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Viewing: Blog Posts Tagged with: electronic books, Most Recent at Top [Help]
Results 26 - 50 of 51
26. eBook Royalty: Another Way To Protect

STATUS: Not sure what is up with Mondays but they seem to be getting away from me lately.

What’s playing on the XM or iPod right now? CAPE CANAVERAL by Conor Oberst

Most authors, at this point in time, are not interested in walking away from a publishing contract over electronic book rights. The numbers are growing certainly (as we can see that statement to statement) but the numbers, in general, are still very small in comparison to traditional print sales.

Now there are certainly some exceptions. I’m very interested in seeing how it unfolds for author JA Konrath who has long blogged about making a living from electronic book sales and has decided, for his most recent novel, to go with Amazon Encore for the print with the release from Kindle coming earlier. (By the way, Mr. Konrath is embarking on this journey with his agent.)

From what I can tell from my own negotiations as well as from convos with other agents, Publishers are currently holding very firm on 25% of net receipts for the royalty structure. If they are doing an agency commission model (i.e. Apple) they are either not changing their definition of net amounts received in their contracts or they are sticking to the definition that it will be based on monies actually received by the publisher—translation: royalty of 25% of net to author calculated after 30% commission paid to third party (such as Apple). In other words, author is receiving 25% of 70% (not 100%). Reference my earlier blog entry on this topic to get up to speed.

So, if the author does not want to walk away from the offer over ebook royalty (and right now I’d have to say that’s most authors), what does an agent do?

We find another way to protect the author. One method is to include language in the publishing contract that dictates that if industry standard changes in regards to electronic book royalty rates, then the rate can be amended or renegotiated in the future to adhere to new industry standard.

Feel free to add that tidbit to your contracts file.

20 Comments on eBook Royalty: Another Way To Protect, last added: 5/21/2010
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27. Ebook Royalty Glitch

STATUS: So excited! Leaving the office before 6! However, I’m just going to take Chutney for a walk and then continue working tonight as I need to read client material.

What’s playing on the XM or iPod right now? POCKET FULLOF SUNSHINE by Natasha Bedingfield

Today I was reviewing a royalty statement from a book that had been recently released. In other words, this was the first statement for the title that we had seen.

In looking at the statement, I noticed that there wasn’t a single electronic book sold in the six-month accounting period this statement encompassed.

Red flag! And you don’t even have to be a rocket scientist (or a literary agent for that matter!) to be able to look at the statement and realize that if an electronic book is available but sales are not showing on the statement, something has gone awry.

Now in this instant, the problem was easily solved. The book released right at the end of the six-month accounting period (so in late December) and the ebook didn’t release until 2 weeks later (in January) so there was no way for ebooks to show on this statement. Problem solved.

However, I bring this up because I’ve seen this issue on other statements and the above situation was not the issue.

The issue ended up being this: the ebook ISBN was not tied to the print title of the book and thus the publishing house royalty system was recording ebook sales with that ISBN but it wasn’t linked to anything. There was no way for the computer to know what author to attach it to.

The only way the problem was solved was by me ringing up the editor to get the ISBNs for the ebooks and then ringing up the royalty department to say, look, there’s an issue here. You need to tie these ISBNs to the statement for these titles. Then have the publishing house regenerate the royalty statements.

So even though you trust your agent, it’s still good idea to read your royalty statements and see if they make sense. Lots of royalty statements can come in certain months (like April/October) and heck, everyone is human and something could be accidentally overlooked. Be your own best advocate.

11 Comments on Ebook Royalty Glitch, last added: 5/14/2010
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28. Communicate Before You Offer For Free

STATUS: Been reviewing a film contract which pretty much makes me cross-eyed by the end of the work day.

What’s playing on the XM or iPod right now? OVER THE RAINBOW/WHAT A WONDERFUL WORLD by Israel Kamakawiwo'ole

Before you head off to post a free novel on your website, you might want to spend some time learning about the pros and cons of doing so.

In my opinion, yesterday’s post is probably most useful for writers looking to break in. If you are already traditionally published and have a publisher, this could be of value but you need a clear plan and the blessing of your publisher.

There are some contractual things you need to keep in mind before you post stuff for free or embrace Creative Commons or pursue other online experiments. Since the beginning of the year, author Cory Doctorow has been chronicling his experiences with free electronic books in Publishers Weekly.

If you haven’t had a chance to read his monthly columns, I think they are definitely worth a read. Here is a link to get you started. There’s no need for me to repeat what Cory says in his articles and so much more eloquently.

One of the things I want to highlight is that Cory is embarking on this documented journey with the full knowledge and support of his publisher Tor/Forge. As a published author, you have terms in your traditional publishing contracts that you must abide by. Posting things for free could get you in trouble. For example, a non-compete clause. Depending on how that’s worded and what the parameters are in your contract, uploading free material could be deemed a competing work with what your publisher is currently publishing for you. Or it might not.

My suggestion? Be sure to have full communication with your agent and your editor about your desire to explore these kinds of avenues. My guess is the publishers are keen to see what authors can do with creative endeavors but would be less enthusiastic if kept out of the loop.

17 Comments on Communicate Before You Offer For Free, last added: 4/29/2010
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29. When Contracts Directors Have A Sense Of Humor

STATUS: Off to a terrific start today.

What’s playing on the iPod right now? STAY UP LATE by Talking Heads

From a lot of my posts lately, I imagine that you think all my recent conversations with contract directors at the big houses have been contentious.

In reality, that hasn’t been so. I have to say, that I personally like all the contracts directors at the major houses. They are under the gun and yet they’ve handled differences of opinions with good temper, grace, and with reason—even if I don’t agree with their stance.

In fact, one of the contract directors from a big six house even made me spit coffee and sputter with laughter in our last conversation.

When I mentioned that I didn’t agree with the 25% of net publishers were currently sticking with and that I was not inclined to accept the same percentage if we were to negotiate an expanded or enhanced electronic book, the director, totally deadpanned, quipped in return that I must obviously share his opinion that the split percentage to the author should be lower for an enhanced ebook as they are more expensive to produce.

I was so surprised that I just burst out laughing as did my contracts manager. You gotta respect a contracts director with a sense of humor. Grin.

7 Comments on When Contracts Directors Have A Sense Of Humor, last added: 4/16/2010
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30. A Difference of Opinion I’m Sure

STATUS: Just a twinge of a cough remains. Kristin—9 flu—1

What’s playing on the iPod right now? HOME by Daughtry

Rumor has it that several of the big 6 publishers are coming out with new boilerplate contracts in the next couple of weeks. I know for sure that Hachette is working on a new one as is HarperCollins.

With these new “boilerplates,” I already know there is going to be a significant difference in opinion about what a Publisher thinks is a boilerplate item and what an Agent will consider as a boilerplate item versus a right that needs to be negotiated up front.

I have a feeling (call it intuition—snort) that the definition of what constitutes an “enhanced ebook” or a “multimedia product” (that’s a new catch phrase I’ve been hearing as of late) will be at the center of these new boilerplate contract debates between publishers and agents.

I, myself, have yet to see a new “boilerplate” contract but am waiting with bated breath… Oh being an agent is just daily fun.

14 Comments on A Difference of Opinion I’m Sure, last added: 4/17/2010
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31. How I Know The Tipping Point For eBooks Is Here Or Very Near

STATUS: Two contracts to wrap up and 270 emails to go in the inbox. Feeling significantly better after a lot of rest this weekend. Kristin--7 Flu--3

What’s playing on the iPod right now? NEED YOU TONIGHT by INXS

As you folks know, I’ve been on planes quite a bit in the past month. And here is how I know that the tipping point is potentially here (or near) where eBooks are concerned.

On one leg of my trip, I sat next to a 60+ grandmother (by her own admission) who saw me reading on my Kindle.

Grandmother: “That’s a new eReader, isn’t it? Where did you get that?”

Me: “This particularly eReader is called a Kindle and I bought it through Amazon but Sony and BN and a couple of other companies sell eReaders as well. You can buy them online at Amazon or go into Best Buy etc.” [For the record, I do try and promote equal opportunity purchases for electronic readers! I even mentioned the iPad.]

Her: “I read at least 3 novels a week! I’d love not to have to carry all these books around. I’m going on a cruise this week. [Leaning over to look at the text on my Kindle] Looks like you can up the font on that.” I gotta get me one of those.”

Me: “Yes, you can change the font size.”

Her: “That does it. I’m asking for it for my birthday and Mother’s day combined. If my children can buy a $200 game program for my grandkids, they can buy me one of those.”

In chatting with her a bit more, this grandmother was from Pueblo, Colorado—a smaller but good-sized town in South Colorado. Probably not too far off the core of “middle America.”

When I’ve got an older grandmother expressing unabashed enthusiasm in owning an eReader, I can’t help but think the tipping point is near—even if current electronic sales only equal about 2% of the market right now (statistic via a recent PW article).

I think a lot of us assumed the older generation would be the luddites where this new technology is concerned but through my anecdotal experiences, I’m not finding that to be true…

55 Comments on How I Know The Tipping Point For eBooks Is Here Or Very Near, last added: 4/14/2010
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32. Burning Question about Agency Commission Model

STATUS: TGIF!

What’s playing on the iPod right now? BEEN CAUGHT STEALING by Jane’s Addiction

As you can imagine, I’ve been having a lot of conversations with various Contract Directors at all the major publishing houses as of late as we navigate contract negotiation.

I was in discussion with one person from a Big 6 house and we got to talking about returns with electronic books. Were they going to be allowed on the agency commission model that publishers have with entities like Apple?

According to this contracts person, the answer was yes.

So I asked what I thought was a rather pertinent question. I said, “if Apple allows returns and they’ve already deducted the 30% agency commission from the sale, how will the publisher know that the commission should have been refunded to them for the returned-sale of that title?”

Contracts person: “Good question.”

Glad I could be of some help…

8 Comments on Burning Question about Agency Commission Model, last added: 4/12/2010
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33. If You Haven’t Got Anything Nice To Say…

STATUS: Springtime in the Rockies! It was 65 degrees and sunny today and I must admit, I left the office at 2:30 in order to take Chutney out for a run and enjoy the day. In exchange, I’m working all evening.

What’s playing on the iPod right now? TOMORROW PEOPLE by Ziggy Marley and The Melody Makers

Last week, I pretty much spent every entry talking about contracts but today’s discussion tops the cake.

Just recently, a publisher made an offer for the next books from one of my clients. Excellent. But this publisher is also one of the big 6 that have announced that they are moving to the agency commission model for the sale of electronic books.

As ya’ll know based on my math lecture about net receipts last week, there are some key questions that really need to be answered about electronic books and exactly what 25% of net is going to mean.

So my contracts manager and I insisted on talking to contracts director before closing the deal.

The publisher’s response (and this is a paraphrase): they have no idea what the definition of net receipts will be and feel uncomfortable accepting the language we have put forth. Their suggestion? If the author would like to put the contract on hold until the company makes a corporate decision on this, then the author is free to do so. However, the publisher has no timeline for when this will be resolved.

Snort. That’s the solution?

Publishers. The world is changing. Quit dithering. We agents have to negotiate contracts now so maybe get on this. Telling us we can just put it on hold until you get your act together isn’t an alternative.

Rant over.

32 Comments on If You Haven’t Got Anything Nice To Say…, last added: 3/8/2010
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34. Redefining Net Receipts Where eBooks Are Concerned

STATUS: Lots to tackle today so getting the blog entry out early.

What’s playing on the iPod right now? THE BLACKEST LILY by Corinne Bailey Rae

And the fun of how electronic books are changing the publishing contract continues. Today, boys and girls, we are going to talk about net receipts in Ms. Kristin’s neighborhood.

In light of this new agency commission model where Amazon and Apple will no longer carry the product per se but have an agreement to sell titles via their site in exchange for a 30% commission on the sale (see earlier post to get up to speed), suddenly agents need to re-examine the whole definition of net receipts in publishing contracts.

The definition of net receipts (or amount received) for an electronic book is not the same as the definition of amount received for a physical book.

With the agency commission model, the biggest question is this. Will publishers deduct the 30% commission paid or will they absorb it when calculating net receipts and determining what is the total used to pay authors their 25% of net receipts? One major publisher has stated that their current thinking is that the royalty would be calculated BEFORE deducting commission. In current negotiations for contracts in play, I’m not seeing publishers as excited about redefining net receipts this way.

So what does redefining net receipts mean to the author? Let’s do a little math!

Let’s say a title will sell on Amazon or Apple’s iPad for $10.00 (might as well make it easy math).
Now let’s look at the different between net receipts if the publisher absorbs the cost of the agency commission versus if they don’t in defining and calculating net receipts.

If Publisher absorbs commission:
eBook price: $10.00
25% of net royalty (all the rage with publishers as of late)
Royalty to author: $2.50 per title sold

If Publisher does not:
eBook price: $10.00
$7.00 received by publisher (after 30% sales commission to retailer)
25% of net royalty
Royalty to author: $1.75 per title sold

Yep, definitely worth the time to find out exactly how this term is going to be defined in the contract when it comes to electronic books.

10 Comments on Redefining Net Receipts Where eBooks Are Concerned, last added: 2/26/2010
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35. eBooks and Royalty Statements

STATUS: Remember when I said we were reading a lot? Yeah, that was before the Olympics began. Bad Kristin but I can’t tear myself away from the TV in the evenings!

What’s playing on the iPod right now? HOLDING BACK THE YEARS by Simply Red

As you know from a previous post, I’m not all that enthusiastic about this move by Publishers to switch an eBook royalty rate based on retail price to a royalty percentage based on net amount received.

As I ranted about this topic previously, my issue is the lack of transparency on the statement. It’s impossible to track actual amount received by the publisher unless you can get more detailed accounting info

So what have we been doing? Asking Publishers to included language in the agreement that contractually obligates them to provide more accounting information upon request. The only way to verify the accuracy of the Publisher’s stated amount received is to get info such as a list of customers purchasing and disseminating the electronic product, the business model used (wholesale or agency commission or maybe something not even invented yet), the actual retail price, the discount, any deductions made to establish the Amount Received figure from which the royalty calculation will be based.

And I could go on.

Notice that yet again, the onus is on the author/agent to go out of their way to request this information. It won’t necessarily or automatically be stated on the statement.

If we are having such a revolution in publishing over the electronic book, is it too much to ask that publishers have a revolution regarding the info provided on a statement? You got to change the system anyway to account for these new royalty structures. Why not make the whole reporting process more transparent. Heck, why can’t all this info be readily available online and the author can access it at anytime.

Now that would be a step in the right direction.

9 Comments on eBooks and Royalty Statements, last added: 2/26/2010
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36. You Need A Reserve For Returns For eBooks Like You Need A Hole In Your Head

STATUS: I had a To Do list a mile long but I buckled down and just concentrated on it. The fact that I only got 70 emails rather than my usual 120+ today made a big difference in accomplishing what I did.

What’s playing on the iPod right now? HEY, SOUL SISTER by Train

It’s been awhile since we’ve talked about contracts. I know. Your favorite thing but to be honest, contract language is ALL I’ve been thinking about for the last 3 weeks since Apple made their big iPad announcement, Amazon pulled the links for Macmillan titles to flex some muscle, and publishers such as Macmillan and Hachette moved solely to an agency commission model for the sale of eBooks. (See sidebar tags for “publishing contracts” and “electronic books” to get up to speed on these past events.)

The hardest part about being an agent right now is figuring out what dang language to put in the contract when terms are changing, literally, every week.

But today’s topic is a no brainer when it comes to contract terms that need to be revisited in light of the ever-changing eBook landscape.

Publishers, in the old school world of actually selling physical copies of the book, like to hold a reserve for returns on any given title. This reserve is usually specified on the royalty statement (although some publishers do not include that info and then we as the agency have to specifically request it). Because publishers sell books to booksellers who can then later return them for full credit or refund, they have to hold a certain percentage in reserves to account for the possibility of all these returns. Publishers like to hold reserves on each specific edition of the title.

Got that?

But here’s the interesting thing. Some publishers are holding a reserve on the eBook edition.

Right. Explain to me how somebody would return an electronic book. They can’t. eBooks are non-returnable so why would a publisher be holding a reserve for returns on an electronic edition?

What a good question. They shouldn’t be. So now we’ve implemented policy here at the agency to make sure that no reserves are being held for eBooks on any past contract where that was not specified (which means we are having to ask when each roy. statement arrives and make sure reserves are not held). Oh what fun!

And on future contracts, we are including specific language that no reserves will be held on the electronic edition. And yes, if you don’t specifically raise a ruckus about this, some publishers are holding a reserve on the eBook (not all, mind you, but some are).

Oh, I’m going to be ranting about this kind of stuff all week so stay tuned. Those of you who are agented authors, aren’t you glad somebody is worrying about this stuff on your behalf?

37. The Latest On Macmillan-Amazon

STATUS: A bit frustrated with all this Amazon stuff.

What’s playing on the iPod right now? NEVER THERE by Cake

Which is to say the latest is not much. The links are still not on. February 16 is fast approaching for my author Paula Reed and the debut of HESTER.

As authors, if you are impacted, I think it’s important to have your voice heard on the Amazon Kindle forum where there is a lot of chatter going on. The average everyday customer really doesn’t know much about the ins and outs of publishing and what the hoopla is about.


This in from John Sargent earlier today….

To: Macmillan Authors and Illustrators
cc: Literary Agents
From: John Sargent

I am sorry I have been silent since Saturday. We have been in constant discussions with Amazon since then. Things have moved far enough that hopefully this is the last time I will be writing to you on this subject.

Over the last few years we have been deeply concerned about the pricing of electronic books. That pricing, combined with the traditional business model we were using, was creating a market that we believe was fundamentally unbalanced. In the last three weeks, from a standing start we have moved to a new business model. We will make less money on the sale of e books, but we will have a stable and rational market. To repeat myself from last Sunday's letter, we will now have a business model that will ensure our intellectual property will be available digitally through many channels, at a price that is both fair to the consumer and that allows those who create and publish it to be fairly compensated.

We have also started discussions with all our other partners in the digital book world. While there is still lots of work to be done, they have all agreed to move to the agency model.

And now on to royalties. Three or four weeks ago, we began discussions with the Author's Guild on their concerns about our new royalty terms. We indicated then that we would be flexible and that we were prepared to move to a higher rate for digital books. In ongoing discussions with our major agents at the beginning of this week, we began informing them of our new terms. The change to an agency model will bring about yet another round of discussion on royalties, and we look forward to solving this next step in the puzzle with you.

A word about Amazon. This has been a very difficult time. Many of you are wondering what has taken so long for Amazon and Macmillan to reach a conclusion. I want to assure you that Amazon has been working very, very hard and always in good faith to find a way forward with us. Though we do not always agree, I remain full of admiration and respect for them. Both of us look forward to being back in business as usual.

And a salute to the bricks and mortar retailers who sell your books in their stores and on their related websites. Their support for you, and us, has been remarkable over the last week. From large chains to small independents, they committed to working harder than ever to help your books find your readers.

Lastly, my deepest thanks to you, our authors and illustrators. Macmillan and Amazon as corporations had our differences that needed to be resolved. You are the ones whose books lost their buy buttons. And yet you have continued to be terrifically supportive of us and of what we are trying to accomplish. It is a great joy to be your publisher.

I cannot tell you when we will resume business as usual with Amazon, and needless to say I can promise nothing on the buy buttons. You can tell by the tone of this letter though that I feel the time is getting near to hand.

9 Comments on The Latest On Macmillan-Amazon, last added: 2/5/2010
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38. Game Changer

STATUS: I’m not at the office late. That’s news!

What’s playing on the iPod right now? IT’S THE END OF THE WORLD AS WE KNOW IT by R.E.M

Unless you’ve been living under a rock, you should have heard the news by now. Apple had released its new tablet PC called the iPad. Think bigger, badder iTouch.

Just in case you just crawled out from under that rock, here’s a link to get you up to speed.

Most folks in the industry see the Apple announcement as a game changer—a company big enough and nimble enough to give Amazon a run for its money in terms of being the dominant player of eBooks.

As agents, the electronic rights playing field is literally shifting daily. (Ah, where did those sleepy days of just doing book deals go?)

One can imagine that The Goog will not be too far behind…

What this all means for the future is not entirely clear and I’m actually not going to speculate in this entry.

What I do want to say is this. This is the first time I’ve had to do a major shift in a negotiation literally mid-stream because of a news announcement.

In short, previously publishers have sold books to an entity like Amazon wholesale. In other words, the entity has bought a certain number of “books” in bulk at X discount. Then an entity like Amazon takes the ebooks and makes them available at a price they deem (which has been $9.99).

Apple’s announcement is changing the way publishers will be doing business moving forward. Instead of buying wholesale, Apple is saying “hey, we’ll simply be a portal for you to sell your books and we are going to ask for a 30% commission for the privilege. You get to keep the other 70% (with the main caveat that the eBook not be priced over $14.99)

On the heels of this news, Amazon announced a similar structure.

I see all of you are starting to do the math in your heads. Why should an author be stuck with a crappy 25% of net amounts received in this kind of deal?

Why do we need one lump catch-all royalty at all?

Some other random thoughts as I contemplate the massive changes publishing is going to undergo in the next five years.

1. eBooks are unreturnable. There would be no need for a publisher to hold a reserve against returns on that format. Language should be inserted in the contract addressing just that.

2. Will advances go the way of the dinosaurs? If so, what will become the main factor for choosing one “publisher” over another?

3. Will publishers finally update the royalty statement accounting periods? If eBook becomes primary format, there is no need to be 6 months behind (so as to account for returns according to publishers) in the generating of statements and the paying of royalties earned. There is no reason not to do this monthly.

And these are just a few things that immediately pop to mind…..

27 Comments on Game Changer, last added: 2/1/2010
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39. Authors Guild on RH’s Rights Grab, Q&A continued

STATUS: It’s obvious that I need to rule the world. I couldn’t BELIEVE that the judges dismissed FACE from the Sing-Off. Are they nuts? Not to disparage the other performers but FACE is doing something different with a cappella. Surely an audience might like to see more of what they can do. Now it’s just the same old same old for the remaining groups with the exception of Nota (who were outstanding). Go and buy FACE's new album Momentum anyway. Take that Sing-off.

What’s playing on the iPod right now? COLORADO CHRISTMAS by Nitty Gritty Dirt Band

I’m getting an early start to my blog or I’m just going to get buried. I was very happy to see the Author Guild speak out. In a message to members, they basically rejected RH’s argument that its older contracts that grant rights to publish “in book form” or “in all editions” is a grant of electronic rights.

RH politely disagreed with their stance. Surprise I know. Put on your boxing gloves. Here we go.

But back to Q&A.

Anonymous asked:
Ask them - are mid-list authors dead in the water? What do you expect from mid-list to say yes to future projects?

I don’t believe that midlist authors are dead in the water but it also depends on where they are in the midlist. There are different levels—the consistently-selling midlister versus the midlister who is now having declining sales for each subsequent project.

If the author is a solid seller, publishers are still buying new projects—however, they may be offering less money than they have in the past or they are sticking with the same terms as previous contract. There’s not a lot of negotiating leverage for the midlist author.

In order to say yes to a future project from a midlist author (looking to change representation), I would have to believe that the new project or proposal is strong enough to bump the sales numbers or will take the author in a new, stronger direction from which the author can build.

Anonymous asked:
I was wondering if you have ever fallen in love with a manuscript and then never found a home for it?
Sadly yes. It always amazes me when I’m not able to sell a project. There’s obviously something wrong with the editors. Grin.


Rebecca Knight asked:
Hmmmm. My question for an editor would have to be what direction they think e-book pricing and the royalty structure is going to go in the next few years.
Actually, individual editors have no idea. All changes to eBook pricing and royalty structures are set by corporate policy. In fact, in negotiations, they have to toe the party line.

From my perspective? I think eBook pricing and royalty structure is going to be a huge battle. Publishers are seeing squeezed profit margins and they are clearly on notice about how third parties such as Amazon are controlling the perception of what pricing should be for eBooks (with their $9.99 price point or lower).

On Mike Shatzkin’s blog, he speculated that the publishers' decision to delay the e-book versions of some major upcoming titles isn't "a battle to rescue hardcover books from price perception issues caused by inexpensive ebooks" so much as it is about "wresting control of their ebook destinies back from Amazon." I don’t disagree. His insights are worth reading.

Because of fear, publishers are all jumpin

21 Comments on Authors Guild on RH’s Rights Grab, Q&A continued, last added: 12/17/2009
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40. Horizons Is Not Remotely Like Harper Studio Or Vanguard Press

STATUS: Heading off for Thanksgiving Break. I won’t be back to blogging until Monday. Seems like bad timing with all that’s going on but don’t worry. We haven’t heard the last of it yet. If I hear any breaking news, I’ll try and update the blog.

What’s playing on the iPod right now? Nothing at the moment.

Today, Thomas Nelson Publishers joins the Harlequin hoopla in a ridiculous blog post. Ashley and Carolyn Grayson posted their response—to which I whole heartedly agree. I find it laughable that Hyatt believes that agents are speaking out against the ripping off of writers via vanity publishing arms because we see “self-publishing” as a threat.

As many commenters have already noted in my blog comments section, vanity publishing and self publishing are not the same. A distinction that Hyatt does not seem to understand. I suppose he also believes that venerated writing organizations such as RWA, MWA, and SFWA, all of which have a long tradition of helping and protecting writers, are similarly trying to keep the status quo by vehemently speaking out against such blatant ripping off of writers.

I also want to make this distinction.

When I spoke to an editorial director from Harlequin last week, the editor mentioned that “several other publishers were doing it.” The only difference was they didn’t announce their vanity publishing arm.

Incredulous, I had asked “like who?”

The editor could not respond with a list of names.

I’m wondering if the editor was erroneously comparing Harlequin Horizons to a legitimate publisher such as Vanguard Press or Harper Studio.

They are not remotely the same.

At Horizons, the writers are forced to pay for their work to be "published." And forced to pay for “marketing” or anything else from a fee-oriented “menu” of choices. The writer foots the entire cost.

At VP and HS, the publishers pay for publication. The authors are not out any money from their pockets. Vanguard and Studio also commit a certain percentage of monies to the marketing/promotion as part of the plan. In lieu of the advance, there is an equal split of royalties between Publisher and Author.

And another key factor, at VP and HS, the books are available for wide distribution via traditional sales outlets just like a traditional publisher.

None of these things are true at Harlequin Horizons (or whatever they are calling it now).

And the most egregious part of Horizons? The fact that Harlequin planned to refer rejected authors to this option as a “viable” alternative.

As RWA, MWA, SFWA have all pointed out. That’s not legitimate publishing, it should not be advertised as so, and it’s just plain wrong.

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41. Friday Funnies

STATUS: I’m done for the night.

What’s playing on the iPod right now? LANDSLIDE by Dixie Chicks

Considering all the chatter over the last two days, today has been relatively quiet. SFWA (Science Fiction & Fantasy Writers of America) did issue a statement. You can find that here.

Also, the Ashley Grayson agency blogged with their response.

On a wholly different note, I have a Friday funny—sort of. Do you remember my blogging about an Eddie Murphy movie being shot on our street about two summers ago? For two days in a row they had the extras and the movie crew filming. Sara and I remember it vividly as a car alarm kept going off incessantly. With our windows open on a nice summer day, it was all we could hear for two days running.

Can’t imagine why if you don’t remember. That was a year and a half or two years ago. I only remembered a couple of weeks ago when my husband said he caught the film while on an airplane trip.

The movie is called IMAGINE THAT and no, neither Chutney or I are in the film. In fact, I can’t imagine what they were doing on our street for all that time because in the film itself, there is a brief flash of the front façade of our office in the SH Supply Company building in the scene where Eddie Murphy is fumbling in his briefcase for something while driving. About 10 seconds later, the car drives down the alley behind the building.

Exciting stuff I’m telling you. Grin.

There is one big scene where Mr. Murphy dances on a concrete wall and there is a beautiful lit up staircase behind him. This leads to the bridge that goes over the railroad tracks and into lower downtown. Very noticeable by the bridge support which looks like a ship’s mast. (You can actually see that scene in the movie trailer.)

Well, that takes place right in front of the Platte River Park where Chutney and I often go walking on nice days.

Anyway, highly amusing to watch a movie set in Denver and in Lodo where our office is located.

I’m out. Have a great weekend.

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42. And I Thought The Furor Was Bad Yesterday….

STATUS: Who can get work done when there is so much Harlequin gossip flying around?

What’s playing on the iPod right now? EDGE OF SEVENTEEN by Stevie Nicks

Then today can’t even compare. I think Harlequin has just gotten the smack down.

I have not confirmed this rumor yet, but a fellow agent just emailed me to say that RWA revoked Harlequin’s recognized publisher status. Uh… that means no Harlequin author can enter the RITAs.

Let me tell you, the emails are flying fast and furious among the agents.

And RWA just sent out this announcement:

RWA Alert: RWA Responds to Harlequin Horizons

Dear Members:
Romance Writers of America was informed of the new venture between Harlequin Enterprises and ASI Solutions to form Harlequin Horizons, a vanity/subsidy press. Many of you have asked the organization to state its position regarding this new development. As a matter of policy, we do not endorse any publisher’s business model. Our mission is the advancement of the professional interests of career-focused romance writers.


One of your member benefits is the annual National Conference. RWA allocates select conference resources to non-subsidy/non-vanity presses that meet the eligibility requirements to obtain those resources. Eligible publishers are provided free meeting space for book signings, are given the opportunity to hold editor appointments, and are allowed to offer spotlights on their programs.

With the launch of Harlequin Horizons, Harlequin Enterprises no longer meets the requirements to be eligible for RWA-provided conference resources. This does not mean that Harlequin Enterprises cannot attend the conference. Like all non-eligible publishers, they are welcome to attend. However, as a non-eligible publisher, they would fund their own conference fees and they would not be provided with conference resources by RWA to publicize or promote the company or its imprints.

Sometimes the wind of change comes swiftly and unexpectedly, leaving an unsettled feeling. RWA takes its role as advocate for its members seriously. The Board is working diligently to address the impact of recent developments on all of RWA's members.

We invite you to attend the annual conference on July 28 - 31, 2010 in Nashville, TN, as we celebrate 30 years of success with keynote speaker Nora Roberts, special luncheon speaker Jayne Ann Krentz, librarian speaker Sherrilyn Kenyon, and awards ceremony emcee Sabrina Jeffries. Please refer to the RWA Web site for conference registration information in late January 2010.

Looking forward to seeing you at the Gaylord Opryland!

Michelle Monkou
RWA President
RWA Alert is a publication of Romance Writers of America®,


I have to wonder. Did Harlequin not think there would be a strong response? I'll keep you posted if I hear anything more!


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43. Exploitation or Empowerment?

STATUS: Only 205 emails in the inbox now. I’m making headway!

What’s playing on the iPod right now? MY EVER CHANGING MOODS by Style Council

So Harlequin is causing quite the furor today. Last week they announced a new ePub imprint called Carina to potentially compete with ePublishers like a Samhain or Ellora’s Cave with royalties of 30% of retail price on copies sold (which by the way, should piss off any Harlequin authors who are being traditionally published by that house as their eRoyalties suck).

Then this week, they announced a self-publishing arm called Harlequin Horizons partnering with Author Solutions (not unlike what Thomas Nelson announced about 2 months ago using Author Solutions as well). Now prospective authors can pay to be published by Harlequin and have access to that Harlequin name.

So here’s my question. It’s quite the revenue machine. Is this exploitation of romance authors who have been rejected by Harlequin but now have an opportunity to “publish” and a possible entry into traditional Harlequin publishing via a strong self-pub sales record (according to the Horizons website) or is this simply another option that empowers authors to get their work out there?

As an aside, I can’t help but think that more books published (and in the marketplace) is not what the industry needs. It already can’t support the number of books currently being published in any given year.

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44. Publishers, You Want An Edge On the Competition?

STATUS: TGIF and blogging early as I actually want to leave the office before 7 pm tonight.

What’s playing on the iPod right now? OVER THE HILLS AND FAR AWAY by Led Zeppelin

Then let me throw this idea out there before all of you jump on the 25% of net band wagon so as to be like every other publisher out there offering substandard e-royalties.

Three years ago when I had a hot project (as in I’m getting pre-empts, potentially going to auction, going to have my choice of publishers), if Random House was in the mix, I’d lean their way. Why? Because RH had decent royalties for eBooks (at 25% of retail—which I know doesn’t match ePublishers but for a NYC major, not bad). Obviously other factors were in consideration such as marketing plans, other royalty structures, escalator break points but I think you can see where I’m going here.

This was 3 years ago (maybe even longer) when eBook sales might have added up to 10 copies total in any given 6-month period (SF&F or major authors excluded).

I could see the change a-coming; it was just going to be a matter of time.

So RH, you used to have a strong leg-up—which this year you’ve taken away from yourself. I can’t help but think that’s short-sighted.

You want an edge on the competition? Well then, why are all you publishers racing to do the same short-sighted thing?

Tell you what. Come to me with strong trade paperback royalty escalators, solid e-royalties percentages with escalators, decent audio percentages (downloadable or otherwise), etc. and I’m open to talking about non-outrageous advances or dare I say it? No advance at all if we can truly do a shared equal risk on a no returns basis (a la Vanguard Press and Harper Studio).

Maybe I’m alone on this (but I doubt it), I’m totally open to discussing less on the front end for a larger share of the back end.

But what I hear from publishers is the same low advance spiel with no change on the back end. And you’re wondering why I’m not leaping out of my chair with joy. I often hear that agents are to blame for demanding crazy advances etc. but have publishers asked themselves lately what’s been offered in return? Given an alternative, agents could be persuaded to think outside the box. Not given any viable alternative, then we have to stick with business as usual in order to best represent our clients.

Two to tango, certainly, as I’m thinking that “business as usual” won’t suffice for either publishers or agents as the publishing model rapidly changes…


And since it’s Friday and sheesh did I get off on a rant there, a gratuitous Chutney-in-the-snow shot from this morning. She HATES wearing her fleece. Can you tell? She won’t even look at me. Grin.





No Imeem file available.

38 Comments on Publishers, You Want An Edge On the Competition?, last added: 11/2/2009
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45. Three Articles Worth Sharing

STATUS: TGIF—even if it’s cold in Denver.

What’s playing on the iPod right now? BARE NECESSITIES by Phil Harris

Sorry to interrupt our fun with royalty statements (and don’t worry, I’ll resume on Monday) but I saw these three articles and they definitely are worth sharing.

First article is a follow up to the one on Tuesday about FTC fining of blog reviewers for nondisclosure. Richard Cleland highlights that the FTC doesn’t have the authority to level fines, and he says, “the blogger or endorser would not be fined, but the advertiser would.”

Second is a blog entry on the HuffPo site from Steve Ross (Former President, Collins Division at HarperCollins and Sr. VP, Crown Division at Random House) asking why we can’t all just get along and responds to two recent blog postings by Chip O'Brien and Mark Coker with the following:

“Both blogs are, to this reader, rife with fallacious thinking, faulty reasoning, and/or tunneled perspectives that ignore the complex realities that publishers face during this turning point for the industry. But at a time when it is in the best interests of everyone who loves books to help the major houses endure, they're being scapegoated, demonized and ridiculed for trying to survive with the crippling business model they've been handicapped with for decades.”

Last but not least, FrogDog Media does a children’s iStorytime ap for the iPhone—just in case you want your 3-year old to read instead of playing a video game on your iPhone. Kinda cool. And they are doing all picture books by new writers.

19 Comments on Three Articles Worth Sharing, last added: 10/12/2009
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46. Tectonic Shift

STATUS: Halloween is going to be here before we know it. I’m not sure I’m ready for it to be the holiday season soon.

What’s playing on the iPod right now? UNDER PRESSURE by Queen (with David Bowie)

Or to quote Malcolm Gladwell, we may have reached the tipping point. As I mentioned earlier this week, October is a big royalty statement month here at the agency. All the publishing houses have different royalty reporting periods but the good majority of statements come in February/August, and April/October. In the last week, we’ve received a ton of statements.

And it’s always a happy time because with statements comes money.

But that’s beside the point. What I wanted to highlight tonight was that I’m reading a ton of statements from different houses, different authors, and different genres.

I’m noticing one big change. The amount of eBooks being sold in any given accounting period has risen dramatically.

I’ve been watching this for years. Four years ago, any author that sold more than 50 books in the electronic form (in one accounting period) was blowing it away and mostly I’d only see high numbers from our SF&F authors.

Now I’m looking at titles selling 500 to 1000 copies (and certainly sometimes more) in electronic form regardless of the genre. Even this time last year the numbers were not running nearly this high.

The tectonic shift is happening and it’s all clearly spelled out on paper—although one has to wonder how long those paper statements will last…

26 Comments on Tectonic Shift, last added: 10/9/2009
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47. namelos. The opening move in a new age of publishing


A Publishers Weekly story this week http://tinyurl.com/ocydmf caught my attention when I noticed my former publisher's name, Stephen Roxburgh, founder of Front Street and former publisher at Boyds Mills Press.

namelos editions http://www.namelos.com, the next phase of his namelos publishing effort, announces it's moves to publish electronic and POD books. The article reads in part "namelos will handle financial arrangements with agents and publishers on a project-by-project basis, with the splits depending on its level of involvement. (Industrywide, agents typically get 15 percent of everything.) Namelos will be equal profit-sharing partners with its authors and will not pay advances. “If it’s $4, the author gets $2,” Roxburgh said. “If I sell an electronic edition for $6, the author gets $3."
Some retracting remarks are made by longtime literary agent and industry observer Richard Curtis, and publisher of E-Reads.com. However, knowing Stephen, he hasn't embarked on anything he hasn't weighed carefully and is poised for great success. He's working with some big names: Carolyn Coman (Newbery Award winner), Donna Diamond (illustrator for Bridge to Terabithia).
namelos (which means "nameless" from a medieval German epic poem and is intentionally lowercased) will read any manuscript for $200 and give a five-page evaluation to prepare would-be authors for submission. There is also pricing for a greater commitment to develop projects and match authors with agents and editors at publishing houses.

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48. Pirating Made Easy

STATUS: Very chaotic and busy today. Logged a lot of phone hours for a negotiation, a revision phone conference, and a possible Hollywood deal.

What’s playing on the iPod right now? EVERYBODY HURTS by R.E.M

Today, one of my authors sent me a very interesting link. Basically you can Google to find a tutorial on Scribd that gives you instructions on how to easily download a Google Books "Limited Preview" book in its entirety into PDF.

You know the “partial” preview that is sometimes enabled on Google Books? Well, these instructions tell you how to get around the partial views to download the file. All of it.

Yep, pirating made easy.

Needless to say, I’m not including the link to the instructions on this blog (although if you’re curious, I imagine it’s not hard to find the link.)

One of the issues in this digital age is how authors will get paid for their intellectual property. And no, I’m not going into the whole DRM debate in this entry.

What I want to say is this. If you are a published author with the preview enabled on Google Books, tell your publisher about this quaint little feature on Scribd and the issue with Google Books preview.

35 Comments on Pirating Made Easy, last added: 7/17/2009
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49. Is Publishing Just About To Be Disrupted?

STATUS: How the industry is shifting does make me lie awake at night.

What’s playing on the iPod right now? SHE WORKS HARD FOR THE MONEY by Donna Summer

And to piggy-back on to what I was writing about yesterday on the blog, I want to share this very interesting article by science writer Michael Nielsen.

I read his blog entry earlier this week and my mind has been in a whirl since. He tackles the question of whether scientific publishing is about to be disrupted but I think the parallels to traditional publishing are very clear.

In the article, Nielsen highlights the signs of impending disruption in the newspaper industry: “Five years ago, most newspaper editors would have laughed at the idea that blogs might one day offer serious competition. The minicomputer companies laughed at the early personal computers. New technologies often don’t look very good in their early stages, and that means a straight up comparison of new to old is little help in recognizing impending disruption. That’s a problem, though, because the best time to recognize disruption is in its early stages. The journalists and newspaper editors who’ve only recognized their problems in the last three to four years are sunk. They needed to recognize the impending disruption back before blogs looked like serious competitors, when evaluated in conventional terms."

The signs of disruption in the publishing industry are already there. The big question is whether we’ve recognized them in time. The big publishers today are like the Titanic. Huge. Cumbersome. Potentially perceived as unsinkable. And yet, huge tech companies such as Google, Amazon, and the upstart Scribd are changing the face of publishing. What will the big publishers be like in five years? 10 years? They see the ice berg but can they turn in time?

I hope so. I don’t have any answers to share but I certainly see possibilities. Will they merge with big tech companies such as Google? That would not be surprising. What will the role of agent be as publishing transforms?

And digital is the key that has changed all of this.

And how interesting that I’m reading one of the more extraordinary articles to tackle this question on a blog. By a science writer. Not in a publishing industry magazine. Not in a newspaper.

That says a lot in and of itself.

42 Comments on Is Publishing Just About To Be Disrupted?, last added: 7/20/2009
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50. Reshaping Reading

STATUS: Contemplative.

What’s playing on the iPod right now? UNDER THE MILKY WAY by The Church

Today as I have spotty internet from my home connection (curses Qwest DSL and the fact that I can’t have cable broadband at my home), I can’t help but do a rant on digital technology and how that is reshaping the reading experience.

Today, in Deal Lunch, I read about two new eReaders—the Ditto Book E Ink Reader and a new reader by Vodafone Germany. (For those of you who might not have been to Europe lately, Vodafone is a big mobile phone provider across the pond.)

Lower price points and mobile phone eReader technology.

Then I read about Cory Doctorow’s serialization of MAKERS that’s going to be posted on Tor.com. Then I read about the Hachette Book Group’s initiative to offer free Open Access to a variety of books in their entirety via their website. And to top it off, Chris Anderson’s book FREE viewed by 17,000 people, well, for free via Scribd.

And here’s what I want to say about this. It’s not okay to cling to your Luddite ways. Even if you love the feel of a physical book in your hands and hate the idea of reading digitally, you need to branch out and give it a try.

From the start of my agency, I’ve always read electronically on my computer (tablet PC). Then I got the Kindle the year before last and now I’m reading both on my kindle and my iPhone. In fact, lately, it’s been rare that I’ve read an actual physical book.

And for me, the medium doesn’t matter. Only the story does. Now I know that’s not true necessarily for other people but this is where we are moving and you if you are a writer, you need to experience reading in these other mediums. Why? Because the next generation, I guarantee it, will not be as attached to the physical medium of a book. They are already more used to reading digitally in all kinds of ways—blogs, twitter, texts, books, instant chat, etc.

Books are transforming. They might be multimedia in the future—interactive in the digital form—which would shift how writers think about writing a novel or a memoir or a work of nonfiction. You can’t afford to ignore this.

You can already see the shifts happening.

35 Comments on Reshaping Reading, last added: 7/12/2009
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