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As the book industry prepares for the twin debut of Apple's iPad and the switch by five of the biggest trade book publishers to the agency pricing model, retailers, distributors and consumers can expect dramatic changes in the e-book marketplace. In a blog post, Michael Tamblyn, v-p of content, sales and merchandising at e-book retailer Kobo, warns consumers to be prepared for higher prices, the loss of consumer reward programs and unpredictable availability for some titles.

Indeed, Tamblyn and others have noted that the April 1 transition to the agency model—agent/sellers like Kobo will now take a 30% commission off the e-book retail price set by publishers—has been instituted so rapidly that there may be problems. Some digital wholesalers like Ingram and OverDrive as well as publishers and some retailers have complained that they have not had enough time to rewrite agreements or revamp complex digital delivery systems in time.

"Publishers may not be able to close all deals by the beginning of April," Tamblyn wrote on the Kobo blog. "Retailers may find themselves presented with terms they can't agree to. There are a lot of system changes that have to be made on just a few days/weeks notice."

While consumers will see fewer $9.99 e-books—"In the US, a lot of $9.99's are going to become $12.99's and some will be more. Not much we can do about it—we aren't allowed to discount them," he says—some titles will stay the same price or go down because not all publishers are switching to the agency model. Among publishers who are not switching to the agency model, at least for now, are Random House, McGraw Hill, John Wiley & Sons, Harlequin and many smaller publishers.

So on the eve of this big change in how e-books will be sold, Kobo, known for its loyalty and consumer discount programs, is offering a big last minute e-book sale for consumers. The e-book retailer is offering $2 off every e-book title it offers until midnight March 31. "We're going to party like it's $9.99," Tamblyn jokes.

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