Macmillan Publishers CEO talks eBooks →
Macmillan CEO, John Sargent, addresses the changes on their eBooks business model.
On the agency model:
Starting at the end of March, we will move from the “retail model” of selling e-books (publishers sell to retailers, who then sell to readers at a price that the retailer determines) to the “agency model” (publishers set the price, and retailers take a commission on the sale to readers).
On availability:
We will no longer delay the publication of e-books (read: no windowing).
On price:
For physical books, the majority of new release hardcovers are published in cheaper paperback versions over time. We will mirror this price reduction in the digital world.
The price range mentioned is exactly the same as the ones announced for iPad’s iBookstore.
I don’t feel as strongly about eBook’s $9.99 price point as I did for iTunes 99¢ song price. I still refuse to buy songs that go over that limit, but I do see myself buying a new NYTimes bestseller for $12.99. On the other hand, $14.99 will probably make me wait a bit.
All in all, Macmillan’s plan sounds much more reasonable than what the other bozos talked about in December. As long as they provide the same availability as pBooks - at reasonable prices, I’m in.
