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Page 2 of 2 We are delighted to confirm that over 750 books were shipped to amazon.com and Peter’s ranking did briefly break into the top rankings. However, you really need to do the math to figure out if you want the higher 30% royalty from direct sales via our on-line bookstore or 15% paid on the deep-discount selling price to amazon.com. Amazon.com buys Infinity Publishing books at the deep-discount price of 55% off the cover price. The 750 copies of Peter’s books with a cover price of $16.95 ordered by amazon.com cost $7.63 each and we pay royalties on the selling price. At our previous 10% royalty that was in effect when Peter did his blitz, he earned 76 cents per book for an approximate total of $570 in royalties based on the deep-discount selling price of the book sold to amazon.com. Under our new royalty structure of 15% his per book royalty on deep-discount sales increases to $1.14 and his total earnings would be approximately $855. However, if Peter had NOT gone after the fleeting fame of being an amazon.com bestselling author and directed those orders generated by his successful blitzing efforts to Infinity’s on-line bookstore, his earned royalties would have been significantly higher. At the former rate of 20% on direct retail sales his royalty per book would have been $3.39, producing total royalties of over $2,500. Under our recently increased royalties, that jumps to $5.08 per book and over $3,800 in earned royalties, if those same orders had come in directly to www.buybooksontheweb.com. In fairness to the established brand-recognition of amazon.com, they do make it very attractive and easy to order discounted books on-line – and they ship almost as promptly as we do. Let’s say Peter’s efforts only produced about 500 direct orders; that is still a significantly higher earning in royalties for the author. You have to decide if the notability of being a bestselling author on amazon.com is worth the loss in higher royalties. Personally, I’ve found fame to be grossly over-rated and thusly I’d go for the money. Fleeting fame doesn’t spend well at the super market when only cash will do.
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