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Originally Posted by Worldwalker
So what keeps Baen Books in business? They sell ebooks at $5-$6 apiece, without benefit of NYT bestsellers. They sell a lot of them.
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They have a niche audience.
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We could use some input from someone with publishing industry experience here: Do bestsellers subsidize the midlist? Does the midlust subsidize bestsellers? Do they live separate economic lives? How does it work, economically?
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Comment from the publishing industry:
http://nielsenhayden.com/makinglight...48.html#396969
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A fixed $10 price point would certainly be good for Amazon's ebook business, but it would take a shark-sized bite out of the market for hot new bestsellers, which is trade book publishing's single most profitable area.
That revenue source is what keeps a lot of publishing companies afloat. It provides the liquidity that enables them to buy and publish smaller and less commercially secure titles: odd books, books by unknown writers, books with limited but enthusiastic audiences, et cetera.
My honest estimate is that the result would be fewer and less diverse titles overall, published less well than they are now.
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