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Archive for the ‘Amazon KDP Select’ Category

Range Wars on the E-book Front

Posted in Amazon KDP, Amazon KDP Select, e-books, Publishing, Self-publishing, Writing, tagged , , , , , on February 23, 2012| 7 Comments »

 

A range war is brewing on the e-book front as a result of Amazon’s pre-emptive strike in introducing Amazon KDP Select, a 3-month optional contract operating above and beyond the normal Amazon KDP program available to authors. If an author hits the Select button, for the time their book is enrolled in the Select program, they must agree not to distribute or sell the book ANYWHERE ELSE! This includes their own personal blog or web site. Their title must be 100% exclusive to Amazon.

Before Amazon KDP decided to introduce Select, self-published authors had the opportunity to distribute their books across a large number of platforms — Amazon itself, Apple iBookstore, Barnes & Noble, Sony, Kobo, Smashwords, Books a Million and others. This was good for the writers, good for the e-book publishers and distributors. A nice competitive industry.

 To retaliate against Amazon’s pre-emptive strike, Barnes & Noble, the other distribution giant, has decided to withdraw from its lists all titles published by Amazon. It would seem, at this stage, that even if a book is published on some other platform and merely distributed through Amazon, Barnes & Noble will withdraw it. Books a Million and the Canadian Indigo have followed B & N’s lead.

E-books are the new cash cow of book publishing, and indie e-book sales are rising at a phenomenal rate. In the US, in the last three months of 2010, Amazon’s sales of e-books surpassed that of paperbacks for the first time, and self-published e-books are beginning to appear in bestseller lists. But self-published authors are about to lose their freedom of choice and the wide distribution platforms their books enjoyed in the past. Because B&N and Amazon deliver the greatest volumes of sales, a self-published author or a small press will be forced to choose between these two giants. Going with only one distributor, however large, carries potentially huge risks for the user for the distributor can change the conditions at any time.

Range wars never benefit the peons. In this case, it’s the writers and small publishers who are caught in the crossfire. Is Amazon breaking the law with KDP Select? Should some kind of legal safeguards be put in place to prevent monopolistic practices in the young e-book industry?

 For more details on Amazon KDP Select, see my previous post:  Amazon KDP Select – a poisoned apple?

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Amazon KDP Select — a poisoned apple?

Posted in Amazon KDP, Amazon KDP Select, e-books, Fiction, Publications, Publishers, Publishing, Self-publishing, social media, Writing, tagged , , , , , , on February 6, 2012| 9 Comments »

When online bookstores began to take off, Amazon quickly established itself as the biggest dealer in the field. Sure there were other bookstores, for example, Fishpond, but they paled beside the giant Amazon. We’re talking hard copy here.

When Amazon saw the trend towards e-books, it hopped right in and again established itself as the biggest retailer. Sure, there were other e-book distributors — Apple iBookstore, Barnes & Noble, Sony, Kobo, Smashwords and others — but Amazon was the biggest. A huge industry sprang up. Writers could self-publish their books and put them on many different distribution platforms.

Looking good. Good for the writers, good for the e-book publishers and distributors. A nice competitive industry.

Then Amazon produced the Amazon Kindle, a series of e-book readers that enable users to shop for, download, browse and read e-books, newspapers, magazines, blogs and other digital media via wireless networking (source: Wikipedia). Amazon has now launched what it calls Amazon Kindle Direct Publishing  or Amazon KDP. With this, a writer can get his book published by Amazon and have it go directly to Kindle, which is grabbing a large share of the applications market with the introduction of its Kindle software for use on various platforms such as Microsoft Windows, iOS, Blackberry, MacOSX (10.5 onward, Intel only), Android, webOS and Windows Phone (source: Wikipedia).  The most recent refinement of all this is Amazon KDP Select.

Amazon KDP Select. This sounds good — until you read the small print in Amazon’s Terms and Conditions: https://kdp.amazon.com/self-publishing/help?topicId=APILE934L348N

To paraphrase this small print: While or the time your book is enrolled in the program, you must agree not to distribute or sell your book ANYWHERE ELSE. This includes your own personal blog or web site. Your title must be 100% exclusive to Amazon.

If you violate this at any point during the 3-month enrolment period, or you remove your book from the program so you can distribute it elsewhere, you risk forfeited earnings, delayed payments, a lien on future earnings – or getting kicked out of the Kindle Direct Publishing program altogether.

After the obligatory 3 months, your enrolment in the KDP Select continues unless you go through the process of opting out. Forget, and you’re up for another 3 months.

This forces the author to remove the book from sale from the Apple iBookstore, Barnes & Noble, Sony, Kobo, Smashwords and others, thereby causing the author to lose out on sales from competing retailers.

By withdrawing a title from any retailer, the author destroys any accrued sales ranking in their lists, making their book less visible and less discoverable should they reactivate distribution to competing retailers.

Do authors want to be totally dependent upon Amazon for sales? New writers are desperate; they will do almost anything to sell their books. And they know that with Amazon KDP, more customers are motivated to go straight to Amazon since Amazon has this exclusive content.

It’s a clever ploy on Amazon’s part. As Mark Coker, founder of Smashwords says, The new Amazon KDP Select program look s like a predatory business practice (ref: http://en.wikipedia.org/wiki/Anti-competitive_practices). Pretty soon, Amazon can use the opportunity to leverage their dominance as the world’s largest e-book retailer (and world’s largest payer to indie authors) to attain monopolistic advantage by effectively denying its competing retailers (Apple, B&N, Kobo, Sony, etc) access to the books from indie authors.

Indies are the future of book publishing. In the US, in the last three months of 2010, Amazon’s sales of e-books surpassed that of paperbacks for the first time.

Think about this. It might pay indie authors to recognise that their long term interests are best served by having a competitive global ebook retailing ecosystem. Mark Coker recommends an author distribute their book to as many retailers as possible. Many ebook retailers, all working to attract readers to books, will surely serve indie authors better in the long run than a single retailer who can dictate all the terms.

But whoever thinks of the long run? The long run is everyone’s poor relation, doomed to be steamrollered by the bullies of expediency and money.

The contents of this blog are based on a blog by Mark Coker, founder of Smashwords. The original, more comprehensive article can be found at: blog.smashwords.com/2011/12/amazon-shows-predatory-spots-with-kdp.html

Next Week: A review of Australian author Michael Sala’s debut novel The Last Thread published by Affirm Press.

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