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This means readers have the opportunity to buy the books you’re self-publishing instantly. Book retailers and publishers are pointing customers directly at you, customers who have money burning a hole in their pockets
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Umm, they'll point them to
their store where they'll have the books that you contracted with them to publish. No one's going to be pointing anyone at anything unless they get a cut of the pie along the way.
I'm not surprised that genre fiction is heading back to its roots in the limited-availability magazine model. It's inevitable given the sheer bulk of verbiage involved. He's right, the good news is that authors now have a means of maintaining a long tail at little cost, but you still need something to pull people in.