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The trouble with used book sales

The following post is mostly quoted from a position paper published by Novelists, Inc. (NINC). The subject is one that worries a lot of us, and in my opinion, NINC has come up with a significant and well-informed position on the matter. It satisfies both my worry that my used book sales do nothing to help my publisher or me, and my guilt over the fact that I, too, buy used books, especially the very expensive reference books all writers have shelves and shelves of!

So here are a some of the most cogent passages. Many thanks to NINC and to the SFWA Forum for making this available:

"Novelists, Inc. (NINC) is a non-profit organization of professional published authors dedicated to advancing the interests of working writers. Used book sales, particularly sales of used books through the Internet, have a significant negative effect on the income of publishers, and, therefore, authors, as there is no remuneration to them for any sales of used books. This document is intended to focus attention on NINC's position that the copyright clause of the Constitution of the United States stands for the principle that authors and publishers have the right to share in the profits that others make from the sale of their work. Currently, authors and publishers do no share in the profits made through the sale of used books, a multi-billion dollar enterprise."

"In 2005, in an effort to understand the used-book industry and its scope, the Book Industry Study Group, Inc. (BISG) hired a consulting firm to conduct an in-depth study of used-book sales and the used-book industry in the United States. The study indicated that the negative effect of used-book sales on the book publishing industry is growing rapidly and bears serious consideration."

"NINC holds a firm position in favor of Federal legislation to combat the potentially damaging effect of used book sales on the current and future health of the publishing industry. Such legislation would be grounded in the intent of the language of Article I, Section 8, Clause 8 of the Constitution of the United States, which states that:
'The Congress shall have Power . . . To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries.'"

In short, NINC proposes that a percentage of fees be paid ("Secondary Sale" fees) upon the reselling of any book within two years of its original publication date. A percentage of these fees would then transfer to authors.

Make no mistake, this is a serious issue. New contracts for authors are routinely, these days, being negotiated on past sales. And those past sales are NEW book sales. All those used books that crop up on Amazon before the new book is even available cost their authors money. I like NINC's proposal, because it doesn't ban the selling of used books, or even scold those of us who buy them, but make provisions for the publishers and authors to be compensated. For some writers, such a provision could be career-changing. And for readers, it means the variety of books available to them will be protected. Such a move would go a long way toward offsetting the best-seller, big box store mentality that assails publishing in this decade. I hope it works out.

Comments

Welcome to Ninc! I'm a member, too.

(Anonymous)

I don't Understand

If a publisher is the exclusive seller of a new book - how are the used book sellers able to sell it before the release date?

Hasn't the used book seller already purchased the book, and then selling it? Doesn't the first sale doctrine apply here?

If the publisher is dumping books (because they aren't selling, they printed too many, etc), aren't they screwing the author?

Re: I don't Understand

I've never been able to figure out how used books are available before new ones are. I suspect some kind of malfeasance, actually, as with booksellers selling ARCs, which specifically state NOT FOR SALE on their plain covers. It must seem to them a tiny issue, just a few copies . . . but every copy matters to the author.

used books

Maybe related to the subject, maybe not: see my I Am A Writer Library label on my web page at www.sfwa.org/members/Rand/.

Re: used books

Thanks, Ken! I see your point. Here's the link: http://www.sfwa.org/members/Rand/
How would this work, though? If I buy one of your books at a book store, the sale is reported to the publisher and royalties are credited to you.

If I click on amazon's "X used and new" and buy it from a random vendor, it also gets reported to the publisher?
oh, and I know this is completely unrelated, but your Anne Coulter post is waaay down there, and I thought you'd like this, if you haven't seen it:
http://www.youtube.com/watch?v=ye_2a7Lrl80
Always a joy to find someone lambasting the Queen of Mean. Lord, I wish someone would donate a whole dress to her so I don't have to look at those arms again.
Perhaps you could send her some sleeves?
If you buy a used copy through Amazon, at this point, no one cares except you, the vendor, and Amazon.com. Amazon does use those sales in its algorhythm to arrive at popularity numbers, but there is no credit to the author. In this proposed system, as I understand it, Amazon would have to report the sale to the publisher and pay the resale fee.
And I wonder what they will then do for electronic formats of the books? How will they police those? One electronic copy can go a long way with no payment at all to the author or the publisher.
This strikes me as insane. The vast majority of used book sales are through small independent vendors or individuals. How the heck could the proposed "secondary sale fee" be collected?

(Anonymous)

I suppose a law could be passed to make it illegal to sell a used book, except to a licensed book vendor.
I think that the small used book stores would all be forced to shut down. (I think that both the fee and the bookkeeping would be prohibitive)
In fact, according to the article in the Forum, the "vast majority" are not through independent vendors but through sources like Amazon. It's a multi-billion dollar business today. I wish independents WERE getting their slice of that pie, but they're not, as we all know to our sorrow, since, they're dropping like flies on a hot day all over the country.

What I appreciate about NINC's proposal is that it is directly related to copyright law. I love all the independent booksellers who support us novelists at conventions, but that's such a small piece of the big picture in publishing!
Admittedly, I have only bought out-of-print books through Amazon and B&N used book links, but when I have, the sellers have been small, independent booksellers who are taking advantage of the resale programs to broaden their customer base. I can imagine that with the decrease in walk-in business and the dominance of major chains, selling through Amazon, etc., may be what's making it possible for some of the independents to survive.

Some of the sellers, though--doing a large amount of business, I imagine--are selling their used books for $0.01 plus shipping/handling, which would make collecting a percentage of sales difficult, if they're actually handling recent releases as well as the older, non-collectible stuff.
Ooh, Elizabeth, good point. Those sellers are actually making their money on the handling fees, and so . . . Hard to get a thing from them!

Of Course Used Books Help You

"It satisfies both my worry that my used book sales do nothing to help my publisher or me..."

You ignore one very important thing used book sales do to help you and your publisher:

Used book sales put your name and your work in the hands of readers.

Some of those readers may have never heard of you and won't be willing to spend full price on an unproven author. Thanks to used book sales, they try you out, and if you're any good and to their liking, there's more of a chance they'll be willing to purchase your books at full price later on.

That's an obvious benefit to you and your publisher. Think of used books sales as a marketing expense. Can you afford to alienate / eliminate this?

Even if I could afford to disregard potential readers, I wouldn't.

Re: Of Course Used Books Help You

You make an excellent point. That's why publishers remainder books, of course, instead of pulping them--they hope to lure in some new readers.

It's a thorny issue, isn't it? But it's good to remember there's an upside. Thank you!
SingersofNevya

December 2009

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