Top Tips On Being An Online Retailer
When the dot-com bubble burst 10 years ago, the ensuing collapse wiped out half of all online retailers. Wal-Mart operates 21 wholesale stores in the South Asian country, but is discouraged from setting up its own bricks-and-mortar shops by rules that limit foreign ownership for multi-brand retailers to 51 percent and the cost of setting up shops in a country as large as India.
The important thing for authors to remember, though, is that the publisher made $9.38 on wholesale whether Amazon or any other retailer charged customers $25, $15, $10, or $5 for a digital book, because no matter what the retailer charged, the publisher always collected 50% of cover price, and the author’s cut was always 25% of what the publisher collected.
As part of the relaunch, BHS has scrapped its once wide range of product verticals and is honing in on lighting and home furnishings, which made up over 50 per cent of BHS’s online revenue before it shut up shop earlier this year, according to the brand.
These organizational strategies have helped Macy’s woo and energize technology stars, increase its e-commerce revenue growth to more than 30% a year over the past two years, and attain the top spot on the 2011 L2 Digital IQ Index for specialty retailers.
When we are as established as you are (and we ALL want that!) then the rules may be different and I would gladly put my hand up and say you are almost certainly right, but there are many segments of the indie book market that you aren’t involved in that may well play by different rules, and in which the Agency model may actually prove a better fit.