POD: Possibilities, Perils, And Pitfalls

important for prospective self-publishers to“publisher.” invites writers to send
understand what POD is and what it is not.in their books. promises to
POD stands for “print on demand,”“publish” these books, formatting
and is a digital printing technology enabling athe interior and designing a cover at what seems
publisher to print as few as two or three dozenan affordable price. These interior and cover
copies of a book at an affordable price,designs are formatted into standard templates. is
something that was never before possible by anythe publisher. It assigns an ISBN to the work
means. This technology has had a major impactpublished and has a contract with author
on the publishing business. Because of it thespecifying royalties to be paid on retail sales and
publisher no longer needs to print severalincome sharing on sales of subsidiary
thousand books before discovering whether onrights—if any retail sales or rights sales do
nor his book will sell. The phrase, however, hasin fact occur. promises to make the
come to be used in two very different ways, andauthor’s book “available” in
it is important to distinguish between them.bookstores and other outlets. Note that this does
1. POD as a means of production. Many publishers,not mean that the books will actually on the shelf.
of which my company is one, now utilize thisIt simply means that the author’s book
technology to print small runs of books (25 bookswill be listed in the Books-in-Print database, and so
or more) for niche market sales or to test theavailable for special order whenever a customer
market before ordering longer runs. This saves anasks for such an order. However, there is not
enormous amount of money on books that, forlikely to be any promotion to make the reading
some reason, do not find their market or whichpublic in general aware of the availability of the
are not well received, well reviewed, or reviewedbook. Because is not selective in what it publishes,
at all. The vast majority of published books sadlybusy reviewers are not likely to give its books
fall into this category. Just a year or two ago, amore than a glance, if that.
publisher would have to print several thousandWhen it does print books, uses Print-on-Demand
books without knowing whether or not theytechnology. does not own printing equipment, but
would ever sell. POD technology is a great boonfarms their printing work out to Lightning Source.
my company; we can take more chances on theSo how does make money? It sells printed books
books we publish because we have so little cashdirectly to its authors at discounts usually ranging
tied up in each one. And it is a boon for ourfrom 19% to 50%. Let’s say that the
cash-flow management. When times get hard, andprint version of your book retails for $19.95 and is
revenues dry up, we don’t have heftysold to the author at a 40% discount, or $11.97. If
printing bills outstanding. A very successful PODthis hypothetical book has 200 pages, the printing,
model, in this sense, is that of Lightning Source ofat the very most, costs $3.90 Thus nets a profit
LaVergne, Tennessee. LSI is a POD printer and isof $8.07 on books sold to its own authors.
also a subsidiary of Ingram, the biggest distributorLet’s say, further, that publishes 1000
of books to bookstores in the US. Lightningauthors each month, each of whom orders 25
Source prints books for my own company in ultracopies of his or her book for friends, relatives,
short runs. It also fills orders for our books whichand local reviewers, then the income is substantial.
come in to Ingram from bookstore and onlineOne thousand multiplied by 25 equals 25,000. This
customers. LSI is a printer, not a publisher.figure multiplied by $8.07 equals $201, 750. This
2. POD has also been appropriated as anproduces an annual income of $2,421,000. When
identifying feature of Internet firms that describeyou consider that WePublish.Com, since it is a POD
themselves as “POD Publishers.”publisher, has no investment in inventory and
Publishing with a “POD publisher”probably no investment in printing presses, and
can be as bad for a self-publisher as thethat the whole enterprise, once set up, can do
technology itself is good. Let’s take thebusiness almost entirely in the thin air of
mythical company as a model PODhyperspace, the net profit is substantial.