5 Replies Latest reply on Mar 13, 2010 10:45 AM by FrogAlum

    John Sargent - Answers Questions

      I'm not sure if anyone has read this:

       

      http://blog.macmillanspeaks.com/answers-to-some-questions-from-the-comments/

       

      Here are some excerpts:

       

      "In the end, an e book will be priced to reflect the value consumers put on it. We believe at first release an e book is worth more and people will pay more for it. Over time it will become worth less as demand tapers. However, some digital books will retain their value over time just like print books. Some will increase their value over time (many physical books are now only available as trade paperbacks, after they have been out in the cheaper mass market formats). So our digital pricing will vary to reflect the value of the book at the time. But in general, our plan is to price books below ten dollars after there initial sales demand slows (usually within a year)."

       

      "2) Will retailers have flexibility to price books at a discount? No, the sale price will be fixed by Macmillan.  Retailers will promote and market books, but we will control the price for the book

      .

      3) How can we trust Macmillan to carry out its pricing pledge?  An interesting question in that we have never made a pricing pledge.  Historically, e book pricing has been driven by a number of factors, and it may well have appeared to be inconsistent.  We never promised to price books in a certain way and have actually never controlled retail prices before now.  And many of our decisions on list prices were driven more by our Amazon relationship than by our relationship with consumers. Looking forward, it will be a very fast moving world. I have told you our intent on e book pricing. I cannot guarantee or pledge what price we will be charging in the future. Personally I doubt that typical prices for general interest digital books will break out over $15.00. I also believe the majority of digital books will be priced below $10.00, as most Macmillan books are now and will be on day one of the agency model.


      4)  Will we be re-pricing e books that have a $14.00 digital list price while there is a mass market paperback edition available?  Yes! To a customer price of $9.99 or below."

       

       

      "In the end, an e book will be priced to reflect the value consumers put on it." 

      This is where I vote with my wallet!

        • Re: John Sargent - Answers Questions

          Well, at least the d-bag understands that the consumers will ultimately set the price of eBooks and not his precious agency model.  How any consumer can support this guy is beyond me.

           

          • Re: John Sargent - Answers Questions

            Interesting.  Thanks for sharing.

             

            I believe that for most people who simply want a fair price for ebooks this doesn't add anything new to the discussion.  For the more strident who are spring-loaded to believe in evil empires, this will simply be more fodder for cavil jeremiads.

             

            Personally, I think para. 2 is self-defeating and the most troubling issue.

             

            But one thing I found really interesting, especially vis-a-vis those who won't pay more than the defacto ceiling set by Amazon, is this:

             

            I also believe the majority of digital books will be priced below $10.00, as most Macmillan books are now and will be on day one of the agency model.

             

            Hmmmm.

            • Re: John Sargent - Answers Questions
              Ed_Mart

              "However, some digital books will retain their value over time just like print books. Some will increase their value over time..."

               

              Increase their value for who?  Certainly not for the end user, we don't own the book, we only have a license to read it so there's no selling it to a used book store or a collector.  The only one for whom the value can increase is the publisher because the publisher has decided to raise the price.  And that puts the lie to the final statement:

               

              "In the end, an e book will be priced to reflect the value consumers put on it." 


              Sorry Mr. Sargent but my BS detector's needle just bent at the stop bar.

                • Re: John Sargent - Answers Questions

                   

                  Ed_Mart wrote:

                  "In the end, an e book will be priced to reflect the value consumers put on it." 


                  Sorry Mr. Sargent but my BS detector's needle just bent at the stop bar.

                   

                   

                  Maybe I'm just not as smart as all those who are so militant about ebook pricing, but I just don't understand how you come to the conclusion that a price you don't agree with is (choose one from previous discussions):  collusion, gouging, a conspiracy, spawn of dark masters of publishing.

                   

                  I don't buy new-release hardcovers, but obviously millions do.

                   

                  You won't buy an ebook for more than $9.99 but many others do.  B&N reported ebook sales up significantly last year.

                   

                  How else are you going to price ebooks other than the value the consumers put on it?

                   

                  If John Sargent (or B&N or anybody else) can sell first release ebooks for $14, how does dismissively calling him a moron change that?

                   

                  (This last comment isn't directed at Ed_Mart.  This is my parting shot on this topic aimed at those special people who are too enlightened to listen to an view that disagrees with theirs.  :smileytongue:)

                   

                  Name calling has effectively caused most of the others on the "other side" in these discussions to go away.  But don't mistake people becoming disgusted at the name-callers and going away with either acquiescence or agreement.  Being the loudest lout on the block doesn't make you right.

                   

                  Go ahead.  Rant and rave.  Yell over anybody who disagrees.  You're all talking to the "me too" club now.

                    • Re: John Sargent - Answers Questions

                       

                      eDigest wrote:

                       

                      (This last comment isn't directed at Ed_Mart.  This is my parting shot on this topic aimed at those special people who are too enlightened to listen to an view that disagrees with theirs.  :smileytongue:)

                       

                      Name calling has effectively caused most of the others on the "other side" in these discussions to go away.  But don't mistake people becoming disgusted at the name-callers and going away with either acquiescence or agreement.  Being the loudest lout on the block doesn't make you right.

                       

                      Go ahead.  Rant and rave.  Yell over anybody who disagrees.  You're all talking to the "me too" club now.

                       

                      Amen and Glory Hallelujah

                       

                       

                      I do have a question I've been dying to ask, should Mr. Sargent just tell the board of directors to take his job now because he doesn't want the company to make more money?  I just don't see it happening.  He's correct, the market will correct itself as time goes on as it does all the time.