RosettaBooks offers substantially higher rates than the six largest U.S publishers who offer only 25% of net receipts.
Backlist eBooks= EBook versions of hardover and paperback editions originally published by traditional houses
50% of receipts to 2,500 copies
60% of receipts thereafter.
Original content- eBooks originated by RosettaBooks
70% of receipts
Note: RosettaBooks sets digital list price, online retailers pay RosettaBooks a percentage of that list price, and RosettaBooks pays clients the above percentages of those receipts
Random House, Penguin, HarperCollins, Simon & Schuster, Hachette, and Macmillan publish 95% of bestsellers but insist upon bundling frontlist ebook rights with print rights. That locks authors into royalties of 25% of net receipts.
|Frontlist||70% of Receipts||25% of Net Receipts*|
| 50% of Receipts to $2,500|
60% of Receipts Thereafter
| 25% of Net Receipts|
*Net receipts = digital list price * 70%
RosettaBooks is working with rightholders to unbundle those rights so that they can receive 70% on frontlist and up to 60% on backlist.
|Approximately 20% of revenue for a traditional publisher is sourced in an eBook and the standard royalty is 25% of net receipts.||So $75,000,000 of revenue = $15,000,000 of eBook revenue (20%) x 25% royalty = $ 3,750,000 of royalty pay out.|
In 2013, RosettaBooks projects a royalty payout over $4,000,000
As the leading eBook Publisher, RosettaBooks licenses only what it can successfully sell.
RosettaBooks contract renewal rate of over 95%!
The big six publishers spend nearly 100% on their frontlist, when their backlist generates 40% of revenues and nearly 100% of profits
RosettaBooks promotes backlist and original titles equally.
RosettaBooks is not constrained by frontlist printing process, including catalog announcements, manufacturing, physical distribution and in-store shelving. We can time publication to events, such as Opening Day of Major League Baseball.
Time table for Jim Bouton’s critically acclaimed sports memoir, Ball Four. Some RosettaBooks have been on sale two weeks after signing contract!
|In the print Jacket of this backlist book, the author’s face is unrecognizable, and the publisher’s name does not appear. The other elements are illegible.||RosettaBooks simplified the design, enlarging the most important elements – the authors face, name, and title – and including the publisher’s logo.|
RosettaBooks partakes in monthly Kindle promotions because every eBook sells at least ten times more copies during the promotion and sells in much higher quantities after each promotion than before. Here’s how it works:
|Price||$9.99||Reduced by 2/3 to $2.99||$9.99|
|Sales Volume||1||~10 times greater||~5 times greater|
|Sample Royalty Calculation||60% of 70% of $9.99 x 1||60% of 70% of $2.99* x 10||60% of 70% of $9.99 x 5|
*In special promotions, Amazon pays based on promotional price, not on list price.
The critical drivers of success are:
RosettaBooks consults with clients during the planning and execution of every major campaign.
RosettaBooks recognized the value of Marion Chesney’s out-of-print novels. Her romances and mysteries, under the pseudonym M.C. Beaton, have huge followings. RosettaBooks repackages and reissued 10 series under both names.
RosettaBooks uses the industry leader, Attributor Guardian, with 99% effectiveness in discovering, validating and managing
takedown of pirated content.
RosettaBooks is converting 15% of illegal downloads into sales.