Quote:
Originally Posted by fjtorres
Right now, the angst-fest is because Amazon isn't discounting the titles enough to goose sales to their liking.
So, let's play devil's advocate: why should Amazon spend *their* share of the sale price to boost Hachette sales and make less money themselves to make more money for Hachette? In every other business, promotional price reductions to increase sales are, in fact, shared. When Wal-Mart or BestBuy discounts the $199 XBOX to $149 for a week, they're not cutting the price out of the kindness of their heart to help Microsoft make more money selling XBL subscriptions and games. The do get to sell some accesories at full price and make some money off games but Microsoft chips in part (or all) of the discount to get more XBOXes into living rooms.
Whether it be groceries or electronics, cars or video games, retail promos (whether discounts or preferential placement) always involve at least a partial reduction in the wholesale price by the supplier. That's why its called co-op marketting. With pbooks, unlike XBOXes, there are no accessories for Amazon to make money off after discounting their share of the price so there is no advantage to Amazon to moving more Hachette books instead of somebody else's or their own. They can just as easily put their promo efforts behind other books. Maybe from publishers that *aren't* running PR campaigns demonizing them. 
Do note that we don't know why they are fighting because there are no documented specifics, just speculation and name calling. On the other hand, we do know that last year's fight between B&N and S&S (the one that the publishing establishnent tried to keep quiet) *was* over coop marketing.
So, if they are really fighting over coop marketing, all the public handwringing is more than a bit hypocritical.
The only known facts are that two money grubbing multinationals are fighting over how to split the money that isn't going to the creators and that the one pocketing the bigger share is the one trying to pass themselves off as victims. And blocking compensation to the authors.
My heart fair bleeds for them.  |
Your using of gaming consoles as an example is wrong. Microsoft stands to make more money from more consoles it sells as it makes money from subscriptions and games that are sold for xbox so it is willing to give discounts.
Anyway personally I don't care for Amazon or the publishers. As most outcomes from this standoff point to cheaper books and ebooks for me
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