BookBaby doesn't produce a print copy, so its service is more comparable with Book Country's $99 ebook only package.
Quite true, BB and most other reasonably priced ebook formatting services don't format books specifically for print.
But the Book Country $99 package says this:
For this special introductory price, you'll receive exactly the same tools and services as above, except you won't be creating a print book. This option requires Microsoft Word version 2003, 2004, 2007, 2008, or 2010.
And "above" is this package:
Are you more the hands-on type? This option provides you with all the tools and services you need to format a professional-looking interior file. Your Publishing Kit includes a special Book Country interior template designed to work for both print and eBook, instructions for preparing your manuscript and front matter for production, a checklist to keep you on track, cover design tips and recommendations, and ideas for marketing your book after it has been published.
These packages aren't doing the conversion, formatting your ebook and uploading them to vendors. They're only giving you instructions for doing it yourself. And formatting an ebook for publication is not a particularly simple task, especially if you're not terribly tech-savvy.
The top-priced package, at $549, appears to be the only one with which Book Country will actually do the conversion for you:
Let us do the work for you! When you choose the Professional option, Book Country formatters will transform your raw manuscript file (.doc, .docx, .rtf, or .txt files accepted) into polished print and ePub files. Choose from six different elegant interior styles designed specifically for genre fiction.
...This $549 package is what BB does for $99. You send them the Word file, they convert it into ePub for you.
Our partners require that eBooks be delivered to them in the ePub or Kindle formats. We'll convert your Word, rich text, text, or HTML file for free!
$99 package: Digital distribution of your eBook to our digital partners
. Includes basic formatting check, conversion to ePub format from your supplied file type
, interactive table of contents, sales reporting, and automatic payments at your selected paypoint.
We pay you 100% of the wholesale price that we get paid by our partners (including Apple's iBookstore, Amazon, Barnes & Noble, and Sony). We take zero commission, period.
You can also find inexpensive (less than $50) ebook conversion services through Smashwords. In the Smashwords Style Guide (which is free) there's an email address through which you can request a list of inexpensive service providers, including formatting for ebook and print, and cover artists.
Smashwords also provides "instructions for preparing your manuscript and front matter for production, a checklist to keep you on track, cover design tips and recommendations, and ideas for marketing your book after it has been published" -- all the things contained in Book Country's mid-level $299 package -- for free.
And in all of these cases, you don't have to give up a percentage of royalties.*
I just don't see what Book Country is doing to earn royalties on these self-published titles.
*ETA: The Smashwords Style Guide, tips and lists are free, even if you don't publish through them. Smashwords does take a percentage of royalties -- I believe it's 15 or 20 percent. However, Smashwords is just one venue, and if you upload your books separately to Smashwords, Amazon and BN, you'll still get a much better deal (Smashwords distributes to Sony, Kobo, and BN, among others (they don't distribute through Amazon at this time), but it's easy to opt out of the BN distribution so you'll get a higher royalty rate dealing directly with BN.