Amazon pressuring publishers to increase margins?

Amazon is accused of pressuring publishers and distributors for more favourable sales terms

February 23, 2012
amazon

Retail giant Amazon has been accused by publishers of playing hard ball to extract more favourable sales terms and increase margins on its popular Kindle ebook reader.

The Independent Publishers Group (IPG) have noted that Amazon decided not to renew an agreement to resell electronic titles of IPG clients in an apparent dispute over wholesale discounts on books.

IPG president Mark Suchomel said that, “They [Amazon] wanted better margin and we were telling them what our terms were. So they took the titles off.”

This move means that around 5,000 titles will be removed from the Kindle store although the print titles are still available on Amazon.

Suchomel suggested that this was part of a pressure campaign to win more favourable terms from publishers and distributors.

The two sides had been in discussions for some time according to Suchomel.

“I’m not surprised they pulled when they did. But of course, I’m incredibly disappointed,” he said. “We’re certainly working very well with them on the print side and I would love to sell them the e-title titles. If they want them they’re certainly available.”

Read the full story at: Cnet.

Tags: Amazon, Amazon Kindle, Independent Publishers Group, Mark Suchomel

Free Email Newsletter:
Subscribe

Shutterstock is the image partner of MyBroadband – technology images can be found here

Join the conversation

Connect with MyBB

twitterfacebookandroidappleblackberrynewsletterfeed

Poll

Are you working over the festive season?

View Results

Loading ... Loading ...

More News

Parkhurst 1Gbps fibre-to-the-home speeds tested

Fibre

A managing member of one of the ISPs offering services in Parkhurst was among the first to receive a 1Gbps fibre line, and he sent us his speedtest

FPB’s plan for online content regulation in South Africa

Cyber Government online security privacy

The Film and Publication Board says no one is being sidelined and there will be ample opportunity to discuss and change the policy document

How to avoid an email horror story

ashleymadison

When you are writing an email, imagine that it will inevitably one day end up on the Internet for everyone to see

Eskom’s R1.4 billion lunch bill

Eskom

According to reports, Eskom has awarded two catering contracts to the tune of R1.4 billion to ensure Medupi and Kusile workers are fed

Free MyBroadband Newsletter:
Subscribe
X
bool(true)