I have to apologize for not posting any news yesterday. I went to bed early and just forgot!
A Tsunami of Wonderful: How the Long Tail of Publishing Is Finally Overwhelming the Early Adopter eBook Bounce — and What This Means for Fiction Writers Going Forward – Scott William Carter, in a long arduous post complete with charts containing data he has made up, argues that the long tail will work for authors who have quality books over quantity and over luck. I’d like to believe that is true but from what I hear from self published authors it is quantity that is making the backlist sell. How long quantity wins out over quality remains to be seen. Scott William Carter
Google, Microsoft Threaten End to Cookie Tracking – I consider this a must read article. Google, Microsoft, Apple and every other tech company who can do this will be assigning each individual user a unique ID and then they will follow you throughout the internet so that they can better identify what products to sell you. “Some privacy advocates warn the kinds of hyper-targeting capabilities in tech giants’ cookie industry replacements will spawn even more invasive advertising in people’s lives.
One company named as a partner in Microsoft’s announcement on Wednesday, MediaBrix, says it offers “proprietary emotional targeting” to “reach game players at natural, critical points in game play where they are most receptive to brand messages.” “There is going to be an economic incentive to find out when people are most impulsive and vulnerable,” said Ryan Calo, assistant professor at the University of Washington School of Law.”WSJ.com
What’s interesting about this is that there are specific laws that cover door to door sales to prevent individuals being taken advantage of, primarily elderly and lower income individuals who are more vulnerable to these types of appeals. I was involved in a lawsuit concerning credit card sign-ups that would occur after completing banking business. We use this door to door sales rules to modify conduct of these telemarketers. It will be interesting to see if there’ll be any type of legislation that will be designed to protect consumers from what could be very predatory advertising practices.
Amazon.com: Kindle MatchBook – Kindle Matchbook program launched yesterday and if you are signed into your account, you can hit this link here and Amazon will spit out a list of books for you to buy. I only had 5 offers available to me. Laura Hazard Owen of GigaOM says that HarperCollins is the only publisher really embracing this feature right now with 9,000 titles in the program. Amazon.com: Kindle MatchBook
Amazon and the “profitless business model” fallacy — Remains of the Day – I don’t know who this guy is but his rundown on how Amazon makes money is fascinating. Amazon isn’t just in the business of selling books or diapers or movies. Its Amazon Marketplace is one of the largest swap market around. And Amazon does very little to garner a cut of each sale.
Amazon is a classic fixed cost business model, it uses the internet to get maximum leverage out of its fixed assets, and once it achieves enough volume of sales, the sum total of profits from all those sales exceed its fixed cost base, and it turns a profit. It already has exceeded this hurdle in its past.
But “flipping a switch” is the wrong analogy because Amazon’s core business model does generate a profit with most every transaction at its current price level. The reason it isn’t showing a profit is because it’s undertaken a massive investment to support an even larger sales base. How does Amazon turn a profit? Not by flipping a switch but by waiting, once again, until its transaction volume grows and income exceeds its fixed cost base again.
Anyway, read the whole thing. It’s interesting.
B&N Maintains Their Rearguard Position in the eReader Market With the Launch of a New Nook Glow – You’ll be forgiven if you did not know this, but Barnes & Noble is releasing a new Nook Glow today! there was no fanfare leading up to this release and given its, as Nate calls them, “anemic” improvements, it is probably best that the launch is low key. The device has an improved front light, higher resolution screen, and more storage at $119. The device comes in white only. The Digital Reader