How Publishers Determine the Bottom Line

Pitching your book to a publisher has always involved more than simply the book itself. All along, publishers have been interested in the author as much as the author’s ideas. That’s because readers want to purchase a specific person’s books more often than one from someone they don’t feel like they know.

Additionally, the publisher runs calculations about the book when deciding whether to make a contract offer. The calculations include typesetting, cover art and printing costs, the interest they’ll pay on the money they’ll spend until the book begins to generate revenue, the projected revenue, and subsidiary rights. All that calculates the potential or projected return on investment.

The desired ROI, by the way, is about 8 percent. Less than that and publishers don’t want to bite.


3 thoughts on “How Publishers Determine the Bottom Line

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