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Last updated: January five, 2022

Setting a selling price for cocky-published Kindle eBooks or KDP Impress books (formerly CreateSpace) sold on Amazon begins with agreement your costs. In that location are two components to book and eBook costs when selling on Amazon using KDP (Kindle Direct Publishing):

1. The cost of sale: what Amazon charges the self-publisher for each unit sold.
2. The Amazon sales commission for selling your volume.

This article looks in detail at the formats sold and supported using KDP: Kindle eBooks, and print-on-demand paperbacks and hardcovers produced using KDP Impress. (Note that Amazon's other book-selling platforms, Amazon Advantage and SellerCentral/Marketplace, have different cost structures. Run into the list of resources at the bottom of this post for more details.)

This guide is Part 1. Also run into our guide for how to decide what to charge for your volume in Part 2: How Much to Accuse When Pricing a Self-Published Book to Sell on Amazon

Kindle eBooks

The KDP cocky-publishing portal is unique amongst all eBook selling platforms considering it often charges a delivery fee to send books to buyers. This is in addition to the sales commission you lot pay Amazon for each auction.

Calculating Kindle eBook commitment costs

Amazon charges $0.15 per megabyte (MB)—the file size of your Kindle eBook—for each book sold priced between $ii.99 and $ix.99 assuming you choose the lxx% royalty pick (see below). There is a minimum charge of $0.01 and commitment fees vary by state. There is no delivery fee for books priced below $2.99 or in a higher place $9.99 (the 35% royalty option).

Yous can do a rough estimate past multiplying the commitment fee times your file's size, just that will not exist authentic. The most reliable and precise style to calculate the Kindle delivery fee is to upload your file to KDP's pricing page and see what the tool says. (In KDP, after listing your eBook, the concluding screen is the pricing page.)

For example, our client's novel, Trials and Trails is 95,000 words. The file size of the eBook file we uploaded is 3.421 MB, so if you were to multiply this by $0.15, the commitment cost is $0.51, right? Non and then fast—Amazon'due south official Kindle pricing calculator says the delivery cost is $0.x.

Note the "file size after conversion" is much smaller (0.64 MB) than the file we uploaded. This is because KDP processes the eBook file for delivery to their diverse Kindle reading apps, and the final file size is smaller.

Also note "Other Marketplaces (12)." Clicking the downward-arrow to the right, you lot'll see the commitment price for each land varies, depending on where Amazon is authorized to sell your eBook (you can opt-out of individual markets; this is something you decide). Visit this Amazon page for more details.

Avoiding the Kindle eBook file delivery cost

Except as noted below, the just way to get around this charge is to select the 35% royalty option. Clearly this is non a good choice for most people, but for books with a very big file size—cookbooks, art books, travel books with lots of images, for example—it may make sense. Employ the KDP pricing calculator to be sure about what the fee volition be.

Over again, books priced below $2.99 and above $9.99 are non field of study to the delivery fee.

Note: Early in 2018, Amazon announced Keen on Kindle, a new 50% royalty option for "loftier-quality" nonfiction eBooks. The program has been in beta since April 2022 and remains invite-only and offered on a book-past-volume basis. In that location are no delivery fees for books that qualify. The 50% royalty terms are explained here.

Sales commissions/your royalties

Unless you sell your eBook directly to readers (from your website, for example), you will pay Amazon a sales committee. Every bit with any production and any store, the person buying your book is a client of that store and the store is in concern to make a profit.

Amazon's sales committee is based on your royalty rate.

• 35% royalty: the Amazon sales commission is 65% for books priced below $2.99 and higher up $nine.99
• 70% royalty: the Amazon sales committee is 30% for books priced between $2.99 and $ix.99

Who pays taxes? You lot do.

Some 160+ countries around the globe accuse what is called a value added taxation, or VAT, on purchases. Amazon passes these taxes on to you lot by reducing your royalty by the amount of the taxation, regardless of the royalty charge per unit.

• 35% royalty charge per unit x (listing price – applicable VAT) = royalty
• 70% royalty rate ten (list price – applicable VAT – delivery costs) = royalty

Fortunately, the United States is one of the very few countries that does not have a VAT.

Non all eBooks are eligible for a 70% royalty

There are several rules and exceptions to getting the 70% royalty, so y'all might need to have these into consideration when deciding how to price your book.

1. Some territories/countries are excluded. Yet, sales in most of the English-speaking countries pay the college royalty. You'll find a list of those here.
2. Public domain eBooks are excluded.
3. eBook sales in Brazil, Japan, Mexico, and Bharat pay 35% royalty unless your book joins KDP Select (KDP Select requires a 90-24-hour interval exclusive).
4. You must agree to make your eBook lendable for a 14-day period. This allows your reader to lend your book in one case. More about eBook lending here.
5. If y'all also take a physical edition (eastward.m., a paperback), the list price of your eBook must exist at least twenty% below the cost of this edition in lodge to authorize for the lxx% royalty.

Make sure you understand Amazon's minimum and maximum pricing requirements by reading Part two: How Much to Charge When Pricing a Self-Published Book to Sell on Amazon

What happens if Amazon offers your book for a lower price?

At that place are a few other rules almost when you might receive less than y'all expect. This happens when yous put your eBook on sale or another eBook retailer offers your book for a lower price and Amazon matches that price.

When you agree to sell your book on Amazon, y'all hold to non sell it at a lower toll elsewhere. If you practice, Amazon is authorized to lucifer that toll.

If this happens and your book's price falls below the minimum 70% listing price requirement, you will receive the lower 35% royalty. Obviously, this is meant as a deterrent.

Finally, these rules and policies may apply to books sold via KDP and do not apply to all books sold on Amazon. Individual publishers and aggregators can have their own arrangements.

What is your royalty when yous run a KDP Select Countdown Deal?

A fundamental benefit of KDP Select is the power to run a reduced-price sale for a i- to seven-day menstruum. When this happens, you become to retain the 70% royalty if the sale price is lower than $2.99. Here's an example.

Allow's say your Kindle eBook is listed for $4.99. In this example, you get 70% of $four.99 less delivery costs and whatever taxes. If you run a Inaugural Deal to sell the book for $ane.99, y'all receive the same 70% royalty (less delivery charges and taxes).

Y'all tin lower an eBook price at any time, but yous won't get the lxx% royalty if the cost is beneath $2.99. A Countdown Deal is the but manner to retain the higher royalty.

See the resources section below for more than information about KDP Select and a link to our guide.

What if you are using an eBook aggregator?

You don't have to use Amazon'due south KDP to make your eBook available in the Kindle shop. In fact, at that place are many services that tin exercise this for you lot—for a price. Examples include Draft2Digital, Smashwords, Bookbaby, and IngramSpark.

You basically pay a apartment fee or a percent of royalties for the convenience of using a single company to list and manage your eBook in multiple stores. But since most eBooks are nonetheless sold (or borrowed) in the Kindle store, and non all services piece of work the same way, it pays to study the options, costs, and tradeoffs carefully.

For a thorough report on eBook aggregators (distributors), see my eBook Distribution Round-Up, complete with FAQs and a comparison of nine services.

This guide is Part 1. As well see our guide for how to determine what to charge for your book in Part two: How Much to Accuse When Pricing a Cocky-Published Volume to Sell on Amazon

KDP Print books (paperback and hardcover)

Impress book pricing for KDP Impress is a little more straightforward. The key number to effigy out is the cost to manufacture your book. The primary factors that touch on costs are these:

• The country where your book is sold
• The number of pages in your book
• Whether you are printing the interior in premium color, standard color, or in blackness and white

Note that at that place are three factors that do not impact cost:

1. The dimensions of your book. It doesn't matter if it is eight.5″ x 11″ or 4.25″ x six″, the manufacturing price is the same.
2. Whether you cull foam paper or white paper. Merely color printing matters.
3. The cover stop of your book. You can cull gloss or matte.

There are 3 ways to calculate your KDP Print printing costs:

1. Upload your files to KDP Print and their figurer will requite you lot a cost.
2. Use Amazon's pricing tables.
3. Use Amazon'south Printing Cost & Royalty Calculator.

Notation that uploading your files to KDP Impress (number one) is the official cost. The other two options are used for estimating costs. Again, trim size, bleed settings, and cover terminate practice not affect toll of printing.

Format	Ink and page count	US marketplace fixed cost	Boosted per page cost (Usa)
Paperback	Black ink, 24-108 pages	2.fifteen USD per book	None
Paperback	Blackness ink, 110-828 pages	0.85 USD per book	0.012 USD per page
Paperback	Standard color, 72-600 pages	0.85 USD per volume	0.036 USD per page
Paperback	Premium color, 24-xl pages	3.65 USD per book	None
Paperback	Premium color, 42-828 pages	0.85 USD per book	0.07 USD per page
Hardcover	Black ink, 75-108 pages	6.80 USD per book	None
Hardcover	Black ink, 110-550 pages	v.fifty USD per book	0.012 USD per page
Hardcover	Premium color, 75-550 pages	5.fifty USD per book	0.070 USD per page

Scroll down to Resources for links to Amazon help pages that have more details and prices for international marketplaces.  Annotation that non all paperback book dimensions can be printed in hardcover format.

Calculating Amazon paperback-selling commission and your royalty

Now that you have the cost to industry your printed book, y'all can compute the sales commission. This is piece of cake: your royalty is 60% of your list price minus printing costs.

• (list price x 60%) – printing costs = royalty

Returning to our client's novel Trials and Trails, it looks similar this:

• Manufacturing cost: (278 PDF pages x $0.012 per page) + $0.85 = $4.19
• Royalty calculation: ($fourteen.95 x 60%) – $iv.nineteen = $4.78

KDP Print minimum and maximum pricing

Of course, you can't sell a print book for less than it costs to print it, so Amazon calculates that number for you. The formula for this is:

Printing cost / 60% (royalty rate) = minimum list price. Equally y'all run into above for Trials and Trails, that number is:

• $4.xix / 60% = $6.98.

The maximum price of your print volume (paperback or hardcover) must be no more than than $250 (no math required!), 250EUR for the European market place, or xxx,000 yen for Japan.

Selling your book on your website or in other stores

Always continue in listen that your price must not be higher in whatever other sales channel. For example, if you sell your volume on your website it must be the same price yous list it for on Amazon.

If Amazon discovers the lower toll, they can match that price and your royalties will exist reduced according to the same formula.

Other sales channels include Apple Books, the Barnes & Noble Nook shop, Google Play, and Kobo Books, to proper name merely a few.

Expanded distribution royalties are lower

Expanded distribution is when Amazon makes your book available to other online retailers via their relationship with Ingram, the parent company of IngramSpark. This is optional, simply it can't already be distributed by another company (typically, for self-publishers, this is going to be IngramSpark).

Trials and Trails, for example, is ineligible because we used IngramSpark to offer the book for pre-order. The book remains there for distribution to other online retailers.

Books that are eligible for expanded distribution receive a royalty of xl%. Ingram needs to be compensated for making your book available to their network of retailers (BN.com, for case). Again, this is for print books, not eBooks.

The cost to buy writer copies of your book

Every bit an aside, the cost for you to buy copies of your own book is the printing cost ($4.19 in this example). These are chosen "author copies" and yous lodge them via your KDP business relationship.

Click Paperback Actions to the right of your book in your KDP account.

What if Amazon is selling my book for less than my list price?

This might exist the virtually common pricing question nosotros go from new self-publishing authors. The answer is your royalty does non modify, discipline to Amazon's terms and atmospheric condition here on their eBook Digital Pricing Page or here on their Print Pricing Page.

Much of the fourth dimension, Amazon is simply trying to meet or beat a competitor's toll. Beneath is an instance of a securely discounted paperback, Off the Burrow.

Amazon decided to sell the book at a loss: I tin can confirm the writer did go her $4.86 royalty, even though the selling price was $iv.52. The price has since been increased to $11.95.

Resources and links to related topics

Here are several more than resources related to this topic.

7 manufactures on AuthorImprints.com that relate to volume/eBook pricing

1. Part 2: How Much to Accuse When Pricing a Self-Published Book to Sell on Amazon
2. Should Yous Use Amazon KDP Select or Distribute Your Book Wide?
3. Manage Your Published eBook Using Apple tree iTunes Connect-Sales, Payments, Promotions, Price and Metadata
4. eBook Pricing: No Special Formula to Determine the Correct Selling Price for Your eBook (So Keep These 7 Points in Heed)
5. KDP Select for Self-Published Authors: Does the Kindle Owners' Lending Library Make Sense?
6. What to Consider When Selling eBooks on Your Website: Pros, Cons and Tools
7. Amazon Advantage vs Amazon Marketplace—An FAQ

1 related commodity on DavidWogahn.com

• eBook Distribution Round-Upward for 2022 with Comparing and FAQs

Amazon links

The information in this post is based on personal experience and the details establish in combing these two sections on Amazon.

1. KINDLE. This is the single well-nigh important page to understand almost how you are paid when Kindle eBooks are sold: Amazon Digital Pricing folio.
2. KDP Print. This page goes into detail about costs and pricing for paperbacks. Printing Cost page. Too meet their Print Pricing Page.
3. KDP PRINT-HARDCOVERS. Details about hardcover printing costs.
4. Amazon KDP Printing Cost & Royalty Computer.

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Source: https://www.authorimprints.com/amazon-kdp-royalty-pricing/

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