I’v
e been involved in the epublishing market since close to its inception as a potentially profitable fiction market, ie around the late ‘90’s, early 2000’s. I slipped into it by accident – I write unabashed romance and I live in the UK, where if you write romance, it’s Mills and Boon or nothing. Sagas, which until recently filled the market, are more about a woman’s life than they are about romance and an American reader wouldn’t class them as romance.
Anyway, once M and B rejected my historical, because it’s in the first person, (“Yorkshire,”) I had nowhere to go, so someone suggested the USA. The big publishers seemed impossible, so I tried epublishing, figuring it would be a good stepping-stone. I’m still there.
But boy, has it changed! It’s no longer a stepping-stone, but an end in itself. Now what I have to say concerns certain comments I’ve seen recently by people who ought to know better, but maybe it’s because they can’t see the numbers. Any more than I can give them.
However, any study of any market will tell you that the top 20% of companies makes 80% of the profit. It’s called the Pareto rule, and although the numbers are obviously not exact, it’s true for almost every market you can think of. It’s true for New York publishing, it’s true for epublishing, too.
In New York, the big five (six?) make far more than all the other small publishers, and that’s not even thinking about the self-publishing outfits. It works the same way in epublishing, although detailed figures aren’t available and authors are constrained by their non-disclosure agreements with the publishers so they can’t give them, which is why I can’t tell you my sales and earnings in any detail. There must be a large audience of people who don’t participate on the message boards, the blogs or the loops who just buy books, because sales are now very healthy indeed.
I write for three of the biggest epublishers – Ellora’s Cave, Samhain and Loose-Id, and my income is – well it’s in five figures, which is what a midlist New York author can expect. This is not unusual for an author for the largest epub houses, and it’s no longer confined to the erotic only. My Samhain historicals are highly sensual, not erotic, and I’ve featured in the Samhain list of top ten sellers several times, as have other non-erotic authors.
I am fairly prolific, but a lot of that is reissues. My editors are as exacting as you’ll find anywhere, sometimes more so, and I have at least two for each book, and extra editing for print releases. I’m not showing off, I’m just tired of people saying that epubbed authors earn miniscule amounts, and then quoting someone from one of the smaller epubs. The majority of sales don’t lie there. Authors write for them for various reasons – to get into the market, because they’re friends with the owners, because they’re happy with the editing and cover art the house offers or because they expect the house to grow and want to grow with it.
It’s now very difficult to get a book accepted by the bigger epublishing houses. The bigger epublishers spend a great deal on cover art, the website and other incidentals, so it’s not true that it’s cheap to produce an ebook. And the author gets a bigger cut, too, than they can expect in New York. And barriers to entry are rising – art is more expensive, editors demand a proper salary, and promotion and website costs are rising, too.
However, asking a hardback price for an ebook is a marketing decision, not one of economics, and I’d be unhappy if anyone was asked to pay $12 or more for one of my ebooks, unless I’d written a book the length of “Lord of the Rings.”
Concentrate on where the majority of sales are and you’ll find an expanding, dynamic market which is changing to reflect the nature of the changing market. Ellora’s Cave now has a new website, Jasmine Jade, which encompasses all its imprints. Samhain has just acquired Linden Bay Romance, to increase its scope and its roster of authors. Harlequin has made major investments in putting its books out as ebooks, and the marketing team there is one of the sharpest you’ll find anywhere. They have good reason for doing so. I’m not even touching on the new readers like the Kindle and Sony. Suffice it to say that they’ve helped to boost sales, too.
While I’d love to write for New York or London, or both, it’s no longer my sole career path. Epublishing has been good to me, even considering the Wild West days, and I sincerely believe it’s the way of the future. Not least because last year I made the decision to get my new books in e-format whenever possible (I just ran out of space). And I no longer feel I have to defend the industry. I can afford to shrug and walk away. Just trying to put a few misconceptions right, that’s all.
Is everything hunky-dory in the epublishing world? Of course not. But it’s no longer something that can be swept under the carpet, although its position as the red-headed stepchild of the fiction market will probably stick with it for a while.
Thank you. This is well said. ePublishing is here to stay.
Now if only NY pubs trying to break into ebooks would actually take their cues from those successful, top tier epublishers, instead of trying to cram ebooks into an outmoded print model. Or worse.
DRM? WTF?
14 bucks for an ebook when the mmpb is available for 8? WTF? You’d think they want to fail.
Of course, the longer they pull this stuff, the more readers will be driven to Samhain, EC, LI and LSB. And that’s good for me, so I’m happy. 😀
DRM – I have to agree. While piracy is a serious problem, you’ll find as many Harlequin books, maybe more, on the pirate sites. Harlequin has a draconian system on its books, so much that they are almost useless to me, as I have an ebookwise and I can’t convert them into the required format. I have no idea what the answer is, but there has to be one, eventually. My pet idea is to make every ebook copyable a finite number of times, so that it can be converted for a reader, and backed up safely. I don’t even know if it’s technically possible, but it seems like an answer that would give “fair use” without giving infinite copies. Not that it would stop a determined pirate, but it might help those of us who need to legitimately reproduce a book.
What annoys me the most is pundits quoting the state of epublishing at the bottom of the pond as if this is typical for the industry, where the author can expect a quick editing trawl by a fellow author, badly photoshopped covers and around 20 units sold. Not the top tier, (as in highest selling, not some kind of elitist sense) where sales are in three and four figures, the art is professionally executed and authors can earn as much as they could expect to in New York. It’s unfair on the industry, and on potential authors, who have no reliable information on how things are today.
I look at what iTunes is doing as a good model for the ePublishing industry. And just recently they have dropped DRM and lowered prices (some songs are just 69 cents) in order to compete with Amazon.
So, I really don’t think DRM is the answer for moving ebooks forward. One standard format? Yes. And if DRM is out of the picture, standardizing to one format shouldn’t be that hard.
DRM is not the answer because there are always ways around it…someone will hack it and spread the word and the file…whether it be music or a book.
I think MOST people are honest and want to legitimately pay for music and books. Just like right now some people will read books from a library or from a used bookstore, there are those that will try to avoid buying books (not that I am saying anything is wrong with libraries or used bookstores, mind you).
Maybe that’s naive thinking. But I do believe that if DRM is one of the things holding publishers back from entering the ebook world, that it is shortsighted. Take a look at the music industry for some hints…
What I’d love to see are some of the NY bestselling authors telling the big publishing houses to shove it and enter into agreements with the established and successful epublishers. Wouldn’t that be something to see? I’d think Stephen King or Nora Roberts would be able to draw a LOT more people online to buy ebooks (or that POD version, if they so desire.) And that might be what it takes. Skipping around the dinosaur system and taking that business away from those publishers who are dragging their feet.
I would love it if ebooks had one standard format! Man! I could even deal with DRM if there was one standard format. Buckers.
This was a very interesting and informative Lynne. I believe that the future for books is going to be ebooks. We are still in the infancy of ebooks and it’s market is just going to get much larger. I have alread convinced 3 people to get ebook readers in the last couple months and they love them, their portability, and the ability to hold large numbers of books.
I have one question since I’m a reader ,not an author. What in the world does DRM stand for?
Sandie
“I have one question since I’m a reader ,not an author. What in the world does DRM stand for?
Digital Right Management. It’s what HMB and a few other publishers do to their ebooks to prevent the books being copies. In effect, the pirates have the programs to crack it, or they just copy the hard copy, and legitimate buyers can’t put the book on the device of their choice. It doesn’t work, in other words, any more than it did in music.
One format? I’m not so sure, because in that case whoever owned the format would control the market.
Great article Lynne – having been reading ebooks since I found them way back in 98. I’m glad that there is such a vast selection of material to choose from. As a huge book buyer especially more so when I was only buying print I soon got bored with what was out there. No so with ebooks, I now have in the region of 10 thousand ebooks all going back to 98 when I bought my first purchase. I’ve seen epublisher start and finish and grow like EC I bought their very first books when they were sent on discs and sent via snail mail.
DRM I hate it – I like to be able to read my book on any device I want not restricted to 4 at any one time. I’m a gadget fiend… and there are lots of new stuff coming out this year. I personally think it would be easier if an individual had an ID that represented them.
At the moment you buy a DRM book and from different companies and each time you log onto it on a new device or have to reinstall. You have to remember those details. I use the same for everyone now that way it’s easy to remember but it would be so much easier if you had one id code and that was it.
I think people will always share books… it’s the way of the beast and frankly its a great way to talk about books with friends. How many of us have discussed a book having read it.
I think the lady who mentioned the music DRM thats awesome again I hate that I can’t listen to my DRM downloaded mp3 on anything I want including portable devices rather than just my PC.
I hardly buy print books these days I’ll buy E it is my prefered reading format and I don’t have to dust them either. I’ve been donating a lot of my print books to old people homes for their lilbraries. But then again there are a lot more elderly ladies in these homes than men.
Also like my old record collection I’ve bought the cds to replace those that are my all time favorites. I’d love to be able to do that with all my keeper prints. That way I could get rid of all my paper other than those signed first editions and get rid of the dust collectors LOL.
Great comments, look forward to reading more.
Abi
DRM…. can’t remember but it’s an encryption that uses both a form of log in and your IP address is some cases and a pain in the butt.
DRM = Digital Rights Management
Yes? I think that’s it.
Basically, what iTunes had been doing up until a few days ago was to keep track of how many times you ‘used’ each song…as in, you were allowed so many copies for personal CD-making or for your iPod. But once you went past that amount (I think it was 15 times? Someone please correct me.), you would have to repurchase the rights to that particular song.
This is why, if you have an iPod, you can only synchronize it with ONE computer, or it will wipe out everything you have on it. You can load and reload your songs on your iPod and that is seen as ‘one’ download to that particular device.
Hope that helps
KJ said: What I’d love to see are some of the NY bestselling authors telling the big publishing houses to shove it and enter into agreements with the established and successful epublishers. Wouldn’t that be something to see? I’d think Stephen King or Nora Roberts would be able to draw a LOT more people online to buy ebooks (or that POD version, if they so desire.)
G.A. Aiken had her one of her books published simultaneously in ebook by Samhain and in print by Zebra–totally separate, with different cover art. Because she had enough bargaining power, she was able to retain her electronic rights from her NY pub, and sold them to Samhain–who actually know what they’re doing. So instead of a few points up from the 6% she gets on ppb, she gets Samhain’s 40% royalty on the digital version, and the ebook costs about 5 bucks, instead of 10, or 12, or 14. Better for the reader, better for her.
That’s what Stephen King and Nora Roberts should be doing. Maybe then NY will actually start to see the light.
Loved your article, Lynne. Well done!
Best–Adele Dubois
Thank you so much for writing this, Lynne. I’m a romance writer, though I’m not yet published, and I’ve been getting more and more discouraged with the state of publishing in NY. I HATE how they’ve handled e-books and DRM thus far, so I’m so glad to see so much of the same sentiment here.
I’ve also read fears that the current state of publishing is going to lead to less competition among the houses for authors, which is always bad for the authors, and that author percentages may get even lower than they already are.
I’ve been less and less enthused about it all, and I’ve wondered about e-pubs, but just didn’t know much about them, so thanks for such an informative and insightful article about it! Looking forward to sticking around here for a while. 🙂
Epublishing has its problems too, and it’s not right for everyone. When you decide you want to write for publication, examine your ambitions carefully and go for the best solution for you, not the one you think will do for now.
But while authors used to look on epublishing as a stepping stone to New York, now many stay in both arenas, far more than they used to.
For me, I’m greedy. I want both, but I don’t want to give either up.
I enjoyed this article. I am a publisher and author. I’ve recently gotten into the ebook wave. I’ve purchased 7 over the past few weeks. For me, it’s addictive, DRM issues and all.
I am getting ready to re-release all my print books in e-format because there is a higher profit margin for ebooks currently. I like that.
Wonderful writeup Lynne! I love how much epublishing has grown over the years and I’m glad to be apart of it. As a reader and author, most of the good stuff I come across is in ebooks and small press because there’s a wide range of voices to share in a variety of stories. Sometimes I go for months without reading a print book because I love reading on my phone so much! Not to mention buying the books are addicting within themselves. 🙂
I haven’t been published with NY (yet 😉 ) and only know from my industry studies what it’s like to work in those houses. However, from my experience with e and small presses, I love working close with the editors and having my input considered on the edits and the cover. I agree that epublishing is the future since it’s more of a partnership between the authors and publishers who work toward releasing a great product.
~What I’d love to see are some of the NY bestselling authors telling the big publishing houses to shove it and enter into agreements with the established and successful epublishers. Wouldn’t that be something to see? I’d think Stephen King or Nora Roberts would be able to draw a LOT more people online to buy ebooks (or that POD version, if they so desire.) And that might be what it takes. Skipping around the dinosaur system and taking that business away from those publishers who are dragging their feet.~
Why should I tell my publisher to shove it when I’m perfectly happy there? What is a dinasaur system to you is currently my livelihood, and the livelihood and preference of many others. I’m mot interested in entering into an agreement with an epublisher. I’m delighted with my association with Putnam.
~That’s what Stephen King and Nora Roberts should be doing~
You know, I’m just baffled by statements like this. You know absolutely nothing abut the inner workings of my career, but you know what I should be doing? I have a very smart agent to advise me on what I should be doing–I’m sure King does as well.
Perhaps some would run my career differently than I do, but somehow I’m managing to stumble along and get where I want to go.
There are several New York or UK published authors who also go the e-route. Apart from G.A., Deirdre Knight, Linda Sole and many others are now writing for e-houses. It’s probably the higher royalty.
But the e-publishing industry doesn’t need it, not any more. It would have been nice, in the early days, but that’s not the way the world works. If you find something that works for you, you tend to keep at it, until it stops working.
Agents are fully aware of the e-world now, and some of them are very keen to take up some of the e-authors who have proved themselves – not just by their writing, but by a professional attitude. But it doesn’t hurt that they have worked hard to make a name for themselves first. Laura Bradford’s roster is almost entirely e-authors and ex-e, and she’s done very well by and for them.
And yes, me as well (but not with Laura, who is a lovely lady, but not my agent). The difference is, these days they don’t ask you to leave the e-work behind.
With Nora and Steven King – at one time the electronic publishers would have given them the moon to bring one of their books out in electronic format (yes, I know King experimented with it, but that was in the early days and he did it wrong because it didn’t work).
Nora and Steven (Roberts and King?) have distinctive brands that cost a fortune to set up and maintain, and anything that diminishes that brand wouldn’t help and could cost thousands. Especially in the early days, when e-publishing was so uncertain. It would have been a huge favor from them to the publishers.
Now, the e-publishers, at least the leading ones, have their own brands, and their models and the kinds of books they publish aren’t the same as Nora and Steven, so the fit wouldn’t be comfortable.
However, there is one topic that might interest them, and that’s royalties. The e-publishing model brings out books faster after completion, and so the small advances are supplemented by the 30-40% royalties e-authors can expect.
If I get a print publishing contract, my negotiation rights will be nil or limited. It will take a name to force the traditional publishers to give the authors the same royalties. Which is exactly why G.A. took the route she did. It’s good for Samhain, Kensington, and for G.A. herself.
Authors and agents have always concentrated on the print rights, and maybe film and TV also, but not electronic rights. That’s where the money is, or was, so it made sense. I know several agents who are looking ever closer at the electronic rights, and although in a way it’s too late, probably better late than never. Or more writers of lesser stature than Nora and Steven will be taking the G.A. route.
“I agree that epublishing is the future since it’s more of a partnership between the authors and publishers who work toward releasing a great product.”
Be careful, Rae. Don’t ever think that, because it’s a business. Treat it like one. You provide a product, they pay you for it. Publishers, whoever they are, are all about the bottom line, or they should be, because if they don’t, they’ll go out of business and that’s bad for everyone on their list.
There’s no reason why the publisher shouldn’t be interested in your artistic integrity, or that the editor is meticulous and cares about you and your career. In fact, the best kind do. But a publisher isn’t a substitute family, and it isn’t philanthropic. It can’t afford to be.
I’m LOL at the thought of Nora Roberts and Stephen King saying shove it to the publishers who give them $500,000 (I made up this #) advances. I think both should say shove it and come write for my roofing/POD company. That should give me a little boost, I think.
LMAO.
~Authors and agents have always concentrated on the print rights, and maybe film and TV also, but not electronic rights. ~
This is simply not true, not in my experience.
“~Authors and agents have always concentrated on the print rights, and maybe film and TV also, but not electronic rights. ~”
Tell us more. I’m a complete tyro in the print arena, and I could do with a bit more education in it. Are print publishers now concentrating on the e-rights? I know agents are savvier than they were, say, a year ago, because I’ve talked to a few, but I’m not sure how that relates to contract negotiations these days, because I’ve not been involved in one – yet.
I don’t know about all publishers, all agents, all authors. But I know my agent took a deep interest in e-rights years ago–before I even knew exactly what she was talking about.
I think she’s the best agent ever, naturally, but I sincerely doubt she’s the only one who protected her client’s interest in this area well before e-started its current growth spurt.
E-rights are certainly, and have been, a part of the negotiating process in paper publishing.
I write the books, my agent does the negotiating, my publisher publishes. I might know a great deal more of the ins and outs of all this if I involved myself deeper, but I wouldn’t write as many books.
That’s very good to hear. I’d hate to lose those royalty percentages on ebooks!
I would be interested to know how many agents were that smart. Correct me if I am wrong nora but you have a pretty sharp agent you have been with for a while yes?
Have you always had the same one?
hmmm I need to bug some people… I sense a poll or something
dude I amuse way too easy
I have a very sharp agent I’ve been with since I started. That’s–jeez–since 1980.