BENGKEL PENJANAAN & ANALISIS STATISTIK PENGGUNAAN PDK 19 APRIL 2011 : UKM

1. BENGKELPENJANAAN & ANALISISSTATISTIKPENGGUNAANPDK19 APRIL 2011 : UKM FTE and its effect on database subscription Nor EdzanCheNasir Library University of Malaya

2. ABSTRACT • The digital era has brought about enormous changes to the journal publishing process. Publishers are now offering journals as digital copies packaged as a database. This move has also affected the journal subscription process and publishers are now offering journals as database packages. Publishers now have to look at various journal subscription models in order to offer the so-called “best price” to their clients. Various factors are taken into account when deciding on the pricing of individual journals or packaged journals. One important factor in this instance is the full-time equivalent or FTE. Pricing now takes into account the FTE of potential subscribers. • This paper attempts to explore the various definitions of FTE and its implications, if any, on database subscription.

3. INTRODUCTION • Emergence of electronic journals – changes the journal subscription practice in libraries – academic libraries • Researchers prefer online databases for their activities • Academic libraries migrate from print to electronic journals – decline in demand for print • Electronic journals are now bundled as online databases • Expensive – search engines • Problem – pricing model

4. RE: FTE-based pricing To: liblicense-l@lists.yale.edu, <liblicense-l@lists.yale.edu> Subject: RE: FTE-based pricing From: "Tracy L. Thompson" <tracy.thompson@yale.edu> Date: Fri, 13 Oct 2006 16:41:00 EDT Reply-to: liblicense-l@lists.yale.edu Sender: owner-liblicense-l@lists.yale.edu I would really like to find a forum for a back-to-basics discussion about pricing models for e-resources and the justifications for or arguments against them. I entered the discussion in the mid-90s after the basic terms had already been established. I don't know what the original arguments were. How did we even get to usage-based pricing? What industry built that model and how did we buy into it for information? Does it still hold up? What about the inherent value of the content independent of usage? And what about pricing models based upon "maintaining print spend?" How does that make sense for the consumer? And what should we be advocating as the 'best' model for all involved, not just library/consumers and not just vendor/publishers.I feel like it's time to revisit all of these models and at least reassure ourselves that they still hold water. If anyone else would be interested in a dialogue, or has some background or insight they'd like to share, please respond to me directly and I'll see if there is enough interest to plan a webinar or something.Cheers,Tracy

5. At 02:46 PM 10/12/2006, Stefanie Wittenbach wrote: I personally believe that FTE-based pricing is quite harmful to the library community for the following reasons: Use is not necessarily tied to the institution's FTE. Growing campuses are penalized because the price continues to increase, but the users of the resource may not be growing in the same way. If anything, I think database pricing should be a flat rate or flat rate plus some factor for high use. Stefanie Stefanie Wittenbach Assistant Dean, Collections John Peace Library The University of Texas at San Antonio San Antonio, TX 78249-0671 stefanie.wittenbach@utsa.edu

6. [mailto:owner-liblicense-l@lists.yale.edu] On Behalf Of Porzio, Steve Sent: Tuesday, October 10, 2006 6:31 PMTo: liblicense-l@lists.yale.eduSubject: FTE-based pricingThe American Statistical Association (ASA) is considering a change from its current flat-rate charge for web access to its journals to a tiered, FTE-based pricing structure. I am seeking librarians familiar with various journal pricing structures who would be willing to answer a few questions and give me their general thoughts on this potential change. We strongly wish to avoid harming relations with our library patrons and would much prefer to collaborate with those who purchase our journals. If you are willing to provide input, please contact me at steve@amstat.org.The ASA is, among many other things, a non-profit publisher of statistical journals. More info may be found at www.amstat.org/publications.***************************Stephen PorzioAssociate Executive Director andDirector of OperationsAmerican Statistical AssociationAlexandria, Virginia 22314-1943www.amstat.org

7. PRICING MODELS • Subscription is to an individual or to an institution • Databases in academic libraries are heavily used • Therefore, there is a tolerance for differential pricing based on institution size and intensity of use • Various pricing models available

8. PRICING MODELS • Print-only or online-only = either format available independently either at the same price or at different prices • Print-and-online = both format bundled for one price • Print-plus-online = online available for a surcharge on top of the print-only price • Online-plus-print = print available for a surcharge on top of the print-only price • Pay-per-hit • Pay-per-view (PpV) • Pay-per-download • Pay-per-print • Deeply discounted pricing • FTE based pricing – most costly • Transaction-based pricing - cheaper but difficult to anticipate usage & library has to constantly monitor & even restrict usage • A combination of these

9. PRICING MODELS • Most used is the banded or tier-based pricing • Dependent on • Type of institution • Number of full-time equivalent students (FTE) at an institution • Number of sites included in the license • Number of concurrent users able to access the service • Or some combination of these measures

10. FULL-TIME EQUIVALENT • FTE • Measures the size of an organisation & is not an indicator of actual usage • For a university = number of full-time students (or equivalent) plus total number of faculty and teaching staff across all subject areas and all types of students across the sites that will have online access • Most popularly used now but is expensive for older universities with large numbers • Vendors have discounted – 10-20% on FTE & 10-20% on subscription

11. FULL-TIME EQUIVALENT • Good for highly used titles • Bad for specialised titles • Anticipated and not actual use • Low usage – disadvantage • Low usage – still pay by FTE-based

12. EXAMPLE OF TIERING BY FTE • Tier 1 = 1 – 5,000 FTE • Tier 2 = 5,001 - 10,000 FTE • Tier 3 = 10,001 - 20,000 FTE • Tier 4 = 20,001 + FTE

13. RECOMMENDATIONS • Tiered subscription model = FTE based pricing for general interest high use titles BUT • FTE should be based on usage and not absolute FTE • FTE for current year based on usage in previous year • Concurrent user pricing model = specialised databases with limited use • Single site licensing = one city = a university having different campuses in one city • Multiple site licensing = a university having different campuses in different cities • From single site & restrict IP address to that site only = single licence with site FTE only

14. RECOMMENDATIONS • Usage-based pricing model that allows a library to convert from PpV to subscription model once it reaches a specified usage threshold • Subscription to core titles only in the database, others PpV • Price locked for a stipulated time • Price increase must be reflected in quality of services rendered, change in interface of website, improved access to database • Consortium pricing – negotiate aggressively • Look for open access journals on the Web & provide links on your website & alert users of their availability

15. CONCLUSION • No universally acceptable pricing and licensing model. • Suppliers need to talk about this to libraries • Suppliers need to be aware of financial status of libraries & need to develop a more “friendly” pricing model. • MOLEC – need to look at this and develop a favourable model applicable to Malaysian libraries

16. REFERENCES • Bist, R.S. (2005). Managing and Handling Electronic Journals : Some Issues. Retrieved from: http://shodhganga.inflibnet.ac.in/dxml/handle/1944/1410 • Crow, R. (2010). Subscription Options and Pricing. Retrieved from the Connexions Web site: http://cnx.org/content/m34287/1.1/ • Goudar, I.R.N. & Narayana, P. (2004). Emerging pricing models for Ejournals Consortia and Indian Initaitives. Retrieved from: .http://nal-ir.nal.res.in/3984/1/ICDL-Consort-pricing.pdf • Mikkonen, F. (2006) Analyzing E=book Pricing Options and Models Based on FinE Lib E-book Strategy. Retrieved from: http://archive.ifla.org/IV/ifla72/papers/154-Mikkonen-en.pdf • Sreekumar, M.J. & Sunitha, T. (2005). Library Capacity Building Through E-journal Consortia : the Indian Senario. Retrieved from: dspace.iimk.ac.in/bitstream/2259/249/1/09-mgs-sunitha-paper+new.pdf · • Thompson, T. L. (2006). RE: FTE-based Pricing. Retrieved from: http://www.library.yale.edu/~llicense/ListArchives/0610/msg00071.html

17. THANK YOU