Ebooks, heating up? People disagree!

Eoin Purcell

Seriously mixed up day for me on the ebook front, reading wise that is! I still find it hard to deal with the fact that there can be such differing opinions on ebooks as you’ll read here. On the one hand I read this considered post by Trevor Dolby on the Bookbrunch blog:

The simple truth is that at present these devices are not changing the way we read. No matter how much vested interests bellow at me in an attempt to change my mind, they are not going to persuade me that my cat is a dog.

No one can dispute that mp3 players revolutionized the way we listen to music. They did so because the technology was a clear advance. But books are uniquely suited to paper. All these devices do is mimic electronically what the humble ink on paper does. The only USPs are rather minor. You can have 100 books with you at any one time – how many books can you read over a week? And you can get new ones quicker. (I’ll save the price issue for another time.) I don’t think I’m unique in the use of my e-reader. It’s continually running out of battery power, it’s slow, and, crucially, I cannot advertise how clever and interesting I am to young ladies on the Tube, since there’s no cover.

I will go along with him on the basics there, perhaps the devices are not that nice looking or that clever and maybe, as he says in the final notes of the piece:

It is the convergent devices that will take over the market. The unannounced but pretty much certain iTablet and its equivalents will be the devices that we all read books on. OK, you say, so what about e-Ink – isn’t that supposed to be the major distinguishing feature? Well you are not going to tell me that Steve Jobs hasn’t made a call to a small team of boffins in Cupertino and said, Right fellas, I want a program that mimics e-Ink: stable and energy-efficient and looks like “the real thing”.

In five years the Kindle and Sony e-book will no longer exist. On our wafer-thin computers, like large iPods, we will be reading a book while listening to music. The phone will ring or mail will ping, the machine will ask if you want to answer, you will chat, then the machine will ask if you want to continue reading. As for battery life, these devices will recharge continually via wi-fi.

Then I read this piece in Publishers Weekly:

Of e-book downloads through July, 40% were made to computers, down from 48% at the end of the first quarter. Quickly gaining in market share over the summer were downloads to the Kindle. This was especially true in July, when downloads to computers plunged, while downloads to the Kindle soared. As a result, in July, for the first time in PubTrack’s monthly survey of consumers, Kindle downloads topped computers, accounting for 45% of all e-book downloads in the month. Also enjoying a spike in July were downloads to the iPhone, likely due to the release of the new 3G iPhone and accompanying e-book apps. That July spurt in iPhone downloads came after a lull in the spring and brought the iPhone’s market share at the end of July close to where it was in the first quarter. And while Sony created a lot of buzz last week with the announcement of its new wireless device (see p. 6), it has lots of ground to cover before it catches the Kindle, holding only a 6% market share at the end of July.

And as you can see that certainly suggests that we need to keep an eye on the Kindle and Sony and the convergent devices may not be as great as Trevor might wish. Finally I read this piece on the Thomas RIggs % Co. blog, An eBook Reality Check:

According to Bowker, in 2008 ebooks represented only 0.6 percent of all books sold in the United States. The majority of buyers were men, and more than half were between the ages of 18 and 34. This year ebook sales will still be less than 2 percent of the U.S. book market.

Here’s something else to ponder.

Most people prefer paper. According to a recent survey, only 37 percent of Americans are interested in buying an ereader. Here in France I’m often at the beach and see one person after another stetched out in the sun reading a paperback. Not an ereader in sight.

Now to me that Thomas Riggs post is the outlier of the pack. You only need to look at the industry stats on the IDPF website to see that although those 2008 stats are interesting, the Q2 2009 figures are almost 3 Times the Q2 figures. So where do these divergent views come from? How can people in the same industry on the one hand think a) ebooks are that big and b) ebooks are big, c) that the Kindle and Sony Reader are growing and d) that the Kindle and Sony Reader are dead.

Still thinking about digital.
Eoin

Links of Interest (At Least to Me) 26/09/2009

Eoin Purcell

It is nice to know that success in publishing is by no means ruled out for even for those who have passed on. Julia Child‘s Mastering The Art of French Cooking is storming the New York Times Best Seller Charts because of the movie? Who know why, but great story.

Daily Financelooks under the hood” of Jane Friedmann’s newish outfit and what she may be up to:

A publishing executive who preferred not to be quoted by name said that the wholesale consolidation and downsizing in the book business over recent years has created the perfect conditions for a venture based on snapping up and monetizing forgotten books. “A lot of editorial intelligence and institutional memory has been laid off or merged out of existence,” he says. “There’s a lot of owned intellectual property that’s radically underexploited.”

Rumour has it that Amazon is launching the Kindle in Europe very soon. I am not so sure.

Interesting thoughts on the future of the publishing industry from Douglas Rushkoff in Publisher’s Weekly. I’m not sure I agree with everything, but some of it makes sense:

Publishing is a sustainable industry—and a great one at that. The book business, however, was never a good fit for today’s corporate behemoths. The corporations that went on spending sprees in the 1980s and ’90s were not truly interested in the art of publishing. These conglomerates, from Time Warner to Vivendi, are really just holding companies. They service their shareholders by servicing debt more rapidly than they accrue it. Their businesses are really just the stories they use to garner more investment capital. In order to continue leveraging debt, they need to demonstrate growth. The problem is that media, especially books, can’t offer enough organic growth—people can only read so many books from so many authors

Mike Shatzkin floats some thoughts on debut pricing for ebooks and so does the Bait ‘n’ Beer blog. Both worth reading.

Several book purchases made today, 1, 2, 3, 4 in fact!
Eoin

There is literally too much digital news to know where to start

Eoin Purcell

But start we must
So how about with this piece from Crain’s New York about a new ebook publishing house (strangely sans website yet) OR Books. The house is run by, John Oakes and Colin Robinson, two veterans of New York’s independent literary scene. To my mind the most interesting tidbit in the article was in terms of their business plan:

Publishing only e-book and print-on-demand editions, OR won’t have to deal with any returns. The company also won’t share revenue with distributors, wholesalers and bookstores, which together can collect as much as 60% of sales. The savings will go into online marketing campaigns that will run about $50,000 to $75,000 per title—huge sums for so-called mid-list books.

Print-on-demand trade paperbacks will sell for $15 apiece, but the partners have yet to decide what to charge for e-books. Typically, prices for new titles range from around $26, or the same as a hardcover, to the discounted $9.99 that Amazon charges for most of its Kindle titles.

OR will also make a small number of books available to cooperating bookstores on a nonreturnable basis. And it will consider a title a success if it sells just 5,000 electronic copies.

I’ve added the emphasis there. That, frankly seems a pretty significant sum to be even contemplating in ad spend online (or will that mean print ads for ebooks? And the ebook price is not yet set? Stranger and stranger I say.

Wherever Spanish is read
Everywhere online and digital if the latest reports are to be believed. The top three Spanish publishers have joined forces to create a digital distributor. Seems eminently sensible. A much fuller article can be read on Publishing Perspectives a relative but very interesting newcomer to the publishing news scene, focused on international views and opinions. from the text it seems like these major players have developed a pretty sensible model too:

In negotiations with the Association of Spanish Literary Agencies (ADAL), the publishers have agreed to price ebooks at 80% of a printed books cover price, with a standard 25% royalty rate. Booksellers will be offered a maximum discount of 50%.

The truth, plain and unvarnished
I’ll only cover three items today and perhaps do a follow up post tomorrow, but that third item must be Andrew Savikas’ really gauntlet throwing down piece over at o”Reilly Radar in which he basically calls B*llsh*t in people who think the value is in theur conent. twitter has been abuzz with publisher types praising it all day and with real reason. it is clear, concise and devastating for those who disagree with his perspective:

“But people are still buying content when they buy a book or an album,” the argument goes. Yes, they are. The same way that you’re buying food when you go to a restaurant. You are purchasing calories that your body will convert to energy. But few restaurants (especially those you visit frequently) have ingredients any different from those you can get yourself at the corner store, for much less money. So it can’t be true that your primary goal is to purchase food; you’re purchasing a meal, prepared so you don’t have to, cleaned up so you don’t have to, and done so in a pleasing and convenient atmosphere. You are paying for the preparation of the food and the experience of eating it in the restaurant, not the food itself [2] (beyond the raw cost of the physical ingredients, which in the case of digital content is effectively zero).

And to finish the sad news, for the staff of Borders in Blanchardstown, the book buyers and the publishers of Ireland is that the only Irish store in the UK arm is closing along with four UK based branches. It is a real shame, I liked the store though I will freely admit I got there irregularly. I wish there was some way to avoid this outcome.

Not happy this evening,
Eoin

Links of Interest (At Least to Me) 10/07/2009

Eoin Purcell

Some really interesting thoughts over at the Appingo blog (who by the way make what looks like the slickest web based publishing centric production software I’ve seen to date). The idea they are talking about has been on my mind for some time and I reckon they have a clear concept of what is involved. Books Going Hollywood and More Book Producer Talk

Bloomberg has an interesting piece on the economics of the Kindle and $9.99 ebooks. Which prompted Index//mb to point me in the direction of this CNET Audio which is well worth listening to!.

Last, but not least, Creativecareers.ie is back in action as a free and automated service. And a good one at that!

Eoin

Guest Post: An Author’s View of Electronic Publishing

Peadar Ó Guilín agreed to write a post for me on, well it does what it says on the tin. I was inspired to ask him by the contribution he made to the forum on the future of publishing that CBI ran.

Paper Chase
There is a goose that lays golden eggs. Yet, its flesh is so tasty that sooner or later, people who aren’t getting their share of the gold, will say to one another — “why don’t we take that bird to the chopping block and have ourselves a feast?” It’s not their goose and they didn’t spend money feeding it. They have nothing at all to lose.

Good morning, or maybe, good afternoon. Perhaps you haven’t noticed, but newspapers all around the world are going out of business right about now. The Rocky Mountain News has bitten the dust, The Boston Globe is slashing wages and even the world-famous New York Times, the “grey lady” herself, is predicted to phase out its print edition a few short years down the line. Journalists by the score are losing their jobs because they can’t compete with the lower quality, but free information that lives less than a click away. Nor, as Rupert Murdoch is learning, can online revenues make up for eyeballs lost in the real world.

“But books are different,” I hear you say.* “It’s all very well for gentlefolk to read a few headlines off the screen, but War and Peace would burn the eyes right out of their sockets…

A few years ago, you’d have been right about that, but these days the arrival of e-ink devices, such as the Sony Reader and the Amazon Kindle, mean that electronic reading causes no more eye-strain than paper. Indeed, if your peepers are beginning to age a little, the fact that you can increase the print size at will, might allow you to leave your glasses in their case all the way to Napoleon’s defeat at Moscow.

There are other advantages that make a compelling argument for the imminent rise of ebooks. Here are just a few:

    1) some of these devices can hold thousands of books at once. This is handy if you want to carry around a whole law library, or take 17 novels away with you on holiday
    2) some of them access the internet directly so that the user can buy a book while on the train, or sitting up in bed, or out for a walk
    3) the title you want is never out of print or out of stock
    4) some devices allow you to take notes
    5) all of them will let you upload your own documents from work
    6) school books weigh nothing and never go out of date

If none of the points above represent a compelling reason as to why you would want an ebook reader, then rest assured, there are thousands willing to take your place in the queue. Once they become the majority,** the publishing game will have changed forever and woe betide the writers, publishers, editors and book-sellers who don’t find an online berth for themselves before that day comes.

A Rising Tide of Tosh
We’ve all had the experience of spending our own sweet, sweet money on awful books. Books that we’ve flung at the wall, or abandoned in train stations, or given as gifts to our enemies. But even terrible books have to meet certain standards before they can be published. Somebody loved them enough to purchase the rights. And that same person only did so after a process that weeded out a thousand books that were even worse. Imagine that! Just close your eyes and think about how bad some of those rejected books must be. Try to picture them in a pile next to the one book that was chosen. This is important, because, that column of purest tosh,*** is the future of fiction.

You see, when electronic books take over, printed novels will become a bit of a rarity. I don’t believe they will ever die out completely. There are still specialist shops, for example, where you can buy the tiny number of vinyl records that the music corporations still produce. However, in the same way that most people these days listen to songs on CDs or mp3s, most readers will find their thrills on e-ink devices and a large amount of fiction will only ever appear in that format. After all, cut out the book shops and the printers, distributors, buyers, returns, warehouses etc. etc. and it will be cheaper to produce an ebook than a pbook by orders of magnitude.

Indeed, in many cases, the production of an ebook will cost precisely nothing. After all, anything you write on a word processor is already a document capable of being read on an electronic reader.

Rejectee’s Revenge
Once upon a time, the public would never have come across a writer’s work without the intercession of a publisher. A rejected author might shake his fist at the gods or smash a bit of furniture, but in the end, the manuscript would be retired to the sock drawer for the nourishment of mice and beetles.***

These days, however, the rejectees have another outlet for their frustrations. They can sell the book through their own website or even on Amazon, where it will compete with, and distract from, more professionally produced work. The authors can also give their novels away for free, and a great many do.**** That is, of course, their right and none of my business. But I can’t help thinking about what is happening to journalism right now as it tries, and fails, to compete with free sources of news

The Death of Reading?
This is dangerous territory for everybody involved in publishing, from the authors right on down the line to the person who stacks our books at Easons. It’s not just that we might all lose our jobs. There’s a very real possibility that the hobby known as “reading for pleasure” could become a thing of the past. A reader’s investment of effort in a book, is far greater than the three minutes it takes to sample a pop song. In a world chock-full of free, but pitiful fiction, the average novel will be a waste of time, an insult to the intelligence and an advert for every other form of entertainment out there.

Except…

Except, of course, there’s rarely such a thing as a completely random read. Most of our books come recommended from friends or reviewers we’ve grown to trust, or they’ve been written by a favoured author. We’ll still have such voices to listen to in future: the modern internet is already well-populated with heroic bloggers who sacrifice their own sanity wading through dung so that we don’t have to.

Instead of agents and publishers, we authors might end up submitting our work directly to the famous taste-makers of the day. Indeed, many of our current industry professionals, in particular, editors, might well find that their opinions are still be in high demand.

But what I can’t yet see, is where the money is to come from in this scenario. And I do believe, that the very best fiction, like great journalism, needs to be funded. Professional writers have more time to dedicate to their art; editors add enormous value by taming a manuscript and so on. Yet, in the end, none of us will keep our jobs unless we can find a way to succeed where the newspapers have failed: we must convince the public that our services are worth paying for.

For now, I’ll be keeping my fingers crossed. Hope to see you on the other side :-)

*I have remarkably large ears.
**Which they will when schools start to make use of eReaders.
***This is not to say that all rejected books deserve such a fate, and we are all familiar with stories of spurned genius, but please understand that I’m speaking in generalities here. Also, some novels fail to find a publisher, not because of low quality, but because the potential audience might not be large enough to justify production costs. However, it is also true that the vast majority of what lands on a slush pile is pretty much unreadable.
****But since the ebook market is still so small, the effect is negligible for the moment.