Adapting a Freemium Business Model for Open Access

Book Publishing

Rupert Gatti

http://www.openbookpublishers.com/

Publishing Objectives

Legacy Model• Primary output: Printed volume• Price: $80-100• Sales: 200-400• Customers: Libraries• Sales revenue: $20-40k per title– Distributors net revenue $10-20k – Publishers net revenue $10-20k

Business Model: SuccessDissemination Model: Failure (no readers, no innovation)

Open Access Model

• Objectives: – Maximise readership– Maximise engagement/re-use– Digital Objects – innovative outputs

• Business Model: Breakeven (non-profit)– Minimise costs– Develop revenue sources

OBP Online Readers

2009 2010 2011 2012 2013 2014 2015 (to Aug)0

50000

100000

150000

200000

250000

by year and platform

ClassicsLibrary (GA sessions)Unglueit (Downloads)Internet Archive (Views)Wikimedia (Daily views)WorldReader (Opens)OpenEdition (Book views)Free Downloads OBP html reader (GA sessions)OBP pdf reader (GA sessions) GoogleBooks (Book Visits)

Av readers per title, per month: Mean 425, Median 281

OBP Online Readers

United Kingdom

United StatesGreeceIndia

GermanyCanada

KenyaAustralia

NetherlandsFrance

other 186 countries

by country, last 12 months

United Kingdom United States Greece India Germany CanadaKenya Australia Netherlands France other 186 countries

OBP Costs ($190k) 18 titles published

Distribution; $1,015

Cost of sales; $1,657

Title setup; $6,369

Over-heads; $1,471

OBP Revenue ($198k)

Sales revenue; $82,873

Title grants; $68,396

Library Mem-

bership; $30,986

OBP grants; $15,708

OBP Sales & Sales Revenue

Pa-per-back63%

Hardback10%

ebooks

27%

OBP sales

Pa-per-back65%

Hardback22%

ebooks

13%

OBP sales revenue

OBP Library Membership

• 70 libraries internationally have joined• £300/$500 per annum• Support publication of 12-18 OA titles (will be 18-

25 in coming year)• All members of university have:– ALL digital content free to download– Discounts on purchase of printed editions

http://www.openbookpublishers.com/section/44/1/library-membership/