Transcript of "FO 2012: Budgeting for E-books (B. Adams)"
REDEFINING UNIT AND DOLLAR SALES PARAMETERS
BUDGETING FOR E-BOOK SALES Incorporating e-book sales in title budgets Incorporating e-book sales in overall Press budget Adapting to new sales paths Adapting to budgeting by dollars vs. units Redefining sales timelines
Incorporating e-book sales in titlebudgets We add a line to the sales projection including e-book sales units and dollars We include that projection in the margin calculation with print book sales We assume no additional costs for e-book creation We are considering adapting this model to incorporate projected e-book sales from non-unit sales sources (collections, chapters, etc)
Incorporating e-book sales inoverall Press budget More art than science Issues incorporating unit sales of e-books Impact of e-book sales on print sales, especially cloth sales Issues budgeting backlist e-book sales vs. frontlist
Adapting to new sales paths Sales thru vendors (Kindle, B&N, etc) Direct sales Sales thru collection partners (UPCC, JSTOR) Course packs
Adapting to budgeting by dollarsvs. units Conventional thinking about book sales is tied to units and standard pricing Hard to define what is a unit in terms of e-book sales Standard pricing, outside of the shopping cart, is almost non-existent No clear evidence of repetitive annual trends in e-book sales as there is for print books Planning issues regarding cloth unit sales as e-book sales ramp up
Redefining sales timelines When to recognize sales from collection sales vendors (UPCC, JSTOR) How to classify rental/course pack sales How to classify chapter sales Planning for classification of less than chapter length e-sales