From author Dave Farland:
I hesitate to mention problems with self-publishing. In some genres, such as romance or self-help books, the industry is doing great. But for those who are trying to sell fiction, it seems that the markets are contracting, and it appears that things will go from bad to worse.
If you’ve been self-publishing for the past few years, you probably remember the good old days. For example, a few years ago I put my novel The Golden Queen up as a free e-book for a week and forgot about it. I was going to mention on my social media what I had done, but seriously got busy with something else. Three days later, I got an email from someone who said, “Why don’t you take your free e-book down and let someone else have a shot at the #1 spot.” I’d given away 15,000 copies in three days, and had sold thousands of dollars in inventory on the other two books in the series.
. . . .
With e-books, you can’t sell them unless you can advertise them. Of course, the folks at Amazon try to set their rates at about $1.70 a click on their advertisements. If every potential buyer who clicked on an advertisement actually bought a book, that would be a good deal. But in most cases, fewer than 1 in 10 people who click on a book ad will actually buy the book. Unfortunately, in my studies, Facebook ads don’t pay for themselves, and neither do any other kinds of ads that are sold online. That’s why we don’t see a lot of ads for books from major publishers online.
. . . .
Let’s say that you put your new book up for sale on Amazon. You tell all your friends and family, and get folks to announce it to their friends. You do a big blog party and get blogs up on twenty sites besides your own. Your book comes out … and it’s a blip on Amazon’s radar.
Amazon has lots of other books for sale. You’re a little blip. How do they know to promote your book?
Well, they have to look for independent verification. So they look at the number of reviews that you have on Amazon and on Goodreads. They try to make sure that the reviews are from real buyers instead of sock puppets. They look at the ratings given to the book in the form of stars, and then they decide whether to begin cross-promoting your book.
If you’ve got a book that has a high velocity of sales and an extremely high customer satisfaction rating, they’ll help promote your book, and that can be a great thing.
But here’s the problem: The people who get the highest velocity of sales almost always already have a pretty good customer base. They’ve got say 50,000 fans. If you’re a brand new author, you might have a great book, but you very likely don’t have 50,000 fans. So even if you do get picked up for promotion, you won’t get promoted heavily or for very long.
Meanwhile, let’s say that a new author comes out with a traditionally published book in hardcover and it gets put on the New Release shelf at Barnes and Noble. Hundreds of thousands of book buyers will walk by the shelf and see it. That book has visibility that your book doesn’t. Indeed, if people like it, they can take a picture of the ISBN number and order the book as an e-book right away. That’s how many e-books are bought.
Of course, the big publishers charge more for your e-book than you would like, but Amazon respects that. In fact, their algorithms will place higher-priced books onto the bestseller lists above books that are sold above deep discount. Thus, if you put your book online for 99 cents and promote it widely, you might make lots of sales, but you won’t make traction onto the bestseller list.
Link to the rest at David Farland and thanks to Christine for the tip.
Here’s a link to David Farland’s books