JSWolf
Resident Curmudgeon
JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.JSWolf ought to be getting tired of karma fortunes by now.
 
JSWolf's Avatar
 
Posts: 80,083
Karma: 148029447
Join Date: Nov 2006
Location: Roslindale, Massachusetts
Device: Kobo Libra 2, Kobo Aura H2O, PRS-650, PRS-T1, nook STR, PW3
Quote:
Originally Posted by Andrew H. View Post
It's not about sales, it's about profit. Both the publishers and the authors will make more money if they sell 10,000 books at $9.99 than if they sell 20,000 books at $2.99. The profit that they make on a $2.99 sale that they would not have otherwise made is much less than the profit they they lose by selling a book at $2.99 to someone who would have paid $9.99 for the book.

What they publishers and authors are looking for is the magic price that will maximize profits by optimizing *both* the number of sales *and* the profit per sale. They can't just focus on the number of sales - you maximize that by giving the book away, or selling at cost.
If you have a hardcover and an eBook and you price the eBook at $9.99, then you will find you will have a lot more sales then you do pricing the eBook at $14.99. And I do feel that the increased sales would generate the publisher more money.
JSWolf is offline   Reply With Quote