The Backstory on Smashwords Hell knows no fury like an author scorned Launched Smashwords 18 months ago Ebook publishing and distribution platform 4,300+ ebooks published Over 200 million words published 1,950+ authors Mission: make ebook publishing fast, easy, FREE and profitable for authors/publishers

Hell knows no fury like an author scorned

Launched Smashwords 18 months ago

Ebook publishing and distribution platform

4,300+ ebooks published

Over 200 million words published

1,950+ authors

Mission: make ebook publishing fast, easy, FREE and profitable for authors/publishers

Will ebooks replace print books?

Ebooks are just another format Each format offers packaged units of words Each delivers words on a substrate medium Each represents a different way to enjoy a book

Each format offers packaged units of words

Each delivers words on a substrate medium

Each represents a different way to enjoy a book

The Past and Present of Ebooks

Ebooks bombed in the ‘90s Made poor first impression on early adopters Screens poor substitute for paper Overpriced DRM = confusion, frustration Limited selection … yet the failure of ebooks was greatly exaggerated

Made poor first impression on early adopters

Screens poor substitute for paper

Overpriced

DRM = confusion, frustration

Limited selection

… yet the failure of ebooks was greatly exaggerated

Wholesale ebook revenues 2002-2009 Data: AAP http://www.publishers.org/documents/S12008Final.pdf plus recent sales data. 2009 is an estimate based on YTD percentage growth rate Jan-Aug 2009, multiplied by 2008 sales

Year over year monthly sales growth, ebooks vs. all books, 19 months Data: AAP http://www.publishers.org/

Ebooks as a percentage of overall book sales

Stats understate what’s really happening Build it and they will come AAP - stats US-only, don’t include all publishers Amazon - For books available in both e- & p-, in October ‘09 Amazon reported 48% of sales were ebooks

Build it and they will come

AAP - stats US-only, don’t include all publishers

Amazon - For books available in both e- & p-, in October ‘09 Amazon reported 48% of sales were ebooks

Why ebooks are hot Early adopters new evangelists Screen reading now rivals paper Proliferation of great ebook devices and apps Dedicated devices: Amazon Kindle, Sony Reader, B&N Nook Mobile phones: Ebook-ready smart phones, including iPhone, Blackberry, Android phones Ebook apps: Stanza on iPhone (2.5 million users) and Aldiko on Android phones (100,000 users) Free books are gateway Greater content selection Prices dropping Impulse buying

Early adopters new evangelists

Screen reading now rivals paper

Proliferation of great ebook devices and apps

Dedicated devices: Amazon Kindle, Sony Reader, B&N Nook

Mobile phones: Ebook-ready smart phones, including iPhone, Blackberry, Android phones

Ebook apps: Stanza on iPhone (2.5 million users) and Aldiko on Android phones (100,000 users)

Free books are gateway

Greater content selection

Prices dropping

Impulse buying

Why ebooks will become more popular than paper books Superior reading experience Screens will become better than paper Customizable reading experience Limitless library in the cloud Lower costs Instant gratification E-reading device costs dropping Ebooks as hubs and spokes for richer, more immersive content experiences Photo credit: http://alittlehut.blogspot.com/2007/12/decorations-la-tinker-toys.html

Superior reading experience

Screens will become better than paper

Customizable reading experience

Limitless library in the cloud

Lower costs

Instant gratification

E-reading device costs dropping

Ebooks as hubs and spokes for richer, more immersive content experiences

The ebook opportunity for authors

Ebook opportunity for authors and publishers Fastest growing segment of book publishing Digital = instant worldwide market Shelves everywhere, instant sampling/purchase Ebooks never go out of print Favorable economics Faster, easier, cheaper to publish an ebook than a print book Little to no incremental cost to go from P- to E- No printing, inventory, returns, shipping Lower retail cost + worldwide availability Image credit: http://photography.cemalkin.com

Fastest growing segment of book publishing

Digital = instant worldwide market

Shelves everywhere, instant sampling/purchase

Ebooks never go out of print

Favorable economics

Faster, easier, cheaper to publish an ebook than a print book

Little to no incremental cost to go from P- to E-

No printing, inventory, returns, shipping

Lower retail cost + worldwide availability

The virtuous cycle of ebook economics Larger available market Low Cost More sales & profit

Ebook Production

Planning your move to ebooks Forget (some of) what you know Don’t try to make e- look like p- Ebooks consumed differently that print Less = more with ebooks Liberate text from complex formatting and layout Ebooks are shape shifting creatures (see next slide)

Forget (some of) what you know

Don’t try to make e- look like p-

Ebooks consumed differently that print

Less = more with ebooks

Liberate text from complex formatting and layout

Ebooks are shape shifting creatures (see next slide)

Ebook devices (and customers) shapeshift text Example of Smashwords novel, All Good Things Die in L.A. by Anhoni Patel iPhone, using the Stanza reader. User-selected options: Font: Verdana; Background pattern: Stone carving; text color: Dark Violet; Font size: larger than normal

Example of Smashwords novel, All Good Things Die in L.A. by Anhoni Patel

iPhone, using the Stanza reader. User-selected options: Font: Verdana; Background pattern: Stone carving; text color: Dark Violet; Font size: larger than normal

Planning your move to ebooks Migrate your easy books first Fiction/Poetry/Biographies easy picture books, complex layout, more challenging Avoid DRM Copy Protection Adds complexity and expense DRM treats law abiding customers like criminals Use DRM-free as competitive advantage Lead the inevitable change, don’t be victimized by it

Migrate your easy books first

Fiction/Poetry/Biographies easy

picture books, complex layout, more challenging

Avoid DRM Copy Protection

Adds complexity and expense

DRM treats law abiding customers like criminals

Use DRM-free as competitive advantage

Lead the inevitable change, don’t be victimized by it

Multi-format is essential There are many different ebook formats Why multi-format matters PDF does not = ebook anymore Multi-format lets customer enjoy your book their way Expands your distribution options Expands selling opportunities

There are many different ebook formats

Why multi-format matters

PDF does not = ebook anymore

Multi-format lets customer enjoy your book their way

Expands your distribution options

Expands selling opportunities

Ebook format primer EPUB - An open standard for eBooks. Critical format. PDF - A good format if your work contains fancy formatting, charts or images. Horrible for straight form narrative. Plain Text - The most easily read format, works on virtually any screen .MOBI - For Amazon's Kindle reading device, others RTF - Cross-platform document format supported by many word processors and devices LRF - Used on Sony Reader ebook devices PDB - PalmDoc is primarily used on Palm Pilot devices, but used on other devices as well Learn more in the Smashwords Style Guide: http://www.smashwords.com/books/view/52

EPUB - An open standard for eBooks. Critical format.

PDF - A good format if your work contains fancy formatting, charts or images. Horrible for straight form narrative.

Plain Text - The most easily read format, works on virtually any screen

.MOBI - For Amazon's Kindle reading device, others

RTF - Cross-platform document format supported by many word processors and devices

LRF - Used on Sony Reader ebook devices

PDB - PalmDoc is primarily used on Palm Pilot devices, but used on other devices as well

Learn more in the Smashwords Style Guide: http://www.smashwords.com/books/view/52

Most popular ebook formats Learn more: http://blog.smashwords.com/2009/03/why-multi-format-ebooks-matter.html

Preparing conversion from p- to e- Preparation Most print books originate in Word, InDesign and Quark Simplify formatting and layout, see Smashwords Style Guide at http://www.smashwords.com/books/view/52 From This to That From MS Word to ebook: Easy to convert directly into multiple ebook formats using conversion tools or free services From InDesign/Quark to ebook: Export to intermediate format (usually RTF or Word .doc), then clean up prior to conversion, or export directly to one or two ebook formats such as PDF or EPUB. Quality may disappoint From PDF to other formats: For masochists only For super-complex books, hire an ebook formatter/coder

Preparation

Most print books originate in Word, InDesign and Quark

Simplify formatting and layout, see Smashwords Style Guide at http://www.smashwords.com/books/view/52

From This to That

From MS Word to ebook: Easy to convert directly into multiple ebook formats using conversion tools or free services

From InDesign/Quark to ebook: Export to intermediate format (usually RTF or Word .doc), then clean up prior to conversion, or export directly to one or two ebook formats such as PDF or EPUB. Quality may disappoint

From PDF to other formats: For masochists only

For super-complex books, hire an ebook formatter/coder

Multi-format conversion options For Brave Souls - Google: Conversion Tools which leads to first result: http://wiki.mobileread.com/wiki/E-book_conversion Smashwords – One to many

Ebook publishing, distribution, marketing and selling

The print book supply chain compared to ebook supply chain printer Print Publisher Shipper/w/d customer bookseller customer ebookseller customer ebookseller E-distributor customer E-publisher E-publisher E-publisher remainder pass along Used bookstores PRINT BOOKS EBOOKS

Ebook distribution Distribution channels Online retailers Amazon Barnesandnoble.com Sony Hundreds of smaller, specialized retailers Mobile platforms Stanza Aldiko Shortcovers Others

Distribution channels

Online retailers

Amazon

Barnesandnoble.com

Sony

Hundreds of smaller, specialized retailers

Mobile platforms

Stanza

Aldiko

Shortcovers

Others

How Smashwords publishes and distributes ebooks More logos coming!! author

Ebook pricing Price lower than print The higher the price, the smaller the market Non-fiction supports higher prices than fiction Price is not sole determining factor Create insatiable desire and price matters less High prices encourage piracy

Price lower than print

The higher the price, the smaller the market

Non-fiction supports higher prices than fiction

Price is not sole determining factor

Create insatiable desire and price matters less

High prices encourage piracy

The power (and danger) of FREE Free as a strategy for audience building eliminates friction conversion opportunities opportunity to sell things that go with your free stuff builds goodwill Danger can devalue content Alternatives to free free samples that lead to sales contests with free ebook prizes

Free as a strategy for audience building

eliminates friction

conversion opportunities

opportunity to sell things that go with your free stuff

builds goodwill

Danger

can devalue content

Alternatives to free

free samples that lead to sales

contests with free ebook prizes

Ebook marketing Marketing begins BEFORE you finish book You are the brand, your book is your product Word of mouth most important Go viral with social media make easy for fans to share links to your book via social networks (Twitter, Facebook, Linkedin) shareable samples and coupons blog tours instead of book tours support community reviews (bloggers, Librarything, Goodreads, Shelfari) widgets (shareable, interactive ads) more ideas in the Smashwords Book Marketing Guide at http://www.smashwords.com/books/view/305

Marketing begins BEFORE you finish book

You are the brand, your book is your product

Word of mouth most important

Go viral with social media

make easy for fans to share links to your book via social networks (Twitter, Facebook, Linkedin)

shareable samples and coupons

blog tours instead of book tours

support community reviews (bloggers, Librarything, Goodreads, Shelfari)

widgets (shareable, interactive ads)

more ideas in the Smashwords Book Marketing Guide at http://www.smashwords.com/books/view/305

Final words Develop and implement an ebook strategy now Your readers want ebooks Experiment Digitize easy books first Design for plain and simple Get closer to your customer Enlist readers and fans as your sales force Don’t abandon print

Develop and implement an ebook strategy now

Your readers want ebooks

Experiment

Digitize easy books first

Design for plain and simple

Get closer to your customer

Enlist readers and fans as your sales force

Don’t abandon print

Thank you for listening! Q&A Where to find Mark Coker: Web: www.smashwords.com Blog: blog.smashwords.com HuffPo: huffingtonpost.com/mark-coker Twitter: @ markcoker Email: first initial second initial @ smashwords.com