For fifteen years, Smashwords was where many independent authors started: upload a Word file, reach dozens of stores, keep a generous share of the store's own sales. That model is gone. Publishing moved to Draft2Digital in stages after the 2022 merger, and the store simplified its royalties at the start of 2026.
This guide explains what changed, what it means for your earnings, and where authors are going instead.
What changed at Smashwords
| When | Change |
|---|---|
| 2022 | Smashwords merged with Draft2Digital |
| Following years | Publishing and distribution moved to Draft2Digital's dashboard |
| January 1, 2026 | New store royalties: 75% at $2.99+, 40% below, replacing a checkout-based formula |
| January 2026 | Smashwords completes its move to a dedicated ebook store |
What the new rates mean for you
| Ebook price | Smashwords Store (2026) | Per sale |
|---|---|---|
| $0.99 | 40% | $0.40 |
| $1.99 | 40% | $0.80 |
| $2.99 | 75% | $2.24 |
| $4.99 | 75% | $3.74 |
| $9.99 | 75% | $7.49 |
The $2.99 line is now a cliff. A $1.99 ebook earns $0.80; the same book at $2.99 earns $2.24, almost three times as much. If you priced short books or series starters under $2.99 on Smashwords, it's worth revisiting.
Why the Smashwords Store can still be worth it
The 2026 change isn't all bad news. At $2.99 and above, 75% of list price is more than most retailers pay, and more than the roughly 60% you get from other stores through an aggregator. The Smashwords Store also has a loyal readership that values DRM-free ebooks, which appeals to readers who dislike being locked into one company's apps. Its seasonal sales, such as the annual end-of-year sale, still bring bursts of attention to independent books.
So for many authors the answer is not to leave the Smashwords Store but to price for it: stay at $2.99 or more, and use lower prices only during promotions.
Smashwords alternatives compared
| Option | What it is | Ebook royalty | Best for |
|---|---|---|---|
| Draft2Digital | Aggregator (Smashwords' new home) | About 60% at most retailers; Smashwords Store rates above | Many stores and libraries from one upload |
| Amazon KDP | Retailer, direct | 70% from $2.99 to $12.99 (Amazon.com), else 35% | The largest market |
| Kobo Writing Life | Retailer, direct | 70% from $2.99, no upper cap, if 20% below print | International readers |
| Apple Books | Retailer, direct | 70% at all prices | iPhone and iPad readers |
| Barnes & Noble Press | Retailer, direct | 70% from $0.99 | US readers |
| BooksOasis | Flat-fee store | 100% of the ebook price | Keeping every dollar of the sales you win there |
Draft2Digital: the default successor
For most former Smashwords authors, Draft2Digital is the natural next step. It handles formatting, delivers to major retailers and library platforms, and includes the Smashwords Store as a channel. It keeps about 10% of the retail price at most stores, so a 70% retailer becomes roughly 60% for you.
New accounts pay a one-time $20 activation fee when distribution is enabled, and there's a $12 yearly fee unless you earned $100 or more over the previous twelve months. See Draft2Digital alternatives and KDP vs Draft2Digital.
Going direct to retailers
Smashwords once saved authors from managing many accounts. Going direct costs more time but pays more: about 10 points more per sale at Kobo, Apple and Barnes & Noble, plus access to each store's own promotion tools. Many authors go direct with their two or three biggest stores and let an aggregator handle the rest.
Direct-sale storefronts
If you liked Smashwords because it was a store for independent authors where you kept a big share, direct-sale options give you more of that feeling. Storefront tools such as Payhip and Gumroad charge a percentage per sale plus payment processing; flat-fee stores charge a yearly plan instead. Compare them in Gumroad alternatives for ebooks and how to sell ebooks direct.
BooksOasis: an independent store where you keep 100%
BooksOasis is an independent bookstore for ebooks, paperbacks and hardcovers, built for independent authors and small presses. Instead of a percentage, publishers pay a flat yearly plan and keep 100% of the ebook price on every sale, with no processing cut.
| Ebook price | Smashwords Store (2026) | BooksOasis |
|---|---|---|
| $1.99 | $0.80 | $1.99 |
| $2.99 | $2.24 | $2.99 |
| $4.99 | $3.74 | $4.99 |
| $9.99 | $7.49 | $9.99 |
BooksOasis plans start at $29.99 a year for 10 books, so the comparison holds once your sales cover the plan. See flat plan break-even.
- Print as well: paperbacks and hardcovers printed on demand; you earn the price minus printing and a 30% handling fee on that cost.
- Your own promo prices with start and end dates.
- Unlimited pen names and imprints.
- No exclusivity.
What BooksOasis does not do
- It doesn't distribute to other retailers or libraries; it's one more store.
- It doesn't offer free ebooks the way Smashwords does.
- Its plan costs a flat fee whether or not you sell.
- Listings go through a moderation review.
Repricing after the 2026 change
- Move ebooks from $1.99 to $2.99 where the book can carry it; you earn almost three times as much per Smashwords sale.
- Keep $0.99 for short promotions rather than permanent pricing.
- Bundle short works into a collection at $2.99 or more.
- Check other stores' bands too: KDP pays 35% below $2.99 and Kobo 45%, so $2.99 is a sensible floor almost everywhere except B&N and Apple.
More in how to price an ebook.
Free series starters after Smashwords
Smashwords made free ebooks easy, and many authors used a free first book to pull readers into a series. That strategy still works, but it needs a little more planning now.
| Store | Free pricing |
|---|---|
| Smashwords Store (via Draft2Digital) | Supported |
| Amazon | Not set directly; usually only through price-matching or KDP Select promotions |
| Other retailers | Varies; check each store's current rules |
| Your own newsletter | Deliver a free book as a sign-up gift |
An alternative that works everywhere is a low-priced starter: $0.99 during launches and promotions, then $2.99 the rest of the time. Readers still get a low-risk way in, and you earn a proper royalty between promotions.
Library distribution
One thing Smashwords did quietly well was reach library platforms. Draft2Digital now covers this for former Smashwords authors, delivering to several library services. If libraries matter to your genre (mysteries, romance and non-fiction often do well), check which library platforms your distributor reaches and what it pays, since library pricing and lending models differ from retail.
What to do with your old Smashwords account
- Confirm your books moved.Check that each title appears correctly in your Draft2Digital dashboard.
- Review prices against the 2026 rates.Anything under $2.99 now earns 40% in the Smashwords Store.
- Check payment details.Make sure royalties are going where you expect.
- Update your links.Old Smashwords author-page links in back matter and on your website may need replacing.
- Download your files.Keep master copies of every book and cover yourself.
Questions to ask any replacement
- What percentage of the list price reaches me, at my actual prices?
- Are there yearly or activation fees?
- Can I set free or promotional prices, and for how long?
- Which stores and libraries does it reach, and can I choose?
- Is there exclusivity?
- How and when am I paid, and is there a minimum payout?
A setup many former Smashwords authors use
- Draft2Digital for distribution.Including the Smashwords Store and libraries.
- KDP direct for Amazon.Stay out of KDP Select if you're wide.
- Direct accounts for your biggest one or two stores.Often Kobo or Apple.
- A direct store for your own readers.Where newsletter and social sales earn the most.
How you get paid
Smashwords Store earnings now reach you through your Draft2Digital account, alongside your other Draft2Digital sales, rather than through a separate Smashwords payout. Direct retailers each pay on their own schedule, and BooksOasis pays publishers their earnings directly. Check each platform's payout options and minimums when you set up.
Keeping track of earnings across channels
Once your books sell through an aggregator, a few direct retailers and your own store, royalty reports arrive in different formats on different schedules. A simple monthly spreadsheet helps: one row per book, one column per channel, and a note of each channel's rate at your current price. After three months you'll see which stores actually sell your books, and whether going direct with one of them is worth the extra dashboard.
Three authors, three responses
A fantasy author with a free first book kept it free on Smashwords as a series starter, raised book two onwards to $3.99, and kept everything else flowing through Draft2Digital.
A short-story writer with dozens of $0.99 titles bundled them into six collections at $2.99, earning more per sale and making her catalogue easier to browse.
A non-fiction author went direct with Kobo and Apple, used Draft2Digital for everything else, and sent newsletter readers to a direct store for launch-week sales.
Sources
Checked September 2026: Smashwords: about; Smashwords Store simplifies royalty rates; Jane Friedman on the 2026 rates; Draft2Digital royalty rates.
In short
Smashwords is now a store reached through Draft2Digital, paying 75% from $2.99 and 40% below. Most former Smashwords authors use Draft2Digital for reach, go direct where they sell most, reprice short books to $2.99, and add a direct store like BooksOasis where every ebook sale is theirs in full.
Questions
Can I still publish on Smashwords?
Not directly. Smashwords is now a dedicated ebook store owned by Draft2Digital. Authors publish through Draft2Digital and choose the Smashwords Store as one of its distribution channels.
What does the Smashwords Store pay in 2026?
From January 1, 2026, 75% of list price for ebooks priced $2.99 and up, and 40% for ebooks under $2.99. The old checkout-based formula ended in 2025.
Did the Smashwords royalty go down?
For cheap books, yes. Books under $2.99 now earn 40%, where many previously earned far more. Books at $2.99 and up earn 75%.
What happened to Smashwords' distribution to other stores?
Distribution moved to Draft2Digital, which now handles publishing, formatting and delivery to retailers and libraries for former Smashwords authors.
Does Draft2Digital charge fees?
Since 2026, new accounts pay a one-time $20 activation fee when distribution is enabled, and there is a $12 yearly fee unless you earned $100 or more in net royalties over the previous twelve months.
What is the best Smashwords alternative?
For reaching many stores, Draft2Digital itself (Smashwords' new home) or going direct to your biggest retailers. For keeping more per sale, add a direct store such as BooksOasis, where you keep 100% of the ebook price.
Is the Smashwords Store still worth listing in?
It can be, especially for DRM-free readers and genres with loyal Smashwords audiences. At $2.99 and up, 75% is higher than most retailers.
Did Smashwords coupons survive?
The Smashwords Store still runs promotions such as its annual end-of-year sale. Check Draft2Digital's dashboard for the current promotion tools.
Can I list on BooksOasis and Smashwords at the same time?
Yes. BooksOasis doesn't require exclusivity, and it isn't a Draft2Digital channel, so you list directly.
What about free ebooks?
Smashwords is known for free ebooks, which can work as series starters. Some stores, including Amazon, don't let you set a free price directly, so check each store's rules before planning a free series starter.
Should I raise my ebook prices because of the new Smashwords rates?
If a book is priced under $2.99, consider it. At $1.99 you earn $0.80 per Smashwords sale; at $2.99 you earn $2.24. Keep lower prices for short promotions.
Are Smashwords books DRM-free?
Yes. The Smashwords Store sells ebooks without DRM, so readers can open them in any EPUB-compatible app or device.
A store where you keep 100%
List on BooksOasis alongside Smashwords and the rest, from $29.99 a year.