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Tuesday News: HarperCollins to be spun off; Niche authors protest price...

This separation is a little different than the direction that Hyperion and Amazon are going which is to acquire books tied in to various video media segments. Business on

Speaking of HarperCollins, its last quarter 18% increase in sales was primarily  due to the Thomas Nelson catalog per Publishers’ Weekly.

On the other hand, niche authors are stuck with the $9.99 ceiling. To the deputy chief executive of the Society of Authors, the inability to price higher is hurting them. Books priced outside the sweet zone between $2.99 and $9.99 are penalized by Amazon through a lower royalty rate.

Any book priced below $2.99 and above $9.99 receive only a 35% royalty rate versus a 70% royalty rate.

Kate Pool, deputy chief executive of the Society of Authors, commented: “Our concern is the increasing dominance that Amazon is having. It is starting to change the perception of books entirely and the danger is people will start to see them in terms of cheap items rather than the price reflecting the time and research that has gone in to it.”The Bookseller

Jane Litte is the founder of Dear Author, a lawyer, and a lover of pencil skirts. She self publishes NA and contemporaries (and publishes with Berkley and Montlake) and spends her downtime reading romances and writing about them. Her TBR pile is much larger than the one shown in the picture and not as pretty. You can reach Jane by email at jane @ dearauthor dot com


  1. coribo25
    Mar 12, 2013 @ 09:30:42

    It’s perfectly possible for a self-published author to have a book virtually permanently free on amazon without joining Select. I’d be surprised if Howie didn’t know that.

  2. Darlynne
    Mar 12, 2013 @ 10:16:08

    Anything that makes ISPs unhappy is generally a win for consumers and music to my ears.

  3. SonomaLass
    Mar 12, 2013 @ 15:41:04

    Good for Netflix! There are many misleading claims about network speed in various companies’ advertisements, and it’s great for consumers to have access to actual data.

  4. Little Red
    Mar 12, 2013 @ 16:53:48

    When it comes to telecom, Americans pay more and get less.

  5. carmen webster buxton
    Mar 12, 2013 @ 21:21:27

    I’ve been able to keep one of my books free on Amazon but not because I initiated that change; my book was already free on iBooks and B&N (Nook) and Amazon chose to price match. The have let it stay free for months (I’m not complaining; the sequel is my best selling book), but other authors tell him Amazon ignores the fact that their book is free elsewhere and leaves it at its initial price.

    I found that article to be a bit bizarre, actually. They were complaining that Amazon was hurting authors because they created a system that favors ebooks priced at $2.99 to $9.99. But in fact since the revenue from KDP books is split between the author and Amazon, it seems to me that Amazon came up with this system because they expect to make more money that way. In effect, they think they will do better on 30 percent of moderately priced ebooks than on 70 percent of more expensive ebooks because they expect they will sell a lot more books that way.

    If these authors aren’t happy, they can always go to B&N Pub-it or Smashwords.

  6. Kaetrin
    Mar 13, 2013 @ 03:27:58

    @Little Red: Same in Australia.

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