~ August 9th, 2014 ~
Like many a KDP author, my husband and I checked our emails over a Saturday morning cup of coffee. A lengthy email from the Amazon Books Team took center stage among the others and we dove in. Impromptu messages from our global distribution partner are rare, unless something is amiss or some new program has been launched. A “reader” version of this email can be viewed here.
The email began with a well-worded history lesson, harkening back to the birth of the paperback and likening its poor reception to today’s ongoing issue with Hachette. Apparently, the traditional publishing industry has prior offenses in marshaling authors to exclude a particular reading medium which it views as a threat. The paperback–now the bread-and-butter darling of the paper book industry–was once painted with leper-like status and bookstores refused to sell them, saying that it would cheapen literature as a whole. Several independent publishers, however, rejected that idea and printed them anyway–as they were very cheap to produce–and sold them at news-stands and drug stores. A huge demand for the humble paperback ensued and–contrary to the book industry’s dire predictions–literacy rates exploded. Yes, garbage was printed along with the good stuff, but the point Amazon’s email extrapolated from its mini-history-lecture was that the price of the paperbacks was in proportion to its production cost.
My husband and I glanced at each other over our coffee cups. My raised eyebrow was answered by his sage nod. A familiar scenario, indeed. As authors we, naturally, don’t want to see eBooks get so cheap that it doesn’t make business sense to keep writing them. To us, charging less than $2.99 would not just be insulting, it wouldn’t be worth the effort considering the amount of time the average writer spends on the actual writing (6 months-1 year per title) let alone the expensive editing services ($900-$1200 per title) and artwork/formatting services, as well as the subsequent website/marketing.
Our books are on the lower end of the scale simply because we self-market and utilize high-quality software for formatting; if we hired those services out we’d have to charge a little more per book. Though we like the control aspect of setting our own prices, we agree that prices should not be raised or lowered across the board, as if they are all alike. Books, like every other commodity is subject to supply and demand. We also strongly feel that $.99 for a full-length novel is just too low, unless used on a temporary promotional basis… which is another thing consumers seem to like, so it stays.
Whether or not you agree with Hachette’s argument or Amazon’s–or have a foot in both camps–most folks agree that the eBook revolution came about because of one industry’s blatant refusal to evolve. The demand for eBooks is there because consumers want them. End of story. Consumers also don’t want to pay paper prices for digital books. Folks are smart, publishers… they know eBooks are far, far cheaper to produce than paperbacks. Consumer knew this long before Amazon’s Saturday email… and yet Hachette seems to be insistent that consumers pay $9.99-$14.99 for their eBooks.
I admit I let out a rather mocking snort upon reading that bit of information, knowing full well I could walk into any bookstore right now and purchase a tangible, paper book for that same price. Having made and formatted my own eBooks for some time, I know that the cost of self-publishing an eBook–for us–is about $2. For Hachette to charge such ridiculously high prices for eBooks brooks of greed.. and arrogance; even worse, it is the kind of arrogance that appears deliberately ignorant of the lessons other companies were able to learn over the last ten years: 1. eBooks are here to stay, 2. publishers must evolve or go extinct… and 3. the customer is always right.
The entire argument boils down to this: in the past traditional publishers refused to give consumers what they wanted… so, they migrated. Amazon was more than wiling to extend a hand to self-published writers in order to meet demand, and then went a step further in letting said writers control what prices they wanted to set their books at. Consumers responded in droves, and still do… and are likely to continue to flock to the mega-online retailer for some time to come, despite its rather mysterious PR system and cloaked industry data.
Dislike or like Amazon as you will. Agree or disagree with Hachette’s many gripes. From the perspective of actual writers, however, my husband and I love getting 70% royalties from our own work, something I bet a Hachette author would just love to have for themselves, and this despite pressure from their contracts/agents forcing them to voice a feeble opposition.
I admire Amazon Book Team’s endeavor to garner the ire of its vast array of indie writers by pointing out anti-trust-like collusion between companies and encouraging both writers and readers alike write to Hachette’s CEO and voice said feelings. I doubt it will do any good. History shows us that most mega-publishers have an ingrained habit of not listening to consumers until its almost too late.
I am certain many self-published writers view the entire Amazon VS Hachette debate with a ponderous grimace. They give a rueful shake of the head, let out a half-sighed remark on the stubbornness of human nature and then move on to check their latest hourly sales figures… whereupon the smiles return once more.