5 Genius Business Tactics Turning Broke Authors Into Millionaires

Summary

In this engaging discussion, the host delves into the diverse revenue streams authors leverage beyond book sales. Highlighting figures like Ryan Holiday, who earns more from his 'Daily Stoic' newsletter and merchandise than his literary works, the conversation uncovers creative business models. It showcases James Patterson's collaborative approach to writing, producing a high volume of books, and explores the success of self-published authors like Hugh Howey, who achieved significant sales leveraging community engagement and strategic marketing.

Takeaways

• 📚 Ryan Holiday, a renowned author, has made more money from his daily newsletter 'Daily Stoic' and associated merchandise than from book sales alone.
• 🗝️ The 'coin thing' refers to Holiday's strategy of selling coins with inspirational Latin inscriptions, which have a high profit margin and no returns or size issues, contributing significantly to his earnings.
• 📈 James Patterson, a highly prolific author, has sold around 500 million copies of his books and has employed a team of co-authors to help produce an average of seven books a year.
• 📘 Patterson's approach involves creating a brand around his name, with co-authors writing under his guidance, resulting in a substantial income of around $800 million.
• 🎪 The Stratemeyer Syndicate was a company that created series like Nancy Drew and The Hardy Boys, attributing all works to a single author to maintain a consistent brand.
• 🤑 Authors are exploring alternative revenue streams beyond traditional book sales, such as merchandise, newsletters, and coins, which can be more profitable.
• 💼 Jack Carr, a former Navy SEAL, has capitalized on his brand by naming products in his books and selling related gear through his website, leveraging affiliate marketing and his own products.
• 🦌 Steve Rinella transformed his book 'American Buffalo' into the MeatEater brand, which includes a website, podcast, and various outdoor products, achieving $100 million in revenue.
• 🚀 The story of Hugh Howey, the author of 'Wool', illustrates the power of self-publishing and community building, as he sold film rights and gained significant success without a traditional publisher.
• 💡 The script highlights the idea that authors can 'productize' their work and create additional income streams through strategic branding and leveraging their audience's trust.

Q & A

Who is Ryan Holiday and what is his connection to the story?

Ryan Holiday is an author known for his works on stoicism. He is mentioned in the script as someone the speaker recently hung out with and who has appeared on the speaker's podcast. He is relevant to the story as he exemplifies an author who has found success in generating income through means other than just book sales, such as his 'Daily Stoic' newsletter and associated merchandise.

What is the 'Daily Stoic' and how does it contribute to Ryan Holiday's income?

The 'Daily Stoic' is a daily newsletter created by Ryan Holiday. It is a property that has allowed him to earn more money than he does from selling his books. The newsletter includes content related to stoicism and also sells coins, merchandise, and advertisements, which collectively have become a significant source of his income.

What is the significance of the coin mentioned in the script in relation to Ryan Holiday's business strategy?

The coin is a physical product that Ryan Holiday sells as part of his business strategy. It is significant because it represents a non-traditional way for an author to generate income. The coin is inscribed with Latin phrases related to stoicism and has become a popular item, contributing to Ryan Holiday's financial success outside of book sales.

Who is James Patterson and what is unique about his approach to writing and publishing books?

James Patterson is a highly successful author known for his thriller novels. What is unique about his approach is that he has adopted a model similar to the Stratemeyer Syndicate, where he collaborates with co-authors to produce a high volume of books under his name. This method has allowed him to publish an average of seven books a year and has contributed to his immense success and wealth.

How has James Patterson's method of working with co-authors impacted his productivity and income?

James Patterson's method of working with co-authors has significantly increased his productivity, allowing him to release a large number of books each year. This high volume of publications, along with the popularity of his work, has greatly increased his income, making him one of the wealthiest authors in the industry.

What is the 'Stratmeyer Syndicate' and how did it influence the approach to children's book publishing in the 1930s?

The 'Stratmeyer Syndicate' was a company established in the 1930s that focused on publishing children's books. It was unique in that it created a series of books under the same author name, but was actually written by various authors following a set of guidelines. This approach allowed for a high volume of books to be produced and contributed to the popularity of series like Nancy Drew and The Hardy Boys.

What is the business model that Steve Ranella, the founder of 'MeatEater', has successfully adopted?

Steve Ranella has successfully adopted a content-to-commerce business model. Starting with his book 'American Buffalo', he created the 'MeatEater' brand which includes a website, podcasts, recipe books, and a variety of outdoor and hunting-related products. This model has allowed him to generate significant revenue beyond just book sales.

How has Steve Ranella leveraged his 'MeatEater' brand to expand into different business areas?

Steve Ranella has leveraged the 'MeatEater' brand to expand into various business areas by purchasing and integrating other brands under the 'MeatEater' umbrella. This includes a duck call business and a clothing line, which have collectively contributed to the brand's revenue of over 100 million dollars.

What is the significance of the 'Wool' series by Hugh Howey in the context of self-publishing success stories?

The 'Wool' series by Hugh Howey is significant as it represents a major success story in self-publishing. After an initial struggle to sell his work, Howey found success by pricing his book at 99 cents, engaging with his readers, and leveraging platforms like Goodreads and Reddit. His approach to community building and fan engagement helped him sell half a million copies and secure a film deal, showcasing the potential of self-publishing.

What strategies did Hugh Howey employ to promote his 'Wool' series and build a dedicated reader base?

Hugh Howey employed several strategies to promote his 'Wool' series, including pricing the initial book at 99 cents to attract readers, engaging with fans on platforms like Goodreads and Reddit, encouraging fan fiction and fan art, and making his super fans beta readers for his upcoming books. These strategies helped him build a dedicated reader base and increase his sales significantly.