Fair Pay Problem
When you read a book that you borrowed or bought used, the author receives $0.
Solution
Tell a Bookstore
Tipping authors is a new idea that needs exposure. Bookstores can provide it and get paid.
But, first, they need to know that a tipping app exists and that they can profit from it.
That's where you can help!
When you're at bookstore, please ask the manager to check out authorsengine.com.
7 Reasons to Tip
1. Authors Are Underpaid
Most book sales come from a tiny number of megaselling authors. The other authors, "the 99%," make little for their labors: in 2022, their median income from books was ~$15,000.
2. ~68%1 of the paper books people read are borrowed, used or remainders.
That means authors are paid nothing2 for most of the the usage of their works in paper.
3. Borrowing a Book from a Friend Is Free Riding
Borrowing a book is so natural and beneficial that we don't stop to think about the author, who generally loses out. When you tip, you let the author benefit from the loan, too.
4. Used Market Is Huge
Search and distribution technologies turbocharged used books sales. Those sales now make up ~37%-45% of paper books sold and are growing faster than new book sales.
"More than half of consumers within the US & UK buy more second-hand than new books." Used Book Sales Statistics, Dean Talbot, December 20, 2022, WORDSRATED
5. Authors Get Nothing from Remainders
Books liquidated by publishers (aka remainders) are sold at 50%-90% off list price. You can identify them by a mark. When you buy one the author gets $0.
6. E-Book Piracy Rips Off Authors
Do you pirate e-books? Tipping lets you pay the authors.
7. When You Love a Book You've Been Provided with Hours of Enjoyment
Consider giving the author a tip commensurate with the value you received.
ENDNOTES
1Borrowed + Used + Remainder Books = ~68% of Paper Books People Read
There is no rigorous public study of where people get the books they read. The calculations below are thus back of the envelope. Also, they don't include self-published paper books. If you know of more accurate figures, contact us.
According to a Pew Research study, ~38% of the books that people read are borrowed, 24% from friends plus 14% from libraries.
So, of the paper books people read, ~62% are bought.
Used books are 15% to 18% of the market by revenue.
Now, assume used books sell for 40% of the price of new books, on average.
That means, for each 1% of market revenue, used books sell 2.5 units per new book sold.
15% (of market revenue) x 2.5 = 37.5%.
18% (of market revenue) x 2.5 = 45%.
So, used books are ~37.5%-45% of paper books people buy. For easy calculation, call it 40%.
As noted above, ~62% of the paper books that people read are bought.
So, used books are ~62% x 40% = ~25% of the paper books people read.
Subtotal: Borrowed (38%) + Used (25%) = ~63% of the paper books people read.
Then, remainders including gray market books are (pure guess) ~5% of the paper book market.
Total: Borrowed + Used + Remainders = ~68% of the paper books people read.
2Authors Sometimes Receive Tiny Payments Per Library Loan
Public lending rights in some countries enable authors to be paid small amounts per book loan — around 10¢ in 2019 in the UK according to Wikipedia. Libraries support authors by buying books, of course, but in most countries, including the US, when you borrow a book, the author doesn't receive extra compensation.