From Erotic Romance Publishers:
Email to authors posted, for now, without any comment from me. Names and emails redacted and email shortened.Dear Friends,It’s with the heaviest of hearts and a great sadness I bring you the news of Samhain beginning the process of winding down due to our market share’s continuing decline. We’re approaching the point where we cannot sustain our business.
We prefer to go out gracefully and not get to the point where our overhead compromises our ability to pay the authors’ royalties. That’s would just be wrong. We want to stay on the high road and keep your respect. This company was started with the purpose of providing a safe and friendly house for authors to publish and begin or expand their career. If we have to end, then we shall do so in the same manner.
This has not been a decision made lightly. The recent sales numbers are not providing any hope for recovery and none of our efforts have been successful. For the last two years we have tried many and varied types of campaigns to promote your titles and have had no success in reaching the new customers we need to thrive. Each month that goes by our sales continue to shrink and it would be disingenuous to keep contracting new titles.
We’ve tried to renegotiate terms with Amazon in order to buy better placement within their site and perhaps regain some of the lost traction from the early days but have been met with silence. Other retail sites are trying, but the sales have never risen to the level of Amazon and are declining as well.
As it took time to grow to the size we became, it will take some time to shrink down and end our run properly. This means that we are NOT turning off all of the books and just closing down. It doesn’t work that way. We are going to continue on with selling our titles and launching the titles that are ready to go, but we are laying off about half the staff, and releasing all freelance people.
Many of you are going to ask for your rights back, I expect. Please be patient and understand it will take time to process those titles where rights are available to be returned. If your title/s haven’t yet reached the point to have your rights returned, we won’t be making any mass releases at this point. We need the income to continue while we wind down and ask that you understand that we will release the books when we can and we won’t be abusing your trust. I won’t drag this out any longer than I have to, but it isn’t going to be something that will be wrapped up in the next six months. Samhain has commitments to vendors other than writers and to turn it all off now would put me in bankruptcy. I hope you don’t want that any more than I.
. . . .
Saying goodbye is always hard. I will miss working with all of you. Samhain has been my greatest adventure and I’m bereft at having to give it up. Please accept my thanks for all the trust you’ve invested in Samhain and I hope you understand that this choice to begin the wind-down to close is made to honor that trust.
Link to the rest at Erotic Romance Publishers and thanks to Angie for the tip.