How much is a publisher charged for returns?
IngramSpark will charge the publisher for the wholesale cost of returns at the wholesale price that is active in our system on the date that the return is processed, plus any applicable shipping and handling fees ($2.00 per book for US addresses, $20.00 per book for non-US/international addresses).
Many booksellers will not stock a book that is not returnable. However, returns can be very costly and you should be financially prepared for returns. The following is an example of the cost of a returned book, in US dollars:
Retail/list price $20 – 53% wholesale discount = $9.40 wholesale price - $4.81 print cost for small paperback containing 300 pages = $4.59 in publisher compensation paid to you.
If the book is returned, we charge you back the wholesale price of $9.40.
When is the publisher charged for returns?
Returns will be deducted from the publisher’s compensation for sales in the month that the returns are received from the retailer (in the case of “Yes-Destroy” titles) or the month that the return is shipped to the publisher (in the case of “Yes-Deliver” titles).
At the end of each fiscal month, IngramSpark will post the net amount earned by the publisher (publisher compensation earned less the cost of returns) in that month to our accounts payable system. Said net amount earned will be paid in accordance with the payment terms contained in our print on demand agreement.
If returns received in a given month exceed sales by an amount that causes IngramSpark’s payables balance to the publisher to become negative, we reserve the right to send the publisher an invoice for the balance due to IngramSpark, and the publisher has an obligation to pay IngramSpark for the amount invoiced.
For “Yes-Deliver” titles, IngramSpark or Ingram may choose to hold returns, and not charge the publisher for said returns, until an economical shipping quantity of total returns is received for all of the publisher’s returnable titles.