Is 99 Cents Too Low For An Indie Ebook?

I used to think 99 cents was a good price for indie books. Sure, they're worth more than 99 cents but if you want to sell a lot of books then it seemed reasonable to price them affordably, and at 99 cents a lot of folks don't think twice before clicking the "download" button.

Things have changed.

Two things happened. First, Amazon changed its ranking algorithm to favor higher priced books and therefore 99 cent books no longer have the competitive edge they once did. Second, I think the novelty of being able to buy a book for 99 cents has worn off and consumers don't download 99 cent books as readily.

For years Dean Wesley Smith said an author should never price her novel at 99 cents. I now agree with him. Yesterday he posted a comment one of his readers had submitted and I've reproduced a small part of that, below. I think this is a fantastic analogy.

He [an pricing professional] would look at all the short stories and say ‘It takes 15 minutes to read? And it was fun? Okay. charge 5 bucks.” And when writers squawked in horror, he would say “Starbucks sells fancy coffees for $5 that take 15 minutes to drink. They sell millions every day. Did you enjoy the story as much as the coffee? Yes? Well, no problem.”

And the writers would come back with “but there was actual substance in the coffee… cream and coffee beans and sugar…” and the he would respond with “yeah, and if I really like the story, I can read it again. I can’t drink the coffee again. I can lend the story to my friends. I can’t say to my friends, ‘gee you should taste this coffee, it was really good, you can try it when I’m done with it.’

He would tell you that it is not good practice to set anything, no matter how ‘small’, at regular price at the very bottom of the price structure.

The bottom price should be reserved for sales exclusively, and used only in an integrated, strategic way to give you more sales traction and build your brand.

If people said “oh, well I’m new, and I don’t have name recognition so I have to sell cheap to make sales” he’d say, no. Set the price you want to regularly sell at. From that price have sales, or other promotions that give an incentive to the consumer to try your new stuff. You’re telling the consumer that you know they are taking a bit of a risk on a new, unknown quantity, so a price break makes it more appealing. Once they’ve tried your stuff, then they know if the regular price is worth it to them.

You are always educating the consumer as to what your product is worth. The regular price will come to be perceived as its true value. You don’t want to set that too low. You steal from the consumer the thrill of getting a deal, you steal from yourself the flexibility to build and expand your brand appropriately.

Read the rest over at Dean's blog: The New World of Publishing: Book Pricing from Another Perspective.

Related reading:
-The Vandal's 10 Ways To Promote Your Book
- 7 Tips On How To Launch A Book Without Losing Your Mind
- 5 Book Review Blogs

Lawrence Block's Afterthoughts only 99 cents on the Kindle

Yesterday, after reading a post by Passive Guy in which he discussed a literary gem he found in his spam filter, I raced to check mine to see if it contained similar literary gold.

It did! But not the sort I expected. I found an announcement that Lawrence Block has a new book coming out on the Kindle and for -- drum roll please -- only 99 cents! That is an amazingly good deal.

Here is a description of Afterthoughts:

A collection of afterwords from Mystery Writers of America Grand Master Lawrence Block’s most acclaimed works

In a career spanning more than fifty years, Lawrence Block has produced over one hundred books, ranging in genre from hard-boiled detective stories to pseudonymous erotica. Collected here for the first time are more than forty-five afterwords from the works that made him a master of modern fiction.

Each afterword is an insightful reflection on the experiences that have brought Block’s fiction to life, from the lessons he learned as a reader at a literary agency to the unlikely—and semi-autobiographical—origins of the acclaimed Matthew Scudder series. Witty and inspiring, Afterthoughts is a must-read for Block fans and mystery lovers alike.

This ebook features an illustrated biography of Lawrence Block, including rare photos and never-before-seen documents from the author’s personal collection.

Afterthoughts is available to pre-order for August 2nd.

It's amazing how fast times have changed. Even a couple of years ago when I wanted to buy Lawrence Block's latest book I would have to pay thirty dollars for a hardback or wait six months and pay ten dollars for the paperback (and his books were well worth the money, but money is often hard to come by). Now I get his latest book the day that it comes out for only 99 cents. Wow! That is incredible, and, even in these times of inexpensive ebooks, an amazingly good deal.

If you want to know why I'm raving about Lawrence Block's writing, read some samples from his other books or go on over to his blog and read his posts.

Grifter's Game
Eight Million Ways to Die
The Sings of the Father's
Telling Lies for Fun and Profit