Sunday, January 24, 2010

With Kindle, the Best Sellers Don’t Need to Sell

Left - Photo by Chad Batka for The New York Times shows Maureen Johnson, a writer whose free e-book, “Suite Scarlett,” went as high as No. 3 on Amazon's Kindle best-seller list.

Story by Motoko Rich
Published New York Times: January 22, 2010

Here’s a riddle: How do you make your book a best seller on the Kindle?
Answer: Give copies away.

That’s right. More than half of the “best-selling” e-books on the Kindle, Amazon.com’s e-reader, are available at no charge.

Two novels by Ms. Johnson. “Scarlett Fever,” the latest in a series for young adults, is due out in hardcover on Feb. 1.Alessandra Montalto/The New York Times

Although some of the titles are digital versions of books in the public domain — like Jane Austen’s “Pride and Prejudice” — many are by authors still trying to make a living from their work.

Earlier this week, for example, the No. 1 and 2 spots on Kindle’s best-seller list were taken by “Cape Refuge” and “Southern Storm,” both novels by Terri Blackstock, a writer of Christian thrillers. The Kindle price: $0. Until the end of the month, Ms. Blackstock’s publisher, Zondervan, a division of HarperCollins Publishers, is offering readers the opportunity to download the books free to the Kindle or to the Kindle apps on their iPhone or in Windows.

Publishers including Harlequin, Random House and Scholastic are offering free versions of digital books to Amazon, Barnes & Noble and other e-retailers, as well as on author Web sites, as a way of allowing readers to try out the work of unfamiliar writers. The hope is that customers who like what they read will go on to obtain another title for money.

“Giving people a sample is a great way to hook people and encourage them to buy more,” said Suzanne Murphy, group publisher of Scholastic Trade Publishing, which offered free downloads of “Suite Scarlett,” a young-adult novel by Maureen Johnson, for three weeks in the hopes of building buzz for the next book in the series, “Scarlett Fever,” out in hardcover on Feb. 1. The book went as high as No. 3 on Amazon’s Kindle best-seller list.

The digital giveaways come as publishers are panicking about price pressure on e-books in general. Amazon and other online retailers have set $9.99 as the putative e-book price for new releases and best sellers, and publishers worry that such pricing ultimately creates expectations among consumers that new books are no longer worth, say, $25 (the average list price of a new hardcover), or even $13 (a standard list price for trade paperbacks).

Some publishers have tried to take control of pricing by delaying the publication of certain e-books for several months after the books are made available in hardcover.

Executives at some houses said that given such actions, offering free content amounts to industry hypocrisy.

“At a time when we are resisting the $9.99 price of e-books,” said David Young, chief executive of Hachette Book Group, the publisher of James Patterson and Stephenie Meyer, “it is illogical to give books away for free.”

Similarly, a spokesman for Penguin Group USA said: “Penguin has not and does not give away books for free. We feel that the value of the book is too important to do that.”

But some publishers regard free digital books as purely promotional, in the same vein as the free galleys they distribute to booksellers and reviewers to create attention and word-of-mouth buzz for an author.

“Most people purchase stuff because somebody has recommended the title,” said Steve Sammons, executive vice president for consumer engagement at Zondervan.

Neither Amazon nor other e-book retailers make any money on these giveaways either. But it is a way of luring customers to their e-reading devices.

Free e-books are also a way of distinguishing a less-well-known author from the marketing juggernauts of the most popular books.
Motoko Rich's full piece at NYT.

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