The cost of doing (DVD) business with Amazon

Ever wondered how much an author makes per book or product through Amazon? Royalties aren’t bad for books and e-books. I get 70% on the ones that are listed exclusively through Amazon if the price is over $2.99, and 35% for those I want to be available anywhere else. So, for example, Sustainable Ginseng is listed at $2.99 (e-book). I get 35% royalties on that title, which leaves me $1.05 per e-book sold after fees are subtracted.

But publishing a DVD with them using my own ISBN (the identifier for a book that will designate Wild Ozark as the publisher instead of Amazon) is another story entirely unless I charge double what I’d intended for the DVD.

Here’s the story on that.

The Original Plan

So I thought I would offer those DVD’s I’ve been working on for $10. That’s a fair price with a fair profit margin after subtracting the cost of supplies, postage, and the time I put into it. Figured I’d do business with Amazon as I usually do with my e-books and print titles. I always want to broaden my reach. Boy I got a huge surprise when I visited Createspace to see into the details.

The Problem

If I publish them for $10, then I’ll see about $0.50 on each sale. There’s a $4.95 charge for each one and then they take an additional 45% cut of the sale price. YIKES! 

I understand the $4.95 surcharge. They have to cover their expenses, because they POD and package them to ship. But there’s no way I can make a living on those wages! I had to come up with a solution.

The Solution

So here’s the plan.

I’m going to sell them each for $20. Both the USB and the DVD. I’ll have to use this price at my website too, or it’ll seem to be a drastic undercut to Amazon’s prices. But subscribers to my newsletter will get a coupon that puts the cost of them right back down to the original $10 for a DVD and $12 for the USB if ordered from the Wild Ozark shop.

If you want to sign up for the newsletter now, there’s a link on the side-bar under the cover image for the DVD.

If you’re a current subscriber considering purchasing this product, be sure to let me know so I can get the coupon to you. New subscribers will get it on the confirmation email after signing up.

Here’s the video trailer I have over at YouTube to advertise the DVD/USB: