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Where does
self-publishing fit into the shrinking and fragmented book market? This question is
especially relevant now that self-publishing has become more accessible and
competition for readers heats up. The answer is that self-publishers are best
suited to create their own markets and readerships. There is no way to get into
the large chains unless distribution is established and even then they take
anywhere from a 45 – 55 percent cut. Then there is the issue of returns which
has plagued major publishers for years and new small publishers just aren’t equipped to
handle.
In one survey conducted by a major industry source,
Publisher’s Weekly; of the over 11,000 retail outlets for books, almost
4,000 of these are Wal-Mart stores.
The sad truth for self
publishers about Wal-Mart’s great market share is that it is a lot of the same,
focused on selling a narrow range of titles in a very high volume. The chances
of getting a book in their stores is limited to say the least.
There is dwindling space on bookshelves as big chains focus on bestsellers and
independents grow localized, niche and used book markets. The other problem with Internet sales,
which Amazon.com has the strong hold on, is that consumers are drawn by finding
used titles. This basically means a lot of authors won’t be retiring off their
royalty payments.
The only way a self-publisher will thrive is to avoid this no-mans
land of middlemen and sell direct. This entails a whole lot of marketing wizardry and
focused promotions that utilize local markets, as well as the Internet. Consider
the basic math of the situation for a new self-publisher who has decided to
utilize distribution channels to access the
major chains;
for 100 printed copies of a 100 page (b/w) book, production cost is
about $5.00 a piece, so unless a publisher sets the price at $15 or
more, there is minimal profit in sight. In the end a self-publisher is going to have to heavily promote and market
a book on their own, but lose half their cost just to distribution. If you are
going to build promotions for a self-published title anyway, it makes less and
less financial sense to give away profits to middlemen.
Print on
demand publishing is an accessible and tempting tactic in this new style of
bookselling, but is still an expensive option. Although solutions such as
CafePress and Lulu dangle large distribution channels to prospects, the unit cost per
single book production is simply too high to make any tangible profit. The self-publisher’s alternative is
to print a realistic amount of copies and reach out directly to all viable
markets. These arenas include the World Wide Web as much as, if not more than
local or niche markets.
|
Aspiration |
Process |
Big Picture |
|
To
Be The Next J.K Rowlings (Huge Author) |
- Search for an agent.
- Agent shops manuscript to
large publishers.
- Large publisher buys
manuscript and provides all editing and printing functions.
- Author receives big check
and future royalties.
|
- Author takes no financial
risk
- Probability of Success (.01%
- you have a better chance of getting hit by lightning 3
times)
|
|
Sell To Major Chains Through
Existing Publisher |
- Search for publisher which
specializes in particular type of subject.
- Publisher utilizes existing
distribution channels.
- Publisher should handle book
production and provide marketing support.
- Author receives royalty
checks as books are sold.
|
- Author takes no financial
risk
- Beware of publishers which
try to have authors bear cost
- Reality is
that royalty payments are lower due to production and marketing costs
plus returns.
-
Average
first print run in low to mid thousands
|
|
Establish Publishing Company and Plan on Selling to Major Chains |
- Print realistic quantity of
books based on budget and goal.
- Establish relationships
directly with major booksellers and/or book distributors.
- Marketing plan needs to be
created to cultivate demand.
- Through publicity,
word-of-mouth, and Social Networking, cultivate demand
to drive prospects to bookstores or website.
Personalized Publisher Program is ideal
solution |
- As a publisher you assume
all the financial costs and need to dedicate substantial
amount of time.
- Additional responsibilities
include editing, production and marketing.
- With the hope of selling
large quantities, 45-55% is paid to booksellers or
distributors.
-
Average
first print run at least 1,000 copies
|
|
Establish Yourself as Publisher and Sell Direct |
- Print realistic quantity of
books based on budget and goal.
- Sell direct in-person and/or
create web presence.
- Through publicity,
word-of-mouth, and Social Networking, cultivate demand
to drive prospects to website.
- Sales to
independent booksellers and retailers handled personally and
sold at wholesale price.
Independent Publisher
Program is ideal solution |
- As a publisher you assume
all the financial costs
- Additional responsibilities
include editing, production and marketing.
- Despite lower volume,
publisher makes more profit since there are no middlemen.
-
Average
first print run ranging from 50-500
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As the above table
illustrates, new self-publishers need to establish realistic
expectations on business aspect of their publishing endeavor. We recommend our
customers consider the distribution method they intend to use when deciding
which program to use to obtain an ISBN and barcode. ISBN's obtained
through the Independent
Publisher Program
have a non-descript registrant identifier listed as
Independent Publisher, but all copyright and distribution rights
are retained by each publisher.
This is a perfect solution for author/publishers opting for the self
distribution method. Regardless of which program is selected, our agreement
with Bowker enables us to upload our publishers' book data directly to
Bowker's
Books In Print database.
Please feel free to contact one of our customer
service representatives (a live human who answers the phone) to discuss your
options |