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Martin Foner’s Publishing Newslette= r

Because You’re Serious = About Success… or You’re Not

Volume 23, Number 10

Hello, Everyone&he= llip;

  • Historical Question
  • The Impact of American Tariffs on US Publisher= s
  • Publishers… You Just Agreed to a NEW $1= 2 Billion Tax!
  • The Quick Math of Real Books and eBooks
  • An Editorial About Democracy (repeated)
  • Quick Notes on Current Surveys in Publishing
  • Interesting Tidbits and Offers Included Afterw= ard

Historical Question

You are free to think what= ever you want about the following. I have decided we have gone way ove= r the edge here in the United States and since this is my newsletter, = I am going to address something in a historical and factual way. No hi= strionics, no commentary, no opinions… no left, no right, no po= litics… just facts.

Question: <= /strong>Before our current President,= who was the last world leader to utter ALL of the below statements, a= nd on a regular, daily, multiple times per day sometimes basis, much a= s our current President does?

    &n= bsp;     Fake News… and now… Disgust= ing Fake News

    &n= bsp;     The Media is the Enemy of The People

Journalists must respect the people in power or lose their credent= ials to work

‘Lock them up’, referring to journalists reporting at = rallies

Answer: Adolph Hit= ler, Der Fuhrer

Feel free to look it up. I= t is simple historical fact, unless, of course, you don’t believ= e that World War II and the Holocaust ever happened.

The Impact of American Tariffs on US Publ= ishers

Again, I don’t care = about the politics, so please, no responses as such. I DO care about h= elping to keep you in business as a publisher. So, please, this is not= hing personally political… as usual, this is business, plain an= d simple.

An update on a prior artic= le…

The protectionist streak o= f this Administration has reared its ugly head in the Canadian paper t= ariff issue. One company in the Pacific Northwest complained, and appa= rently, without justification, to the Administration, and they respond= ed by TAXING U.S. PUBLISHERS about 30% on your cost of goods if you us= e Canadian paper.

Protectionist tariffs, his= torically, do not end well for the country attempting to protect itsel= f. Check the historical facts, don’t believe me.

Read that again… th= e US Government has imposed a tariff on Canadian paper we use for prin= ting newspapers and books mostly… groundwood.

You have just been TAXED b= y your own government… roughly 30% of your current cost of prin= ting if you use Canadian paper.

Now combine this with the = question above, since publishers and journalists share many attributes= that will get them both in serious trouble if this Presidential pursu= it continues… and along with the next brief article, and you ha= ve one hell of an argument for hiring another government to represent = you as a publisher and citizen of a democracy.

HEY! If it makes you feel = better… Fake news! Til you get the bill…

Publishers… You Just Agreed to a N= ew $12 Billion Tax!

You weren’t aware of= this new tax? You have to stay awake… things move way too fast= these days and yesterday’s Tax Cut is now today’s Tax Inc= rease. Make sure to watch more than ONE news network to get ALL the ne= ws!

Again, thanks to the artif= icially created tariff war, our US farmers are getting pummeled in som= e foreign markets. Prices for certain farm goods are falling because o= f the tariffs.

So, rather than find a way= to settle these issues, it seems the current government believes in a= ttempting to bully other countries into doing what this Administration= thinks is best for the country. So far, in many opinions, it isn&rsqu= o;t working. But I digress.

SO, this government has de= cided that much of its political (read: voting) support comes from far= ming states and their farmers. SO, to make sure they don’t lose = these large and key voting groups, the government has decided to use $= 12 BILLION dollars of our tax money to price support US farmers being = hurt by the tariff war… that THEY created.

This is a tax on the rest = of us since the rest of us get absolutely NOTHING for this investment = and our budget is now $12 Billion shorter than it was a few weeks ago.=

Normally, a situation like= this would result in some across the board reductions or supports for= small businesses being hurt by tariffs, which include a list of busin= ess types and industries too long for me to list here. But, in a stunn= ingly simple move, the government has decided that supporting the vote= rs who supported them is the answer.

Small businesses… n= ope… way too many Democrats in that group.

PUBLISHERS who are now bei= ng hurt to the tune of 30%... whoaaaa… lots of left wing commie= rats in that group, I am confident they are assuming… like the= Fake News Media people, networks, and newspapers… you know&hel= lip; the fake news New York Times, Washington Post, and of course, the= President, who has no clue about the difference between a newspaper a= nd a book publisher… a news network and a publisher… bel= ieves he will support his farmers and punish everyone else.

Remember, this is a person= who admittedly doesn’t read, so publishers just don’t cou= nt in his universe.

So, enjoy your TAX…= no one asked you if they could raise your taxes…but too bad. D= one deal. You could go ask your Congresspeople who approved the deal&h= ellip; but they are too busy groveling, bowing, and begging for alms f= rom this current President.

Our Updated Bulk & Custom Website Ful= l of Amazing Titles

Is already UP and running&= hellip; but still needs a few fixes (broker listings page, a few title= s not yet included, some content changes, etc.). You need to go and vi= sit… and then of course, buy something…

There are some truly great= titles in personal medical, health, and wellness, in DIY, in business= , in motivational, education, memoirs, and a dozen other topics&hellip= ; ALL available at Bulk pricing for use in your business as a premium,= as gifts for customers, or to be distributed to your staff.

www.ppgcpublishers.com=  

The Quick Math of Real Books and eBooks

I admit I am often really = shocked at how many publishers are convinced, truly convinced, that eb= ooks are more profitable than physical books, and this offhanded math = is the foundation for some publishers moving 100% to eBooks.

Now, if you told me you we= re tired of shipping boxes… or you were tired of spending money= on inventory… or you felt eBooks minimized the risk of investm= ent in new titles… then maybe we have something to discuss. The= se are all reasonable arguments, PROVIDING… that they make sens= e when juxtaposed to the Strategic Plan for your company.

I go over these numbers a = dozen times a month with clients, potential clients, and inquisitive p= ublishers who question my comments in this newsletter. I am always hap= py to go over them, so I figured I might as well save myself some time= and do it here… again.

Let us use two examples&he= llip; a $4.95 eBook that would equate with a physical book at $12.95&h= ellip; and a $9.95 eBook that would equate with a physical book at eit= her $19.95 or $24.95.

The $4.95 eBook:

You sell it on any eBook p= latform and receive 70% or $3.46.

Your author royalty is 25%= of either the $4.95 or if you are lucky $3.46. So, the royalty is $1.= 24 or if you are lucky $0.87. We will dismiss the production and conve= rsion costs since they also apply to physical books. Thus, your net is= either $2.22…the more likely case… of maybe $2.59 on a = very good day.

The $12.95 physical book:<= /span>

You sell it on any platfor= m and receive 45% or $5.83. Also, subtract the ship cost to the platfo= rm of roughly $0.54.

Your author royalty is 10%= of $5.83, or $0.59, 10% of collected receipts.

You printed the book for, = at this price, probably $2.00 a copy. We have already allowed for ship= ping to the platform. Thus, your net is roughly $2.70 a physical book.=

One sidebar point here&hel= lip; if you sell sufficient quantities of your physical book, the prin= t cost will be reduced to $1.50 and/or eventually $1.25 per print copy= , earning you even more. EBooks have no quantity cost discount to bene= fit you.

The $9.95 eBook:

You sell it on any eBook p= latform and receive 70% or $6.96.

Your author royalty is 25%= of either the $9.95 or if you are lucky $6.96. So, the royalty is $2.= 49 or if you are lucky $1.74. We will dismiss the production and conve= rsion costs since they also apply to physical books. Thus, your net is= either $4.47…the more likely case… of maybe $5.22 on a = very good day.

The $19.95 physical book:<= /span>

You sell it on any platfor= m and receive 45% or $8.98. Also, subtract the ship cost to the platfo= rm of roughly $0.58.

Your author royalty is 10%= of $8.98, or $0.90, 10% of collected receipts.

You printed the book for, = at this price, probably $2.00 a copy. We have already allowed for ship= ping to the platform. Thus, your net is roughly $5.50 a physical book.=

The $24.95 physical book:Z= z

You sell it on any platfor= m and receive 45% or $11.22. Also, subtract the ship cost to the platf= orm of roughly $0.60.

Your author royalty is 10%= of $11.22, or $1.12, 10% of collected receipts.

You printed the book for, = at this price, probably $2.50 a copy. We have already allowed for ship= ping to the platform. Thus, your net is roughly $7.00 a physical book.=

I won’t spend any mo= re time on the math right now, I think that much is clear… just= a quick set of calculations for you to insert your own math and make = some determinations. A few points to consider in this ‘argument&= rsquo;… eBooks mean no inventory… they also mean no Bulk= sales, or very few Bulk sales. While I can find multiple customers fo= r Bulk orders even up to and beyond 100 copies of a non fiction physic= al book… eBooks have no such market for sales. It is hard to au= tograph an eBook… just saying. And they are difficult to give a= way for promotional purposes, too.

I think I will get suffici= ent feedback on this that we will have further articles to review some= or all of the plusses and minuses of eBooks and physical books in fut= ure newsletters.

An Editorial About Democracy You Simply M= UST READ!

(This is a repeat of the l= ast newsletter, and frankly, the feedback I received was so interestin= g, I feel compelled to repeat this article.)

I will repeat. I don&rsquo= ;t care if you are a Trump supporter, a Hillary supporter, and Obama o= r Ron Paul supporter, a Paul Ryan, Ryan O’Neill, or Eugene O&rsq= uo;Neill supporter. Or a Eugene McCarthy, or Joe McCarthy or Charlie M= cCarthy supporter. Or an athletic supporter. I don’t care&hellip= ; our Democracy is at stake.

But, here is an article, a= n editorial, you simply have to read if you care about this country. N= ot party, not position, but care deeply about this country, your famil= y, and your life as you know it, personally and professionally. Read i= t a second and third time. And if it strikes a chord with you as it di= d me, do two things:

  1. Share it with as many people as you can. No commentary= . No casting aspersions. No grief. Just share it. The true patriots of= this country will understand without any explanation.

  1. Send me an email at mfoner@nplconsult.com with two words… DEMOCRACY MATT= ERS. I will keep you apprised of other articles and information and ne= w books coming out that pursue this goal.

https://www.economist.com/leaders= /2018/06/16/lessons-from-the-rise-of-strongmen-in-weak-states

This editorial comes from = The Economist, a weekly newsmagazine that covers the world from a cent= rist point of view since the 1850s…yes over 150 years. It is wh= at Newsweek and Time always wanted to be when they grew up and never g= ot there. They are neither left wing nor right wing, just smart and sa= vvy.

Quick Notes on Current Surveys in Publish= ing

These notes come from surv= eys reported in industry publications:

eBook sales are down only = slightly in first quarter of 2018.

Physical book sales are up= about 4% in the first four months of 2018.

Audio books are on fire. I= f you have or can create audio books of your titles, this is the momen= t to do it… or miss the opportunity to profit. They will NOT li= kely add value to a possible company sale, since you won’t be se= lling in 2018… but they will add bottom line to your 2018 year = and likely 2019 year.

Based on current quarterly= reports from B & N, you would be wise to limit your exposure to a= potential bankruptcy by shrinking your inventories with them. This is only my personal opinion<= /span>… don’t get all legal on me… but it was a si= milar condition that got everyone worried about Borders a few years ba= ck…and we all know how that turned out. So, just saying, if you= can limit your inventory, I would. It is good advice when dealing wit= h ANY bookseller, by the way, distributor, wholesaler, and the like. O= ne never knows when things happen suddenly.

FYI-I insist on prepayment= when dealing with B & N, B & N College, or anyone else associ= ated with B & N.

Publishers’ opinions= of the second half of the year are optimistic and strong. They ought = to be anyway, but this is a good sound as opposed to what we were hear= ing in 2016 and even into 2017.

Last comment… small= publisher sales of companies are beginning to heat up as funding is b= ecoming more available for acquisitions. Something to consider if you = are thinking of selling out. Let me know.

My Complimentary Offer to Review Your Tit= les for Bulk and Custom Potentials

*** HERE IS MY SPE= CIAL OFFER TO YOU. I am offering ALL publishers an opportunity to have= ONE BOOK analyzed by me for its Bulk and/or Custom Sales potential, &= hellip;AT NO CHARGE… COMPLIMENTARY… just so you will beg= in to have the idea of why Bulk and Custom Sales are so important to y= our survival.

I have done this once befo= re eight years ago. It was very strongly received with 500+/- books su= bmitted to me to analyze. Yes, it took about six weeks to get to every= one, but I got a great deal of positive feedback… and we all ne= ed that. Currently, I have received well over 500 requests this year a= nd am continuing to review titles. It is fun… not to mention it= is super important to keep this industry, as we know it, alive and we= ll for the future. And one of the best ways of doing that is to keep t= he publishers in it alive and well. This has become, over many years, = an area of specialty for me… something I do exceptionally well.=

Read the below ‘bold= ’ paragraph carefully and follow its instructions:

Feel free to submi= t your book now. Send me an email with your book information, a link t= o it on your website, a copy of the Table of Contents, full size front= and back covers, and your email and contact information. If you prefer to send me an eBook of= your book, that is ok also, with the other information… to mfoner@nplconsult.com .

Use the subject li= ne: Bulk-Custom Book Analysis

Remember, fiction, childre= n’s fiction, romance, sci-fi, etc., anything of a fiction nature= really doesn’t lend itself to this process, and I will likely r= eply with a blank page to those requests. Non-fiction works for the mo= st part, informational, business, self-help, technical, are good.

I will analyze ALL= the books I receive, other than those mentioned above, one per publis= her, for now, through = the 31st of August.

And, if you would like to = speak confidentially about the potentials of success with your titles = and bulk, customized, and special sales… contact me at mfoner@nplconsult.com .  I hav= e over thirty years of experience in Bulk and Custom sales… ten= s of Millions of Dollars in revenues… my largest indivi= dual unit sale was 250,000 units of one title, on one order. = We should talk if you want to succeed in Bulk and Custom selling. Many= dozens of publishers have done well from using the expert help I can = offer.

A Few Interesting Publishers for Sale

I have a few listings way = worth a second look. And some worth a third and fourth look. I am goin= g to highlight a few of them in this issue. If you want discuss them f= urther, just email me  m= foner@nplconsult.com

ART REFERENCE PUBL= ISHER… Maybe t= he best known series brand of art reference books in the world. Compan= y is almost 60 years old and hasn’t done any marketing in the la= st 27 years and is still doing nicely on its name alone. New editions = come out once or twice a year. Profitable even on a very part time bas= is. This publisher won’t be on the market very long now that we = are promoting it. We originally had a buyer and that took the company = off the market for months. Now, it is on the market again and will sel= l quickly. If you are in the art world, you know the brand and it woul= d improve your stature to own this worldwide known brand. Aski= ng $249,000 (3.5X net) PLUS some arrangement on cost basis $500,000 in= ventory.

COMMUNITY CHRISTIA= N MAGAZINE… Mi= dwest US city… in business almost 20 years, part time activity,= full time net income. Was monthly for many years and when owner becam= e ill, went to bi monthly. Profit is strong but going back to monthly = will increase the net by 50% based on history. Netting now $80K, could= be easily up to $120K. Long ad history, strong community, and even st= ronger mass community appeal of the material. This one will go quickly= as we are promoting heavily in the geographic area to all kinds of ma= gazine and newspaper publishers. Asking 2X net/1x ad revenues = at $199,000.

CIVIL WAR REFERENC= E PUBLISHER, 1,500 TITLES

Yes, over 1,500 titles&hel= lip; mostly ebook, a few hundred are POD. There are another 300 not ye= t published. And of the 1,500 ebook, only about 500 are even available= somewhere, Amazon or elsewhere. This is a gold mine with a little bit= of elbow grease and labor. The Seller will agree to help out and agre= e to finish the 300 books not yet published.

Asking $249,000&he= llip; the 1,500 titles are worth that alone… without any revenu= es or profits.

INTERNATIONAL TRAV= EL GUIDES PUBLISHER, 30 TITLES

Including both internation= al and a few domestic guides. The Seller was going to simply quit busi= ness until he decided at the last minute to sell the company. SO, the = current numbers aren’t very exciting, but previously, they were = in six figures.

This publisher also has a = distribution agreement with Simon & Schuster…extremely valu= able to anyone wanting serious and in depth distribution in the trade.=

Asking $79,000 because of low numbers&h= ellip;worth every dime.

A Word from Our Sponsor

If you believe your publis= hing business, or any commercial business you own, isn’t up to w= hat it should be creating or earning… then you should contact m= e at mfoner@nplconsult.com. I can help you grow your company to your goals and then help you ex= it profitably.

If you want to acquire ano= ther publisher, or line, or even a few titles, then you should contact= me.

If you want to sell your c= ompany, or lines, or a few titles, contact me.

If you want to succeed as = a self-publisher… contact me.

If you finally get the ide= a how critical it is to have a Strategic Plan, then for certain and ri= ght now, you should contact me at mfoner@nplconsult.com.

© Martin Foner, 2018.=   mfoner@nplconsul= t.com

There should be an unsubsc= ribe button somewhere at the footer of this email, but if there is not= , simply email me directly at mfoner@nplconsult.com, and I will have you removed from future em= ailings.

While it is considered opt= out instead of opt in, if you don’t unsubscribe, we will consid= er you as approving us to continue to send you newsletters and related= publishing information. If you do not approve, you need to un= subscribe, not mark this spam or do other untoward things… just= unsubscribe is enough.

NPL Publishing Consultants= , a division of Professional Publishers Group Corporation, Post Office= Box 1010, Ventura CA 93002. 

www.nplconsult.com  www.ppgcpublishers.com

=20

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