How to Price an eBook: 4 Secrets to Know Before Publishing.
The final step in publication is deciding how to price an eBook. Deciding the price is a tricky business because there are no set rules to follow. As a writer, you might get confused in the process. You might not be sure whether to price it low so that more people can afford and read it, or whether to price it high so you can build a loyal fan base who value your writing and effort.
When we say, there are no set rules to follow on how to price an eBook; it doesn’t mean this step should be taken lightly. Pricing is an important step that will determine the success of your eBook. As an author, you want your book to be well received, and also make business. So, you need to know how to price an eBook that sells well.
The step becomes tough because there is no one perfect way to do it. Before you decide to distribute your eBook, make sure you understand the pricing strategies. Have an idea about the different factors that influence the pricing. The various factors which influence eBook pricing include the genre and length of an eBook, the content and quality, the status of the writer, and royalty percentages.
Are you an Established Writer or not?
If you are a well-established writer who has two or more books under their name, then you have the liberty to price your eBook higher. Established writers have this leverage because they have a fan base. The writers have proved that their books are worth paying for.
It is not the same case with aspiring writers. Aspiring writers who are trying to publish their first book don’t have this leverage. The readers will not take a bet on them. You need to think about it before you decide to price your eBook.
So, before you decide to publish your work for the first time, it is beneficial if you already have a fan base. For example, if you have an internet fan base, it will be a huge advantage. In this scenario, readers are familiar with your work and will be ready to shell their hard-earned penny on your eBook. If you are trying to make your eBook for the first time, build a fan base online so that it guarantees purchase.
If readers are waiting for your eBook, then you can price it higher even if it’s your first book.
What is your eBook Genre?
It is crucial to do more research on how different eBooks are priced. The price of eBooks varies according to the genres. For instance, the non-fiction titles are priced higher compared to fiction titles. Non-fiction titles are priced higher because of the research, fact-checking, and the content value of it.
Fiction books are read at a faster pace than non-fiction titles by readers. Readers are more likely to finish two or more fiction books in a month than a non-fiction book. Also, the readers generally don’t go back to referring fiction books once finished. This, in turn, suggests that readers might not be willing to pay too much on fiction titles. These might be the reasons as to why non-fiction titles are priced higher than fiction.
Before you decide on the price, it is beneficial to find out how various eBooks are priced. Pick up titles of the genre that you’ve selected, make a list, and look at the prices. Compare the eBook prices, and then come to a conclusion.
eBook Length & Quality
If you are writing fiction, there is a set word count for each genre. You need to know the word count for each genre before you commit to pricing and publishing. Look at the length of an eBook to know more about how length influences the pricing of an eBook.
It is also essential to understand the psychology behind pricing and quality. In general, a reader prefers a high-priced book over another because they believe that the higher the price, higher the quality. Readers think that a high-priced eBook would be high in quality, both in terms of content value and design.
For instance, a reader might be ready to buy an eBook priced $3.99 over a 99-cent eBook assuming that the higher priced eBook is better in content and quality. Hence, it is essential to understand these market factors and psychology, before you commit to pricing.
As a writer, your job doesn’t end with writing and editing alone. When you are self-publishing an eBook, it also means the effort behind it is manifold. From designing, pricing, publishing, and marketing your eBook, your job still isn’t over.
You are bound to understand the sales aspect as well. Book royalty is the area you need to understand. A book royalty is a percentage of revenue that a writer makes with the purchase of each eBook.
In traditional publishing, royalty is decided by the publisher keeping in mind various factors like author’s credentials, book length, genre, and more. In self-publishing, the author’s royalty percentage is dependent on the platform in which the author decides to self-publish their eBooks.
The online retailer (the platform you choose to publish) keeps a percentage of sales, and the rest is given to the writer. The amount that the writer gets to keep is dependent on the price of the eBook. For instance, Amazon takes a 35% cut for eBooks priced between $2.99-$9.99, whereas, Barnes&Noble takes a 40% cut for it.
So, if your eBook is priced $2.99 in Amazon, you get 70% of $2.99, which means you’ll earn $2.09 for each sale. Look at the royalty percentage each distribution platform provides for the author, and then decide on the pricing for your eBook.
As mentioned before, there is no one set rule or pattern to follow when you price an eBook. It depends on the writer, the type of book, and others factors discussed earlier. It is also dependent on the pricing trends at that point of time.
If you are looking to self-publish your eBook, keep these factors in mind, and also understand the fact that the industry is forever changing. So, it is essential to keep track of the changes, and make decisions.