A Thank-you Letter from GoodNovel
Wish you a happy Thanksgiving, and a big thank you to all our authors for your contribution to making GoodNovel more diverse and prosperous!
2020 has been a tough year for many, but your support and trust have helped us to grow. We are a multilingual and multicultural team that came together because of love and passion for online novels. We’re overjoyed to see that GoodNovel has been achieving so much in just a few months. Born only 6 months ago, GoodNovel app is now ranking top 3 among all reading apps in Google Play in 51 countries(data from APPAnnie, Nov.26th). It means we’re recognized by readers and writers all over the world. A simple Thank You is not enough to express our gratitude!
During the 6 months of GoodNovel’s journey, many authors have given us precious suggestions on how to become a more user-friendly and open platform. We’re still a baby comparing to most reading apps, but we’re dedicated to providing a better environment for authors by taking in author’s opinions and solving author’s problems. Many of the useful functions that we have now originated from the suggestions of our authors, including the auto-save function and scheduled publish function in the writing preface, and your work data and work info in your personal center. Without the help of all of you, we would never have become what we are now.
We’re now working hard on giving authors a clearer view of your income, and we believe many authors must have already noticed some changes. Starting from Sept.23th, authors were able to access personal centers on your mobile devices. Starting from Oct.1st, authors had been able to see their real-time income in your personal centers. We’re still working on providing authors a more transparent way of knowing your incomes, and we appreciate your advice and ideas on it.
We know we’re far from perfect, for we’re still young and have flaws in many aspects. For example, some of our policies may seem obscure to authors. But please have faith in us that we’re trying to make it more clear and transparent for you, because we are meant to stand by the side of our authors. We would like to take this chance to explain the way we’re currently working and foresee our future plans.
The profit share we’re offering to authors is 50% of net revenue, and please believe in us that we have been sticking with 50% the whole time. We’re a team that values the spirit of contract and we have never taken a penny that shouldn’t belong to us, let alone telling lies to our authors. We understand that the contract terms may not be clear enough so misunderstandings may arise, so we will try to make everything more transparent next year, and our decision will be announced next month. Please let us know your thoughts and we’re happy to listen. But for now, let us explain and clarify some misunderstandings first.
It’s clear in the contract that the shared profit is “Net Revenue” , which means total proceeds received by New Reading from Premium Content, minus certain operating costs, channel costs and taxes directly attributable to publishing of Work by New Reading. So you can see three costs here: operating costs, channel costs and taxes. Let’s explain them one by one:
1. Taxes. We are a Singapore company, so the tax is calculated according to Singaporean law. Royalty payments attract withholding tax when paid to non-resident individual. The applicable withholding tax rate is 10%.
2. Channel costs. Channel costs is the expenses incurred in preparing and utilizing distribution channels for our app. That’s to say, we have to pay 30% of the total income to Google Play and Apple Store for having our app displayed there. This is public info and you can find it on the Internet.
3. Operating costs. Following are the operation and marketing cost. As you may know, GoodNovel is now available on multiple platforms and ends. Experiencing it on Android or iOS apps, or on websites with PC or Mobile. Though it does cost a fortune to keep them all operating and updating. When it comes to promotion and marketing, our primary goal is to bring more targeted readers to GoodNovel and the brilliant stories on GoodNovel. Only with a huge reader base, supporting the platform by using our apps or visiting our websites, can we make profits for both authors and ourselves. To achieve this goal, we are trying hard to promote our apps, or promote a great book on our products. We’re developing our recommendation algorithms and advertising algorithms, all for the same goal of reaching a greater audience and helping our authors obtain readers. No matter if the promotion is for one book or the whole platform, it will benefit all books and all authors in definite.
Thanks to our awesome User Growth Team, we’re now able to look into more possibilities and find the most suitable channels to draw more readers in. We are putting great investment on ads with Facebook, Google and other media; we are conducting SEO, SEM, ASM of the GoodNovel app and your books; we are cooperating with mobile phone manufacturers and Affiliates, and devoting heavily on the promotion materials we put on social medias like Facebook, Youtube, Instagram and Twitter, etc for more readers. We will do everything we can to help authors, and we will continue to experiment with more methods, such as holding sales events and cooperating with digital publishers, as long as it brings benefits to our authors.
If you have any more questions, please contact us through any of our social media accounts. Our editors will be more than happy to answer your questions and listen to you. We’re your firm supporters, and we will try our best to help authors in any and every way possible with all your possible difficulties, such as fighting against plagiarism and writer’s blocks. We have been, and will continue to help authors to fight against pirate sites and copyright infringement. We do not tolerate any plagiarism on GoodNovel. In the future, we will try to share more information about it with you more regularly, and we need all your help! We’re also trying to share more on how to write online fictions and helping authors with writer’s blocks, which is why we created GoodNovel Academy. We are working hard to bring our ideas to reality. Please check out our videos, podcasts and posts, you’ll surely find GoodNovel Academy useful!
All in all, thank you all for reading this letter and for loving us. We appreciate your continuing support and help! We’re waiting for you, for your suggestions and for your thoughts. Come join us and grow together! We won’t let you down!