From: "Hamaker, Charles" <[log in to unmask]>
Date: Tue, 6 Aug 2013 09:38:42 +0000

So its just business as usual to charge smaller libraries, with
smaller  physics departments a multiple of 20 times what your largest
customers are charged on a per use basis?  That seems to be the
implication of the posting below.

I suspect from what I have seen of CPU studies, in fact, it is more
than just APS with such a strategic charging algorithm. That charging
small and midsize libraries many multiples for use of what larger
customers experience is a benefit of the system, so that smaller and
medium size libraries proportionally contribute more to the bottom
line.

 I suspect this is a feature, not a bug.

In APS' case two medium sized libraries with a maximum of  8,000
downloads pay as much as  a single institution (whatever that might
mean) as one customer with  40,000 downloads.

APS and everyone else using the same logic is proud of lower inflation
because they make it up with  the more profitable smaller and medium
size  customers.

The smaller and midsize libraries are more profitable than the larger
libraries.  Or am I radically misunderstanding the implications of
this pricing structure? If I am, I hope someone more knowledgeable of
the industry will correct me. Is this the legacy of the big deal? And
the alternative is astronomical Pay Per View charges per article?

If the larger publishers use the same logic, the same structure,  then
small and medium size libraries now produce the bulk of the profit
margins and have the lowest utilization rates. We have come 180
degrees away from yesteryear's  pricing. The CPU based study  cited by
Darby Orcutt of Virginia Bacon and Patrick Carr implies this
disparity.  APS demonstrates it. (with the added astronomical price
jump if you are, like UNCC  one of the unlucky  libraries being
re-classed into their "tier II" collection.

Chuck Hamaker

________________________________________

From: Mark Chesnek <[log in to unmask]>
Date: Mon, 5 Aug 2013 15:56:06 -0400

APS strives to ensure fair pricing to all institutions and we
continually work with the librarian community to maintain transparent
and fair pricing policies. Since 2005, the prices for Tier 1
subscriptions have decreased on average by almost 2% and our Tier 1 &
2 subscriptions have not experienced an annual increase of more than
3% in a given year.  Even our highest tiers have averaged a 4% yearly
increase since 2005. APS is also proud to have one of the most
generous Green Open Access policies of any publisher and to be the
first to adopt this liberal policy.

With regard to the Tier changes being discussed for 2014, only 6% of
our overall institutional subscribers were affected.  Of those
subscribers, just over 4% moved to a higher Tier and the remaining
were moved to a lower tier.  Letters explaining the changes for 2014
were sent to those institutions affected.  APS encourages any
institution with questions regarding their 2014 Tier change to please
contact Matt Wascavage, Fulfillment Manager at [log in to unmask] to
discuss your concerns individually.

Mark Chesnek
Marketing Manager
American Physical Society