New e-book pricing scheme a surprising assault on the wallet

[The Straight Story]

The problem of so-called "e-book sticker shock" is becoming a reality ever since six of the top book publishers banded together and agreed to set prices for the electronic books they sell, according to a story in The Wall Street Journal. In some cases the price for the e-version of a book is actually higher than the physical version, the article said.

...

That means retailers can still slash the price for physical books as much as they please in order to entice readers to buy, but they'll have to comply with the new, higher prices for e-books set by the publishers. The wholesale price charged by the big publishers for both e-books and hardcover books was $12.50, meaning that before the agreement, Amazon.com was losing money by selling e-books at $9.99, books, according to the Journal, but the low price encouraged consumers to get in the e-reader game.

The Journal story goes on to explain the reasoning behind the change:

“Under the new pricing model, a $25 hardcover is often priced at $12.99 for the e-book. And because publishers receive 70% of the e-book retail price -- while retailers retain 30% -- that means publishers receive only $9.09. Publishers were willing to accept the lower profits because they felt the new arrangement preserved the value of books and encouraged other retailers to enter the e-book market. Indeed, the new arrangement means guaranteed profits on best-selling titles for retailers like Barnes & Noble Inc., which today claims about 27% of the digital books market, as well as Amazon.”

The whole agreement was actually launched at the behest of Apple’s Steve Jobs, who had wanted to create an e-bookstore for the iPad but didn’t want to compete with Amazon.com’s cheap titles, according to the story. And now the Justice Department is looking into whether Apple and book publishers improperly colluded to prevent price discounts, the Journal said.

http://bottomline.msnbc.msn.com/_news/2011/12/15/9469981-new-e-book-pricing-scheme-a-surprising-assault-on-the-wallet

[leveymg]

1. How many "discount" ebooks do you have to buy to pay for the reader? 8, 10?

I don't understand the appeal of these things to some people, other than to display their disposable income and the illusion that they are trendy, tech savvy, and somehow "smart", without actually having to know anything.

How does the Kindle improve people's lives or add to their reading experience?

Or, is this just another repackaging of content by the publishers, and a way to market the newest generation of costly, redundant electronic devices that will end up leeching poison into the water supply below some landfill?

[themadstork]

2. Saves on shelf space

which, as someone who moves around a lot, can become pretty important.

[Capitalocracy]

3. If you're an avid reader, they certainly save space

They're very convenient for me, because I live in a foreign country, books on politics in English are a bit difficult to come by and quite expensive, shipping costs come into play, and therefore being able to just download the book is better for me. That's a special case, but I'm certainly glad they're around.

[SharonAnn]

34. Easier to read because of variable type size

Those of us with older eyes really appreciate the ability to "upsize" the font so that we can more easily read the text.

And, we can carry more books with us when we travel and even buy more or checkout others from the library while we're traveling.

[The Straight Story]

4. I have almost 1200 books on mine

All free from various online services. Beats carrying around that many physical books

[themadstork]

7. indeed

if you're the type that carries eight books onto the airplane because you're just not sure which poem or story or essay you may suddenly have the urge to read, and you want to leave your options open... like I am.... these can be very nice.

Used to be that even carrying my three favorite books for spot rereading when I would go to the library to study would be quite a haul when combined with research materials. . . now I can toss my kindle in my backpack and never be without every stinking essay and poem of the good old Concord sage : )

[Nye Bevan]

5. "Costly"? Kindle is $79 (nt)

[LuvNewcastle]

6. Mine has more than paid for itself already.

I have 250 books on it and got all of those for free. I still have enough memory to store 1000 more. My reader is a little smaller than most and I can fit it in my pocket and read it if I'm in a place where I have to do some waiting. I'm going to get rid of most of my regular books and make more room in my apartment.

[Little Star]

8. I have well over 200 free e-books on my Kindle..

most found from through this site that another DUer led me to:
http://ereadernewstoday.com/

I'd say that paid for my Kindle3G.

Also, when traveling, on vacation, etc. it is much easier than lugging along 'books' if you are a fast reader.

With that said, I could never imagine myself not doing a mixture of hard copy and ebooks. I love having a book in my hand.

[leveymg]

11. Yes, but what's the point of a Kindle in addition to a laptop or tablet?

Can't you download the same free books onto a laptop or tablet, which you probably bring with you on trips as well?

[The Straight Story]

12. e-ink

Not a backlit display, and lighter. Feels more like a standard size book (especially with a good cover for it).

[Little Star]

14. Ditto

[Little Star]

13. To me it is the comfort of holding it like I would a book..

and to me that's a big one.

It's light and has a jacket the way a book does.

[Matariki]

15. 3-4 week battery charge & paperback size

[Bluenorthwest]

19. I can not lug a laptop on trips

A tablet? Why would I buy a $500 thing to do that which is done by a $200 item? Kindle Fire does the internet, email, games, video, and mostly I read. So it is a tablet.

[knitter4democracy]

33. Those hurt my eyes.

My Kindle doesn't, just like books.

I honestly never, ever thought I'd use mine as much as I do. I got it for knitting patterns and for library e-books, and I use it daily and love it a ton.

[JI7]

40. i have been reading some of the free stuff that is on Gutenberg site on my netbook

and yeah, i can see what you are saying.

i'm considering the kindle because of that. plus i can just lie back and read like i would a "regular" book which i can't do with a laptop/netbook.

[The Straight Story]

43. One note about that

Some of the stuff on Gutenberg, et al, are not Kindle friendly - there are some apps you can get for the PC that will convert those files to mobi.

Example: there are a lot of great books here:

http://www.archive.org/details/americana

but in PDF format look terrible on the kindle (would like nice on PC, iPad, etc). If you can only find them in PDF download them and convert them to mobi before putting on to your Kindle.

[The Straight Story]

46. just found this for you:

http://news.brevardtimes.com/2011/12/looking-for-free-kindle-books-check-out.html

[ohheckyeah]

25. Thanks for the link.

That's a great resource!

[Pab Sungenis]

9. They're perfect for trips.

Long flights or train rides? You can read. A Kindle holds a lot of books in a small space so you don't have to take up room in your carry-on. Also handy for the commute since they're smaller and lighter than a hardback, and even some paperbacks.

I have a Kindle app on my phone, so I can just read books there without having to buy the physical Kindle.

Kindles have also made it easier for independent publishers, small presses, and self-publishers to put stuff out. (See link in signature.)

[Little Star]

16. Good point about..

independent publishers, small presses, and self-publishers.

I've bought some great reading for 99 cents on Amazon by self-publishers who may have been ignored or priced out of the regular publishing route.

[Little Star]

18. This may be a silly question but..

it won't be the first time I've ever asked one.

I wonder if we will be able to leave our ereader fully laoded and readable in our will? It sure would be nice if my kids and grandkids could read some of my stuff.

I'm old so I think of this kinda stuff! LOL

[The Straight Story]

20. I would imagine so

but an interesting question

[dmallind]

10. How?

space
weight
adjustable font size for tired eyes
access to hundreds of thousands of free out of copyright books
no more losing or damaging - can download multiple times
remembers your place no matter how many books you are reading at the same time
Free books on file sharing sites.

I have 1100+ books on my nook. I saved the paper, ink, printing process, gas from freight, and physical book store space on all of them, and you want to talk about the thing's environmental damage?


My dad, who is about as far from trendy and tech-savvy as you can be, spends a couple of months a year in the Canaries, a couple of months with us, and the rest at home. He reads 3-4 books a week. Why bother packing all of them?

Oh and I figure the break even point even as a fairly early adopter when these things cost $250, was about 60 books. The other 1000+ are saving me money.

[Bluenorthwest]

17. On a reader I can read massive books

which in print are too heavy for my bad hand to enjoy. Also, I can carry many books on the road, when without a reader I need a light paper back, one only, as more is too heavy to lug. It can take many books just to do my job when I do it. I used to have to ship at extra cost.
I thought I'd hate the readers, but they are a boon for me.

[karynnj]

21. One reason is convienience

You can get a sample chapter any time of the day and, if you are impressed, download the book. This also means that you can take multiple books on a vacation, without having the bulk. Not to mention, as someone looking at the difficulty of what to do with over a thousand books that our kids and we accumulated as we contemplate downsizing to a condo, the comparison might be like itunes/ipods to a large number of boxes of CDs, tapes and vinyl (which we have the most of).

I also wonder if high school and middle school books are available on a reader. If they were, and there were a time warp, I would have bought the ones my kids had that way, so they could more easily have access to them at home and at school without the heavy backbacks. (even for the times when the physical books were free.)

[aquart]

22. I download free library books.

Walking to the library had become so difficult I wasn't using the library at all. Now I choose my books online and download to my Nook Color.

I've also found delicious amazing things at Gutenberg....although too many books I want have been put up in garbled versions which I have read is an OCR problem.

I know quite a few seniors who are interested in ereader library downloads because they are becoming housebound or bedridden, but so far the process has too many steps to be easy or comfortable. Although I just read that a Sony ereader does direct library downloads.

[ohheckyeah]

24. It adds a lot to my reading experience.

I get to find new authors with free books which are abundant even at Amazon. I can purchase a book in the middle of the night if I can't sleep without ever leaving my bed. I can take hundreds of books with me on vacation all in a convenient easy to pack, space saving device. I can read in bed without the hassle of a hard back book to hold which for someone with shoulder problems can be tiring.

I'm not trying to display my disposable income or be trendy, tech savvy or display how "smart" I am. I simply find the Kindle to be convenient, space saving and a good investment for me.

Don't knock it if you haven't tried it.

And why, pray tell, such a snarky post?

[Remember Me]

30. Well, here's one view

Future of the Internet – A Paperless Society?

I love paper.
I am such a fan of paper and all things paper that I literally have to budget my visits to any stationery or office supply store. Give me notepaper in pretty colors, or cute spiral bound notebooks, or elegant journals, or packs of colorful card stock, or pens and pencils to write in all my notebooks with — or just a ream of good ole pristine copy paper. Or if you really want me head over heals, give me thick, delicious paper that’s been embossed with a beautiful design — a shell, a crown, a quill, flowers, or a Christmas design. Swoon.

I love books even more
I also love certain things that are printed on paper — books and magazines in particular. In fact, I’m a confirmed bookaholic. Non-fiction, mostly. I don’t so much read a book as devour it. Pens, pencils, highlighters, sticky flags, and pretty card stock bookmarks are all essential “tools” for “reading” any book I own. If you find a book in my home that doesn’t have these attached to it, you’ve just found a book I haven’t gotten to yet or REALLY had no use for.

So I’ve always been a staunch skeptic about the whole notion of a paperless society. Couldn’t happen. I certainly wanted none of it and I am sure there are legions of others just like me out there.

“Nope, people will NEVER give up their hard copies. Never.” And I’m sure I’m right.

Then what's the appeal of Kindle? Read on. http://tinyurl.com/85293mv

[Fool Count]

31. How? By making the treasure trove of world literature in public domain

immediately available to any reader completely free of charge - that's how.
If that does not improve people's lives, I feel sorry for those people.

[bhikkhu]

32. E-ink is easier on the eyes

I've always been an avid reader, but its been frustrating the last few years as my eyes have gone a bit south. I got a Kindle on the advice of my mom and my sister, both who have worse eyes than mine.

For me, it has made a big difference in being able to still enjoy reading books.

[nadinbrzezinski]

37. Shelf space, or lack off

also they are a tad more ecologically friendly

If the tittle exists in ebook, I will get it in ebbok any longer.

I can also carry a whole research library, wich otherwise can't be done.

[KatyaR]

23. Ereaders have allowed me to keep reading.

I'm glaucoma suspect, have astigmatism, and am developing cataracts in both eyes. It's really hard for me to read, and I LOVE to read. When I was a kid, I'd read 10-12 books a week, some of them more than once. I used to read on my Palm device, and I really enjoyed it. In the last year or so it's become really difficult for me to read much of anything after working at a computer all day. My eyes are just horrible, and I hate missing out on reading.

I bought a refurbished Nook Color (original) and a 16GB micro-SD card and rooted it into a full Android tablet. I LOVE it. It's such a better size for me to read Twitter, email, play games, and surf the web, and it's still small enough to carry easily. I've purchased e-books from different retailers and I'm able to access all the books through standalone Android apps. I also have the Zinio app and am able to read magazines on it as well. I mainly use the Aldiko app and convert any books that aren't in epub format via the free Calibre computer program. It's a great way to manage your ebook library. And you can also read newspapers on them as well.

The ereader features most important to me are being able to increase font size and reversing the screen color. I like to read in bed with the lights out, and in Aldiko I can switch to a nighttime mode that I've preset with a black background and red lettering. I then lower the brightness level, and I can read until I fall asleep.

Plus there's the cool factor of knowing you can always have ALL of your favorite books with you all the time. And being able to actually SEE Angry Birds while you're playing it is a big plus (lol).

I also use it to keep policies, documentation, reports, etc., for work. It's very handy to take the Nook into a meeting and look up information online or in a saved file. Several of my coworkers have bought ereaders recently, and they all love them.

I've missed out on so many books throughout the years, and now I feel like I'm finally on my way to trying to catch up. Not that I ever really will, you know, but it's fun trying!

[ohheckyeah]

26. How wonderful

that the Nook has allowed you to keep reading! I love to read and didn't think I would like not having the physical book in my hands but I don't miss it at all. I can finally read all the books I want without having to worry about storage space.

[ohheckyeah]

27. It will be interesting to see what comes

out of the Justice Department's investigation. I think it serves the authors and publishers well to keep the price of eBooks reasonable. They can't cost much to produce and the demand is only going to grow.

[mrmpa]

28. My 81 year old mother is an avid reader...............

However, this has led to my ordering from our library books in large print for her. Often there is quite a bit of wait time until it arrives to be picked up by me (mom never learned to drive). This can sometimes become a pain in my rear, so this Christmas she is receiving a Nook. We can download books from the library for her to read and the font can be changed for easy reading.

Many of the books she reads are mysteries and often "new" books just out, where I could buy them for downloading from Barnes and Noble, I won't have to,( I saw a James Patterson hardcover available from B&N for $16.99 and for the ereader $11.99) because in almost all circumstances they'll be available from the library.

Bottom line, use your local library as much as possible.

As for mom learning to use the Nook, her oldest granddaughter is assistant head librarian at the library in the adjacent township. She will be teaching her grandma how to use it. It also has crossword puzzles downloaded on it, that she can do. Though she texts her grandkids all the time, she will also be able to use email.

Mom has always complained about the weight of the borrowed books, so the Nook is much lighter for her to hold. She shouldn't be afraid of dropping it or breaking it, because I bought the 2 year warranty. I also bought her styluses to use rather than her fingers which are filled with arthritis.

I'm just hoping I don't find the Nook in the kitchen sink, like where I found the electric mixer, stil plugged into the wall outlet yesterday & the kitchen sink was wet & I had just turned the faucet on!

[justiceischeap]

29. I find ebooks perfect for morning commutes

I have a daily, one-way, 50 minute train ride to work. I have to carry my laptop and umbrella and other things and my library in my pocket on my iPhone. One less thing to have to add to the weight I carry on my back.

[knitter4democracy]

35. E-books have to be cheaper to produce.

No paper or ink, can use similar software they use to send it to the printer, so a huge step is removed, and even the marketing is cheaper for most of the books, I would think.

[sarcasmo]

36. Have the wife linked to the library on her kindel. When you use the library books they

stay in the kindel for two weeks.

[JI7]

38. how much does it cost ?

[The Straight Story]

39. Nothing (if you are talking about the library)

If you are talking about the kindle, $79 and up.

[JI7]

41. yes, i'm talking about the library

so are all books on there or just some ? and if it lasts 2 weeks, can you renew that after 2 weeks are up ?

[The Straight Story]

44. I honestly do not know

Going off what I have seen others here have told me.

[sarcasmo]

42. Library is free, but the newer books have a waiting list.

Numerous older titles available for free.

[Ms. Toad]

47. Depends on the library...

One library lets me keep them for 21 days, the other lets me keep them for 14 days.

I have read more books in the last year since I got my velocity cruz reader than the previous several years - mostly because I can read them in bed as I fall asleep. (My spouse previously strenuously complained if I read in bed because the light bothers her.)

The disadvantages are that I don't have a lot of control over when I get a book (it works by a queue - and when you hit the front of the queue you take the book, or drop off the queue - and when the book is due, the book vanishes. If I wasn't finished, I have to get back in line to check it out again. Some books open to the last page read, some don't - so it does occasionally take me some time to figure out where I was and remember the story line.

But, access is free, I have yet to run out of things to read, all of my books are on one small book-sized item, and the device I have also has a built in browser so I can do e-mail and browsing anywhere there is wireless.

It cost me $99. Less than I spend on paperbacks in a typical year.

(ETA: There is a good selection, but not all books are available. On the other hand - not all books are available in the library anyway, and the selection of e-books is growing,)

[Posteritatis]

45. Gotta love price fixing. (nt)