Question

The best-selling mystery To the Nines by Janet Evanovich was sold in hardback for $25.95 when it was released. One year later, the publisher issued a softcover edition for $7.99. If the marginal cost of printing a softcover book is not much less than the marginal cost of printing a hardback, the pricing difference:

Answer 1

The difference in pricing between hardback and softcover editions is due to initial premium pricing for new releases and a strategy to reach a wider audience with affordable paperbacks later, while taking into account the risks in the publishing industry.

Step-by-step explanation:

The pricing difference between the hardback and softcover editions of 'To the Nines' by Janet Evanovich, with hardback sold initially at $25.95 and the softcover released later at $7.99, can be attributed to several factors beyond printing costs. The majority of a publisher's income comes from sales, and pricing strategies often involve setting higher prices for new releases, especially in hardback format, which are seen as more premium products.

Later, as a book becomes a backlist title, publishers issue more affordable paperback editions to reach a broader audience. The pricing of books also compensates for the risk publishers take in the market, considering that a large percentage of books do not earn back the advances paid to authors.