Macmillian limiting library access to new e-titles

Brightdreamer

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Not sure if this is the right place - please move if needed, mods, but it looks like something that may be of interest to authors, not to mention library patrons nationwide.

Link: Library Director note on Macmillan's decision to limit access to new e-Book titles

I work at the material distribution center, and we have seen numbers decline as more and more patrons turn to electronic/internet offerings through the library. As noted, this decision to limit public library access is worrisome, and if a large system like ours is impacted, I can only imagine the burden placed on smaller systems. Are libraries really any more of a threat to new book sales than piracy?
 

shadowsminder

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My guess is this decision was based on the results of Tor's experiment. (ETA: Confirmed.)

Publishers have been feeling threatened. Libraries' ebook systems reportedly don't compensate for the decrease in sales, regardless of what that library director says is "fair". In last year's experiment, people went out and bought the new releases instead of waiting for library copies.

The issue about access is valid. Libraries who don't order enough paper copies or whose poorer patrons read only ebooks should be concerned about inequality. I guess I don't quite see how this is different than when I was a child, though. Libraries have always needed to improve access but have also made the patrons who rely on them the most wait for months, sometimes up to a year, to borrow specific books.

On the other side of publishing, could this change create a staggered release schedule that benefits authors?
 
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cool pop

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They've been talking about this in all the author groups and people are livid. This is just an example of more strong-arming from publishers. Libraries have been around for years even e-libraries and it wasn't an issue. Of course many who use libraries prefer to get a book free. That's why they use libraries. Many use them for different reasons. Some don't read much so they might not be a book buyer and prefer libraries and in case some pubs don't know this, some people are poor. YES actually poor and libraries are a way to get books. But, now there are tons of free books online so those who can't afford it can get books anywhere. This is going to hurt libraries and readers, period. That's sad. And if Macmillian thinks that doing this is going to make readers pay for a 14 dollar ebook they are sadly mistaken. Most ebook readers don't care who publishes books. They look at price above all else and a vivacious reader isn't going to spend tons of money on one ebook.

But can they please stop pretending this is about them caring about authors? :roll:Pubs need to stop treating authors like they are stupid. Like we don't know how the library systerm works in connection to pubs. Many trade authors have voiced their opinions on this and they don't agree with what Macmillian is doing. And if they REALLY wanted to help authors why not give them a better royalty cut, give fairer contracts or structure it where authors don't have to wait eight months or more before getting a royalty check? If they really cared about how things affect authors they'd change some of their dinosaur ways. This is the big issue. Pubs don't want to change yet want to control everything around them to suit them. PAY your authors better and that would help. Punishing libraries only hurts innocent people and readers.

Also, print is no longer the popular format for books. They need to accept it and get over it. Most people are buying audiobooks and ebooks now. They want books they can enjoy on their phones and tablets. That's just the way it is now. This is where change comes in. Publishers need to adapt to change and to how the world is now, which they have proven over and over they cannot do. You can't keep ignoring change and use your brand or your big cooperate money to force others to be stuck in the past like you.

They claim libraries hurt authors? Bull. Most authors LOVE the idea of having their books in libraries for folks to enjoy. It didn't become an issue until MacMillian made it one.
 
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KBooks

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And if Macmillian thinks that doing this is going to make readers pay for a 14 dollar ebook they are sadly mistaken. Most ebook readers don't care who publishes books. They look at price above all else and a vivacious reader isn't going to spend tons of money on one ebook.

^^This. I read exclusively via e-book and I do a lot more actual purchasing of indie titles and more librarying/waiting for sales in other cases because prices have gone up so much with the major publishers.
 
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Old Hack

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Also, print is no longer the popular format for books. They need to accept it and get over it. Most people are buying audiobooks and ebooks now.

This surprises me, because it goes against all the statistics I've seen lately. Can you point me to some sort of source for this?
 

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I had the same thought. The "print is dying" argument has been refuted so many times that I didn't to see it here.

The statistics for self-publishing authors and trade publishers are mixed at times but aren't the same. The last I saw, printed books remained the major profit-maker for the Big 5. That's one of the reasons for the concern that the imprints specializing in ebooks will soon be closed.
 

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There will always be lovers of physical books and even some people who simply like bookshelves filled with retail copies for home decor, but I suspect eventually we will see the kindle unlimited type of monthly subscription become the dominant model, perhaps with different tiers of sub fees for newer books or textbooks. Maybe some institutional licensing model will be implemented for libraries and schools, along the lines of how software publishers charge large organizations.
 
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AW Admin

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Also, print is no longer the popular format for books. They need to accept it and get over it. Most people are buying audiobooks and ebooks now. They want books they can enjoy on their phones and tablets. That's just the way it is now. This is where change comes in. Publishers need to adapt to change and to how the world is now, which they have proven over and over they cannot do. You can't keep ignoring change and use your brand or your big cooperate money to force others to be stuck in the past like you.

You're wrong. Please see the Publishing by the Numbers FAQ

See also: Are E-Books Finally Over? The Publishing Industry Unexpectedly Tilts Back to Print

And a thing to consider regarding Macmillan and libraries: Macmillan does not use DRM on their ebooks.
 

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Before e-books, new releases were often very limited at local libraries. Even if they had copies of some of the latest bestsellers, the wait list was huge to check them out. And they tended not to have new releases of more modestly selling books at all.

I think the sale of e-books do create some challenges for publishers, since distribution of an entire catalog is much easier to libraries, and it's possible for several clients to check out the same book at a time (I don't know how that works in terms of rights).

It interests me that e-books often cost as much, or nearly as much, as paper copies--especially for recent releases. It's true that they still need editors and book designers, and authors need to be paid. But surely it's much cheaper to distribute e-books, since they don't need to ship heavy crates of books or store them in warehouses. And when you buy an e-book, you're essentially only renting it, since the publisher can remove it from your device, alter it (it drives me crazy when they change the cover of a book that's been on my device for a while).

That's a separate issue, though, and maybe they overcharge for e-books because piracy is so much easier.
 

shadowsminder

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Access to and the costs of ebooks have been issues between libraries and publishers for a long time, much longer than the year since Macmillan's pilot program with Tor. The latest limitations appear to be a compromise. The biggest problem the library systems seem to have with that is the lack of communication from Macmillan in past years about its struggles.

Anyway, I see opportunities for authors, and not only Macmillan's. Wouldn't it be nice if libraries filled any gap created by Macmillan's restrictions to order indie ebooks? I mean, if borrowers really don't care who published the books, only that they're free and accessible immediately on release...?
 

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One of the articles regarding the Macmillan decision said that 45% of e-book reads for their titles were from library borrows.

https://www.publishersweekly.com/pw...illan-expands-embargo-on-library-e-books.html

In the memo, Sargent asserted that 45% of Macmillan’s U.S. “e-book reads” were now “being borrowed for free” from libraries," a trend he attributed to a mix of factors, including the lack of "friction" in e-lending compared to physical book lending, the "active marketing by various parties to turn purchasers into borrowers," and unnamed apps "supporting e-book lending regardless of residence, including borrowing from libraries in different states and countries."

I'm not sure if there's data on how many people check out a title in print versus purchase it (that would probably be hard to track), but that's a sizable chunk of readers who are reading e-books but probably aren't counted as sales. (though, no doubt, print remains the most popular.)
 

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Anyway, I see opportunities for authors, and not only Macmillan's. Wouldn't it be nice if libraries filled any gap created by Macmillan's restrictions to order indie ebooks? I mean, if borrowers really don't care who published the books, only that they're free and accessible immediately on release...?

Borrowers don't care who publishes the books they read, you're right: but libraries have very limited resources. They are short on money, and short on staff hours. So they don't have the time they'd need to trawl through all the self-published books out there looking for ones that would suit their demographic, or the money required to just buy loads of books at random and hope that some of them were of interest to their borrowers. Which is why they tend to only acquire books from trade publishers, which have been favourably reviewed in appropriate publications.
 

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I think the sale of e-books do create some challenges for publishers, since distribution of an entire catalog is much easier to libraries, and it's possible for several clients to check out the same book at a time (I don't know how that works in terms of rights).

I'm not sure if this is what you're saying, but with overdrive each copy of the e-book owned by the library can only be checked out one at a time, just like it was a physical book. So I might be person #7 in the hold line, and I patiently wait until all the people in front of me have read and digitally clicked to return the copy. Then it's my turn. For super popular books, the library buys multiple copies if it can afford to.

It interests me that e-books often cost as much, or nearly as much, as paper copies--especially for recent releases. It's true that they still need editors and book designers, and authors need to be paid. But surely it's much cheaper to distribute e-books, since they don't need to ship heavy crates of books or store them in warehouses. And when you buy an e-book, you're essentially only renting it, since the publisher can remove it from your device, alter it (it drives me crazy when they change the cover of a book that's been on my device for a while). That's a separate issue, though, and maybe they overcharge for e-books because piracy is so much easier.

^^Yes, this. I understand the publishing side of it. But from a reader/consumer perspective, they need to come down on the price of e-books if they want to see an improvement in sales.
 
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For super popular books, the library buys multiple copies if it can afford to.

That's part of the tricky aspect; they don't buy the book. Neither do you or I.

The book is licensed. The closest similarity is to a software license. Some of the publishers licensing through Overdrive have a one file/book copy, one user. Others offer a time limited license; a library must pay a fee to renew the licens after a contractual determined time period. If a library stops subscribing to Overdrive, the licenses go away.

That's the part that I dislike the most; that the content is not local to the library or owned by the library, and is therefore ephemeral.

One of the main reasons for libraries to use Overdrive is that Overdrive provides all the software/infrastructure for inventory, and checking out, returning, holds, renewals, etc. and assist in integrating their software with the library. That's a huge cost saving.
 
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DMcCunney

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The problem facing Macmillan is financial.

Libraries are a core market for publishers. Sales to libraries are in many respects promotion: libraries are a place readers discover books they might like to purchase. Libraries get a 40% discount on MSRP.

When a library buys paper volumes, really popular ones wear out and the library must buy new copies. eBooks don't wear out, so a new copy is not ordinarily needed.

What Macmillan is doing is imposing artificial wear on the electronic copy. (And note more than Macmillan is affected. Macmillan is the US umbrella imprint for German publisher Holtzbrinck Publishing Group, and imprints like Tor/Forge, St. Martins Press, Farrar, Strauss, and Giroux and others are under their umbrella.) Macmillan is equating checkouts of the eBook to checkouts of the paper volume. Frequently checked out paper volumes experience wear and must eventually be discarded and replaced, and Macmillan is applying that model to eBooks.

Librarians are deeply unhappy because they are watching their budgets decline. They already can't buy as many books as they might wish, and it's only getting worse. Having to replace eBooks after X number of checkouts is simply another burden.

The larger issue for libraries is where their funding comes from. The answer is taxes levied by the municipalities in which they are located. Taxes are a hot button. Nobody likes them, and many do everything they can to avoid paying them. (I corresponded with a chap in upper New York State who lived in driving distance of three different tax jurisdictions, and planned his shopping based on which jurisdiction imposed the lowest taxes on what items. When I pointed out that the additional gas needed for the drive, and the wear and tear on the car, not to mention his time spent doing it meant that simply getting everything in one place might be cheaper all told and would be faster, he agreed, but he just didn't like taxes.)

I live in NYC, and I've watched the branch around the corner from me have to cut staff and open hours as funding ebbs and flows depending upon which administration is in office.

I tell folks that instead of venting about Macmillan's practices, which is unlikely to change them, they push their local politicians to properly fund the local library system so librarians can afford to buy the needed books. Of course, that might mean them paying higher taxes, and many might be all in favor of higher taxes to support libraries as long as somebody else paid them...

But meanwhile, the major trade publishers are struggling. What used to be the Big 6 is now the Big 5, and further consolidation is likely. Demand is flat, and they face competition from self-published and indie-published work.

They are also struggling to make money on eBooks. 80% of the costs of publishing a book occur before it ever reaches the state of being published, in electronic or print form. Readers expect the eBook to be a lot cheaper because there is no print version, but the print/bind/warehouse/distribute portion of the costs is about 10%-15% of the average book budget. Dropping a print edition entirely won't save anywhere near as much as readers want to believe. The big trade houses can't sell eBooks as cheaply as many readers want. If they were foolish enough to try, it would be the old joke about "losing money on every sale but making it up on volume."

And Amazon is the 800lb gorilla in the room. Retailers get discounts on MSRP varying with the volume they order. The last I knew, Amazon was getting something like a 55% discount off MSRP and pushing for a higher one. You get a variant of the Walmart Effect, where Walmart suppliers can't make money at the prices Walmart is willing to pay, but can't not sell through Walmart and stay in business.

I think I'm happy I don't work for a major trade publisher. They are living in interesting times. :(
______
Dennis