Traditional Publishing Royalty Rates
In traditional publishing, authors receive royalties based on their book sales. These rates can vary depending on the publisher, the book format, and the specific contract. Here’s a breakdown:
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Paperback:
- Royalty rates for paperback editions typically range from 5% to 8% of the book’s retail price.
- For example, if your paperback retails at $20 and you’re contracted to receive 5% royalties, you would earn $1 for every book sold.
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Hardcover:
- Hardcover books usually offer better royalty rates, averaging around 15% of the retail price.
- Keep in mind that hardcovers are generally priced higher, so the absolute earnings per sale are greater.
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Ebook:
- Ebook royalties tend to be more favorable for authors. Rates often fall between 20% and 25% of the ebook’s retail price.
- For self-published ebooks, the rates can be even higher (up to 70% on platforms like Amazon KDP).
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Audiobook:
- Audiobooks typically offer 25% royalties.
- As audiobooks gain popularity, this format can be a lucrative option for authors.
Self-Publishing Royalty Rates
Self-publishing allows authors to retain more control and potentially earn higher royalties. Here’s what you can expect in self-publishing:
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Ebooks (Amazon KDP):
- For ebooks priced between $0.99 and $2.98, authors receive 35% royalties.
- For ebooks priced between $2.99 and $9.99, authors can earn 70% royalties (minus delivery costs).
- Amazon KDP deducts a delivery cost based on the file size of your converted MOBI file.
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Print Books (Amazon KDP):
- Authors earn 60% of the list price minus the printing cost for standard distribution.
- For expanded distribution, the rate drops to 40% of the list price minus printing costs.
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Barnes & Noble Press (B&N Press):
- B&N Press offers 70% royalties for ebooks based on the list price.
- Print books earn authors 55% of the list price (B&N keeps 45% of every sale) minus printing costs.
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Draft2Digital:
- Draft2Digital provides a user-friendly platform for self-publishing across multiple retailers.
- Royalty rates vary depending on the retailer (e.g., Apple Books, Kobo, etc.).
Remember that these rates are approximate, and actual earnings depend on factors such as pricing, distribution channels, and individual sales. As a self-published author, you have the flexibility to choose the best platform and pricing strategy for your book.
