After lots of encouragement (or was that nagging :)) by Marti I finally gave in and raised the price of Big Lake from .99 to $2.99. Sales have dropped off considerably, so maybe the increased price will help make up the difference in the bottom line.
Unless your sales drop by a multiple of 5, raising the price is a better deal for you. 2.99 is still so cheap that it's not going to break anyone's bank account to buy your book. For what it's worth, Mark Coker says that from the data he's seen, the best price points are 99 cents, 2.99, and 5.99.
Me and my big mouth. Okay, so I should have warned you the numbers would go down. Let's talk real numbers. So far this month, I have sold 68 books in Kindle US. 3 @3.99 and the rest @ $4.99 That's about $100.00 a day. Now, if you're making more than that at $.99, then I gave you bad advice. It is a trade off between dollars and ratings. I like the dollars, but my first book is free and it sells the rest.
I meant raise the price of your second book, which is the one I bought, but I didn't say that. You could put your first book back to $.99 to get readers interested, and raise the second book to $4.99. I think you will be amazed that it still sells and how much better it feels to actually be making more money on each one.
I vote for you to leave it a good week or two and see how it goes. There are a LOT of readers that won't deal with .99 at all. See if you find a new bunch outside of the bargain basement. Remember, it takes 6 salesat .99 to equal one at $2.99 so don't let the quantity freak you out until you see where it is going to land.
I understand that there may be a dip, and the 5 to 1 ratio. Last month I sold 2061 copies of Big Lake at .99, which earned me about $721, and sold 1431 of the sequel, Big Lake Lynching, at $2.99, which earned about $2,962. I think I'll let it ride a week or two and see what happens. If sales slip dramatically and my raking starts to drop (about 40 in it's genre) I may drop it back down again.
Marti - $4.99? Hmmm... something else to think about.
I could be wrong, but it seems sales rank is not just based on how many sales any particular hour, but is an accumulation. Therefore, you might already have the numbers to keep your first book in the higher ranking, even if the number of sales drop off.
I think this, because my first book stays in the top 100 in free Historical Romance. When I first made it free, I gave away over 26,000 copies in 10 days. Now I give away around 100 a day, which can't be enough alone to keep it ranked where it is. Not sure I'm making sense here. Coffee, I need more coffee.
I just know people will buy the higher priced books. Even at $4.99, we still give readers a bargain, compared to the traditionally published books. And, I am convinced we hit a different market. Do let us know how it goes.
Yes, and there's also been an algorhythm adjustment. Whereas they used to just measure total sales for ranking, now they're measuring total income, so it is taking 6 sales at .99 to equal 1 sale at $2.99 for the rankings too. You may see that you go up the food chain now.
Nick, I've basically dumped all my 99c pricing and gone to $2.99 minimum. The reason is the 70% royalty. Reduced sales a bit but not much and my monthly cheque is definitely higher. The price of $2.99 looks more authorative and serious rather than a 99c "giveaway".