No names named. I felt like I had to get this out there and no one really follows this blog anyway.
So here goes…
I had a deal with this small publisher that I would translate a serialised online novel. Projects like these are usually four million words and up, so they are very long term projects that will take years to see to completion. What the publisher promised in the beginning (late 2017) was that they would secure the publishing licence for the novel, and I would translate six chapters a week for the platform (these are free for the readers to read) for a cut of the advertisement revenue from views. One chapter is about 3,300 source words on average.
The contract only specified that I would receive 60 cents (USD) per 1,000 views in advertisement revenue.
At the time of our agreement, I could post additional chapters beyond the six I translate for the site for non-paying readers on other platforms such as Patreon, and get 100% of the earnings from subscribers on that platform.
In other words, I post six chapters a week on the publisher’s website for a cut of the ad revenue, and get to keep 100% of the earnings from the “crowdfunded” chapters I post on Patreon. These additional chapters are called “advance chapters” and readers who subscribe get to read ahead of what’s available for free.
Payment: Ad-revenue share (60 cents per 1,000 views) + 100% of crowdfunded earnings. Paid after 60 days from the time the publisher gets paid by the ad people.
For comparison, let’s assume 500,000 monthly views and $2,000 gross from crowdsourced earnings.
Views earnings: 500 X 0.6 = $300
Crowdsourced earnings: $2,000
TOTAL: $2,300 monthly
Fast forward a few months later in 2018, the publisher informed me that the advance chapters have to be hosted on their platform, and that the billing system for this would also be handled by their platform. 30% of the earnings from the advance chapters were taken as payment for the Chinese publisher’s share of profits. Transaction fees to be absorbed by the translator.
Payment: Ad-revenue share (60 cents per 1,000 views) + 70% of crowdfunded earnings – transaction fees. Paid after 60 days from the end of the month.
For comparison, let’s assume 500,000 monthly views and $2,000 gross from crowdsourced earnings.
Views earnings: 500 X 0.6 = $300
Crowdsourced earnings: $2,000 X 0.7 = $1,400
TOTAL: $1,700 monthly
Not long after, the publisher launched a ‘site credits’ system which would allow readers to read ad-free. The reader can purchase monthly VIP status at $5, $10, $20, and so on. The publisher told translators that this VIP system will help boost sales in the long run as it would encourage readers to subscribe at higher-priced tiers.
If readers bought the $5 VIP package, they would also get $5 in credits which could be used like regular cash to purchase chapters from a translator’s advance chapter subscription tiers. For example, if a translator had an advance chapter tier of $10, allowing the reader to read ahead by three chapters, the readers who purchased the $5 VIP subscription can use a corresponding $5 credit on this tier, so the translator would only get $10 – $5 = $5. This is then subject to the percentage shares, plus the transaction fees. Thus, the ones who have to bear the entire financial burden of the site credits were the translators and not the site, and the site continued to take their entire cut from the net profits.
Additionally, the credits are applied according to the time of renewal of the current subscriptions. This effectively means that credit allocation is a Russian roulette for the translators.
This means:
If a reader is subscribed to Translator A at a $5 tier, Translator B at $10 and Translator C at $10, then purchases the $20 VIP subscription and gets $20 in credits…
The publisher gets $20.
$20 credits – $5 tier = $15 credits
Translator A gets $0.
$15 credits – $10 tier = $5 credits
Translator B gets $0.
$5 credits – $10 tier = $5 real money spent on tier.
Translator C gets $5. This is then subject to the Chinese publisher’s 30% profit share cut.
$5 x 0.7 = $3.50
The translator gets $3.50, and this will be subject to transaction fees.
If Translator C’s tier was the first to be renewed, the credits would apply to Translator C first, then hit either Translator A or B, whoever’s up next.
Payment: Ad-revenue share (60 cents per 1,000 views) + 70% of crowdfunded earnings after the deduction of credits. Oh, and after transaction fees, of course.
For comparison, let’s assume 500,000 monthly views and $2,000 gross from crowdsourced earnings.
Views earnings: 500 X 0.6 = $300
Deduction of roughly 20% in site credits: $2,000 X 0.8 = $1,600
70% of crowdsourced earnings: $1,600 X 0.7 = $1,120
TOTAL: $1,420 monthly
A few months later, the publisher started promising readers things like faster releases and “encouraged” all translators to increase their chapter outputs to give the readers 14 chapters a week for free. Advance chapters, and hence, earnings, were up to the speed the translator could manage to maintain. The focus moved from quality to quantity since the readers were not particularly fussy about standards and were, in general, more likely to support a translator who churned out more content than someone who didn’t. Earnings also varied depending on the plot, what the readers felt like supporting, the way you priced your chapter tiers, and a myriad of factors. Unfortunately, quantity is seen as a sign of quality and skill by the publisher, and work of barely acceptable quality is highly encouraged if it means the translator can produce more content. I like to compare this sort of work to trying to make it big as a Youtuber, only your content is not really within your control. The content is dependent on the author you translate.
In 2019, the publisher started claiming that revenue was bad, that they needed more funds to gain more readership, so they were going to take a cut of the earnings too. The publisher took, and still takes, 20%.
Payment: Ad-revenue share (60 cents per 1,000 views) + 50% of crowdfunded earnings after the deduction of credits. The publisher promised payment after five business days from the month’s end but it was often delayed to the 20th. The publisher continued to be late and irregular with payments. They only paid on time once in a blue moon.
To make it clearer:
A reader spends $10 on VIP credits.
Translator has an advance chapter tier of $20 in value.
$10 credit is applied to the $20 tier, effectively meaning that the reader is paying only $10 for it.
30% of the $10 goes to the Chinese publisher, leaving $7.
20% of the $10 goes to the publisher, leaving $5.
The translator gets $5 from this $20 purchase.
The Chinese publisher gets $3.
The publisher gets $12.
(This does not take into account the transaction fees of the micro-transfers.)
If a reader spends $10 on VIP credits and this credit is applied to the advance chapter tier of $10:
The translator gets $0.
The Chinese publisher gets $0.
The publisher gets $10.
For comparison, let’s assume 500,000 monthly views and $2,000 gross from crowdsourced earnings.
Views earnings: 500 X 0.6 = $300
Deduction of roughly 20% in site credits: $2,000 X 0.8 = $1,600
50% of crowdsourced earnings: $1,600 X 0.5 = $800
TOTAL: $1,100 monthly
In 2019, the publisher said that the translators would have to help bear the burden of losses to advertisement revenue. The loss was due to the publisher’s oversight in making sure that certain guidelines had to be followed, and the site was added to advertising blacklists because of inappropriate content. The publisher has all the data on advertisement revenue and only discloses the monthly per-1,000 views amount when pressed to answer.
Payment: Ad-revenue reduced to 50% of what the earnings were for that month + 50% of crowdfunded earnings after the deduction of credits. Delayed payments as always.
Not long after, the publisher launched the mobile phone app version of the platform. This led to a reduction in views on the site and also chipped away at ad-revenue. Queries of what the ad-rev rate was supposed to have been for the month was answered with a curt “the same as last month” or pretty much “10 cents”.
Payment: 10 cents per 1,000 views + 50% of crowdfunded earnings after the deduction of credits.
Note: The initial contract stated that the payment for ad-revenue share was 60 cents per 1,000 views. This is in the contract.
For comparison, let’s assume 500,000 monthly views and $2,000 gross from crowdsourced earnings.
Views earnings: 500 X 0.1 = $50
Deduction of roughly 20% in site credits: $2,000 X 0.8 = $1,600
50% of crowdsourced earnings: $1,600 X 0.5 = $800
TOTAL: $850 monthly
The publisher also introduced another credit system for the novels which have been completely translated and put behind a paywall. The system is structured in such a way that it made much more sense for the reader to purchase VIP credits than to unlock individual chapters with the credits. This boosted sales for the publisher’s VIP subscription system and reduced the earnings of the translators.
This could now mean that the site credits eat even more of the translator’s profit pie, especially for the novels which are not popular. It will be fair to assume a (slightly exaggerated) 40% cut due to site credits. This will mean:
Views earnings: 500 X 0.1 = $50
Deduction of roughly 40% in site credits: $2,000 X 0.6 = $1,200
50% of crowdsourced earnings: $1,200 X 0.5 = $600
TOTAL: $650 monthly
In 2020, I couldn’t take it anymore and quit. I started focusing my efforts on commercial translation and I’m specializing in game translation now. I am also looking to move to working with print publishers and I’m studying towards a Master’s degree in Translation.
This has been a great learning experience, for sure. Think twice about who you want to work with.