Getting Fed by Twitter

This weekend I went looking for Eddie Izzard on Twitter.  I like his world and political ideas and thought his tweets would be a good addition to my feed.  I found that Mr. Izzard has over a million followers and yet only follows 71 people. 

I have had WAY too many conversations with authors and publishers about their "Twitter marketing work" and how they are "putting it out there" on Twitter and Facebook.  I have never thought of Twitter as a way to push myself out there.  I have always seen it as an amazing learning bank. 

There are agents, publishers and industry insiders who generously share their wisdom, pass on news and tidbits and forward fantastic articles that I never would have seen otherwise.  Because of them (and Twitter), I am a more educated, informed person. I would not have ever have gotten the benefit of their wisdom without twitter and I am grateful for their generousity.

There are also a number of industry folks who use my twitter page as a place to promote (read: spew) their latest review, minor triumph or self-serving mention. For them, Twitter is a marketplace, not a place of learning and community.  Okay, I can see that; I can let Twitter be a marketplace on THEIR computer, but not mine.

For me, Twitter is an exchange of information, not a place to sell yourself.  It is a forum where I get to give and take with no expectations.  It is like any other relationship... Those who enter into it wondering what they can get out of it are not good relationship prospects.  The next time an author asks me about the return on my Twitter time investment, I am going to hit him/her over the head with a piece of Church of England cake.

So that leads me to my post next time...  Should I be more selective about who I follow?  Shall I unfollow those who have not turned out to be good relationship prospects?

Kindle and eBook Formatting Services Now Offered by Cadence

The Cadence Group is thrilled to announce that we have hired an eBook designer to format book files and manuscripts into the “big three” eBook formats.

We here at The Cadence Group are reading all the same things you are about eBooks.  We know that they are important. We know that eBook sales are growing at an amazing rate.  We know that new authors are faring better on Kindle than on bookshelves.  We also know that books will almost assuredly follow music into the digital age and those who get on board early will reap early rewards.

We know that if we do not have our books on Kindle (Amazon), Nook (B&N), and the other eBook reader sites, we will be missing out.

So, with that in mind, we can now turn any pdf or word document into the Kindle, Nook, and ePub formats.  At that point, we can either help you set up your own eBook accounts or you can use accounts you may already have to distribute your new eBooks.

We are offering to format your book files into all three of the major formats and deliver them to you in upload-ready files.

Contact us today at 518.391.2300 or services@thecadencegrp.com to learn more.

A look inside TCG

Many of you know Amy and I as business partners, colleagues and the women behind The Cadence Group (and this blog!). What you may or may not know is that Amy and I are also friends.

Last week, a friend of mine wrote and asked for my advice on starting a business partnership.  Most importantly, she wanted to know about a business partnership between friends.

The Cadence Group is a joint ownership between Amy and I and she wanted to know how it was going. A 50/50% joint partnership is not easy, but after I wrote the letter below, I thought it might be an interesting look inside TCG and how we work:

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Hi!

The NUMBER ONE thing that can help you and your partner is open and honest communication. The good, the bad and the ugly. Also, open access to all accounting (this helps!). You really have to have the same long-term goals in mind for your business or it will never work.

For example, Amy and I got together recently to work out our partnership papers and our Business Plan. The partnership papers were actually the easy part. We spent three straight days at her dining room table putting together our business plan. Trust me, it wasn't easy. But the ground rules for our friendship also apply in our partnership - don't pull any punches, be honest, and talk it out. We push back on each other all the time regarding all manner of things. But because we started out with a business plan, it's also "easier" for us because we can also remind the other person to go back to our business plan and see if something makes sense.

Our goals from day one have been aligned in how we want to build our business, how long we want to own our business and our core commitments to customer service, free advice and helping people figure out what makes the most sense for their publishing program - even if it means they don't hire us. If our goals were different, I could get pissed that we "give away" 5-6 hours of consulting time a week. But I'm not because that's part of who we are and who WE want to be.

My suggestion would be to sit down separately and outline the following (this worked for us last year when we started down this path).

Personal 5 year plan (top 5 goals)
Professional 5 year plan (top 5 goals)
The business itself - where do you want it to be in 5 years (top 5 goals)
How do you want to extricate yourself from the business (sell, close, etc.) when you're ready to retire
5 Strengths and weaknesses I bring to the business and the duties related to those
5 Strengths and weaknesses my partner brings to the business and the duties related to those

This is something you should spend some time working on individually and then plan to spend several hours going through together. They won't match up perfectly, but if they're completely different, it might not make sense for you to be in business together.

Business can ruin a relationship but Amy and I have always had an open and honest friendship and been willing to have the difficult conversations with each other which makes us work well together. To be honest, we spent the first 6 months kind of walking on eggshells together but our business - and our friendship - has been better for us getting over the honeymoon stage and being ourselves and working together.

If the plan is solid and if both parties are committed to the same vision, it can work.

Basic Rules for a Successful Author Event

One of the best ways for an author to get their message out to their community and region is to do author signings. Booking a signing does take a bit of finesse. To start, know that bookstores need ninety days advance notice to properly book and promote a signing. Do yourself a favor and do not call your local bookstore asking to do a signing in three weeks. They have calendars and newsletters printed each month, and you need to respect their deadlines.

Next, most bookstores will not be able to book you for an event unless your books are available to order from a wholesaler such as Ingram or Baker & Taylor.  The book must show up in the bookstore's computer as available for order and returnable or you will have trouble getting a booking. So, don’t call to ask to do an event until you know that your books are available to order from a wholesaler or you are prepared to bring the books yourself and sell on consignment.

Finally, to better increase your chance of selling books, don’t just do a signing; plan an event. Sitting at a table for two hours can be a tad disheartening. Draw a crowd by reading, speaking, or giving a workshop. Invite everyone you know.  Get listed in all your local community calendars.  Reach out and advertise your event.

You might also want to plan a launch party on the publication month at a local store. Most bookstores would be thrilled to host an event for a local author because they often invite a large group of friends and family to attend. For a launch party to be successful, you need to send out invitations three weeks in advance, plan the evening around a reading or talk, and make sure you have someone there to take pictures!

Good pictures of happy people milling around a signing are an invaluable tool for your next event booking. Store managers want to know that you can draw an audience, work a room and, in general, make your event “worth their time.” Make sure you have a few pictures as proof that your events are fun, crowded, and profitable.

What if it doesn't work?

I make a living at being helpful.  I am incredibly lucky...  my day to day duties center around showing authors and publishers how they can achieve their goals.  Talking to authors and publishers is not actually part of my job description, but it takes up most of my day.  I love helping people figure out how to best focus their efforts and balance their expectations with the realities of the book world. 

Being of service to clients and non-clients alike is actually written into our mission statement.  Most of these conversations do not result in new business for The Cadence Group, but it does result in the feeling that we are helping others, steering authors away from being taken advantage of and doing some good for our industry.  And during those early conversations, I look like a real hero.  People LOVE me...

But sometimes I spend my day having to tell people that their book is not selling. They did everything right, but it is not working. That all the expense and time invested so far is not resulting in actual sales.  I look less like a hero then.

Once a book is launched, the stores notified of it's existence, the reviews written and the marketing done... what happens if the book does not sell?

The hard truth is most books do not sell well.  It takes a mixture of time, money, marketing savvy, good word of mouth and, most of all, luck to start a book on an upward trajectory that results in sales. 

What can we do to maximize a book's chances:

1. Start with a tried and true, modern, marketing campaign (reviews, online, bookstores, libraries, media)
2. But not rely on a marketing plan if the plan is clearly not working
3. Pull back the scope and focus on regional and author-based sales
4. Send out copies of the books to those who can make a difference (booksellers, freelance writers, bloggers)
5. But above all else, keep pushing.  Don't give up.  Keep participating in discussion groups, keep calling book clubs and volunteering to speak to the group, keep contacting local stores and libraries, keep pushing.

Very often authors get discouraged at the first round of disappointing sales.  They see all the money and time spent as wasted and give up or lash out at the bookstores/media.  It is easy to blame a short-sighted media or stubborn book buyer when a book does not get the exposure we feel it deserves, but often we are just being impatient.  Small presses cannot launch in the same explosive way a large book does.  Small presses can't spend that kind of money and can't rely on years of good-will from book buyers and the media.

But what can a small do that a big publisher can't?  Be patient, grow a book organically, give a book a long time to find it's market... give a book the time to succeed slowly.

Time + Dedication + Luck = Success. 

It is our job to supply the first two... let's not be short sighted.  But let's start from the expectation that every book will need a different set of activities to find it's prime market.  It is with time and dedication that we have the best shot of hitting upon those successful activities.  Authors at small presses have it harder.  It is tougher to launch a book from a small press, but giving things time and constantly trying new things gives a small press book advantages that big house authors only dream of.

The Cadence Group Announces New Shelves Distribution Program

The Cadence Group (TCG) is thrilled to announce the launch of New Shelves Distribution—a new and better method for fulfillment, sales and marketing. The program, which is now available, combines warehousing and fulfillment services with sales and marketing. 

“TCG has offered sales and marketing services since we opened in 2006,” says Vice President Bethany Brown. “This new program now adds a full service fulfillment option to the smaller and mid sized publisher. We provide warehousing and fulfillment to all the major wholesalers and retailers and then national, regional and/or on-line sales programs are created and executed for each title. This program is being offered as a less expensive and less constricting way to distribute books.”

“We wanted to do this right,” says TCG President, Amy Collins MacGregor. “We saw the need for an alternative to the traditional distribution options available for small presses today, but wanted to make sure we could launch this program properly. The New Shelves program provides publishers with a wide range of options. We can offer stand-alone fulfillment or we can combine fulfillment with a cost-effective sales and marketing program to all publishers.”

The Cadence Group has partnered with Pathway Book Services, an established and respected book fulfillment agency located in New Hampshire. Pathway will handle all warehousing, ordering and shipping for New Shelves. 

“Returns, consumer and website retail options and billing will also be offered by Pathway.” says MacGregor.

“We’re thrilled to partner with Pathway Book Services on this program,” adds Brown. “They have a long and distinguished history of working with small presses, great relationships with many of the accounts like Ingram and Barnes & Noble, and they have a commitment to helping small presses get their books out in to the marketplace.”

The Cadence Group has hired a full-time National Sales Manager to handle their new program and added a Customer Service Department to better serve their publisher clients. All inquires regarding the new shelves program can go to services@newshelvesdistribution.com or 518.391.2300.

About The Cadence Group: The Cadence Group is a professional design, editorial, sales and marketing, and project management provider for the book and publishing industry. They provide authors, publishers, and small presses with the guidance necessary to create market-ready, professionally designed books. Their goal is to help others realize their full potential in the retail and wholesale marketplace.            

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Returns Kill Another Great Company

Blu Sky Media Group announced on Friday that they were forced to close their doors.  Greg Snider, the owner of Blu Sky Media Group is not declaring bankruptcy, he has negotiated with his bank to allow him to make a structured closing. 

Snider is a real class act.  He could have shut his doors and walked away, but he didn't.  He is spending the next several months working (for nothing) to make sure all of his publisher clients find new homes. 

This good deed in the face of tragedy is even more remarkable when you realize that Blu Sky's troubles are in no way Greg's doing.  He gave small presses a chance to sell their books to the trade and the trade was happy to buy them.  Blu Sky was formed to offer small presses the chance at distribution.  Most distributors will not touch a small press because one or two books rarely recoup the expenses and time needed to launch a press properly.

Snider found a way around that.  He was able to offer small presses way into the bookstore and library market.

What messed everything up?  Returns used as cash.  Blu Sky saw huge sales while things were good and huge returns when they weren't, just like everyone else.  Stores and wholesalers are allowed to return books that do not sell, that is part of the Faustonian pact we have all made, but for the last several years, they are paying their bills with returns.  Books are returned days before the invoices are due and then those same books are reordered a week later.... starting the clock all over again.  This practice is now so common place that many small and midsized businesses are shipping books over and over again for free.

I am not clamoring for the end of returns.  I don't want a complete turn-around on the policy that allows bookshops to take a risk on unknown publishers.  It is hard enough these days to get a small-yet-worthy book onto a bookstore's shelf.  What I want is a reform of HOW we accept returns.  We have to stop the practice of using returns as cash.  It is killing good companies.

Your Spine Is Your Cover

Here's one of the dirty little secrets in book publishing. Publishers spend countless hours and dollars working on their covers, but they often miss the point.  With the exception of online retailers, your book spine is your cover.

Brick and mortar stores are packed with books. New releases. Backlist books. Series. Gift books.

Walk to any category (perhaps your own) and take a look at how many books are crammed on to the shelves.

What do you see? The spine, if you're lucky.

All to often publishers make the mistake of not focusing at all on the spine of their book, not realizing that this is their number one marketing tool in brick and mortar stores.

What does this mean for you?

Spend some time on your spine.

Spine Size

Think about bulking your page count to make sure that your spine has presence. We're not recommending that you fluff your book with overblown margins or blank pages. But we are recommending that you don't cram in your text so tight to save a few cents on your printing prices.

Push it out a signature or two. It might make all the difference between getting lost on the shelf and standing out because you're 1/8 of an inch bigger. Choose paper that bulks. You might be surprised at how easy it is to snag an extra 1/16 of an inch through paper weight alone.

Spine Color

Spend some time analyzing what the spine colors are in your category. This is extremely important. If every spine in your category is white, choose a vibrant color. Choose something that stands out. Choose something that practically leaps of the shelf and screams "pick me!" This is the time to buck the trends and be a little different. If you're not sure what will work, grab some books that have different spine colors and stick them on the shelf where your book will go. Which colors pop to you? What do you see first?

Spine Text

Make it readable! Make it bold! Make it big! Make sure that the reader sees your spine and your text right away. If you're standing 3 feet away from your spine, you need to be able to read what it says (see above about spine width - the bigger the spine the more room for bold text).

Take it to the Bookstore

Let's keep this next bit between us...

The best way to really know if your spine works is to print out several versions, colors and copies true to size. Cut the spine out, getting rid of excess paper so you're literally holding your book spine in your hands. Put a tiny piece of tape on the end of each option. Take your spine options to the bookstore and visit your category. Stick the various spines on the books that will sit next to you (usually alphabetical by author's last name within category or subcategory). Which one works? Do any? What do you see? Can you read your title? Do you get lost on the shelf because you're too tiny or you blend in too much?

Lack of attention to your spine can kill your book in the marketplace. Once you get in to stores, your spine really is your cover. When you consider the time, money and energy that you spend getting your cover right, promise us, do the same with your book spine.

P.S. Remember, be polite during any bookstore research. Bring your spines with you when you go and don't interfere with bookstore customers!

Profit and Loss

Over the last few weeks, we have been discussing the dollars behind the decisions publishers make. Hardcover vs paperback, cover design, retail pricing... all of these items and many more need to be weighed against the bottom line. In these discussions, we have been tossing around the phrase "P&L".

A reader contacted us off-line to ask about "P&Ls" and how they are set up. Thought I would share some of the more important "Profit and Loss" line items that we believe every publisher should add up before publishing a book.

Author Advance: How much you paid the author against future royalties for the right to publish the book.

Development Edit: The cost of hiring an editor to shape and polish the writing.

Copy Edit: The cost of hiring a separate editor to check for grammar, spelling, inconsistencies, fact check and smooth out awkward sections.

Proofread: The cost of having (preferably two) editors review the finished file right before it goes to print and catch the inevitable errors.

Design: How much you pay the designers to design the cover and interior look of the book.

Layout: How much you pay the designer to layout the text and images within the design template and fix all the errors your proofreader finds.

Art costs: The cost of the photos or illustrations you will purchase for the book.

Marketing and PR: The budgeted amount for promoting the book. Email blasts, on-line optimization, ads in industry newsletters, author tour, getting reviews, in-store display allowances, co-op, book club and library outreach, etc.

Sales and Fulfillment: The costs associated with warehousing, shipping, selling, and billing for your books. (This is often portrayed as a percentage of the billing per unit if you are using a distributor. Sales rep groups, fulfillment houses and distributors often charge a percentage per sale)

Printing and freight: The costs to print and ship your books from the printer to the warehouse.

Once you have added the figures associated with every aspect of your book's production. marketing and sales, divide by the number of books you believe you will sell in the first two years. Be realistic. As we have said before, you are not going to be on Oprah (we promise).

Here is a sample breakdown of how a P&L works for a book. I'll call the book "Blown: My Life and Fortune as a New Author"

Blown (at 336 pages, paperback) retails at $16.95

This book's entire budget totals $30,000 for the items listed above.

After careful research, you expect to sell 5000 copies in the first two years.

The cost per unit is $6 a book.

Let's say you sell the book through traditional channels which means that you sell the book at a 55% discount off of the retail price of the book.

Your gross income from each sale is $7.63

You will net $1.63 per unit sold. (This is a healthy profit margin on a P&L)

But what if you only sell 2500?

The cost per unit will be $12 a book and you will never make your money back.

The solution many new publishers reach for is to raise the retail price of the book, but that is usually not a great idea. As we have said before, set your price to match what the marketing is asking for. It is better to adjust your expenses than raise the price of your book beyond what a consumer will pay for it.

Be very careful about your expectations and sales projections. The more accurate they are, the better you can work your profit and loss and keep your budget in line with potential sales.

Let's Make a Deal - Setting Your Price

Just recently, we blogged about the importance of category research when choosing the right cover for your book.

Category research might be a theme for several posts from us moving forward. All to often, clients, potential clients, publishing friends and colleagues come to us with finished books (or book ideas). All to often, we come back to them with a myriad of questions - including, how did you come to that price, trim size, title, subtitle, cover, etc.?

For us, each of these "packaging" details must be dictated by the market into which we publish. While we always have an opinion, our number one goal is to ensure that our clients and colleagues are getting real-time feedback from the retail marketplace. In this case, our opinion doesn't matter. The marketplace, however, does.

Which, for today's post, brings us to price.

How do you choose the appropriate price for your book?

The first place to start is, of course, your P&L. Once you factor in your advance (for our publisher friends), your editing fees, copyediting fees, layout, design, printing prices and marketing budget, what is your profit margin?

As you know, a P&L is only as good as the person that creates it. For example, if I price a 196 page trade-paperback business book at $24.95, I'm most likely going to see a healthy profit margin in the end. The cost for editing, printing and producing such a book is often dictated at a per-word or per-page rate. Tiny book, tiny costs, big profit margin. That all sounds good, right?

The only problem with this particular analogy is that selling-in and selling-through a 196 page business book for $24.95 is going to be really difficult. People don't have the disposable incomes that they used to. And, more importantly, this particular lightweight book may not scream "value" to your end customer. Especially if they can get a similar book on the same topic for $12.95.

So how should you really set a price?

Let's work backwards.

Let's say you're publishing a book in Category X. Get on Amazon, go to the bookstore, peruse your bookshelf. Pull out all of the bestselling books in Category X. What's their price point? What does the consumer get for their money? Is your category driven by a 336 page trade paperback for $14.95? Do "unknown" authors charge a dollar or two less for for their book? Does the price point reflect a big author's name? A page-heavy book? Do some publishers actually charge less because price-point is their value proposition?

Here's what you'll discover through this simple exercise. The consumer is actually telling you, through book sales, the price they'll pay for a book on your topic in Category X.

If, for example, it's $9.95, $12.95, $14.95 or $19.95, then that's the price you need to get to. It doesn't matter that you're convinced that your book is so extra special that you're sure the consumer will pay an extra $10.00 for it. Research will show that's most likely not the case.

Everybody's on a budget these days. If your P&L shows that you have to sell 15,000 copies of your $5.95 book to make your money back, than that's what you have to sell. Charging $15.95 for that same book just to make your money back, in a category that can't sustain it, just means you won't sell very many copies of your book.

What you need to do is go back to your P&L and take a look at real costs compared to a researched price point. Figure out how many books you need to sell and develop a sales and marketing plan to make it happen.

Like so many things in our business, strong market research can prevent you from making some of the simple mistakes that can have long term, adverse affects on your publishing program. Setting your price is just one area.

So, let's make a deal. Next time you decide you need to charge $24.95 for that 196 page book to make your money back, rethink how - and why - you've gotten in to this business to begin with.