Amazon's KDP Select Program: Is Exclusivity Worth The Perks?

A few days ago I mentioned that the Amazon store in India is now offering a 70% royalty option (Amazon's India Store Now Offers 70% Royalty Option) but apparently I didn't read the small print. Kris Rusch writes:

This week came the news that Amazon’s Kindle Direct Publishing program will offer its content providers a 70% royalty on all sales made in India—provided the content providers go with Kindle Select only. For those of you who don’t know, Kindle Select requires exclusivity from anyone who joins it. You can’t market your work on the iBookstore, for example, or on Kobo if you’re part of Kindle Select. Only on Amazon.

Let me play devils advocate. Many writers I've spoken with say they make upwards of 95% of their sales on Amazon, so selling only through Amazon is not costing them a great deal of money. Further, since Amazon gives them perks like free days and inclusion in the lending library many authors end up selling far more through Amazon than they would have through all the stores combined.

Personally, I thought the above line of reasoning was compelling, but Kris raises an excellent point. She writes:

[M]y own beliefs about maintaining different platforms for my work got reinforced this week after WMG hired someone to input the sales figures for the last six months. We looked at those numbers yesterday. I sell a lot of books on Kindle, but my biggest selling title, a short story called “The Moorhead House,” sold a grand total of one copy on Kindle from January to June.

Every single one of “The Moorhead House”’s rather surprising (to me) sales came on the Nook. For some reason, Nook readers either like or have found or continue to find that one short story. And they buy it more than they buy anything else of mine offered through Barnes & Noble.

If I had joined Kindle Select with that story, I doubt I would have made comparable sales.

I don't think I've read a business post of Kris Rusch's that wasn't well written and well thought out. This one is no exception. If you'd like to read the whole thing here's the the link: The Business Rusch: Content is King.

I'd like to share one more thing with you before I leave. Kris writes:

If you can control the content, then you can control the money.

But here’s the problem with content: it’s not easy to create. If a bunch of monkeys at typewriters could write novels, don’t you think the publishing industry would have conscripted the little buggers decades ago?

I thought that was hilarious! So true.

Other articles you might like:
- How To Format A Word Document For Amazon's KDP Publishing Program
- Lyla Sinclair's 8 Secrets Of Successful Romance Writing
- Indie Books: What Price Is Right?

Photo credit: Karen Woodward

Update On Amazon's KDP Select Program

Edward Robinson over at Failure Ahoy! has written extensively about his experiences with Amazon's KDP Select program. After trying out various things, here is his tentative conclusion:

[R]iding free runs every 30-40 days can be an effective strategy (although ENT now says they won't mention a book within 60 days of the last time it was free, meaning you're basically down to POI, FKBT, and paid ads for exposure). This can last for several months, anyway. But it appears to be less effective the more you do it, and there is a point where a diminished 30 days of sales + a diminished free run isn't going to be enough to prop you up to a significant place on the pop lists. (Edward Robinson)

Although ER's conclusion seems cautiously optimistic, he has decided to pull his most popular book, Breakers, from the program and and explore what Barnes & Noble as well as Kobo have to offer. This should be interesting. He writes:

Over the last few months, I've grown disillusioned enough with Amazon Select to pull my book Breakers from the program. Yesterday, its exclusivity expired. Today, Breakers is available on Barnes & Noble for the Nook reader.

.  .  .  .

I know that Breakers can sell when it's in front of people, so unlike my other titles, if I can find a way to get it some visibility in the other stores, it should sell. Hypothetically. So how do you find that visibility?

Stay tuned.

Read the rest over at Failure Ahoy!: Exploring Bold New Non-Amazon Frontiers, Day 1: Barnes & Noble.

Other reading:
- More on Amazon Select: Is exclusivity worth it?
- Marketing Strategies For Writers
- The Harlequin Class Action Lawsuit Explained

Derek Haines: Are Free Ebooks A Good Marketing Strategy?

Derek Haines over at The Vandal talks about whether offering one of your books for free is a good marketing tool. His conclusion:

I suppose the conclusion I have drawn is that the free book promotion option offered by KDP Select is a worthwhile marketing tool and a chance to get noticed and get your name out there as an author. Although it’s a bit pot luck, that’s still better than nothing. Trying to get a few good free book listing sites to add your book is certainly a way to help boost your exposure and is definitely worthwhile as is a bit of good old fashioned self promotion on your own social media networks.

It looks as though, even after Amazon's changes to its ranking algorithm, making ones ebook free can still be effective in raising paid ebook sales. It's interesting, though, that it doesn't always work. Out of four books Derek tried this with, only one did amazingly well. Still, he writes that "I can see from my unit sales and borrows that July was a very good month. A five fold increase on June".

You can read Derek's entire article here: Do Free Ebook Promotions Work? My Conclusion

Of course luck will always be a factor, but, if Derek's experience is representative, it's a mistake to put too much weight on how any one book does. If one book doesn't take off, that doesn't mean another won't.

Related articles:
- 50 Shades Of Alice In Wonderland: Another Indie Success Story
- Writer Beware: The Return Of The Vanity Press
- Forget NaNoWriMo: How To Write A Novel In A Weekend

Photo credit: pix.plz

Amazon's KDP Select, Kobo & PubIt: Joe Konrath & Blake Crouch Share Their Experiences

Joe Konrath published the post I've been hoping for ever since Amazon tinkered with its ranking algorithm. In his post, Exclusivity and Free, Joe is joined by Blake & Jordan Crouch, authors of Eerie, who share their experiences with various self-publishing platforms starting with PubIt!

Joe's post is a must-read for anyone who has self-published or is thinking about it. I'll summarize a few things here, but, really, head on over to Joe's site and read the original.

(Also, Black & Jordan Crouch are offering their book, Eerie, for free today (July 2), so head on over and pick up your copy.)

Here's the scoop:

Publishing platforms covered:
- Barnes & Noble's Nook/PubIt!
- Kobo's publishing program (Kobo is soon launching a self-publishing platform: Writing Life)
- Amazon KDP & KDP Select

Publishing platform that was the most flexible and author friendly: Kobo
What Blake had to say surprised me:

[I]n May, I had the opportunity to drop my best-selling title RUN into a Kobo promotion involving email blasts, coupons, and prominent placement on their landing pages. I could not have been more pleased with the results. RUN reached the top 10 on Kobo's overall list, stayed there for several weeks, and the rest of my catalog sold well in response. When you consider the size of Kobo's market share, the fact that I sold more books on Kobo in May than I did on Pubit! is astounding. It was only a few hundred dollars shy of beating Amazon for May, and it did beat Pubit! again in June. Even better, Kobo did not request exclusivity. Their writer-relations people are some of the friendliest, most proactive, responsive people in the business. Suggestions and requests I made last year were taken to heart. It's no secret that Kobo is on the verge of unveiling their own platform (Writing Life). If there is a company that could one day compete with the mighty Amazon, it's these guys. They're inventive, have far, far reaching plans to bring writers what could become the slickest digital publishing platform ever created, and they get that writers are customers. They listen. Best of all, my titles continue to sell and rank highly on Kobo's bestseller list, a month after the promos ended. I cannot say the same for Barnes and Noble. There is no other platform (aside from Amazon) where I've seen this level of "stickiness." If someone asked me what's keeping the majority of my titles out of KDP Select, I would have to say these guys.

That makes me more interested in hearing from authors who are testing out Writing Life before it's rolled out at the end of this month.

Pulbishing platform which sold the most books: Amazon
This was the least surprising thing Blake had to say. Every author I've talked to has admitted to selling more books on Amazon than on any other platform. That Kobo came close to Amazon's sales figures amazed me.

That said, Blake wasn't entirely pleased with his experiences with Amazon's KDP Select. He writes:

KDP Select opinion pieces are a dime a dozen. Amazon is still, hands down, the most lucrative platform for me. Even though the transition from free to paid sales appears to have weakened as of late, success stories like Ann Voss Peterson and Robert Gregory Browne are convincing enough for my brother and I to roll the dice and drop EERIE into KDP Select. I say this as someone who has had great success with free titles: they still make me nervous. I get the excitement of giving away 70,000 ebooks. The prospect of making new fans. But free, in the long run, is dangerous. It sets a bad precedent and level of expectation in the minds of readers. Am I a hypocrite for saying this while EERIE is free? Maybe. But if all the platforms did away with free, I'd be okay with that. As writers, we cannot keep going to that well. It will dry up. Kindles may be able to hold a gazillion ebooks, but readers can't read that many. The key is not being downloaded. It's being read.

This post is not going to end with a definitive conclusion on freebies and exclusivity. I'm uncomfortable with both concepts, even as I play the game. My sense is that the people who survive and continue to do well selling ebooks will be those who experiment, take risks, and adapt. We've said it before, but what worked yesterday, may not work today, and the possibility of a game changer (like KDP Select) is constantly looming. 

Publishing platform that has technical support staff from hell: Barnes & Noble's Nook/PubIt!

Although Blake and Jordan were "pleasantly surprised" by their books performance on PubIt! their sales rank was disappointing. He writes:

It [their book's sales rank] never seemed to correlate to a corresponding low rank. Even on days where we sold 400 books, our rank never dropped below 2000. I have no doubt this cost us many, many sales, a good chunk of money, and kept the book from every appearing on the BN bestseller lists. A real shame, because the marketing triggers that Pubit! pulled worked in a big way. The tech just wasn't there to support them, and their tech support staff just couldn't be bothered to give a damn.

But that aside, Pubit! clearly has some real marketing power, and the smaller window of exclusivity (as opposed to KDP Select's 90 day commitment) is a definite plus. When Pubit!'s tech support decides to follow the model of Kobo and Amazon and treat writers as customers instead of entities to be ignored, Pubit! could become a force.

Overall, Blake's experiences are encouraging. The promotions he ran with the various platforms worked and his book, in generally, ranked well.

Blake and Joe go on to discuss book pricing and the pros and cons of offering books for free. Joe just posted the blog, but already many authors have written in to share their experiences with various platforms and programs.

If you'd like to read Joe's post it's here: Exclusivity and Free
Read the comments here: Exclusivity and Free (Comments)

Related articles:
- Amazon Award-Winner Regina Sirois & The Problems Of Indie Distribution
- Amazon's KDP Select: Another Author Shares Her Experience
- Writing Life: Kobo's New Platform For Self Publishers
- Amazon To Acquire Dorchester Publishing

Photo credit: 3D Issue

Jake Needham's Experience With Amazon's KDP Select Program

Jake Needham, author of The Ambassador's Wife and crime novelist, tweeted me in response to one of my articles about the changes in Amazon's ranking algorithm and what they could mean for writers in Amazon's KDP Select program. What he had to say stunned me. Before we get to that, though, let me give you a bit of background.

Amazon's KDP Select program demands it's authors sell exclusively through Amazon, but it provides authors with perks: your books are included in Amazon's prodigious lending library and you are allowed to offer your books free a maximum of 5 days every 3 months. Every time a book is borrowed and every time a book is downloaded--even when it's free--the book's rank goes up.

Or at least it used to.

It seems the recent changes to Amazon's ranking algorithm mean free downloads now count only a fraction of what they once did, and it's pretty much the same for borrows. Since the rule of thumb is that the higher ranked a book is the better it sells authors are wondering whether Amazon's KDP Select program is still worth the price of exclusivity.

Enter Jake Needham and his tweet. Here's what he wrote (I'm using this with his kind permission):

After a big free promotions (20,000+ copies), paid sales were far lower in June than after same number of free in April.

That agrees with what I've heard from a lot of other authors. So, if Jake's experience is representative, should authors abandon Amazon's KDP Select program?

It depends.

It depends on how many books an author would have sold through other retailers such as Barnes & Noble, Smashwords and iBooks, etc.

Here's what Jake said:

I sell thousands of copies of my titles every month for Kindle. So far this month for the Nook? O-n-e. Seriously.

Let's put this in perspective. Here are the books Jake has for sale on Amazon (I'm only looking at books available as ebooks):

The Ambassador's Wife
Laundry Man
Killing Plato
The Big Mango
World of Trouble

And here are the books he has for sale in the Nook store:

Laundry Man
Killing Plato
The Big Mango
World of Trouble

So the only difference is that The Ambassador's Wife is sold exclusively on Amazon. And of the thousands of copies he's sold this month, only one, one, was sold through Barnes & Noble. Wow. That's amazing.

What should we conclude?

I suppose it depends. On the one hand selling thousands of books a month on Amazon is great. I'd be swinging from the rafters. I'm guessing that even with the drop in revenue after Amazon tinkered with it's ranking algorithm, Jake is doing just fine.

On the other hand, what if Amazon breaks the algorithm? I think that's the fear, that Amazon will, intentionally or otherwise, change their algorithm in such a way that it becomes hostile to independent authors, and if Amazon is the biggest and most lucrative market out there, then we could be in very real trouble.

For what it's worth, my take on this is that it's a good idea to continually be on the look out for other places to sell ebooks, places such as Kobo's Writing Life portal for self published writers, now in beta.

That said, Amazon has shown every sign of being friendly to independent/self published authors. I believe the changes they're making to the ranking algorithm have to do with maximizing book sales and aren't intended to discourage indie authors. On the contrary, they recently featured author Jessica Park and her recently self published book Flat-Out Love on the front page of Amazon.

While there may be turbulence ahead I don't think Amazon's plane is going to crash anytime soon.

Next week I'll be posting an interview I did with Jake Needham, so stay tuned and keep writing.

Cheers.


Related reading:
- Kobo's Self-Publishing Portal: Report From A Beta Tester
- Amazon's Ranking Algorithm Has Changed: what this means for indie authors
- Amazon's KDP Select: Another Author Shares Her Experience

"Jake Needham's Experience With Amazon's KDP Select Program," copyright© 2012 by Karen Woodward.

More on Amazon Select: Is exclusivity worth it?

I know I've written quite a bit about Amazon Select recently, but I've been looking for good information on it for some time, information from other indie authors, and it seems to be coming in a flood.

Today Joe Konrath had this to say about Amazon Select:

I've lost some of my faith in the Kindle Select program since it originated, and as a result I've opted my titles out. Select requires exclusivity, and I found I was making more money via Smashwords, Kobo, B&N, Overdrive, Sony, and Apple than I was through Select lends.

The other advantage of Select--being able to make your ebook free--used to result in a nice bounce from the free list to the paid list. Lately, the bounce isn't nearly as dramatic.

Two weeks ago Ann Voss Peterson made her thriller ebook Pushed Too Far free for a week. She gave away 70,000 copies--which is impressive, even beating many of the giveaways Blake Crouch and I had done (giveaways that got us in the Top 100 paid list and made us lots of money.)

Ann never hit the Top 100 paid. She's currently at #158. This is great, and she's thrilled, but she's only allowed to do this once every 90 days, and I don't believe the benefit corresponds to the loss of income from the other retailers.

If you do decide to make your ebook free, go all in. Use the 5 full days allotted, contact as many websites as you can find who announce freebies, and enlist everyone you know to help you spread the word.

Read the rest of Joe's comments here: Guest Post by Robert Gregory Browne, in the "Joe sez" section. He follows these remarks with fabulous advice for indie authors.

I'm paraphrasing.

- Get as many books as you can up for sale as quickly as you can. Your writing is the best advertising you could have.

- Don't be afraid to experiment. Experiment with pricing, covers, promotions, and share your knowledge with your peers.

- Bundle. For example, sell your short stories as stand-alones, then group them into an anthology and sell that. Do the same with your books, especially books in a series. "This increases shelf space without writing more."

- Forget about advertizing and marketing. It's not worth it.

- Keep your fingers on the pulse of the industry. Joe recommends subscribing to:

Publishers Lunch
PW Daily
Passive Guy
Kris Rusch
Dean Wesley Smith
David Gaughran
Bob Mayer
Mike Stackpole
Mike Shatzkin

- As Neil Gaiman recently said, "Walk toward your mountain." In other words, figure out what you want to do and do it. Of every decision ask yourself: does this take me closer to, or father away from, what I want to do. Then, and this is the tough part, believe in yourself and ignore those who ridicule you.

- As Joe put it, "The world needs heroes. Be one." Pass along what you've learnt and encourage others the way you would have liked to have been encouraged when you were where they are.

That's it! Reading the list over, it seems like I could title it, "Joe's Commandments for the indie writer".

Before I end this article, I want to give you a link to an article on KDP Select by the above mentioned David Gaughran. It explains, among other things, the nuts and bolts of KDP select and why Amazon's bestseller lists are so important to indie authors. Read it here: Amazon & The Importance of Popularity

Related Articles:
Changes in Amazon's Algorithm: An Update
Amazon's Ranking Algorithm Has Changed: what this means for indie authors
Self Publishing on Amazon: Kindle Direct Publishing


"More on Amazon Select: Is exclusivity worth it?," copyright© 2012 by Karen Woodward.

Changes in Amazon's Algorithm: An Update

For a while I've been wondering if Amazon Select is worth enrolling ones books in considering the exclusivity clause. Recently the matter became even more complicated by Amazon changing their ranking algorithm, a change that directly and, in many cases drastically, affected book sales.

Before Amazon changed their algorithm a free download counted the same as a paid download in terms of the effect it had on how ones book was ranked. After the change, it looked as though a free download counted for a fraction of what a paid download did.

Since many indie authors rely on periodic giveaways to boost their book's rank, and therefore hopefully keep the book toward the top of Amazon's bestseller lists, this was a big deal. Edward Robertson has posted an invaluable series of articles on the changes Amazon has made to their algorithm and in my earlier article I promised to keep readers up to date. Well, here's the latest.

Robertson, in an attempt to figure out the full impact of the changes to Amazon's ranking algorithm, made his book, Breakers, free for a few days and his results were startling. Over the period of a few days nearly 26,000 copies of his book were downloaded, 173 were sold and 93 copies were borrowed. Here's the big news, though. At the end of that period his books ranking had dramatically increased. (See Robertson's post -- How Much Juice Is Left In Select? -- for full details.)


He writes:

[W]hat does this mean long-term? I don't know. I'm trying not to know just yet, because I don't want to get my hopes up. But prior to this free run, Breakers was #121 on the Technothrillers popularity list and worse than #500 on Science Fiction > Adventure. On day three of its run, it improved to #10 Technothriller and #27 Sci-Fi > Adventure. Right now, it's #8 and #24. I'm guessing sales will slow down after an initial rush, but hold, driven by the pop lists, at a decent clip, for an unknown length of time. If that happens, I will be a very happy Ed.

I can imagine, I would be ecstatic! If Robertson's experience with Breakers is any indication the news for indie writers isn't bleak, it's quite the opposite. As Robertson writes, though, it's too early to draw sweeping conclusions.

Stay tuned!

Related Articles:
Amazon's Ranking Algorithm Has Changed: what this means for indie authors
An Indie Writer Shares His Experience With KDP Select
Self Publishing on Amazon: Kindle Direct Publishing


"Changes in Amazon's Algorithm: An Update," copyright© 2012 by Karen Woodward.

An Indie Writer Shares His Experience With KDP Select

I've written a few posts about publishing on Amazon and tried to say something intelligent, or at least intelligible, about KDP Select and whether paying the price of exclusivity with Amazon for the perks of being in its lending library are worth it.  (For those who don't know, in order to enroll your book in Amazon's KDP Select program one cannot publish that book anywhere else, not even ones own website.)

Fortunately Derek Haines has shared his experience with KDP Select. He writes:

If my conclusion about KDP Select was purely based on the number of borrowed books and having the ability to give my books away, of course I would be out. But there’s just one rather strange consequence that I’ve noticed since joining. My ebook sales keep increasing each month. For the life of me I can’t really put my finger on the reason though. Perhaps it’s all because of the free books, or maybe because I’ve changed deodorant. I really don’t know. But giving Amazon exclusivity has resulted in far, far more sales for me and more than make up for the few ebooks I used to sell on other retailers each month. As well as that it’s much easier to keep track of payments from just one source.
- The Vandal

 Thanks Derek! This is the kind of information indie authors love, it's good of you to share.

By the way, Derek's blog, The Vandal, is an excellent place to get tips about writing, blogging and the entire world of writing.

Related Articles:
- Amazon's Ranking Algorithm Has Changed: what this means for indie authors
- Self Publishing on Amazon: Kindle Direct Publishing

Amanda Hocking: An Update

In her latest blog post, Amanda Hocking tells us how she feels about signing with a traditional publisher (St. Martin's Press), how her traditionally published books are selling and what her future plans are.

For me, one of the most interesting comments she makes is this:

Some people have been speculating that I'm not doing so well based on my Amazon rankings - which aren't terrible, but none of my books are in the Top 100 right now. They think this means that I'm not selling and the books must be doing poorly.

But one of the biggest reasons I went with a publisher is because I wanted to expand outside of the pool of Amazon readership. I know ebooks are continuing to grow, and I know that right now Amazon controls the largest share of ebook sales (they account for roughly 60% of my self-published ebook sales, with Barnes & Noble covering the vast majority of the other 40%).

And you cannot discount the fact that I sold nearly a million books copies of the Trylle books before I went with a publisher, and a large portion of those were through Amazon. I thought I'd already mostly tapped out the Amazon audience, so the fact that my books are doing as well as they are (Switched is ranked in the #1,000s of the Kindle store at the time of this writing, and Ascend is ranked #325) is impressive to me.
- Amanda Hocking, How Am I Doing Now?

Statistics on how well books sell on Amazon versus Barnes & Noble are difficult to come by, so I appreciate it when authors choose to share their numbers (Joe Konrath is wonderful this way). Amanda Hocking sold about 60% of her books through amazon and, I'm guessing, about 30% through Barnes & Noble.

Some might say, "Who cares?"

These numbers are relevant to writers trying to decide whether to enroll their books in KDP Select because that program requires authors to sell their ebooks exclusively through Amazon. I'm not suggesting that Amanda Hocking's numbers are representative, but with so little information about this sort of thing, every little bit helps.

Thanks Amanda!

Related Articles:
Amanda Hocking Joins The Amazon Kindle Million Club
The Secret of Amanda Hocking's Success Amanda Hocking's Story Amanda Hocking, Barry Eisler and Mark Coker: Legacy publishing versus indie publishing

Links:
Amanda Hocking's Books on Amazon
Amanda Hocking at Macmillan Books
The World of Amanda Hocking
How Am I Doing Now?
KDP Select

Photo credit: Thinking About Books

"Amanda Hocking: An Update," copyright© 2012 by Karen Woodward.