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Martin Foner’s Publishing Newslette= r

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

Volume 23, Number 14

Hello, Everyone&he= llip;

A whole group of short but= pertinent articles for end of the year reading and understanding&hell= ip;

  • IT IS THE END OF THE YEAR… ONE QUESTION= … DID YOU EXCEED YOUR TARGET SALES FIGURE FOR 2018 OR NOT?

  • UPDATES ON AMAZON, THOMPSON SHORE, AT&T PR= IOR ARTICLES AND PROBLEMS WE SEE

  • CURRENT TRENDS AND SURVEYS TELL MEDIUM AND SMA= LL PUBLISHERS YOU ARE GOING TO NEED TO SHIFT GEARS AND CHANGE TACTICS = IF YOU PLAN TO BE SUCCESSFUL OR EVEN STAY IN BUSINESS

  • WE MENTIONED TWO GREAT BOOKS IN THE LAST ISSUE= … NOW THEY ARE AVAILABLE TO PURCHASE FOR HOLIDAY GIFTS=

  • NEW LISTINGS… PUBLISHERS FOR SALE&helli= p; MAPS, ART BOOK ENCYCLOPEDIA, PROFESSIONAL TEST TAKING BOOKS…=

  • EDITORIALS… THE PRESIDENT IS NO SUPPORT= ER OF VETERANS, THE MOUTH MOVES BUT THE ACTIONS DON’T SUPPORT TH= E TALK… AND NOW WILL THE PRESIDENT LOCK UP HIS OWN DAUGHTER, OR= JUST SHUT THE HELL UP

IT IS = THE END OF THE YEAR… ONE QUESTION… DID YOU EXCEED YOUR T= ARGET SALES FIGURES FOR 2018 OR NOT?

So you made a Plan at leas= t for 2018 and you created some target revenue and profit numbers. Hop= efully, when you did this you also created the Plan that would support= and help to create these numbers.

Now it is Thanksgiving and= close enough to the end of the year, unless your titles are strongly = Christmas based and reordered now, to determine if you are going to hi= t your 2018 target revenue figures.

Easy question (and no fool= ing yourself)… yes or no?

If you are, that’s w= onderful, you did your job, worked your Plan, and achieved your goals&= hellip; BRAVO! Now, actually three months ago, was the moment to make = sure you do it again for 2019… make your Plan, set your numbers= , create the supporting structure to make the Plan succeed, and get ou= t there for 2019 and kick some ass!

Uh… you DIDN’= T hit your goal numbers? Really? Was it because you didn’t creat= e the supporting Plan to ensure you would hit your numbers… or = you didn’t carry out all the work and promos and marketing requi= red to hit your numbers… or are there a half dozen excuses why = the marketplace screwed YOU, distributors screwed YOU, or the marketpl= ace didn’t ‘like’ a couple of your front list titles= ?

A post mortem might be in = order, but later… right now you MUST do it right for 2019 or th= ere won’t be a 2020. A solid and successful Plan is not a diffic= ult thing to do, nor is it time consuming, nor is hiring someone with = the expertise who can really help you… considering the alternat= ives.

The facts are simple and s= tark… a business with a Plan is FIVE TIMES more likely to succe= ed to its fifth anniversary. And it is TEN TIMES more likely to make i= t to the ten year mark. Risk without a Plan and you are swimming again= st the current. You will get there assuming you never get tired.

But why risk all that you = have worked for so far?

This is both a reminder of= your obligation to your business, yourself, and your family, and, of = course a bit of a promo for our Planning Services for Medium and Small= Publishers. In one sentence… We have been planning with publis= hers just like you for decades to successfully reach their goals. That= ’s all. Contact me right after Thanksgiving… don’t = delay… mfoner@nplconsu= lt.com .

UPDATE= S ON AMAZON, THOMPSON SHORE, AT&T PRIOR ARTICLES AND PROBLEMS WE S= EE

Amazon… Despite eve= ryone bitching about Amazon, I was surprised to only get a handful of = emails about egregious practices, theft, copyright issues, etc., about= them. One more chance here… if you as a publisher are having i= ssues with Amazon taking advantage or worse… send me a couple p= aragraphs explaining and I will see what we can do to attach you to ot= hers’ issues similar and see if we can make some inroads with th= ese people. They are claiming to have some protective mechanisms set u= p for publishers but so far we see nothing. But if we do…

Thompson Shore… I w= ish I could say all is well here and I recommend using them. I can&rsq= uo;t. I won’t get into any more details than I did last issue. I= have three alternative printers at reasonably close pricing. Contact = me at mfoner@nplconsult.com for my thoughts.

AT&T… If you ar= e using any of AT&T’s services… I highly recommend, a= s I have already, leaving on the first train to anyone else. For cell = service right now T-Mobile is offering everything but the kitchen sink= deals. I switched about three months ago. Billing simple. Service wor= ks. And they are the first cell company to now have “Scam Likely= ” on the screen instead of a number when their system has detect= ed a scam calling number calling you. Makes life that much easier. And= a final note… after everything my partner has gone through wit= h their home security division, including multiple letters to their co= rporate offices, unanswered, and the filing of a small claims court su= it in Texas… they had the audacity to file a credit hit on her = for the unpaid and unbilled services they never provided. Piss poor co= mpany. Stay away!

CURREN= T TRENDS AND SURVEYS TELL MEDIUM AND SMALL PUBLISHERS YOU ARE GOING TO= NEED TO SHIFT GEARS AND CHANGE TACTICS IF YOU PLAN TO BE SUCCESSFUL O= R EVEN STAY IN BUSINESS

Current Surveys and Stats = in the Industry of Note to Medium and Small Publishers…<= /p>

  • Bookstore sales continue to lose ground… small = monthly declines of a percent or so…
  • Ebook sales posted their smallest increase year over y= ear in 2018 and a few suggest the increase for 2019/2018 might be clos= e to zero.
  • Audio book sales are up again by almost 30%... really.=
  • A number of small pub distributors continue to close, = merge, or limit their representation
  • Revenues and profits for medium and small publishers, = as reported, are down for 2018
  • BUT… the ‘big five’ publishers are = ALL reporting substantial gains in revenues and profits throughout 201= 8

So… what does this = jumble of information tell us as medium and small publishers? <= /p>

  1. We are not going to be able to continue to count on th= e ‘trade’ to keep our revenue streams going.
  2. The numbers for 2018 are already talking loudly for us= .
  3. Bookstores sales declining, ebook sales flattening.
  4. But large publishers with large budgets and blockbuste= r titles WILL be able to keep rolling just fine, thank you.

Clearly, we are going to h= ave to use different programs, promotions, methods, and marketing to f= ind and keep customers for our titles.

We may even have to be mor= e specialized on our title selections to be able to cross sell our cus= tomers on new titles.

Fiction publishers will ha= ve to narrow the genres and subjects and authors… while non-fic= tion publishers will have to expand offerings in strong subjects and p= ossibly let go in areas of weakness.

Non fiction publishers hav= e the luxury of Bulk and Custom Sales avenues and should pursue them v= igorously as a major revenue stream alternative to the ‘trade&rs= quo; and standard distribution.

Do you really believe that= Barnes & Noble is solid and credit worthy?

Selling to non-book retail= outlets…fine…but watch carefully who you are selling to= . Sears, Kmart… obviously not at all. But who is next? Who woul= d have thought that selling sports books to Sports Authority would be = a 100% risk activity? Well, it was. And Toys R Us… selling them= kids books seemed like a slam dunk, didn’t it? Well, who got du= nked?

But there are plenty of na= tional, regional, and local non-book companies who will be fine custom= ers.

So, what to do?

I will cover a few points = in brief here…and go into more detail in the next few newslette= rs for clarification.

  • Keep your A/R and inventory at low numbers with B &= ; N. If you would say that a bankruptcy of B & N would sink your b= usiness… it is past time to trim inventory and A/R with them.
  • Same goes for any major national non-book retailer.
  • But, do solicit non-book retailers judiciously and add= as many as you can comfortably to your program.
  • Cash on delivery is worth another 10% discount. Add th= is option to your price schedules, or, if you are bold, change your pl= an for 2019 to ‘prepay for new customers, no matter who they are= ’, and offer that extra 10% as an incentive.
  • Bulk Sales programs can replace the ‘trade&rsquo= ; completely and at exactly the same discounts, with cash up front, no= returns, and repeat orders too.
  • Yes, there are dozens if not hundreds of potentials fo= r Bulk… ask me about Bulk Selling programs since we do them now= directly for medium and small publishers.
  • Oh, no more ‘returns’ policy. Time to go t= o ‘no returns’. Whose company is it anyway? We never allow= ed returns in 17 years as a mid sized publisher, doing over $6 Million= in revenues.
  • Ebooks can be a revenue source but don’t let the= m cannibalize your print book revenue and profitability.
  • Look at audio books if they are feasible for your titl= es. Based on current trends and numbers, this strategy will pay off.
  • Ebooks and audio books are not easily sold as Bulk ite= ms, but they have their own markets.
  • New promotional strategies should include strong work = with your authors. Really. They can be your best promotional departmen= ts and are free… or should be.
  • Your Plan for 2019 and beyond has to be reworked in li= ght of all that is happening.

As I said… I will g= o into detail on these points in upcoming issues of the newsletter. If= you need some professional help in doing a Plan or revising yours in = light of these changes… contact me mfoner@nplconsult.com .

WE MEN= TIONED TWO GREAT BOOKS IN THE LAST ISSUE… NOW THEY ARE AVAILABL= E TO PURCHASE FOR HOLIDAY GIFTS

I am working with a client= who is printing a 300+ page amazing full color cookbook. Beautifully = photographed, her work is the essence of Jersey Shore living, cooking,= and eating. She has been the #1 female chef/owner along the Seaboard = for 20+ years, with multiple successful restaurants.

Not only is this a great r= ecipe cookbook with literally hundreds of recipes from breakfast throu= gh brunch, dinners, cocktails, and desserts… but it is also a g= reat read with stories of how dishes were created, tested, and finally= presented to diners. It also has a ton of pages in the back of the co= okbook on ‘how to’, on choosing tools, a glossary, and con= version tables for temperatures, ounces to cups, etc. A really complet= e cookbook.

If you are interested, we = are taking orders on our site…. A GREAT holiday gift! Shameless= plug… Is what I said in the last newsletter.

Many, many of you stopped = by the website to have a look and some of you purchased it. Now, we ha= ve the books in stock for immediate delivery. So… order the boo= k already! Great for any cook or want to be cook as a holiday gift!

Use the ‘cod= e’ DISC25 to get a 25% discount on the single copy price AND FRE= E shipping to all 50 states. The code will be valid until Christmas. B= ulk discounts also listed at the link.

Order here: https://ppgcpublisher= s.com/product/feed-this-community/

I have mentioned the other= title once or twice in prior newsletters… THINK AND GR= OW RICH. We are co-publishing and re-printing the original 19= 37 edition of this classic #1 Bestselling title. In s= hort… it has sold over 60 Million copies worldwide in o= ver 30 languages! It has a list of endorsements that highligh= ts the major success stories of the early 20th century incl= uding Andrew Carnegie, Thomas Edison, F W Woolworth, the families Rock= efeller, Mellon, Vanderbilt, and Roosevelt… and scores of succe= ssful business, scientific, and creative leaders of the U.S. at that t= ime. NOW… today… the list of endorsements includes Gates= , Buffett, Jobs, and too many other leaders to list.

It is on EVERY “must= read” book list for business, personal development, success, an= d wealth. In fact, I just read a recent “must read” list o= f the ten most important books to read in your life… in order&h= ellip; of course the Bible comes first. But SECOND… THI= NK & GROW RICH… with this comment “This is a= rguably the best personal development and wealth building book of all = time. It belongs on everyone’s bookshelf.” Just one of a t= housand similar endorsements in the last eighty years. Everyone can be= nefit from this amazing book… including YOU!

This is a book to give out= in bulk… staff, family, students, associates, anyone for whom = you would like to give the gift of life success…

Use the ‘cod= e’ DISC25 to get a 25% discount on the single copy price AND FRE= E shipping to all 50 states. The code will be valid until Christmas. B= ulk discounts also listed at the link.

Order here: https://ppgcpublisher= s.com/product/think-and-grow-rich/

NEW LISTINGS… PUBLISHE= RS FOR SALE… MAPS, ART BOOK ENCYCLOPEDIA, PROFESSIONAL TEST TAK= ING BOOKS…

If you have an interest in= acquiring a company but you don’t see what you= are looking for here, let me know… I have a few Sellers who ar= en’t quite ready yet to be in the marketplace, (fence sitters) a= nd more in discussion every month, as you can see from the increase in= listings.

If you have an interest in= selling your company, contact me confidentially to d= etermine a complimentary ballpark value for your company, and we can s= tart the process… we will have to hurry if you want to make the= end of 2018.

Contact me on the = above or the below: mfoner@nplconsult.com.

1.    MID SIZED NON-FICTION PUBLISHER foc= used in Business, Self-Improvement, Health & Wellness… Very strong front and bac= k list, over 500 titles, and strong pipeline for new titles… ov= er 75 in the pipe, and 50 more in negotiation/development. Almost ten = year old company… growth every year, profits growing. 2017 did = over $600K and net $300K. 2018 YTD is up both Gross & Net. Minimal= staff, all freelance, minimal inventory, mostly digital and rest is p= rimarily POD. A one-person management operation. Easily portable. Sell= er very motivated.

Bottom line at $795,000but at this price, to be 2018 closing.=

2.    UNUSUAL MAP COMPANY… = In business 30 years, and wi= th over 500 copyrights, marketing agreements, and variations, this par= t-time map company has a customer list, products, multiple websites, a= nd contracts licensing their products to well known organizations and = corporations. Just this summer, digitizing much of this work and putti= ng this treasure trove up on Amazon… sales reflect this new &ls= quo;push’. They got serious attention when the TV program &ldquo= ;West Wing” used one of their copyrighted maps on multiple episo= des and they were off to the races. All owners are into deep retiremen= t and are not heavy marketers…but their networking over the yea= rs has done them=20 well.

Profits consistently in the $30s… plus $70K inventory&hell= ip; and 500 products in their potential line… Asking $2= 95,000 which is 5X net plus inventory and some value for IP assets.

3.    PRIMARILY EBOOK PUBLISHER & DIS= TRIBUTOR… In b= usiness almost ten years… Over 750 titles published and 1,200 t= itles distributed on non exclusive basis. 100% ebook with about 15% in= physical. Topics from fiction to non-fiction, wellness, business, poe= try, anthology, name it.

In all honesty, the marketing ‘partner’ has faded and= revenues have also faded, but in my review, very likely to bring it b= ack with someone who is active in ebook and marketing. Revenue topped = out over $250K a few years ago and now down to about half. Very motiva= ted for 2018 sale.

Still profitable… a small push would put this deal at 1X. = Current asking reflects bounty of titles already done and ready to mar= ket/remarket, good name in industry, profit history and potential&hell= ip; inventory minimal, A/R minimal.

Asking $120,000… owner negotiable and particularly= if 2018 sale closing.

4.    CUSTOM ACADEMIC PLANNER PUBLISHER&h= ellip; I don’t = have all the numbers and details but should in the next week. If you a= re interested… let’s talk. Well into seven figures revenu= es… close to 1,000 customers… Annual contracts include c= ustom materials included in standard planners for schools from element= ary through university. Net numbers (unconfirmed yet) of over $350K a = year. In biz almost 20 years…strong history.

This one is a rush since the ‘season’ starts = in April and a new owner needs to be in place by February at the lates= t.

Asking will be between $1,295,000 and $1,495,000 once we = have specific confirmed figures, by the beginning of the week.<= /strong>

5.    Nine Titles… Middle Grade &l= dquo;Modern Western” Fiction… I have a client who is shifting gears and wants to= find a good home for this line of titles by a Christian author. The b= ooks are not religious but each provides a moral problem and resolutio= n in a moral way… again non-religious series. Not well marketed= so sales numbers not strong, but professionally written, edited, cove= rs, published, and ebooks and available for marketing immediately.

Asking $8,900 for all and small override royalty.<= /strong>

6.    COMMUNITY CHRISTIAN MAGAZINE&hellip= ; Midwest US city&hel= lip; in business almost 20 years, part time activity, full time net in= come. Was monthly for many years and when owner became ill, went to bi= -monthly. Owner is still, unfortunately, ill and not likely to make an= y changes during the interim.

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 stronger mass community = appeal of the material. Would only be 2X net if back to monthly.

Asking 3X net/1x ad revenues at $249,000.=

7.    PROFESSIONAL TEST TAKING BOOKS AND = COURSES… This = company has been in business for a few decades providing courses and t= est taking reference books for professional designations… Attor= neys, CPAs, and others. Apologies for lack of detail, but those of you= for whom this fits in nicely… I expect to hear from you this w= eek while I gather the requisite details!

8.    CHILDRENS TITLES… that are o= n subjects very conducive to Bulk selling. A series of five titles that have straightforwar= d text and beautiful illustrations, and have done well so far in the B= ulk markets… Banks, School systems, Specific industries, etc. O= wner/author wants to focus on more writing and not marketing, looking = for a publisher who is familiar with this kind of bulk selling (as we = are) and would promote and create revenues that way. One more of which= I don’t have details, but if interested, contact me this week w= hile I gather the details.

 

9.    Civil War Information Records Books= . And what a treasure= trove this is. The publisher was finally able to give me a reasonably= clean count of the total number of titles, records of families, battl= es, chronologies, you name it. So far we are up to about 1,500= + titles. Most digital and a few physical. This is an opportu= nity to add to your Civil War line and to create/market over 1,500 eBo= oks if that is your thing. Or, create and market over 1,500 physical. =

Bonus one is there are roughly 300 titles waiting to be ‘pr= oduced’ by primary author, putting this deal at over 1,800 title= s!

Bonus two is that of all these titles, only 500-600 of them have = even been put up for sale anywhere…and most of those within the= last 12-18 months, so sales numbers are going to be preliminary at be= st.

Inventory is close to $70K. Revenues are around $50K, net around = $35K. Asking on this one includes the value of having over 1,500 title= s in Civil War information and the potential inherent in physical and = eBooks… Asking $249,000.

10.        = ;   Unusual Christmas Book & Gift Item for Kids…= solves a problem for millio= ns of kids who don’t live in a house yet wait for Santa to show = up on Christmas Eve. Two years of sales, still taking hold, but in 201= 7 sold $5K in retail and over $10K in wholesale. Obviously too late fo= r 2018 season, but I really liked this unique idea and am not surprise= d with minimal marketing has gotten some traction. For someone with Ch= ristmas titles, would be a natural seller.

Blister pack of beautifully illustrated book and ‘gift&rsqu= o;… asking $5,000 including inventory with royalties do= wnline.

11.        = ;   ART REFERENCE PUBLISHER… Maybe the best known series brand of art reference = books in the world. Company is almost 60 years old and hasn’t do= ne any marketing in the last 27 years and is still doing nicely on its= name alone. New editions come out once or twice a year. Profitable ev= en on a very part time basis. If you are in the art world, you know th= e brand and it would improve your stature to own this worldwide well-k= nown brand. (Currently in discussions but financing seems to be the ho= ld up in finalizing, so if you have an interest… now is the tim= e to contact me.)

Asking $249,000 (3.5X net) PLUS some arrangement on cost = basis $500,000 inventory.

12.        = ;   Small Educational Publisher. I have a small educational publisher who specializes i= n remedial at high school reading and math for sale. I have mentioned = the company before and they are willing to sell the whole small compan= y at once or sell off their titles individually. The owners want to re= tire now, and are not really interested in a long term buy out. Just t= o retire. For the whole company, asking $49,000. They= are willing to sell off individual titles, so request a list of them.=

13.        = ;   Mystery & Thriller Books, mostly. I also have an interesting company, in busine= ss for a few years, with almost 150 titles, many in thriller, mystery,= some western, and a smattering of non-fiction. Most are in ebook form= at and some are dual, ebook and physical. Sales are increasing toward = 100K. Profits are, obviously, strong on this but this company’s = primary interest is in selecting books for filmmaking, as they option = and make the films. They are happy to consider an arrangement where th= ey keep bringing titles to the new owner as long as they can work the = film rights. They are asking roughly $295,000 plus a = downline percentage/royalty=20 to be determined.

14.        = ;   Dormant Directory in Emergency Preparedness & Response&hel= lip; Was a leading na= me for almost 20 years. Hasn’t published in the last several yea= rs, but most of the over 12,000 listings are still current. Emergency = preparedness is a huge field and has recently ‘come back’ = from obscurity to be a main area of interest for companies and institu= tions.

Offering basically the name and listings and marketing id= eas… asking $9,900.

Well, for the mome= nt, this is the list.

If you have intere= st in any of these, let me know at mfoner@nplconsult.com, as soon as possible as these companie= s and lines will go quickly for the end of the year buyer.

EDITOR= IALS… THE PRESIDENT IS NO SUPPORTER OF VETERANS, THE MOUTH MOVE= S BUT THE ACTIONS DON’T SUPPORT THE TALK… AND NOW WILL TH= E PRESIDENT LOCK UP HIS OWN DAUGHTER, OR JUST SHUT THE HELL UP<= /strong>

No, the President is no su= pporter of veterans, despite the noise that emanates from his mouth. L= et’s just look at facts, please. He skipped one veteran honoring= activity in France. He also skipped going to Arlington on Veteran&rsq= uo;s Day. Can you spell ‘lazy’?

But, and far more critical= , there are currently over 80,000 vets who are using the GI Bill to ge= t educations. They receive a stipend for rent and food and have their = tuitions paid for. Unfortunately, because of a computer glitch that ha= s been going on now for MONTHS… these fine veterans have receiv= ed NOTHING for months. Many of them are filing bankruptcy… many= are going hungry… homeless as they lose their apartments&helli= p; all thanks to our veteran loving President.

Why? Well the computer thi= ng is a cute PR excuse. The underlying issue is that he has failed to = hire over 45,000 THOUSAND people for empty positions in the VA. Yes, 4= 5,000 unfilled jobs! This reduction will help pay for his cockamamie 1= %/rich tax cut. But in the meanwhile, according to sources within the = VA… this problem could be solved in 24 hours if the Pres or the= head of the VA would give the word to put 1,000 people on the project= by hand and get this done in a long working day or two while the comp= uter issue continues to apparently vex everyone. A day or two!<= /p>

So, where is the veteran l= oving President? Oblivious since he doesn’t read the daily repor= ts from his cabinet people. Meanwhile, veterans are starving and being= made homeless and thrown out of schools thanks to this gross mismanag= ement and gross dereliction of duty of the commander in chief. Just th= e facts. Or I would have a lot more to say!

And now, will this Preside= nt take the same stance on his own daughter as he has now for three ye= ars about Hillary Clinton? Same crime… same punishment? LOCK HE= R UP?

Somehow I don’t see = this as a possibility. Ms Trump’s defense… I didn’t= know? Really? She never listened to any of her father’s speeche= s or watched any rallies or interviews or anything for three years?

Is she just stupid, ignora= nt, or doesn’t give a damn and continues in the footsteps of her= imperious father who believes that the rules are whatever he decides = and laws are for everyone else? In any of the above cases, she isn&rsq= uo;t exactly someone we want in the government. If Hillary is a crimin= al then so is she.

Let’s lock them both= up and see if this makes the President happy now?

I wear proudly a t-shirt t= hat says: If You Elect a Clown, Expect a Circus.

I think that says it all o= n one level. I won’t go into the other levels now.

A WORD FROM OUR SPONSOR-ME

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.

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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

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