Self publishing on Amazon pros and cons:

Self publishing on Amazon can be a good outlet for authors who want exposure for their work. It can also be an excellent way to make money from it. Unfortunately, the business model has generally become more difficult in recent years. Today, you'll have to compete with millions of Kindle Direct Publishing authors, established traditional publishers, and Amazon itself.

On Reddit, one user says learning the business model was easy because there’s plenty of information available on the KDP FAQ section.

Meanwhile, YouTuber JadeLeannexo said Amazon KDP offers authors “complete control over your work.” This includes cover design, book format, pricing, and promotional strategies. She also adds that it’s easier to change content, customize covers, or correct errors for Amazon self publishers. Case in point, she had different covers for her book’s paperback and hardcover editions. “I could just upload that and within 24 hours, I had both,” she says. “It really does allow you so much control over what it is that you're putting out.”

Meanwhile, another Redditor shares that some of the drawbacks of self publishing include “having barely any support.” Plus Amazon can “ban your account” anytime.

In this article, we'll be looking at the pros and cons of Amazon self publishing. We'll also discuss some harsh KDP facts that gurus aren't telling you. Towards the end, I will tell you about a far superior online business I would recommend over Amazon KDP.

PRO: It's easy to self publish on Amazon.

It's easy to self publish on Amazon because the platform has a straightforward, easy-to-follow process. For the most part, all you have to do is:

• Create a book.
• Publish your book on the KDP platform.
• Advertise your book so you can gain attention from Amazon's massive customer base.

Anyone can learn self publishing since Amazon has plenty of information available on their website. There are also numerous tutorials available on YouTube and other online platforms. Moreover, Amazon provides tools like Kindle Create. This helps authors format their books professionally without needing advanced technical skills. 

To sum up, Amazon KDP is definitely a business model that's very easy to start, even for beginners.

PRO: The world is your market.

Amazon holds a large portion of all book sales in the world, which is good news for anyone looking to self publish on the site. Here are some numbers that back this up:

Not only does Amazon own a huge chunk of all book sales in the world, it also has an established brand and reputation that helps in attracting readers. Whenever a potential buyer browses through your publications, they'll have an added sense of security knowing they're purchasing on a reputable platform.

PRO: You can publish both digital and print books.

You can publish both digital and print books on Amazon. You can publish:

According to a Pew Research Survey, 32% of adults in the US only read print books. Meanwhile, only 9% read digital books and 33% read both formats. 

Amazon's KDP platform supports multiple formats, allowing authors to reach a wider audience. Being able to publish eBooks and print books puts you in a position to effectively market your work to different readers. It also opens up more money-making opportunities for you as a self publisher.

PRO: There are higher royalties.

There are higher royalties when you self publish with Amazon. With traditional publishing, you can only make between 10% to 15% in royalties. Amazon KDP offers 35% to 70%. Not only does this translate to higher profit margins. It also allows authors and publishers to focus on quality over quantity since it eliminates the need to mass produce all kinds of books just to make more money.

For the 35% royalty option, there are pricing requirements depending on the file size of your eBook:

• For eBooks less than 3 MB, the price should be anywhere between $0.99 and $200.
• For eBooks with a file size of 3 MB to 10 MB, the price should be anywhere between $1.99 to $200.
• For eBooks greater than 10 MB, the price should be anywhere between $2.99 to $200.

Additionally, Amazon KDP allows authors to enroll their eBooks in Kindle Unlimited and the Kindle Owners' Lending Library. This can provide additional revenue streams based on the number of pages read by subscribers.

For paperbacks and hardcovers, royalties are fixed at 60% of your book's price. However, printing costs are deducted from your royalties before they are credited to your account.

PRO: You have full rights on your books.

You have full rights on your books as an independent author on Amazon. You are simply giving them rights to distribute your self published book - not the rights to the book itself. This means you retain full creative control and ownership. You can freely make decisions about your book's content, cover design, and marketing strategy. Amazon also does not dictate when your book will be published. This flexibility is particularly beneficial for authors who want to respond quickly to market trends or release books on their own schedule.

In comparison, working with a traditional publishing company leads to loss of rights. According to Writers Digest, authors “are typically selling all (or many) rights to their work” when they sign a traditional publishing deal.

This means your publisher can make big decisions for your book. They can edit your content, choose your cover design, and decide your publication date. You are sharing book ownership with them and allowing them creative control of your work. In some ways, this can be discouraging for an indie author publishing their first book.

PRO: Inventory won't be a problem.

Inventory won’t be a problem with Amazon publishing. The company takes care of inventory and order fulfillment for you. When a customer orders print books from your store, Amazon handles everything from printing copies to shipping them to buyers. You also won't have to worry about managing inventory, thanks to Amazon’s print-on-demand service.
 
Similarly, your eBooks are digitally stored on Amazon's servers. The company charges you on your digital books’ file sizes to maintain their servers. If you avail of the 70% royalty option, you will be charged $0.15 per megabyte (MB). If you avail of the 35% royalty option, storage fees will be waived.

PRO: You can use Amazon's brand and reputation to your advantage.

You can use Amazon’s brand and reputation to your advantage as a self published author. According to Feedvisor, 87% of buyers prefer Amazon over any other eCommerce website. 56% of online consumers also claim they search on Amazon before going to other platforms.

As a self-publisher, you can even market your books internationally since Amazon is a global eCommerce platform. This can potentially translate to more potential customers. According to CNBC, Amazon has over 110 active fulfillment centers in the US. Meanwhile, there are over 185 centers across the world.

PRO: Access to Amazon KDP Select.

Access to Amazon KDP Select is another benefit of publishing with the platform. This free service allows Kindle users to read as many books as they want for 90 days or 3 months. As a self published author, Amazon also gives you access to a variety of tools that are extremely useful in helping you sell your books, such as:

• Kindle Create. This is a powerful formatting tool by Amazon. It lets authors and publishers turn their manuscripts into eBooks or print books. While it can take some time to get used to, there are thousands of tutorials online to help you get started.
• Kindle Unlimited. This is a feature that gives readers access to millions of eBooks, plus thousands of audiobooks, magazines, and comics. As a KDP author, your books are automatically enlisted under Kindle Unlimited, where you get paid for each page read by readers.
• Prime Reading. This is a service by Amazon that gives Prime users access to the Kindle eBook library. For authors, this means approximately 170 million Prime users have access to your books, and you get paid for each page they read.

Other tools you can use outside of KDP Select:

• Amazon Expanded Distribution. This is a wide distribution service that allows you to list your paperback books for distribution in bookstores, libraries, academic institutions, and others. This helps you reach more potential readers both in and out of Amazon.
• Kindle Countdown Deals. This special promotion allows authors to sell their books at a discounted price, while retaining their original royalty percentage.

PRO: You can outsource everything.

You can outsource everything as a KDP author. Professional freelancers can help make the book creation process faster. For example, you can hire a graphic artist to design your cover. Some publishers even hire ghostwriters, proofreaders, and copy editors from outsourcing platforms. 

Some of the top websites for hiring freelancers are:

• Fiverr
• FlexJobs
• Guru.com
• OnlineJobsPH
• Upwork

PRO: Self publishing can become passive.

Self publishing can potentially become passive in some cases. As you publish enough books that regularly generate a substantial revenue, KDP can become a good source of passive income.

However, it's important to understand that KDP is not a get rich quick scheme. There's no guarantee that your KDP business will become passive at all. In fact, you will need to spend on advertising and do marketing to constantly gain new readers. Writers who go viral, get numerous positive book reviews, and publish more works have better chances of making passive earnings from Amazon KDP.

In a ZonGuru report, we read about lawyer turned Mark Dawson who “found immense success” on Amazon. He formerly wrote books for a traditional publishing company. Because of limited control, he decided to explore self publishing. “Having more say on pricing and promotion, Dawson quickly found the audience he was looking for,” the blog reads. “He now boasts an income in millions and is a very vocal self-publishing advocate.”

In general, beginners make anywhere between $150 to $300 per month. It may take a lot of work and research before you even reach the $500 mark. As you gain experience and have multiple best-selling titles, you can expect to make $5,000 to $20,000 or more on a monthly basis.

PRO: Amazon handles customer service for you.

Amazon handles customer service for you when you self publish books on their platform. This includes:

• Receiving customer complaints
• Issuing refunds
• Managing product returns

Reddit user TJ Harle highlights that one of the major benefits of publishing with Amazon is that they take care of everything else, including distribution, sales management, and shipping. “You’d get none of that with a traditional printing service,” Harle adds.

As a result, you can focus on creating and publishing more books. You won’t have to worry about dealing with customer queries and concerns.

CON: Finding a unique and profitable niche is nearly impossible.

Finding a unique and profitable niche is nearly impossible on Amazon KDP. The platform was launched in 2007. Since then, numerous authors have written millions of books across almost every genre. To illustrate the saturation of KDP, consider these statistics:

Given this level of saturation, finding a lucrative niche can be a challenge. Extensive niche research and analysis are essential. Plus you need to develop effective marketing strategies to stand out on the platform.

CON: The market is extremely competitive.

The market is extremely competitive on Amazon KDP. It can be an overwhelming marketplace for new authors. Moreover, thousands of traditional publishers are also selling their books on the platform. 

Amazon reportedly pays over $520 million in royalties to approximately 1 million KDP authors each year. Studies even indicate that Amazon releases over 1.4 million eBooks through KDP annually. This results in an author-to-book ratio of just 1 to 1.4. highlighting the intense competition and the financial struggles many KDP authors face.

Moreover, authors must also compete with Amazon's own publishing imprints. They produce at least 1,000 books every year, further intensifying the competition.

CON: Book marketing costs can quickly accumulate and eat up your profits.

Book marketing costs can accumulate and eat up your profits as an Amazon self publisher. On average, publishers pay $0.81 every time their eBook ads get clicked. While you can spend as little as $5 on ads, this is often insufficient for gaining significant market exposure. Some authors allocate between $100 to $300 per day for marketing and advertising. Meanwhile, more established authors spend $1,000 to $5,000 to market their books.

Despite Amazon's large customer base, market saturation and intense competition mean that marketing can cost you money - if you make any at all. This can be discouraging, as you may need to invest your own money without any guarantee of results.

One Reddit user encourages authors to “start small” and only scale up as they see positive results. “You need to already have a somewhat decent product,” writes the Redditor. “In the end, you can't throw money at AMS and expect it to make your book a bestseller.”

CON: You're more than just an author.

Being a KDP author involves more than just writing and publishing your books. You are responsible for formatting, proofreading, editing, designing, and marketing your book. This can require weeks or even months of intensive work. Like any business, achieving success demands significant effort. There are also no guarantees that your hard work will pay off.

Outsourcing tasks such as writing, editing, or designing is an option. However, doing so can be prohibitively expensive for many, especially in today's economy. Most people enter the KDP market to make money, not spend it. Also, not everyone can afford to hire professionals to handle these tasks.

CON: Building a relationship with your customers can be difficult.

Building a relationship with your customers on Amazon can be challenging. Besides, the platform is primarily designed as a marketplace. So it lacks social media features that allow for direct interaction with customers. 

While Amazon's handling of customer service—including complaints, returns, and refunds—frees you to focus more on your book, it also means you cannot provide personalized customer service. In short, this reliance on Amazon’s system has its advantages and disadvantages.

CON: You're at the mercy of Amazon's system

Self-publishing on Amazon requires adherence to their rules, regulations, and any changes in their system. In some cases, complying with their terms can lead to lost revenue, customer service issues, or even account suspensions.

Common complaints about the Amazon KDP platform include:

You can appeal against any changes or adjustments made to your account by Amazon, especially if you feel they are unfair. Unfortunately, Amazon has the final say on any appeals or complaints.

Con: Royalties are fixed.

Amazon's royalty packages initially seem attractive, especially compared to traditional publishing royalties. Traditional publishers typically offer 10% to 15% royalties, while Amazon KDP offers 35% and 70% royalty options. For print books, the royalty is fixed at 60%.

However, self-publishing on Amazon means adhering to their pricing requirements. For example, if you choose the 70% royalty package but want to price your book at $50, you must opt for the 35% royalty package. This can cut your royalty rate by half. Also, Amazon's maximum listing price is $200. So you can’t really go beyond that even if you believe your book deserves a higher price tag.

Con: You need lots of positive reviews to gain exposure.

Not being able to interact directly with customers means your reputation on KDP depends heavily on positive reviews. Research shows that 95% of customers read product reviews before making a purchase. Also, Amazon's algorithm favors authors with numerous positive reviews. 

On Reddit, Sean_Campbell warns that “an early bad review can kill momentum before it begins.” 

Obtaining good feedback for your books can be challenging due to several factors:

• Lack of organic reviews. Only 5% to 10% of consumers leave reviews.
• Fake reviews. In 2020, 42% of all Amazon reviews were found to be fake. Some KDP authors offer incentives for positive reviews, which is unethical and illegal. Conversely, authors can also pay for negative reviews on competitors' books.
• Minimal public trust. According to Review42, only 17% of American consumers trust Amazon reviews.

Your best strategy is to publish high-quality books that resonate with your target readers. This will encourage them to leave positive reviews.

Con: Outsourcing is expensive.

Outsourcing tasks like writing, editing, and marketing is an option if you lack the time to do everything yourself. However, outsourcing can cost anywhere from $500 to $2,000 for a high-quality book.

Hiring cheap labor can compromise your book's quality. This can potentially harm your sales and revenue in the long run. Most aspiring authors and entrepreneurs cannot afford these costs.

Con: There will be delays in payments.

KDP releases payments every 60 days, meaning you won't receive your earnings immediately. For example, if you earn $500 in March, you will receive that money in May. Additionally, Amazon has a $100 payment threshold. If you don't earn $100 in a single month, Amazon will hold your earnings until you meet this threshold. This delay can be particularly challenging for new KDP authors.

What is Self Publishing on Amazon?

Self-publishing on Amazon involves using Kindle Direct Publishing (KDP) to publish your own books. Unlike traditional publishing, self-publishing allows you to publish anything you want at any time. 

Additionally, KDP offers higher royalty rates compared to traditional publishers. This gives authors the potential to earn more money from their works.

How much does it cost to self publish on Amazon?

Generally, it costs nothing to self-publish on Amazon. You can publish a book for free, but to gain exposure, you should invest at least $50 to $100 in ads. If you are selling print books, you will need to pay for an ISBN, which typically costs between $20 to $30. Overall, the cost of publishing a book on Amazon can be anywhere from $20 to $150.

If you decide to outsource the creation of your book, you will need $500 to $2,000 to cover:

• ghostwriting
• proofreading
• editing
• cover designing

The cheapest way to publish a book is to do everything yourself. You can also avoid spending money on marketing or advertising. In this case, your only expense would be Amazon's "delivery" or storage fees. However, this approach is the least profitable. Your book is unlikely to gain visibility without marketing and advertising.

Is self publishing on Amazon legit?

Self-publishing on Amazon is a legit, proven business model used by hundreds of thousands of aspiring authors, publishers, and entrepreneurs. This model has generated millions of dollars, with thousands of authors earning substantial monthly incomes. However, Amazon self publishing has become challenging over the years.

Is Amazon KDP profitable in 2024?

Amazon KDP can still be profitable in 2024 but it requires significant effort and time. It’s definitely not a get-rich-quick scheme and is not as easy as some may have you believe. In fact, many authors wait a full year before making their first $100.

The Amazon KDP market has become highly competitive and saturated. Finding a unique, profitable niche is difficult. You'll be competing against numerous authors and traditional publishers entering the KDP market. Plus Amazon's 17 imprints regularly publish print books. While self-publishing on Amazon can be worthwhile, there is no guarantee of financial success.

Why Local Lead Generation Is Better Than Self Publishing on Amazon

An online business I would personally recommend over self-publishing on Amazon is local lead generation. Unlike self-publishing, local lead generation does not suffer from market saturation. In fact, you can explore numerous niches in every city. Additionally, you won't face the same level of competition. Local lead generation requires specific skills and expertise. In short, this particular business model cannot be easily duplicated.

With local lead gen, you build a business website under a specific niche. You also choose a city you want to target. Using SEO tactics, your goal is to rank your site high on search engine results pages. Once you achieve that, your site can start attracting significant traffic. You can then rent out your websites to local entrepreneurs who need leads for their businesses. This approach allows you to earn $500 to $3,000 per month from your website.

Moreover, you can easily scale up your lead gen business by repeating the process. You can create more websites that target other locations and industries. These sites serve as your digital real estate assets. They can potentially become passive income sources over time. Case in point, I have websites from 2014 that still generate over $2,000 monthly. 

Best of all, these local lead generation sites require minimal maintenance and only cost around $500 to build. Profit margins even go as high as 85% to 90%, so it's way more profitable than self publishing.