Trends in Online PublishingNew Pricing Models for 2003

as Online Dominates Print

John Ben DeVetteAsst. Vice President

EBSCO Information ServicesNovember 14, 2002

I. Introduction

II.Growth of Online

III.Ephemeral-ness

IV.“Can You Do a Flip?”

Orsdel and Born wrote in “Periodicals Price Survey 2002”,

LIBRARY JOURNAL 4/15/02 “It has taken 10 years, but

e-journals have finally surpassed print in importance.

And there is evidence that many librarians are ready to give up paper for good.”

There is a big change this year:

Online always added value to print, but before librarians did not trust online archival solutions.

This trend is being pushed by some U.S. consortia who demand that online and print contracts be negotiated separately.

Today, many libraries are ready to switch from print to online without an archiving solution

This will cause major changes in the academic publishing industry.

The Growth of Online Journals

The Growth of Online Journals has been Impressive.

1994: less than 75 peer-reviewed electronic journals. 1997: some of the largest STM (Science, Technology, &

Medicine) publishers still had no journals online. 1998: ~30% of the titles in Science Citation Index (SCI)

were available online. 2002:

75% of SCI titles have online

63% of SSCIÍ titles have online

34% of Arts & Humanities Citation Index have online.

11,000 Electronic Journals11,000 Electronic Journals

850 1,3002,200

2,700

3,662

5,398

10,00011,000

01,0002,0003,0004,0005,0006,0007,0008,0009,000

10,00011,000

Feb 97 Jun 97 Feb 98 Jun 98 Sep-99 Mar-00 Mar-01 Oct-02

Compared to over 260,000 titles in printCompared to over 260,000 titles in print

Most of the large

scientific publishers

have their primary scholarly titles online for 2002.

11,000 Electronic Journals11,000 Electronic Journals

850 1,3002,200

2,700

3,662

5,398

10,00011,000

01,0002,0003,0004,0005,0006,0007,0008,0009,000

10,00011,000

Feb 97 Jun 97 Feb 98 Jun 98 Sep-99 Mar-00 Mar-01 Oct-02

Compared to over 260,000 titles in printCompared to over 260,000 titles in print11

The Web is ephemeral … and so are publishers’ online publishing

policies !!!

Publishers are Learning, too!

Most publishers have changed pricing strategies more than once since 1997.

Some publishers have as many as 4 different pricing models.

The chaotic nature of negotiations and pricing models have made life very difficult for libraries and vendors.

Most major publishers still offer online 'free' with print for 2002.

• Cambridge University Press • Elsevier• Emerald• Oxford• Routledge • Sage• Springer Verlag• Taylor & Francis• Kluwer.

STM Publishers, who Charge Extra for Online Access:

Wiley

Kluwer

Dekker

Nature

S. Karger.

University presses are split.

Duke, Indiana, Johns Hopkins, and Penn State, all participants in Project MUSE, charge extra for online.

But MIT, Chicago, and California do not.

Society presses are also split

the majority appear to charge for onlinewith print.

“Can you do a flip?”

The resurrection of DDP!

Life has been difficult for all of us over the past few years … but it is going to get worse!

Began last year when OhioLINKnegotiated new deals for online content

with major publishers of e-journals

Library consortia in California and Canada quickly followed OhioLINK’s example and negotiated for DDP pricing

FLIP Pricing

Academic Press introduced the concept with its DDP (Deeply Discounted Price) with its first e-journal package back in mid-90’s. The definition of DDP is where the subscription is to the online edition, but the print is available separately for 25% of the retail price (75% off).

DDP Pricing …

• Discounts on print range from 60% to 90%

• This mean that publishers may agree to supply print with online for an overall added charge of +10% ~ 40% of the list price of each title.

Example of DDP

UNDER DDP, the PRINT will be 10-40% of the online.

Example:

ABC Journal

Retail /online $100+Print (DDP) + 25Total Online + Print $125

All of the Big Five STM publishers--Academic, Elsevier, Kluwer, Springer, and Wiley--offer deep discount prices for print.

According to the Association of Subscription Agents (ASA):

As consortia become more common, license agreements

will become the norm.

A journal’s retail price will become a relative term, simply a useful starting point for negotiations.

Be a SMART SHOPPER !!!

More publishers are willing to negotiate a DDP % with an individual consortium, prices will vary.

INFORMATION SPENDINGPRINT

JOURNALS

ELECTRONIC JOURNALS

DOCUMENTSPPV

ONEBUDGET!

“Can you do a flip?”

The resurrection of DDP!

Elsevier offers several options• -         1. Web Editions access (browse-only access to a 12-

month revolving backfile) free with most print subscriptions• -         2. ScienceDirect which includes back issues and

searching, • -         3. E-choice a customized list of e-journals from the

overall Elsevier & Academic Press / IDEAL database. Includes 4 year backfile for former print owners.

• -         4. The DDP price varies between 25-50% of the online journal price. Many Elsevier titles do not have any DDP pricing available. The library needs to check Elsevier’s 2003 Price List to confirm.

KLUWER

Current year online access is free with print

Paid online access (+20%) will include all available back issues for unlimited users.

Blackwell Science, Blackwell Publishers and Munksgaard have been joined together and

are now simply called “Blackwell Publishing”They now offer "standard" and "premium" access1. Standard - print plus basic online access: free online

access to issues from the current and previous year (i.e. 2003 and 2002). But no access to remote users and all access rights would cease if the print subscription were cancelled (no perpetual access).

2. Premium - print plus premium online access (110% of print price). Premium online access will include full access to the current year and to all available back issues. The license will include access for remote users, perpetual access for as long as Blackwell Publishing publishes the title.

A FINAL WORD OF

CAUTION!!

The Archival ProblemThe Archival Problem • What happens when the publisher’s What happens when the publisher’s

definition of “perpetual access” only definition of “perpetual access” only includes the last 4 years?includes the last 4 years?

• What happens when a new publisher What happens when a new publisher buys the journal and changes the rules?buys the journal and changes the rules?

• What if the publisher wants to charge What if the publisher wants to charge you an additional 20% annual access you an additional 20% annual access fee for the old data?fee for the old data?

Hsieh-hsieh !