“Pricing Digital Content”: “Pricing Digital Content” Robert Bolick Vice President, New Business Development Professional Book Group The McGraw-Hill Companies 11 March 2001


McGraw-Hill Professional: McGraw-Hill Professional Business and General Reference Scientific, Technical and Medical Computing (Osborne McGraw-Hill) McGraw-Hill Education School (el-hi) Higher Education Professional Lifelong Learning


Text-based Digital Content: Text-based Digital Content Subscription sites Ebooks Syndicated content News feeds E-learning courses Webinars


Let’s Talk Prices: Let’s Talk Prices What do consumers want? (Lower prices, down to free, according to the press.) Are ebooks priced less than print books? (Yes and no, according to Bob’s quick & dirty survey.) What do libraries want? (Per-user pricing.) What do professionals want? (Authoritative, convenient answers for which the company pays.)


Ebooks and Value: Ebooks and Value What is the value of an ebook? That which lies in the eyes of the consumer or rather that which exits his or her wallet. Professionals want answers, not information. Like customers, answers come in different shapes and sizes (versions).


Versioning Format: Versioning Format Pdf Lit Html/xml PDA reader formats Interoperable formats


Versioning Enhanced media: Versioning Enhanced media MP3 clips Quicktime video Animations Interactive exercises


Versioning Delivery (Online): Versioning Delivery (Online) Accessibility from any Web connection Enhanced searchability (usually across titles, possibly across the Web) Annotatability (possibly shareable) Bookmarking Hyperlinking (internal, possibly external) Enhanced personal library management


Versioning Delivery (Downloadable): Versioning Delivery (Downloadable) Portability/ Multiple titles Searchability Annotatability Bookmarking Hyperlinking (internal, possibly external) If to a laptop or PDA, context of other applications


Versioning Business Rules: Versioning Business Rules Can I print it? Can I copy and paste from it? Can I lend it or give it away? Can I resell it?


Versioning Price & Content: Versioning Price & Content Whole ebook Serialized sale Customized digital content Superdistribution (or “viral marketing”) Thirty-day trial Subscription/ebook club B2B “site licenses” “Photocopying” from the Web Bundled products (digital + print)


Versioning by Price & Content : Versioning by Price & Content Free Pay per view Pay per use Pay by component Subscription-based Incentive-based Metered usage Serial Customized Unlimited usage Limited usage Bundled usage Bulk pricing Feature-based pricing Site licensing Check out/check in Advertising-supported


Consumer Choice? Consumer Confusion? : Consumer Choice? Consumer Confusion? It is easy to be pro-consumer choice. It is much harder to offer that choice without exasperating the consumer. The key: value of use context of use keep it simple


It’s not the price, stupid; it’s the quantity.: It’s not the price, stupid; it’s the quantity. More eBooks, please. Now.


“Get Caught Reading an eBook!”Thank You.: “Get Caught Reading an eBook!” Thank You. Robert Bolick McGraw-Hill, Professional Publishing bob_bolick@mcgraw-hill.com 212-904-5934