How Can Audible Sell Audiobooks So Cheap? [5 Reasons]

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A common concern with audiobooks is their cost, which often seems higher than physical books or eBooks.

The reason? Creating an audiobook is more like producing a movie than printing a book.

It involves a team of skilled professionals—from narrators and sound engineers to editors—all working together to craft a seamless, high-quality listening experience. And naturally, that level of effort comes with a price tag.

Many audiobook listeners complain that Audible is expensive compared to other platforms. It seems true if you look at the listed prices of audiobooks.

But if you have been an Audible user for a while, you will know there are plenty of ways to save and cut down on your audiobook purchases.

Read the article 12 ways to save money on Audible to learn how to get Audible books at huge discounts.

Audible regularly offers 3 months for $0.99/ month deals where users can grab 3 audiobooks of their choice and enjoy the Plus Catalog for 3 months.

Then, there are regular sales and deals to get audiobooks at huge discounts. You can grab two titles using one credit in 2-for-1 credit deals.

Read More: How to find Audible books on sale

The Sitewide sale is my favorite. I recently got 7 audiobooks for $26.51 from Audible’s Sitewide sale.

Tip: Fill up your Wish List with audiobooks you want to listen to in the future and grab them on sitewide sales for huge discounts. You are set for the whole year.

Audible’s credit system is an incredible way to save money on expensive titles. By using credits wisely, you can get any audiobook for $10 or less, irrespective of its price.

All membership plans come with unlimited access to the Plus Catalog, which includes over 70,000 titles and get fresh content added to it on regular basis. 

In short, if you use Audible right, you will be amazed at how Audible manages to offer audiobooks at such low prices.

Related Article: How to find cheap audiobooks on Audible

How can Audible Sell Audiobooks so Cheap

After using Audible for years and exploring other alternatives, I have discovered 5 key reasons why Audible can offer audiobooks at prices lower than its competitors.

Reason 1. Audible is the Audiobook Market Leader

Audible has a first-mover advantage and currently holds a 65% of market share for audiobook sales in the U.S., according to Goodreader.

They have a reputation of premium quality content and built a trustworthy brand in spoken word content.

Audible is first choice for authors when they want to publish the audio version of their book. This means Audible can secure better deals with authors and pay them less than other platforms because Authors are looking to reach more users.

Audible pays author 25% royalties (or 40% if they agree to an exclusive contract), according to AXIOS.

This is well below the industry standard of 70% for other digital products like games or apps.

Reason 2. Audible’s Business Model

Audible encourages users to subscribe to one of their different membership plans. The recurring subscription fee is always better than one time purchase.

It is much easier to subsidize a one-time purchase of $14.95 when you have already charged a user $149 for annual membership. A part of your discount comes from your Audible subscription fee.

The psychology of credit system is also interesting. If I get a credit every month, I am going to buy an audiobook every month. If I can just pop in anytime, I may not buy an audiobook for months.  

Sometimes I spend credits on books that I normally would not buy or think twice if I have to buy with cash. This is simply because I have credits and I need to spend them.

Audible offers credits at discounted price to members because it is one way to make subscribers spend more and make purchases.

Related Article: How to buy Audible credits

Audible makes a significant amount in recurring subscription plans so they can offer discounts using some of that income.

Reason 3. Audio Format has no Distribution Costs

While audiobooks are expensive to make, the marginal cost to distribute a digital file is basically nil.

Once Audible has recouped the initial costs, they can distribute audiobooks at affordable prices and take it in as pure profit.

Audible typically launches audiobooks in the U.S. and Europe first to recover the production costs. Then, they can lower prices and offer discounts to sell more copies in other markets. Authors only earn royalties when Audible makes a sale.

Reason 4. Sales Volume over Profit Margins

It is more of a game of quantity than profit margins for Audible. Authors love sales because they have a chance to reach a bigger user base by offering affordable prices.

Audible provides large and established platform to reach a vast audience. Higher sale volumes allow Audible to spread fixed costs across more customers, ultimately boosting profitability.

Discounts are a win-win: members save money, and authors gain greater exposure, which often translates to increased sales and a growing fan base

5. Audible is Facing More Competition

Spotify started offering audiobooks in October 2023 and became the second-largest audiobook provider behind Audible, in February 2024.

Chirp audiobooks offers up to 95% discount on audiobook purchases without any commitment and subscription.

Most audiobooks are under $5, and sale prices range from $2.99 to $4.99. Chirp offers select titles for less than $1, less than $3, and less than $7.

Tip: You can check all running deals on Chirp from the Featured Deals page.

Audiobook listeners can also use apps like Libby and Hoopla to borrow audiobooks for free from their local libraries.

While Audible is the market leader in audiobook industry, there are several other audiobook platforms that are becoming popular and offer listeners competitive prices.

Related Article: 5 Best Audiobook Platforms

Because of growing competition, Audible is offering more sales lately, as noted by Reddit users

So, if you are wondering how can Audible sell audiobooks so cheap, one reason is growing competition and more options for audiobook listeners.