Macmillan CEO John Sargent on the agency model, availability and price

[pilotbob]

Originally Posted by jxh11215

If any attorneys are lurking, what is the possibility of a class-action lawsuit? DTBs don't seem to fall under this agency model, the bookstores, whether b&m or online buy them, then sell at sometimes drastically discounted pricing, but this agency model means that ebook consumers are forced to deal with a fixed price.
Anything.

Many companies sell stuff under the agency model with retailers. For example, Apple and Nintendo... so matter where you buy there stuff you pay the same price. This is because they don't wholesale to the retailer, the retailer acts as an agent and gets a commission on the sale.

Considering this has been going on for many years with two high profile manufacturers (I'm sure there are more that do it) I'm pretty sure there is nothing illegal about it.

BOb

[jxh11215]

Originally Posted by pilotbob

Many companies sell stuff under the agency model with retailers. For example, Apple and Nintendo... so matter where you buy there stuff you pay the same price. This is because they don't wholesale to the retailer, the retailer acts as an agent and gets a commission on the sale.

Considering this has been going on for many years with two high profile manufacturers (I'm sure there are more that do it) I'm pretty sure there is nothing illegal about it.

BOb

Yeah, but the same item under two different models? DTBs under one and ebooks under another? That doesn't sound right to me.

[Terisa de morgan]

Originally Posted by JSWolf

Actually, it's cheaper at Fictionwise even if you are not a club member.

Non-club - $7.73
Club - $6.58

http://www.fictionwise.com/ebooks/b1...e-Warren/?si=0

You mean after rebate, don't you? Other mass market have 6.58 or less BEFORE rebate. Anyway, at the end, it's a personal decision to buy or not.

[DawnFalcon]

Originally Posted by pilotbob

Nintendo

Cite?

[pilotbob]

Originally Posted by DawnFalcon

Cite?

I don't have anything to "cite" but if you shop for a DSi for example, it is the same exact price everywhere. It is the same price at Best Buy, Sams Club, etc. I will admit I am human an fallible and this is based of personal observation.

Of course the way retailers get around this is bundling and such. For example, Best Buy offers gift cards some times if you buy an iPod because they are not able to discount the iPod.

BOb

[DawnFalcon]

Well, I'm in the games industry and as far as I know Nintendo use the same retail model as everyone else...

[pilotbob]

Originally Posted by DawnFalcon

Well, I'm in the games industry and as far as I know Nintendo use the same retail model as everyone else...

Could be. Bottom line, I expect (once again I'm not a layer, thank god) that selling ebooks using a agency model and pbooks using a wholesale/retail model is not in anyway illegal.

BOb

[dmaul1114]

Yeah, all the game companies use that same model. Nintendo is just more stubborn than the other two about having official price drops on their games. You still see sales on them in various retailers (and there are sales on DS etc.--just not a lot as the DS and Wii sale a crazy amount still so sales aren't needed).

But I do agree, there is nothing illegal about using an agency model in current laws that I'm aware of--at least in the US. Most just don't do it as it's not good to try to force pricing on retailers who you depend on to get your product to customers.