rolanni: (blackcatmoon)
[personal profile] rolanni
So, Apple introduced its new Shiny! Toy! a couple days ago, and revealed that the Apple Ebook Store will be selling ebooks at a more reasonable price point than Amazon.com. One of Apple's partners in this is Macmillan Publishing. Amazon.com is Not Pleased with this defection, so it's reported by several Macmillan authors and in other places that Macmillan books have been yanked from Amazon's US database. Just, so says one wag as a "temporary measure" to bring Macmillan to heel.

Read all about it: here and here

And they wonder why authors drink.

Speaking of which, I think I need more coffee.

Date: 2010-01-30 03:15 pm (UTC)
From: [identity profile] growlycub.livejournal.com
I have to admit I see nothing reasonable in a $15 price point for an e-version of a book that retails for $6.99 in mmp.

I usually am not in favor of Amazon (matter of fact I don't buy from them at all), but in this case Macmillan is clearly at fault for trying to force Amazon to increase their prices so Macmillan can then sell at the higher price point in the Apple ipad store.

As a consumer I've been looking at Macmillan as a liability for their authors for quite some time. E-books are here to stay.

Any publishing 'professional', who says readers who do not want to put on their coats and drive to the bookstore are not customers they want, deserves to be laughed out of business. It's just too bad that the authors are the ones suffering for the CEO's idiocy.

Date: 2010-01-30 03:22 pm (UTC)
From: [identity profile] rolanni.livejournal.com
Personally, seven bucks is about the top limit of what I consider a reasonable price for an ebook -- comparable what I would spend on a mass market, which is what I see ebooks as replacing -- and, yes, Macmillan apparently has rocks for brains.

What burns my toast is the authors who are being crunched in yet another Battle of the Clueless Titans. There are already plenty of things we have no control over in our so-called "careers," and it just keeps getting worse.

Date: 2010-01-30 03:31 pm (UTC)
From: [identity profile] growlycub.livejournal.com
I totally understand the frustration of authors who are seeing their books not available on Amazon and of the readers who now cannot buy them. As far as I can see right now everybody loses. I'm a bit surprised, however, that authors overall seem to be blaming Amazon for a move that was initiated by Macmillan (as seen on twitter, Scalzi, Jay Lake, etc).

I just cannot understand why most traditional publishers are so insistent that e-books are infringing on HC sales. I don't buy hardcovers (well, very very very rarely :). The idea that if they make an e-book as expensive as a HC and never drop the price, even after the mmp version comes out (as Macmillan has done), I'll buy the HC instead of the e-version is just idiotic. I don't buy the book at all, because by the time the mmp comes out I've either forgotten or lost interest in most cases.

The vast majority of actions by publishers these days make it abundantly clear they a) consider resellers as their customers and not readers and b) they couldn't care less what the readers of their authors really want.

I can only consider that really bad business practices, especially in an economy where it looks like publishing may become an endangered species...

Date: 2010-01-31 04:13 pm (UTC)
From: (Anonymous)
"The idea that if they make an e-book as expensive as a HC and never drop the price, even after the mmp version comes out (as Macmillan has done), I'll buy the HC instead of the e-version is just idiotic."

Well, you may have seen this on the second round of stuff already (I'm writing late enough to likely be Not News...) but the Macmillan plan appears to have been an e-book price coordinating with the current dead tree price... starting at HC, and going down to MMPB, when that became available. Suricattus quotes the whole memo, but here's the key line --
"Our plan is to price the digital edition of most adult trade books in a price range from $14.99 to $5.99. At first release, concurrent with a hardcover, most titles will be priced between $14.99 and $12.99. E books will almost always appear day on date with the physical edition. Pricing will be dynamic over time."

http://suricattus.livejournal.com/1201664.html

-- Meg D, late as usual...

Date: 2010-01-31 11:50 pm (UTC)
From: [identity profile] growlycub.livejournal.com
Yes, I've seen that 'open letter' advertisement.

You'll have to forgive me if I don't believe a word that comes out of these peoples' mouths. :)

After all, their CEO has come right out and said that he wants people to go out and buy paper books not e-.

Seems Amazon caved. I don't believe for a nano-second that they were doing it for the readers, but I'm even more convinced that Macmillan has no intentions of making e-books available to readers at reasonable prices.

Their history and public statements speak for themselves.

Will be interesting to see who was right about where this is headed in the end.

Date: 2010-01-30 11:42 pm (UTC)
sraun: portrait (Default)
From: [personal profile] sraun
I have no philosophical objections to e-books that track the price of the current dead-tree editions.

I think it is insane for the e-book to continue to cost $15-25 when the MMPB is out for $7-8.

I know that the fixed costs for producing an e-book are similar to the fixed costs for producing a dead-tree book - the only significant difference is materials cost, and that's ~10% of the cover price.

I know the publishing industry is almost as bad as the recording industry when it comes to transparency of accounting.

Until the cost of readers is in the range of hard-cover books, they are not going to be in everyone's hands. (James Bryant has a really good write-up on what an e-book reader should be.) They need to be able to survive in wet, cold, dry & heat, or be cheap to replace. When I can get something similar to the Kindle or Nook or whatever for $20-40, then I'll expect to see it everywhere. Until then, e-books are going to be a specialty market. My pricing might be a little low - how cheap did MP3 players have to get for them to be ubiquitous? I wasn't really tracking that. In all honesty, I think we need that kind of ubiquity before the MMPB pricing model will work for e-books.

Baen is held up as an e-book model - I wish they'd provide more information on exactly how the business model is working for them.

I have been known to pay $18 for an e-book. I may have paid ~$25. I have to really want them - there's a very small list of authors that get that treatment from me.

Date: 2010-01-30 03:15 pm (UTC)
From: [identity profile] scrapcat.livejournal.com
Not only are authors getting screwed, so are readers and Kindle owners. Does anyone know if the B&N nook is affected?

Date: 2010-01-30 03:25 pm (UTC)
From: (Anonymous)
Actually, this may not be a popular opinion but I think Amazon is in the wrong here. Free enterprice means that the publisher should be allowed to set the price and sell their product to whomever they like. If they price themselves out of the market then they will learn a much needed lesson.

It'll be interesting whether or not people vote with their feet on this one. If I want a book badly enough I will go elsewhere to buy it. If I want really, really want it I'll even pay a higher price, if there is no other option.

I hope this doesn't affect you or Steve too badly.

Tricia

Date: 2010-01-30 03:31 pm (UTC)
From: [identity profile] ariaflame.livejournal.com
I get their ebooks via Baen usually. Dead tree versions I managed to get via local sf store who is nice enough to order in. I'm not sure whether it will affect S&S but hopefully not detrimentally.

Date: 2010-01-30 05:32 pm (UTC)
From: [identity profile] kinzel.livejournal.com
Our books are on Baen's Webscription program ... so not a problem for us. The webscription model, including e-arcs and bundles and single sales seems to work well for them, and for us -- http://www.webscription.net/

Date: 2010-01-30 09:43 pm (UTC)
From: [identity profile] gingerwood.livejournal.com
Free enterprise also means that amazon doesn't have to do business with entities whoes business practices it doesn't like. It's not the the publisher doesn't have other options, they could even open their own virtual storefront, like Baen and sell the books at whatever price they like.

Personally, I think that Baen has the best business model going for ebooks. The free library too hook readers, then sell them the back list at a reasonable price.

Date: 2010-01-31 04:37 pm (UTC)
From: [identity profile] rolanni.livejournal.com
Actually, this may not be a popular opinion but I think Amazon is in the wrong here.

Oh, I think there's enough wrongdoing here for everyone, though later reports -- from Macmillan (http://suricattus.livejournal.com/1201664.html), mind you -- would seem to indicate that Amazon is displaying far more eggs than the situation called for.

Date: 2010-01-30 04:06 pm (UTC)
From: [identity profile] johnhawkinson.livejournal.com
Wowsers. I don't read any of the Big Blogs (like Making Light (http://nielsenhayden.com/makinglight/archives/012148.html#396969)) so I hadn't heard. I could care less what Amazon does with its ebook sales in disputes like this, but refusing to carry print books from a publisher seems like a huge foul.

(And, to pick MacMillan, the parent company of Tor Books, of all publishers. Well, I guess that's my SF-centric view, but you couldn't have picked a single publisher that would anger me, as a reader, more.)

As an Amazon customer and shareholder, I did send them a strongly-worded email with my views on this (via their web site; and also to ir@amazon.com, their Investor Relations email; and also to jeff@amazon.com, a putative-so-the-Internet-says address for Jeff Bezos), and also call up their customer service folks and left voicemail for their investor relations folks.

The customer service conversation was interesting. The first low-level person I spoke with was clearly familiar with the issue but didn't really have any recourse other than encouraging me to send email, but was willing to transfer me to a supervisor -- though there the call got dropped.

On the second call, none of the low-level person answering the phone, the 2nd-level person I was transferred to, nor the 3rd-level manager I spoke with were aware of the issue at all. I guess that means Amazon has not been receiving many phone calls about it, which seems a shame. I guess I would encourage anyone who is concerned about this to let them know what you think!

For me, it's do what you want in the emerging market of eBooks, but don't allow an eBook dispute to mean that you don't carry print books from a particular publisher.

(I wonder how I would feel if Amazon suddenly stopped discounting MacMillan books and just started charging list price for them. That would be hard to think about...)

p.s.: Saltation ARC (dead tree) spotted in the wild!

Date: 2010-01-30 07:02 pm (UTC)
From: [identity profile] barsukthom.livejournal.com
Why does this smell like the whole "mid-list" massacre to me?

Macmillan not Amazon is the problem

Date: 2010-01-30 09:58 pm (UTC)
From: [identity profile] arshield.livejournal.com
This is about Macmillan, not Amazon. The ipad announcement (which Macmillan got kicked out of because they violated their NDA) said that they wanted to start selling new ebooks at $14.99 not the standard $9.99 that Amazon shoots for. Amazon announced recently that they would give 70% royalties for authors/publishers if they followed the rules (price the book at no higher than $9.99 was one of them.) So Amazon is working hard to keep prices moderate. Many still think that $9.99 is too high for a digital product, but very few would be willing to pay $14.99 for a digital product that has no resale value. Macmillan was trying to force Amazon to stop discounting books (selling them below list price.) Amazon decided to play hard ball and removed all books rather than be forced to sell books at list. I think that this is good for readers in the long term. Whether it is good for author's is an unknown, but one of the complaints that Macmillan has is that authors that are selling directly to Amazon, not through a publisher can now get 70% royalties, which Macmillan does not like.

Re: Macmillan not Amazon is the problem

Date: 2010-01-31 12:53 am (UTC)
From: [identity profile] keristor.livejournal.com
Well, yes and no. Amazon would have been well within their rights to pull all e-books from Macmillan (if M. insist on the higher price for those books then A. don't have to go along with it). However, by pulling the dead-tree books from Macmillan as well this is clearly a punitive measure, and that is Amazon's fault.

(Hmm, authors who act as their own publishers get the same rate as publishers (i.e. they don't pay anyone else for doing the job) -- in what way is this not fair? Amazon pays the same, whoever they buy from. As an author you can either go direct to Amazon, getting a 70% cut of whatever you sell through there, or you can go through a publisher who takes more of the money but distributes to other places as well. Seems reasonable to me.)

Both of them are cutting their own throats. Macmillan is being greedy (and stupid, I doubt many people will pay HC prices for an e-book, especially on top of the high prices of the readers), and Amazon will just drive people who want books from Tor and other Macmillan imprints to other places (and if they go there for some books then they'll likely buy other books there instead of Amazon).

As my grandmother used to say, "there'll be tears before bedtime..."

Re: Macmillan not Amazon is the problem

Date: 2010-01-31 01:12 am (UTC)
From: [identity profile] arshield.livejournal.com
Clearly Amazon is being punitive, but that was started by McMillan. I think a company has the right to deal with who they want, and that goes for both sides. If someone was threatening you with one side of a deal, but you have a second deal for a different product, it would be difficult to not bring in all of your dealings.

Re: Macmillan not Amazon is the problem

Date: 2010-01-31 08:04 pm (UTC)
From: [identity profile] muirecan.livejournal.com
Having read the later links Rolanni posted to Charlie and Tobias I'll have to disagree with you. Amazon are being the evil grasping corporation here with Macmillian the lesser evil. Don't get me wrong both sides are not playing nice but Amazon is the one to the worse.

It appears that Macmillan wants to use a more BAEN like approach to their ebooks where they start off at $15 for new hardbacks and go down as time passes. Much like BAEN offers a $15 eArc to those who can't wait for the publishing date to buy the book. That is followed by the Webscription bundle and then the single book prices. This is closer to the approach Macmillan wants. Amazon just wants to charge $10 all the time.

Funny you should mention that amazon has now announced another screw the author/publishing house deal for 70/30. If you check into it they basically want to claim all rights as a publisher if you take that deal to get you book/s onto the kindle. You effectively lose any right to sell ebook copies of you work anywhere else since they are now the exclusive publisher of you work. So it isn't the nice sweet deal it looks like. I wonder if they had a Liadin prepare the contract for them?

Re: Macmillan not Amazon is the problem

Date: 2010-01-31 09:34 pm (UTC)
From: [identity profile] arshield.livejournal.com
My understanding isn't that by signing with Amazon they get exclusive rights. What I understand is that you can't make a deal with someone else that sells your book for less than what Amazon sells it for (I think to counteract Smashworld.) That is totally hard ball. But I don't think either company is evil,I think they have different business models that are not compatible. So one or the other will win. In the long term I think it will be Amazon. But I could be wrong.

Date: 2010-01-30 10:11 pm (UTC)
From: [identity profile] sctechsorceress.livejournal.com
This all strikes me as a new example of the insanity of big business. I buy a lot of books... I'm had to dedicate one bedroom as 'the library' and it's starting to overflow. And I buy a lot of e-books (I just checked, and was rather surprised that it's over 4,000) And I've got to say, that I never once bought a book because it was sold on Amazon. Or because it was from a particular publisher*. If I can't get the book I want from Amazon, I will just buy it elsewhere. If Amazon regularly doesn't have the book I want, I'll just get into the habit of looking elsewhere first.

*okay... yes, I have bought books as part of a Baen Webscription that I would not otherwise have purchased. And liked them. Which I guess was all part of the Baen plot to get me to buy even more books!

Date: 2010-01-30 11:55 pm (UTC)
From: (Anonymous)
I retired from a big city (well, I called 1.5 million people a big city, y'know?) to a rural area where the nearest town is 1.1 sq mile with a population density of less than 385 per sq mile! I quickly found out that even the larger towns south of me couldn't support a library more extensive than my own just unboxed one. So if I wanted books, I had to rely on other options. I kept the postmistress busy with deliveries from amazon.com until I relocated Project Gutenburg site and found Baen. I do not own a kindle, cell phone, ipod, or anything of that ilk, and never will. I also can't see how people can so easily throw away their rights for a mess of pottage, whether it comes to principles, careers, books, songs, cars, homes, or even land. For one now sitting on the sideline, looks like we live in interesting times and I'm sorry I may not be around when the historians really begin analyzing it, once the dust has settled a bit more.

-Eta

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