Amazon has announced that it is now offering a 70% royalty rate to authors and publishers who are producing e-books using its Digital Text Platform.
The scheme, which was made available in the States back in the summer, means authors can publish direct to Kindle and scoop the lion’s share of the resulting profits – minus delivery costs.
Those delivery costs are based on file size, with pricing set at 10 pence per megabyte. Amazon gives an example of a typical 368KB e-book, which would cost less than 4 pence per unit for delivery. On a £5.99 (VAT exclusive) book, an author would have made £2.10 under the standard royalty option, but with the new 70% option, he or she will take £4.17.
There are a couple of stipulations for a book to be eligible for e-publishing on Amazon’s Digital Text Platform, however. The list price must be between £1.49 and £6.99, and it must be 20% lower than the cheapest list price for the physical book (unlike many of today’s e-books, which seem to be mysteriously more expensive than the hardback).
Greg Greeley, Amazon VP of European Retail, commented: “We are excited to be able to announce the launch of the 70 percent royalty option in the UK. Now authors and publishers worldwide can offer more content to Kindle customers in the UK and make more money from the books they sell.”
The new revamped Kindle e-reader has gone down well with the public, too. Amazon reckons that in its first four weeks of availability, customers ordered more Kindles on Amazon.com and Amazon.co.uk combined than any other product.