Thread: C|Net: Why e-books cost so much
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Old 04-26-2012, 04:11 PM   #68
murraypaul
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Quote:
Originally Posted by Sil_liS View Post
The article in the OP had this calculation to prove that publishers are making less money with the agency model:

Take that $24.99 list price. Let's say the e-book would have sold for $9.99 at Amazon in the old days but now the publisher charges the consumer $12.99:

Wholesale model e-book:
Publisher: $12.50 (roughly 50 percent of $24.99 hardcover retail price)
Amazon: - $2.50 (selling at $9.99)

Agency model e-book:
Publisher: $9.09 (70 percent of $12.99)
E-bookseller: $3.90 (30 percent of $12.99)
So on what planet did ebook prices drop from $25 to $13 when agency pricing was introduced?
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