Higher Compensation

Less Revenue for Authors from Amazon?

Amazon Revenue

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Did you read Amazon’s Newsletter last week?  One of the sentences in the text was: “Starting with the November fund, we will work to take these marketplace differences into account and payouts per country will differ based on local country factors.”
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Sounds rather unassuming, doesn’t it? However it might mean LESS MONEY FOR AUTHORS…who are signed up with KDP Select.  In India for example Kindle Unlimited subscription service is much lower priced: $3 only per month.  So a revenue pay-out per book on KU will also be much lower than for those in the USA, where customers pay more than three times for monthly subscriptions.
But Amazon might also reduce the subscription prices for other countries in order to eliminate competition… Or am I too suspicious?
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Making KindleUnlimited available in India also taps into a market with a lot of growth potential.  According to Digital Book World, e-books currently account for just two percent of the country’s $2- billion-market, but that amount is expected to grow as more people get their hands on inexpensive smartphones and tablets, and the biggest competitor Flipkart is outnumbered by Amazon (maybe).
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What Bloggers Say:
Mark Cocker wrote: “None of this should come as a surprise, yet thousands of authors will be surprised once they realize the slippery slope that is KDP Select.  It’s an inevitable outcome when authors surrender full pricing and compensation control via their KDP Select enrolment to a company whose entire business model is predicated upon commoditizing and devaluing products by stripping suppliers (authors) of pricing control.  Amazon does this in the name of offering customers the lowest possible prices.”

And Nate Hoffelder blogged a while ago:
Following the launch of KindleUnlimited, the payout from KDP Select declined by 25%, and it continued to decline ever since.  The payment hit a new low in October, dipping to $1.33, and according to the latest KDP newsletter it increased slightly in November, 2014 to $1.39.  Authors are wondering whether KDP Select in particular, and Amazon’s subscription e-book service in general, are such a great idea.”

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What are the Pro’s and Con’s of KDP Select?
In exchange for giving Amazon exclusivity for your e-book for 90 days, you receive five days to make your digital content available for free or in a Kindle Countdown Deal, and you also get paid during these 90 KDP Select days for any of your e-books that are lent through the Amazon Prime library or through KindleUnlimited. Since June 2015 only the pages that were read will be paid by Amazon.  Also, you will earn 70% revenue for sales to customers in Japan, India, Brazil and Mexico.
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Pro’s

  • If you are a new author with only one book, then building an audience on Amazon before branching out to other venues might be an good choice.  Often new authors are receiving higher numbers of lends while more established authors are getting less.
  • If you sell exclusively through Amazon, you only have to manage one site and one set of changes.
  • Multiple-book authors might rotate content through KDP Select if they are getting a significant number of paid lends and new readers from the program. Or use KDP Select to launch a new project, getting reviews and feedback on Amazon before distributing the title elsewhere. If your free days land you on the Top 10 or 20 (first page) of the free bestseller list, that exposure might! Increase sales for the days following a free promotion due to the exposure and higher ranking.
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But consider this: you don’t need to be on KDP Select to offer your book for free.  A great option are “Pay-with-a-Tweet” or to have one of your books permanently free on Amazon!

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Con’s

  • As an indie author, you should not be dependent on any single income stream. In business it is never good to work only with one customer or one supplier – nor is it smart to have only one product / one book to sell. Consider only during the initial period exclusivity, in order to earn your tiny share of the KDP Select Global Fund amount when your book purchasers read more than 10% of your book from KindleUnlimited, or to borrow your e-book from the Kindle Owners’ Lending Library (KOLL).  Enrolling in KDP Select means your books are automatically included in both programs.
  • As writers have to remove their books on all other platforms to be exclusive for KDP Select campaigns, the timing of price changes for sales is a real hassle.  You never know if scheduling a price change on Kobo, Barnes & Noble and iBooks works smooth and timely – nor will it always work perfect on Amazon.  After the campaign you have to change back everything on all platform, which can really be a pain.  And even if you use any aggregator services, errors can and will happen.
  • Global growth of digital markets: Apple iBook and Kobo sell in 58 countries.  Amazon may be the biggest player in the USA, but there are more online retail stores and devices that are dominating in other countries.  Sales in Canada for example are coming primarily from Kobo.  And don’t under-estimate the future massive Asian markets…
  • Selling on more platforms – on- and off-line – allows readers all over the world to buy your work in any way they want. Don’t limit the amount of money you might make.
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Bestselling author Dean Wesley Smith mentioned in one of his blogs: “In regular publishing, if your book is all over the world in every store and not limited, your sales potential has no ceiling. Think J.K Rowling book sales numbers.”
“In KindleUnlimited, you only have the amount in the prize pool that Amazon sort of sets after the fact and decides to give you – considering pages read… Being exclusive to one bookstore is for sure a mistake.”

 



How Much Do Self-Publishing Authors Earn?

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Author-Earnings
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So you think you want to write a book? Ever wondered exactly how much self-published authors earn? According to a new study by Digital Book World, the median income range for self-published authors is less than $5,000, and nearly 20% of self-published authors report deriving no income to speak of from their writing.
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Dana Beth Weinberg wrote a blog about it: “For amateur Argentine dancers, the possibility of making a living out of their tango practice tends to be perceived as a chance to improve their fates. Unlike tango artists, writers may dream of quitting their day jobs, but very few are able to afford to do so, and that’s why for many writers, publishing is not even a promising option for supplementing income.
In publishing, the diminished role of gatekeepers has meant more opportunity for would-be authors but also more competition to sell books, thereby making it harder for growing numbers of writers to earn their livelihood from their writing.”  Read her full blog: Artists and Money.
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Ms. Weinberg was analyzing the responses from the nearly 5,000 authors who volunteerly responded to a 2013 Digital Book World and Writer’s Digest Author Survey in relation to whether an author is aspiring (not yet published), self-published only, traditionally published only, or hybrid (both self-published and traditionally published). She compared the top priorities of these 4 types of authors, and in Part 2, she examined the differences in their stock of published and unpublished manuscripts.

Comparing authors with the same number of manuscripts, there is a strong similarity in income between hybrid and traditional authors, but hybrid authors outperformed their self-published counterparts on earnings. No wonder, as trade-published authors already have a platform and are already a brand!
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Yes, some authors do break through… 1.8% of self published authors made over $100,000 from their writing last year, compared with 8.8% of traditionally published authors and 13.2% of hybrid authors. The study was conducted online in October and November 2013.
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Conclusions? Don’t quit your day job yet!  Is your self-publishing:

  • an amateurish endeavor,
  • a means of sharing stories,
  • a strategic move in a writing career,
  • or an entrepreneurial activity?

Authors who have a greater focus on earning income from their writing, have produced more manuscripts than either their self-published or traditionally published counterparts, and are earning higher incomes on average.
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Learn everything about the publishing and book marketing process. Focus not only on publishing books, branch out and sell more of your written content, such as short stories or magazine articles.
You have lots of material in your manuscripts you can write about! And do write more books! With only one or two books you are not really considered an author, from the third book on, it becomes much easier and every book promotes the others you have written.
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More Resources:

http://savvybookwriters.wordpress.com/2012/06/23/writing-freelance-for-magazines/

http://savvybookwriters.wordpress.com/2012/02/28/freelance-writing-for-childrens-magazines/

http://savvybookwriters.wordpress.com/2013/08/13/smart-authors-get-paid-for-marketing-their-books/

http://savvybookwriters.wordpress.com/2013/11/14/checklist-how-to-organize-your-book-
marketing/

http://authorearnings.com/the-report/

http://www.theresaragan.com/2013/06/sales-ranking-chart.html

http://kdpcalculator.com/

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If you would like to get more support in all things publishing, have your book intensively promoted and learn how to navigate social media sites – or to learn how you can make yourself a name as an author through content writing: We offer all this and more for only $179 for three months – or less than $2 per day! Learn more about this customized Online Seminar / Consulting for writers: http://www.111Publishing.com/Seminars

Please check out all previous posts of this blog (there are more than 1,030 of them : ) if you haven’t already. Why not sign up to receive them regularly by email? Just click on “Follow” in the upper line on each page – and then on “LIKE” next to it. There is also the “SHARE” button underneath each article where you can submit the article to Pinterest, Google+, Twitter, Facebook, Tumblr and StumpleUpon.

Thanks a lot for following:

@111publishing

http://www.111publishing.com

http://www.e-Book-PR.com/

http://www.international-ebooks.com/

http://bit.ly/VmtVAS 111Publishing @ Google+

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Tagged: benefit of writing magazine articles, calculate the cost of publishing, Dana Beth Weinberg, Earnings of Writers, freelance writing opportunities, Higher Compensation, make money with writing, Tango Dancer from Argentinia


Why and How to Pitch Story Ideas to Magazines

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Venice
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Part 1 of 2
The odds of winning the Lottery and becoming a millionaire are approximately 1 in 14 million. For
authors to find a publisher, the odds are somewhat better. Maybe 1 out of 500 or 1,000 queries,
depending on the agent / publisher, might lead to a contract. These publishing professionals
receive 150 – 500 unsolicited book pitches per day! from writers.
No matter if you send a query to the editor of Amazon Kindle Singles  – if it is a short story – or to trade publishers, you have to compete with several dozen or even several hundred other writers.
Competition for writers when pitching at magazines and newspapers is less fierce.

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How to Calculate a Book Page
Have you ever calculated how much time and money you invested in your book(s)? Added up the
hours you were sitting on your computer, typing away … and then the time you spend editing?
Multiplied by $30 or whatever you think is your writing-hour is worth? Divided the amount of your
editing invoice by the pages of your book?

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Higher Compensation for Articles?
You will be surprised how much (or better said often how few) you earn net per page within a year
or two – after subtracting your costs. Compare this to earnings you can make with a couple of pages
for a magazine or a newspaper article. The average page has 450 words double-space and most
magazines pay between 50cents and $1.25 per word, airline magazines even more. Lets just take
a short article, containing 1,000 words (a bit over two pages): You will earn a couple hundred
dollars! Compared with your books content of several hundred pages you are better off, writing
more magazine articles.

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You Don’t Need to Write Completely New Articles
As an author you did a lot of research already for your book, and you wrote a manuscript. What is
easier than to “re-work” this content? Tips how to do this can be found here in our former blog
posts:
http://savvybookwriters.wordpress.com/2013/07/07/free-brilliant-book-marketing-to-a-million-
audience/
http://savvybookwriters.wordpress.com/2013/08/13/smart-authors-get-paid-for-marketing-their-
books/
http://savvybookwriters.wordpress.com/2014/01/03/a-new-way-of-book-marketing/
http://savvybookwriters.wordpress.com/2013/11/14/checklist-how-to-organize-your-book-
marketing/
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Selling Argument: Author Platform/Brand
When you pitch your story to a magazine or newspaper editor you can show them your following on
Google+, Twitter, Facebook etc. and offer to post and tweet the article to your Social Media
presence. However, there is less time necessary to market an article, than to do the same with a
book. The story will be available in print only for a day, a week or latest a month, but it will be on the
internet for years to come.
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Get Links to Your Website or Author Page
No matter if you get published paid (or unpaid at Huffington Post for example): Your website or
author page link is garantied, included in the short bio about you as an author at the end of the
article. It will be a longterm boost and a reference piece for your future publishing career.

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To Sum it Up:
What is the benefit for you as an author to pitch to magazine editors?

  • Higher compensation / per page or word
  • No completely new content necessary
  • Build your platform and brand
  • Earn more money – and faster!
  • Less competition with other writers
  • Less time necessary to market an article
  • Articles will link to your site and market your book

Use your writing to earn more, to spend less time “marketing” and do what you like to do most:
WRITING!  Read more in our next blog, how to pitch to magazines.

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If you would like to get more support in all things publishing, have your book intensively promoted and learn how to navigate social media sites – or to learn how you can make yourself a name as an author through content writing: We offer all this and more for only $179 for three months – or less than $2 per day! Learn more about this customized Online Seminar / Consulting for writers: http://www.111Publishing.com/Seminars  Or visit http://www.e-book-pr.com/book-promo/ to advertise your new book, specials, your KDP Select Free Days or the new Kindle Countdown Deals.

Please check out all previous posts of this blog (there are more than 1,030 of them : ) if you haven’t already. Why not sign up to receive them regularly by email? Just click on “Follow” in the upper line on each page – and then on “LIKE” next to it. There is also the “SHARE” button underneath each article where you can submit the article to Pinterest, Google+, Twitter, Facebook, Tumblr and StumpleUpon.
Thanks a lot for following:

@111publishing

http://www.111publishing.com

http://www.e-Book-PR.com/

http://www.international-ebooks.com/

http://bit.ly/VmtVAS 111Publishing @ Google+

.

Hyper Smash

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Tagged: benefit of writing magazine articles, calculate the cost of publishing, freelance writing opportunities, Higher Compensation, make money with writing, winning the Lottery, writing for airlines


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