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Old 03-01-2011, 08:02 AM   #1
elemenoP
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How much do authors make

How much does an author make per ebook sale:

- under the agency model
- before the agency model
- self-publishing through Amazon
- self-publishing through Smashwords

?

Anybody know?

Thanks,
eP
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Old 03-01-2011, 09:06 AM   #2
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With vanity publishing you get 25% net on ebook sales, which works out about 17% of sale price. With the larger vanity publishers you would get an advance before it was published, and wouldn't get any further income until you had earned enough to cover that advance.

With self publishing through Amazon you get either 30% of list price or 70% of sale price, depending on what list price you set it at. Smashwords I think it's about 60% of sale price but I haven't looked for a few months.
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Old 03-01-2011, 09:10 AM   #3
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How about the agency model?
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Old 03-01-2011, 10:19 AM   #4
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Same percentage, agency pricing just sets the sale price. The higher the sale price the more you would make. Most vanity published ebooks are about $10, so you would make $1.70 per sale. Most self published ebooks are about $3 so you would make $2.10 per sale. When vanity published ebooks drop to $3 (which they almost certainly will sooner or later) you would make about $0.50 per sale.
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Old 03-01-2011, 10:51 AM   #5
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What is vanity pricing?
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Old 03-01-2011, 11:29 AM   #6
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Vanity publishing? It's when people give away 80% of their income so that they can brag about having an ebook published by a "real" publisher.
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Old 03-01-2011, 01:27 PM   #7
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That's an interesting way to look at vanity publishing. Before ebooks and before Amazon, there were vanity publishers who would publish your book (any book) if you pay them. So if traditional publishers rejected your book, you could get it published yourself. You front the money. Nowadays there are other ways of getting your book "out there."

What I was trying to ask originally: how does agency pricing affect "the big guys?" Let's say Dan Brown, for example (Random House author). How much was he making per ebook yesterday, and has that changed today with the new prices and new model? And how does it compare to how much he makes per hardcover or paperback?

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Old 03-01-2011, 02:03 PM   #8
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If the price of the ebook goes up his income per sale will go up but the percentage stays the same. Income for paper/hardbacks varies, anywhere from 10-20% of net. But you won't get anything until you have earned out your advance.
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Old 03-03-2011, 01:42 PM   #9
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It depends on the base price and varies.

Smashwords I get about 60-80 cents I think for each 0.99 story I sell but it depends on how many titles the buyer buys at one time as there's a transaction fee... the more titles bought that fees gets split apart.

I only get 0.35 from Amazon for each title I think.
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Old 03-07-2011, 02:53 PM   #10
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Quote:
Originally Posted by elemenoP View Post
How much does an author make per ebook sale:
I think the important thing to remember, LMNOP, is that authors without a publisher don't do it for money, only for love.
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Old 03-07-2011, 03:15 PM   #11
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I gather a "real publisher" includes any of the Agency publishers.
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Old 03-08-2011, 10:06 AM   #12
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I gather a "real publisher" includes any of the Agency publishers.
The usual definition of a real publisher is based on how the money flows and who the publisher's actual customer is.

For the vanity publisher, their customer is the author: their advertising is geared to attracting authors, their products are those needed by authors, and most important of all, the overwhelming majority of their money is paid to them by authors. For the real publisher, their customer is the book buyer (either retailer or end-user, depending). Their advertising focuses on selling books, their products are their books, not their "author services", and they pay authors, rather than authors paying them.

Basically, if they accept your book because they can make money selling your book, it's traditional; if they accept your book because they can make money printing your book, whether or not it sells, it's vanity. In fact, that's one single question (aside from the "who pays whom?" already mentioned) that can distinguish the two: Will they lose money if your book tanks? For traditional publishers the answer is a resounding "yes", and for vanity publishers (despite what they claim about the "added value" of their services) the answer is an equally resounding "no".
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Old 03-08-2011, 10:06 AM   #13
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I don't know about the rest, but for Smashwords -

@$4.99 = $3.87 if no affiliate or coupon.
@$4.99 = $3.01 sold through Apple

@$2.99 = $2.12 if no affiliate or coupon.

I don't have a lot of other data yet. Once I sell millions, I'll be able to give you more details.
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