I recently met another author at a festival where we were both doing signing. I was impressed when she mentioned the number of books she had been selling at some of the festivals in the area. Then she told me that she only made an average of $2 a book, meaning after she deducted the cost of the book and any promotions from what she received, she was left was $2.
She also said that her goal was to be able to be a full-time writer. I asked her why she didn’t raise her book prices then. She said she wanted to get the books out to as many people as possible.
I was struck by this. I am a full-time writer and I would like get my books read by as many people as possible. However, if I reduced my paperback prices so that I was making only $2 a book, I doubt that my sales would increase enough to make up the difference.
My average gross profit per book is $10. So the author who I met would have to sell five books for every one that I sold. During our time at the festival where we met, I sold 17 books. Now I don’t know how many books she sold. It may have been more than 17, but I doubt that it was 85 or more.
Plus, we’re only talking about gross profit. You still have to consider booth costs, transportation, hotels (in some cases) and other business costs. No wonder she can’t make the jump to full-time. It’s doubtful that she’s making enough to cover her costs.
It also sounds like her publisher is making more per book than she is, which is sad, because it doesn’t sound like the publisher is doing much promotion for her books. She said that one title had sold 1,300 copies in a year, but she had hand sold 1,200 of them at festivals.
She definitely has the energy to do the marketing and is doing it. It has also paid off in more reviews for her books on Amazon. She is also getting her name out there.
I have a festival promotion that I use, which is “Buy 2, get 1 free.” I’ve tried a lot over the years and that one works best for me. It encourages more purchases and I’m offering a better deal than the reader can get on Amazon or in a bookstore. Not to mention, that it’s a signed book. It definitely moves more books than I see other authors selling who offer no discount.
What are your thoughts about pricing of books? Should it be very low or competitively priced? Does selling physical books at deep discounts lead readers to expect all books to priced at that level?
The odd thing is I am all for using low-price promotions for e-books. For one thing, there’s no base cost that needs to be covered by the sale when you sell digital versions. Plus, low-pricing along with strong marketing has shown sales not only for your promoted book but also back list books at the regular price.
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