Amazon's Puzzling Createspace Practice

[William Peter Grasso]

I've received this email from Createspace for the second month running:

We've discovered that Amazon.com fulfilled order(s) for your title(s) through the Expanded Distribution Channel during the month of January.  Therefore, the royalty associated with the sale(s) will be reflected in your Sales Report as Expanded Distribution Channel earning(s).

Since the order(s) was originally placed through Amazon.com, we have made the necessary adjustment(s) to your royalties, in your favor, so that you receive the standard Amazon.com royalty rate for all affected orders. You should expect to see the adjustment(s) addition in your Sales Report within 1-2 business days.

Keep in mind that retailers such as Amazon.com, may choose to source copies of your book(s) to fulfill orders through CreateSpace, the Expanded Distribution Channel or any other outlet you've made your book available through. Rest assured that we are committed to ensuring that you receive the correct royalty amounts and will continue to work with Amazon.com and outlets within the Expanded Distribution Channel to make sure you do.


I contacted Createspace and their answers were not any more forthcoming than the boilerplate above. They were prompt about adjusting the royalties, though (we're not talking whopping adjustments here--3 books worth in December and 9 in January).

I am confused, though,as to what game Amazon is playing when they purchase books in multiples through another source for distribution. I can speculation several reasons why they might do this, but before I contact Amazon and ask, perhaps some of you web historians out there can make me a little wiser?

WPG

[Bards and Sages (Julie)]

Books in distribution use LSI to fullfill distribution orders.  I can think of a couple of reasons I can see Amazon using LSI instead of CS to source orders.

*Shipping speed:  Depending on where in the U.S. the customer is, it may be faster to have LSI process and ship the order than CS.  LSI and CS have their own print centers in different parts of the country, so there may be logistical reasons to source with LSI instead of CS for shipping purposes.

*Backlog:  If CS has a backlog of orders, it may be reasonable to go to LSI to source an order. LSI handles almost all POD for most POD services and has the means to handle high volume.

[KayBratt]

I've also received the same email 2 months running.

[William Peter Grasso]

Thanks, Julie...

I had considered the backlog issue. I didn't realize shipping around the US might be that big a deal, though.

Live and learn.

WPG