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Originally Posted by stonetools
Macmillan , as a non-settling publisher, has agency pricing, so they can set whatever price they want at Tor.com.
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The Agency deals currently in place do not allow one for a books to cost less at one seller over another. Macmillan says it's "this much" and everyone who sells Macmillan titles has to sell it for that price (or not sell it at all). Therefore Tor.com can't sell the books for any less than Tor sells them on Amazon, B&N, Kobo, etc.
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They may not be able to undercut Amazon, though. (Amazon sells its books at a loss to draw customers to its website, according to most analysts).
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With Agency pricing Amazon makes 30% just like every other retailer there is no selling at a loss involved.
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Also too, they wouldn't have to pay a cut to the retailer.
If they can undercut, then there is a reason to go to Tor.com
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True they wouldn't have to pay the 30%, but at least some of that cut will have to go back into the operation of the Tor store.