What rate of royalties do authors receive for paperback sales via retailers?
Authors receive 65% royalties for book sales, after retailer deductions. The amount of discount that retailers take varies considerably and depends on the retailer's terms; however, authors are able to request a limit on the maximum discount that can be offered to retailers. Retailer discounts for paperback sales tend to be around 30-40%, though retailers are more likely to stock books in bookshops, if the royalty rate is higher.
The royalty calculation provided below is an example only, based on a book with an RRP of £9.99 and a unit cost of £2.50.
Paperback sales via retailers:
Paperback RRP = £9.99
Retailer Deduction = 40%
Minus Unit Cost of £2.50
Net Amount = £3.49
Your Royalties (65%) = £2.27