Here’s a bit from the article at Today at MSNBC:

And the price war is not the only challenge the publishing industry faces nowadays. E-books sold for the Amazon Kindle and the Sony Reader have eaten into profits of publishers and booksellers — and Grisham says the future looks bleak.

Regarding reading books electronically, he told Lauer: “If half of us are going to be doing it, then you’re going to wipe out tons of bookstores and publishers and we’re going to buy it all online.

“I’m probably going to be all right — but the aspiring writers are going to have a very hard time getting published,” he added.

I couldn’t agree more with Grisham.  While working in the wholesale book industry, I’ve heard personal testimony time and time again (and again just yesterday even) that Amazon.com is killing the brick and mortar bookstore. But guilty of it myself, I’m quick to avoid a trip to my local book chain – saving time, gas, and money, and not having to deal with unhelpful retail workers – by buying online at home instead.

Grisham’s most recent book lists for $24.00.  It’s 50% off at Amazon, making it just $11.99 to the consumer for the hardcover edition!  It should be noted that most indie bookstores buy their stock from Ingram Book Distributing and expect at least a 40 to 50% discount off the cover price, currently the same price their customers can get it for themselves online. Most chains and some indies discount new releases by at least 10 to 20%, if not more, making their profit margins even smaller, but by doing so they hope to pull in a larger customer base and rely on those customers hopefully buying at least one regular priced item from a large latte to a book light. The non-book items are where their real profit lies!

How does Amazon get away with it, you ask?  Well, it is possible that they probably receive a larger bulk discount thanks to lucrative contracts Jeff Bezos has probably worked out with distributors.  Even a 60% discount from the vendor would give Amazon a 10% margin at the current price for Grisham’s new release.  But that’s just hearsay.  Instead, it’s safer to assume that Amazon is just like the regular brick and mortar.  They can afford a loss on books as long as their customers are buying other non-book items.  And face it, you know they are!  With online shopping at its all time highest in popularity, Amazon is probably making a killing on CDs, DVDs, clothes, electronics, and more.  Although books were first to fill up Bezo’s pocketbook with millions when he got started, they are probably last on his priority list today.

And we haven’t even scratched the service of the great E-Book debate.  Currently, none of Grisham’s books are available on Kindle.  But if they list for $9.00 to $10.00 on Kindle, after his agent and publishing company and whoever else get their share of the commission, Grisham stands to make only pennies from each Ebook sale which is probably what’s got him in a tizzy.

In the quote above, Grisham mentions aspiring writers having trouble getting published in the future.  I think this is just another reason why self-publishing will continue to grow, even in E-publishing.  Recently, LLBR opened it’s review gates to include all POD companies.  We immediately got queries from authors who are only published on Smashwords and Kindle.  That’s right!  No physical print book is even available of their work!  My most recent book, Stealing Wishes, sells for just $2.99 on the Kindle.  I earn $1.05 in commission from each sale, and have no agent or editor that I have to share that with, unlike Grisham.

So, while I agree with Grisham’s argument,  unlike him, I didn’t start my writing career before E-publishing was probably even heard of.  I don’t have millions in the bank thanks to mass market paperback sales and 23 bestselling novels. Grisham published his first book in 1989, almost a decade before Amazon.com or Jeff Bezos was even heard of. Technology (for readers and writers) has changed, and I believe that as a society we have to change with it – like it or not.  If Grisham self-published just one book all by himself on the Kindle, he’d still stand to make gobs of money, although the people depending on him for a paycheck might not like it.  So, I applaud him for embracing the demise of the bookstore, but like rotary dial telephones and wholesome comedic sitcoms, I’m afraid it’s still going to become a thing of the past and disappear whether authors like Grisham bow out or not.

Normally, I would have posted this link in the POD Diary section since I came across it while working on marketing for my own book, but it was just too good not to post here on the main page.

Check out this newspage.com link which is a small directory for Independent Bookstores in the U.S. and Canada.  It’s divided by state, and although some of the addresses are incomplete, it’s a great start to finding stores in your area to call upon during a book promotion!  Booksense.com, which I did mention in the POD Diary, is now called Indie Bound. They’ve just made a ton of improvements to their site and it is much more user friendly!

Today’s indie bookstore highlight goes out to a favorite of mine in my old stomping grounds of Memphis, Tennessee.  Burkes Books was established in 1875. When I lived in Memphis, they were in a nice big building with lots of windows right up close to Poplar Avenue.  John Grisham loved to sign there (and still does), and I can still remember driving by the day Anne Rice was there and seeing a line of people outside that wrapped around the block.

They had some hard times recently, but downsized to a quaint shop in the hip Cooper Young district in the Midtown area.  If you are thinking about Memphis, get down there in September for the arts and crafts Cooper Young Festival, visit all those cool shops and restaurants, and then head over to Burkes and buy a book!  They have a fantastic collection of new and old, and a lot of signed first editions up for grabs.

So, what’s coming in July for the LLBR site?  I’ve got six more reviews lined up as promised for my summer reading spectacular, and lost more to tackle in the POD Diary as I continue to market my new book like crazy.  Join me on this self-publishing roller coaster and let’s see what happens!