Amazon May Not Be the Bad Guy

The recent news about the IPG-Amazon struggle has people saying all the same things. “Amazon is flexing its muscle and hurting the little guys.” “Big bad Amazon.” Shelf Awareness ran the story with quotes from authors and publishers all complaining about Amazon’s tactics.

My understanding of the dispute is that IPG wanted better distribution terms for its ebooks—I believe it requested no discounting—and Amazon said no. Which the company has the right to do. Amazon already capitulated when the Big 6 publishers colluded to set their own high prices—a collusion that is now the subject of lawsuits and investigations.

So like all other retailers, Amazon wants to control the sale price of its inventory, and since it couldn’t get Independent Publishers Group to agree to its terms, it took IPG’s products off the shelf. (Caveat: There may be more to the issue than I realize, and if you know more, please leave a comment.)

The people hurt most by this are the authors whose ebooks are no longer selling at Amazon. But it’s important to remember that these authors have a choice. They chose to publish their work through a small publisher, which in turn, contracted with IPG for distribution. Or maybe some authors are working directly with IPG. Either way, these authors have chosen to hire middlemen for publication and/or distribution. Middlemen that take a chunk of the profit, and in this case, refuse to meet Amazon’s terms.

But this is the new age of publishing! Authors don’t need publishers, or distributors for that matter. Anyone can upload their ebooks to Amazon though Kindle Direct Publishing and to Barnes & Noble through PubIt. Granted, if you want to sell on Kobo and Sony, you need a distributor. But Kobo and Sony’s market shares are almost insignificant, and at the same time, they are the ebook retailers doing the discounting that, in turn, triggers Amazon to drop its price.

I pulled my books down from Kobo and Sony for that very reason. They caused me to lose far more money at Amazon than I ever made from either. And Amazon has never discounted my books except to match another retailer’s price.

I understand authors wanting to control the price the book is sold for, and thus, maximize royalties, but if your book is not selling on Amazon, you’ll never maximize your profit. From my perspective, it makes far more sense for IPG to pull its books from Kobo and Sony, and thus eliminate the discounting issue, than to give up its authors’ opportunity to sell on Amazon.

What is IPG offering its authors—besides getting their books pulled from the biggest retailer in the marketplace? I realize distributors may be able to get some print books into bookstores, but what can they do for ebook-only authors that those authors can’t do for themselves?

Of course, some—or many—may have signed contracts with small publishers (that in turn signed with IPG) and therefore, they no longer have the right to control their own work. But instead of complaining about Amazon, they should be contacting their publishers about finding a new distributor. Or if they work with IPG directly, maybe they should terminate that agreement and either find a new distributor, or better yet, simply join the indie revolution and upload their books to Amazon, B&N, and Apple themselves.

Another blogger has offered some excellent alternatives for IPG as well. I expect to take some heat for this, so tell me, what do you think?

 

Conferences Are in Flux Too

Left Coast Crime in Santa Fe was great this year. I got to meet in person people I’ve come to know and like online: Peg Brantley, Jodie Renner, Marlyn Beebe, and more. I participated in two panels, Research: Getting It Right, and Publishing: Today and in the Future.

Both were well attended, and I got terrific feedback from the audience. Read more

Writers as Salespeople

sales chartA question from my ex-publisher stimulated me think about the pay structure in traditional publishing. The question she asked was: Why couldn’t you sell all those books when you were still under contract? Many factors came into play at the same time to quickly boost my e-book sales. Pricing strategy, volume of books, and massive effort all played a part. But one of the biggest issues Read more

Agents, Bookstores Turn to Publishing

There’s been a lot of industry news lately, but some game changing developments that caught my eye were buried in a report under Joe Konrath’s deal with AmazonEncore. In a nutshell: Agents and bookstore are becoming publishers.

Scott Waxman, of Waxman Literary, has created Diversion Books, Read more

Accepted Publishers List

mwa_logo4On my to-do list for about a year now is this entry: Join Mystery Writers of America. Part of the delay has been my reluctance to write a $95 check for the yearly dues—without knowing there is a definitive benefit (other than the fact that I really like the women who run the organization). The other issue is whether I qualify to be an active member. Read more

When Is an Old Story a New Story?

Most novelists who have been writing for a while have an unpublished story or two that they haven’t given up on. You keep thinking that if you could just find the right twist or revise a character you can make it marketable. But how much do you have to change the manuscript to consider it a new story? Can you send a revised novel with a new name to the same editors and agents as though it were something fresh for them to read?

Or what about his scenario? You write a great sci-fi story called Death March into Armageddon. Publishers seem to like it, but no one offers you a contract. A few years later, you publish the story with a small press that goes out of business shortly after. Your novel only sells a few dozen copies. Five years later, you get a great idea for how to make the story better. You make those changes, spruce it up with a new name like Heavenly Invasion and submit it to a different publisher.

Can you consider this work to be “previously unpublished”? Is there a legal definition for how much a story has to change to be considered a new work? Do you have a moral or legal obligation to tell the new publisher about the manuscript’s history and the two dozen copies of the previous version that are still out there somewhere?

Has anyone been in this situation? How did you handle it?