It’s a commonly held misperception that authors are rich. Yes there are some authors who are well off, and yes some of them sell thousands of books, but here’s the real reason those authors are making money—they’re thinking beyond the book.
The truth is that quality books are costly to develop and produce and they must sell through several reprints to become profitable. As such, much of the money authors make doesn’t come from the sale of the book itself but from the opportunities the book gives the author.
As an author, a book gives you instant credibility and opens doors to other streams of income previously unavailable to you. For nonfiction authors, the book is often an extension of your business or expertise. It’s a marketing tool, demonstrating your philosophy and unique approach to potential clients, media outlets, and speaking opportunities. For fiction authors, a book demonstrates your ability to perceive and recreate the world, and opens up opportunities to teach, speak, and educate other authors.