Here's the deal: Walmart, in an attempt to compete with Amazon, decided to cut its online pre-order prices of upcoming best-sellers to only $10. Amazon then immediately followed suit and cut their prices to $10 as well. Then Walmart dropped it to $9. Then Amazon did the same. Then Walmart dropped it to $8.99. THEN, Target joined in and dropped it to $8.99, too. Then Walmart dropped it to one more penny to $8.98.
Publishers are angry, as you can imagine. Indie bookstores are angry, because they can't compete with those prices. Publishers fear this is the beginning of a trend, as consumers will come to expect these low prices and the business of publishing will be forever changed. Some critics believe this is the beginning of the end for book publishers, as prices are cut on the ten or so titles a year that keep publishing companies afloat. And despite James Patterson being a money-maker, he's actually AGAINST this trend, because it could go in the direction of film, where pricing ultimately affects what is produced.
And now the American Booksellers Association is getting into the mix by asking the Justice Department to investigate what they call "predatory pricing" by these three retailers.
I find myself pretty split between sides. On the one hand, I am generally behind publishers 100%, because I hate eBooks and I never want physical copies of books to disappear. Also, I don't ever read the Patterson-type bestsellers, but if those don't sell a lot, publishers aren't going to have the money to publish the books I do read. Face it. The Dan Browns and Nicholas Sparkses of the publishing world are so lucrative that they pretty much fund publication of everything else in a publishing house. How profitable do you think literary fiction is [unless it wins the Pulitzer or National Book Award, of course]?
On the other hand, I'm broke and therefore cheap. For example, a Walmart is being built here in NYC at Union Square where the Circuit City and Virgin Megastore used to be (both of which have gone bankrupt and closed in the past year). Some may complain about how Walmart is a corporate monstrosity that treats its employees poorly. But, I'm going to choose to pay 30 cents per roll of toilet paper at Walmart rather than over a dollar per roll at the bodega or Duane Reade down the street. Likewise, charging $35.00 for a new book (as Ted Kennedy's autobiography is priced) is absolutely ridiculous. Add tax and that's around $40! I could go see three movies in an over-priced Manhattan theater for that! I would think lower prices from the publisher would inspire more individuals to buy the book rather than check them out at the library, so maybe the publishers are just angry they didn't think of this first.
Are you outraged? Worried? Or heading to Walmart.com to pre-order your copy of Going Rogue (ha)?
