Showing posts with label Apple. Show all posts
Showing posts with label Apple. Show all posts

Tuesday, May 29, 2012

The End of Feudaism

Insight often comes from strange places. At least it does for me.

I was watching Cranford and one of the characters, Lady Ludlow, was opposed to young Harry being taught to read and write. She didn't want to end up like her cousins across the channel in France with her head lying in a revolutionary's basket beneath a guillotine because she had allowed her serfs, or retainers, to learn to read and realize they could have a better life with an education. Slaves, serfs, peons, and servants who could read could topple her from playing Lady Largesse, the magnanimous and gentle tyrant that allowed then to work for her for tuppence and have regular meals, wear nice clothes, and wait to serve her at her pleasure -- or be dismissed to a life of poverty without a reference.

Of course, all of this is going on in my head in about 2 seconds and I realized how much like feudalism is publishing, especially now that the masses who want to publish their own books have gained control of the presses --  virtual and real. How the aristocracy must have cringed when the printing press became a reality and religious institutions no longer had to illuminate manuscripts and keep safe the written word, often for monarchs and landed gentry that couldn't read. They had servants to do that sort of thing in the good old days.

As books became cheaper and easily available, revolutions began. The Catholic church, once a nearly global power and anxious to convert newly discovered savages to the worship of the Trinity and Jesus Christ, began to topple as people learned to read and question the status quo. Why should the clergy be the last word on who does and does not go to heaven? Why should the poor pay the wealthy to pray for their souls and sell candles to light so a loved one would spend little time in purgatory and ascend to heaven?

Feudalism is built on the backs of the working classes, the serfs, peons, and slaves, a lesson that Rome learned at the point of a sword when Spartacus, and several other slave leaders, rose and threw off their chains. Even when a slave is treated well, he remains a slave, the person who does all the work and gets none, or few, of the benefits. How is that different from publishing? Oh, that's right. It is no different.

Publishing has been the gatekeeper for centuries, built on the words and hard work of every person who ever wanted to write a book and was found worthwhile to promote. It's much like allowing a slave to serve in the main house instead of in the fields, as long as the slave learned his place -- beholden to the whims of his master.

Publishing is feudalistic. Think not? The feudal system is based on a 3-tiered pyramid. A lord, king, or ruler is at the top and determines the fate of everyone beneath him. Knights, mercenaries, and retainers keep the peace and protect the lord. Serfs, servants, and peons, the poor working class, do all the work and tend the land, livestock, and businesses that supply the lord; they are the base of the pyramid, without which the lord would be a deluded aristocrat ruling nothing and unable to work for his bread or even know how to mill and bake it into cake or bread.

In publishing, the publishers are the lords. Agents are the knights, the strong arm of the lord that protect the publisher's business and vet the more acceptable serfs (writers) to work as servants to the publisher, those chosen from among the poor who have some talent and ability that can be exploited to make more money for the publisher. And then there are the remaining slaves/serfs who buy the books produced by the servants for the publishers and pay for the lavish lifestyle to which the publishers have become so accustomed. Better to live on Park Avenue with a view of the park than to live in Alphabet City or Harlem among the poor.

Contracts that keep the lion's share of earnings in publishers's pockets so they can maintain their vast wealth polished and intact, are part of the chains that bind the writer in servitude. There are certainly writers that have made millions, even hundreds of billions, but who has stopped to ask how much the publisher made on the deal. If a writer is worth $200 billion and they get 12-15% royalties on net profit, what the publisher keeps is an obscene amount of money, even after they pay employees, marketing staff, and the cost of creating books, something much more profitable since the advent of pulp wood paper instead of the more expensive and longer lasting rag and hemp paper. Paper that crumbles and turns to dust in 5 years means selling more copies as readers replace worn out books. More books means more sales and more profit for the publisher, most of which the writer will never see.

With the introduction of POD (Print On Demand) publishing and electronic books, the game changed. Publishers continued to denigrate the vanity presses, but e-books changed things forever. A book that never goes out of style, takes up no warehouse space, and can be kept virtually forever undermines the whole structure upon which publishing was built. Writers finally had control and could strike out on their own and rise above the masses by writing and selling good books that had a shelf life beyond 3 months. No more remaindering. No more binding contracts to greedy publishers. No more supporting someone else's lavish lifestyle when a lavish lifestyle, or at least publication of books publishers turned down. The gatekeepers are out of a job, which is why publishers and Apple decided to fix prices on e-books at near or above the cost of paperback books. If a paperback book is cheaper or the hardback, when discounted, was not much more expensive, then books were safe and the e-book revolution would go away. Writers would get tired of doing all the work of producing a book, from cover art to marketing and sales. I'm sure the aristocrats felt the same way before the French revolutionaries arrested and led them up to Lady Guillotine. Look where it got them.

The revolution has come and the class war between the people who produce the books -- writers -- and the people who have profited the most from books -- publishers -- are at war. What we need is a truce and a coalition of forces that benefits everyone, just not with the 90/10 split that has ruled publishing for so long, or 88/12 split that currently passes for business as usual. Not everyone is J. K. Rowling or Danielle Steel. Most people have been relegated to the middle ranks, writers that produced good quality books in genres that sold well, but not spectacularly, the mid list writers that have been the bread and butter of the publishing industry, writers that never got fabulously wealthy but were upper middle class with a solid back list that still sold books decades after they were published.

Instead of struggling to the bitter end, publishers would be better served to give a hand up and offer their services as book packagers, marketing specialists, and sales teams to up and coming writers instead of trying to maintain a crumbling edifice. Publishers have vast resources that could benefit revolutionaries without all the rancor, price fixing, and game playing that currently exists. It's a choice of adapting or dying, and dying is a distinct option right now as more and more published authors are fleeing publishers for more lucrative deals that offer better benefits and more freedom creatively and financially. It's the choice of 12-15% or 35-70% of sales, and not net sales but gross sales.

The class war is waging with no end in sight. Emotions are high and at this point the results are volatile. Better to work with writers, those hard working people who dream in prose and are the only reason for publishers to exist, than to fight to maintain a system that no longer works.

The slaves, serfs, and servants have learned how to read. They have educated themselves and now know the score. I wonder if publishers have gotten the message yet or if they are still in denial as they climb the stairs to the guillotine while the masses surrounding them howl for blood and their heads.

Wednesday, August 10, 2011

Price Fixing and Other Publishing Games

A year or so ago, Amazon knuckled under to the big publishers and agreed not to discount their ebooks any more. It was a tough decision and Amazon hung out as long as possible, but in the eleventh hour there was nothing to do but bow the head and take it like a big corporation should. It was tough to see the end of that fight . . . but it's not over yet.

It looks like Apple and the Big Publishers are facing a lawsuit for price fixing. Imagine that. Apple and the big publishers wanted to keep Amazon on a leash because Apple and Steve Jobs were afraid that Amazon would get into the movie and music downloading business, and Jobs wanted that corner of the world for himself. Guess it came back to bite him in his nether regions and he may be forced to give up hsi dream of world domination.

A few days ago, Steve Jobs, looking very thin and ill and having some trouble navigating the stage, unveiled the Apple iCloud, which is similar to the Amazon Cloud Drive, and how even the Mobile Me, which Jobs admitted was a bust, would be incorporated and the annual price, which was $99/year for Mobile Me, was now free. It was a moving moment for the audience, as was the demonstration of what iCloud will do, and that is synch all input from the cloud to every device -- as long as you own Apple products (Mac, iPhone, iPod, etc.).

The thing is, in business you don't beat the competition by making them play on a different field or by taking them off the field completely, but by playing head to head and toe to toe and may the best man win. That is not what happened with Amazon last year and not what is happening now.

On forums all over the Internet, people are complaining about paying near hard cover prices for ebooks. The perceived value is that a file endlessly downloaded and formatted once should not cost as much as a hard cover, paper and board book, and even more than a paperback because there are no physical resources involved. Militant readers are calling for boycotts of the big publishers and waiting on books they really want to be remaindered or become available as secondhand books. Either way, publishers aren't paying attention and neither it seems is Steve Jobs at Apple. They can't see readers are beginning to fight back.

To further expunge all mention of Amazon or links to Amazon in ebooks, books sold in the Apple store through Smashwords must have no mention of Amazon, or any other bookstore, and no links are allowed, which cuts an author's chance to cheaply market their ebooks. Not everyone owns a iPhone, iPad, or Mac and authors know that. Making links to other bookstores is one way to provide access to books and offers a few alternatives for point of sale. When I submitted the revised version of Among Women to Smashwords I was told I had to take down all links other than Apple iStore links or my book would not be distributed at all. Apple's draconian measures affect all the bookstores where Smashwords distributes ebooks, including Amazon, Barnes & Noble, Diesel, Kobo, Sony, etc. Since when does one store have the right to determine what is and is not allowed for other stores? Never, until Apple got into the price fixing and smash Amazon game.

Add to that little titbit, the news that the big publishers' accounting systems are out of date and sales of ebooks are being under reported. In other words, more ebooks are sold than are reported and authors are not getting paid royalties for all ebooks sold. That's not news to authors. We know what is and is not going on with our money.

Publishers have been playing an end game that is going to cost them the reason for their existence -- authors. Self-publishing is looking better and better, even if an eStributor, as Joe Konrath calls agents to help package and manage sales of ebooks, is involved. Even though it was not their intention, it looks like the big publishers and Apple, under the guidance of Steve Jobs, who has not gotten over what happened in the beginning days of computers and operating systems, are going to have to pay for their price fixing and cavalier attitudes towards authors and competitors.

Every day is a new day and in the publishing word outside of the behemoth that traditional publishing has become, each new day hammers a new nail into the coffin. When you add in factors like literary agent, Andrew Wylie's railing against the 30% share of the market distributors like Apple and Amazon get from publishers and calling on publishers to stand firm against such tactics. The Jackal, as Wylie is called, said that Amazon and Apple should be willing to go quid quo pro and give publishers 30% of sales of iPads and Kindles to publishers if they wanted to protect the 30% they demand stating, "They [Amazon and Apple] have the device, but they cannot sell it without the content." Wylie's deal with Amazon to sell ebooks of his clients' back lists seems to fly in the face of his stand against Amazon and Apple, especially in the face of Random House publicly censuring Wylie by calling him a competitor instead of a deal broker between authors and publishers.

Yes, boys and girls, this is a volatile age we live in and the battles in publishing have just begun. Personally, not having to deal with agents and the ponderously slow time table of publishers seems more and more like a smart move, especially when my own publisher can't be bothered to send out quarterly statements quarterly and prefers to do it annually. Granted, the sales have been slow, but they have picked up and here we are in the third quarter without a single word from the publisher. At least Smashwords and Amazon pay every month without fail, no matter what royalties have been earned.