Publishing Industry Status Report: Important Stories for Authors in 2017 – From Jane Friedman’s Blog

book publishing industryTraditional Publishers in 2017: Holding Steady with Print Backlist and Audio

BookScan, which tracks US book sales, recently released a report showing that print sales are still increasing this year—up by 2.6 percent compared to the first half of 2016. More specifically, retail book sales (dominated by Amazon and chain bookstores) are up 4 percent, while mass merchandising book sales (such as Walmart and Target) are down 8 percent.

Ebook sales figures are not yet available for the first half of 2017, but early reports show a decline once again. Ebooks overall have lost about $1 billion of their value as a format for traditional publishers since 2013, when they peaked at $3.24 billion. In 2016, they declined to $2.26 billion, a 16.9 percent drop from 2015.

Read the rest of this post HERE.

Independent Publishing Statistically Speaking – Measuring up Against Traditional Publishing

Last week’s blog regarding the “snobbishness” of those in traditional publishing toward independently-published authors generated a great deal of discussion and healthy debate. I believe there are valid points on both side and that the best solution is some type of merger of the the two camps in the future. I’m not sure what that will look like, but it will be interesting.

I don’t think that independent publishing is going anywhere anytime soon. With advocates like Hugh Howey and even traditional authors dabbling in the platform, it is here to stay. This blog will show how the numbers support this assertion. As I researched this article, certain encouraging, and some surprising, trends emerged.

For instance, from a July, 2014 article in Publishers Weekly, I discovered that the “Big Five” traditional publishers now account for only 16% of the e-books on Amazon’s bestseller lists and independently-published books represent 31% of e-book sales on Amazon’s Kindle Store. This is an encouraging statistic. The article also reveals that independently-published authors are “dominating traditionally published authors” in sci-fi/fantasy, mystery/thriller, and romance genres but and are also taking “significant market share in all genres.” Since my work is mostly in the mystery/thriller genre, I was encouraged to see this as well.

The article also had some interesting information around pricing. It said that $2.99 and $3.99 are currently the pricing sweet spots for most e-book bestsellers. Authors who price their books at these prices earn more than those whose average price is higher. Conversely, pricing books at 99 cents is not as popular as it used to be and does not result in higher sales as it once did.

Here are some other interesting items regarding pricing strategies. The article states that free books still work as a marketing tool, especially when an author offers the first book in a series for free. But, because so many of us are using this strategy, it has lost some effectiveness.

A strategy that Amazon has opened up for independently published authors is allowing pre-orders. PW states that this  gives authors a sales advantage. In fact, one contributor to the article states that pre-orders should be used in the same way that offering books for free was used in the past.

One thing that surprised me in the article is that Non-fiction books earn more at higher prices. In fact, it went on to say that non-fiction authors are likely under-pricing their work and should experiment with higher prices. This could be a result of the old adage, “you get what you pay for”.

This article, as well as others in my research, talked favorably about the earning potential for independently published authors. Publishers Weekly states that indie authors are earning nearly 40% of the e-book dollars going directly to authors. This is supported by an August, 2013 report in the Huffington Post which reveals that independently-published authors earn between 60-100% of the net profit (depending on who they choose to publish and sell through), compared to the 12-15% royalties they would earn through the traditional publishing business model. We know this to be true for publishing with Amazon which remits 70% of the selling price to authors whose books are priced at $2.99 or more (and 30% for those priced less than $2.99).

The growth in independently published books has been steady as well. An article published by Digital Book World in October, 2014 states that the number of  International Standard Book Numbers (ISBN) assigned to independently published authors increased by 17% from 2012 to 2013.

An article by Bowker in October, 2013 states that the number of self-published titles in 2012 jumped to more than 391,000, up 59 percent over 2011 and 422 percent over 2007. It went on to say that Ebooks continue to gain on print, comprising 40 percent of the ISBNs that were self-published in 2012, up from just 11 percent in 2007.

Perhaps the most telling statistics regarding come from The 7K Report written by Hugh Howey himself, arguably one of the most successful independently-published authors of all time. I’ve included some tables to illustrate some of the most important statistics. The first chart shows the percentage by source for books that are on the Amazon Bestseller List for the Mystery/Thriller, Science-Fiction/Fantasy, and Romance genres.

Graph 1

As you can see from this graph, 55% of the best sellers came from independently-published authors. The most telling fact is that only 28% came from the “Big Five” publishing houses.

The second graph shows a different picture. In this category, gross revenue among bestsellers, “Big Five” books actually dominate. This is likely due to the much higher average price for these books.

Graph 2

This graph shows that 52% of the revenue in these genres goes to the “Big Five” publishers with only 24% going to independently-published authors. It can also be said, however, that there is almost an even split between revenue to the “Big Five” and to everyone else.

This next graph, however, shows where the authors are earning the most money in terms of the percentage of revenue authors earn in each category.

Graph 3

This graph shows that only 32% of the revenue brought in by best sellers in these genres goes to authors with 47% of the overall revenue going to Indie authors. Again, this is an encouraging statistic.

So, what do all of these statistics mean for independently-published authors today, and what do they mean for the future? In all of the articles that I read as research for this blog, the trends for independently-published authors have pointed to an increase in market-share, readership, and revenue in the past six to seven years. Recognition for indie authors is increasing. Platforms such as Amazon, Smashwords, CreatSpace and others are making it easier to produce quality independently-published work.

Does this mean that everything is rainbows and unicorns for all of us? Not at all. As the spotlight swings toward independent publishing, like everything else that is recognized as successful, there will be those that seek to find the flaws. In my various blogs, I have talked about some of the flaws around the quality of independently-published work. I have made it my mission to work with other independently-published authors to help them raise the bar. There are plenty of readers out there for us, so let’s not compete. Let’s collaborate and succeed together.

I will continue to publish blogs on topics that I believe are helpful to indie authors. I learn something new every day as I try to become as successful as possible in this discipline that I love. Every sale of a book or comment that I receive on my blog is like a personal victory. It’s a great feeling and one that I want to share with fellow authors.

Your comments and criticism are welcome as always.

About Don Massenzio

Don Massenzio was born in Syracuse, New York, to first generation Italian American parents. He is an avid reader. Some of his favorite authors include Harlan Coben, David Morrell, Stephen King, and Hugh Howey. His favorite book of all time is ‘To Kill a Mockingbird’.

Don began writing as a way to combat the long hours of travel and numerous hotel stays that are part of the ‘glamorous’ world of corporate travel. He uses writing as a therapeutic outlet. He recently took the jump to sharing his work with others.

His first published long work is the novel, Frankly Speaking. It is the first of a series of books focused on the character, Frank Rozzani, a Florida private detective. The book is a throwback to the days of pulp detective novels with a tip of the hat to Jim Rockford from 70’s television and The Rockford Files.

The second Frank Rozzani detective novel, Let Me Be Frank is now available. His third book in the Frank Rozzani series will be coming out in April, 2015 and is available for pre-order.

He has also published a well-received short story collection that is available on Amazon.com.

Find out more about Don at his web site:

www.donmassenzio.com

Combating the Snobbery of Traditional Publishing as an Independent Author

This past weekend, my seven year old daughter had an event with her dance group at a local street festival. As we walked around and looked at the various tables, we happened upon an author of children’s books who had some of her work displayed on a table. My daughter saw the books and we stopped at the table and listened to this friendly, grandmotherly figure tell us about her books.  They were based on the antics of her grandson and looked very nicely illustrated.

We were about to move on when my wife blurted out that I had written three novels.  The author’s first question was not about the genre or the titles. Her first question was, “who’s your publisher?” Before I could get the words DSM Publications (my initials are DSM) out of my mouth, my wife told her I was self-published. Now, I’m not ashamed of being self-published. In fact, I like the freedom that it gives me to publish on my own terms and at my own pace. I’ve talked about the marketing (not my favorite part) in past blogs, but I can deal with that.

As soon as she heard the words self-published the grandmotherly smile disappeared, her body language changed, and I began to receive a lecture on the benefits of having a publisher. There were things like:

  • I get into author events for free
  • I don’t have to market my books (even though I’m sitting out in the sun at a table at a street festival hawking books)
  • They edit my books (children’s books targeted at 3-5 year-olds with two to three sentences per page)
  • Did I mention I get into author events for free?

I began to explain to her the benefits of independent publishing through such outlets as Amazon. She responded that Amazon and those other “outfits” keep too much of your money. I explained that you get to keep 70% of your royalties on Amazon if your book is priced at $2.99 or more. She told me that she heard it was less than that and didn’t trust them with her work. I told her that you retain all of the rights, and she told me she didn’t think so. Thankfully, my daughter had to be at a girl scout event and we had to move along. Her parting words were, “good luck with that self-publishing, but you really ought to think about getting a publisher.”

It was an enlightening conversation and one of those moments that solidified my choice to publish independently. As I thought about her “sweet” publishing deal, I began to look at the realities of her situation. Here are some of my observations:

  • Her books were priced at $10 and above. The copies she had on her table were likely purchased by her from the publisher. If she was making $1-2 per book, she was more in the 10-20% profit range. Based on the traffic at her booth and her book supply, I’d be surprised if she went home with $20-30.
  • How well is her publishing company marketing her books if she has to resort to events like this one and promote books between the boiled peanut stand and the fence company.
  • She had not checked out the specifics of independent-publishing. She didn’t know the terms and conditions. Unfortunately, she couldn’t make the switch because she no longer owned the rights to her books, the great and powerful publisher did.

This was not the first time I encountered this snobbery. An acquaintance of mine has worked throughout his career on the periphery of the journalism field. He has a segment on local public radio and I asked him if he had any advice around generating publicity for my work. He had some good tips. One of the things that he suggested was contacting a local authors’ group. I listened to the qualifications of their membership and what they had to offer and was interested. That is until he told me that I should not tell them that I had independently published and work because they would likely look down on it because they didn’t believe this to be “real publishing”. I asked how many members of the 30+ group had published work with traditional authors. The answer was “one”. I decided that I didn’t want to be brought down by a group where 99% of the membership had failed in their goal.

So, now I sit here with nine works published in the past year. I put this work out to the millions of consumers through Amazon and CreatSpace. Reviews for every piece of work have been 4-5 stars. If I quit today, that would be quite an accomplishment. I do outsource my editing and some of my marketing, but I still do many marketing tasks on my own. Can I quit my day job on the money I’m making and by that beach house? Not yet, but I feel like my chances to do so are improving every day.

My fellow independently published authors, you and I have an advantage over the majority of the members of those snobbish literary groups, books that are published with readers that are buying them. Whenever someone turns up their nose when I tell them I’m independently-published, my gut reaction is to ask them the name of their published book to which most will reply that they don’t have one.

So, keep your heads held high fellow independently-published authors. Don’t feel inferior to those snobbish traditionally published authors. Most of them are probably making less per book than you are and have much less control.

Now, with all of that being said, I’m not going to get off of my soapbox about keeping the quality of independently-published work at a high-level. There is no excuse for not doing this. There are plenty of willing editors and beta readers out there to keep you from publishing work that is inferior in terms of grammar, spelling, punctuation, and sentence structure. Don’t put garbage out there, because you hurt all of us when you do.

You might think you can’t afford an editor, but, in my humble opinion, you can’t afford not to have one. You may think you can do it yourself, but, to paraphrase a saying from the legal profession, the author that thinks he can edit his own work has a fool for a client.

About Don Massenzio

Don Massenzio was born in Syracuse, New York, to first generation Italian American parents. He is an avid reader. Some of his favorite authors include Harlan Coben, David Morrell, Stephen King, and Hugh Howey. His favorite book of all time is ‘To Kill a Mockingbird’.

Don began writing as a way to combat the long hours of travel and numerous hotel stays that are part of the ‘glamorous’ world of corporate travel. He uses writing as a therapeutic outlet. He recently took the jump to sharing his work with others.

His first published long work is the novel, Frankly Speaking. It is the first of  a series of books focused on the character, Frank Rozzani, a Florida private detective. The book is a throwback to the days of pulp detective novels with a tip of the hat to Jim Rockford from 70’s television and The Rockford Files.

The second Frank Rozzani detective novel, Let Me Be Frank is now available. His third book in the Frank Rozzani series will be coming out in April, 2015 and is available for pre-order.

He has also published a well-received  short story collection that is available on Amazon.com.

Find out more about Don at his web site:

www.donmassenzio.com