Comments on: The Six-Percent Problem

By: ktwice

ktwice — Wed, 29 Nov 2006 23:55:24 +0000

I believe the contracts I’ve seen are based on list price rather than net revenue.It’s been a while since I looked at the language, but I’m certain I’d remember if the calculation was based on something out of the ordinary. But 6% is still low, be it list or net revenue.

By: Richard Nash

Richard Nash — Wed, 29 Nov 2006 23:37:40 +0000

I’m interested to weight in on this but…as we talking a % of list, or a % of net revenue? 6% of either is ridicolous yes, but eBook retailers have discount schedules that are all over the place, but are averaging about the same as printed books…which means more that 25% of list is the equivalent of more than half net revenue, which would be a bit steep…

By: Diana Hunter

Diana Hunter — Mon, 27 Nov 2006 17:30:47 +0000

LOL Can’t wait to read that rant!

You make good points about individual authors and their needs. A traditional house wouldn’t publish what I write, mostly because the subject matter isn’t mainstream enough. Publisher’s are in the business of making money and what I write wouldn’t help them do that. So a small press that offers both ebook and print releases…and that is willing to deal with niche markets…is best for me. It might not be right for someone else. I just don’t think authors should have to settle for such a small percentage if they’re dealing with e-publishing…no matter who they are or who the company is.

Looking forward to your comments on monthly royalties!

By: ktwice

ktwice — Thu, 23 Nov 2006 02:42:26 +0000

Because, frankly, there are trade-offs — print published authors have a wider audience and different distributions. Ellora’s Cave novels are not as widely available as, say, Avon’s. My understanding is that only certain of Ellora’s titles are released in print format. I’m not sure if the reverse is true for most print publishers.

And since the electronic royalty currently constitutes a relatively small portion of the overall compensation, I would surmise that most authors aren’t really seeing the bigger issue (not a bad thing — I think about this stuff as a matter of course, most normal humans do not). I think it’s really important, however, to keep harping on this issue and raising awareness. Many publishers aren’t allowing authors much wiggle room when it comes to negotiations on this point. As I note as often as is practical, the benefits of the contractual arrangemente go to the party that writes the contract.

It is really important for authors to weigh the benefits of each potential publisher — some might find traditional houses to be the best choice, others might choose to go with straight electronic publishers. Others might decide small presses meet their needs best. Heck, some might think self-publishing is the ideal option for their work. Each of these routes has good points and not-so-good points.

As for the monthly statement thing, that’s another rant entirely. Believe me, it’s worthy of reams of blogspace.

By: Diana Hunter

Diana Hunter — Thu, 23 Nov 2006 02:15:17 +0000

I guess I’m VERY out of the loop on this one. Six percent as royalty for an ebook? Who’s offering THAT? I publish at Ellora’s Cave Publishing, Inc. and my royalties are paid monthly (yes, I said monthly!) at the rate of 37.5%.

Maybe the question is why would anyone ACCEPT 6%?

Diana

By: Racy Li

Racy Li — Wed, 22 Nov 2006 19:34:47 +0000

6% for ebooks? That’s ludicrous! Though I don’t think the situation is as dire as you may think, especially with the many epublishers, whom print publishers aware very aware of, offering much more. But then again, I’m speaking as an e-author myself 🙂