Perlego (perlego.com) is a digital library operational in the United Kingdom, Germany, France and Belgium. Perlego offers users monthly access to a set of titles under a subscription service. To date the platform includes content from over 1200 publishers including; Pearson, Springer, Bloomsbury, Wiley, IMF, OECD, Palgrave Paktpublishing and McGraw Hill.


The platform recently was awarded European Edtech awards and works with over 120 different companies.


Perlego's subscription model is based on a weighted average. Under a subscription, the publisher's earnings are prorated across all of the books accessed during that month. Payments for a given title are based on the percentage of the book read by the user multiplied by its list price, compared to the book percentage read multiplied by the list price of all other books accessed by a customer during that month, multiplied by the publisher's earning rate. A monthly Perlego subscription averages £12.


Here is an example for a set of titles under one publisher:



List Price (A)
% Book read (B)


(A) x (B) 
Weighted List Price


% Share (C)


(C) x £12
Royalty Share


Publisher Rate


Publisher Payment
(per month)


Title 1
£32
40%
£12.80
39.2%
£4.70
65%
£3.05
Title 2
£28
20%
£5.60
17.2%
£2.07
65%
£1.35
Title 3
£36
30%
£10.80
33.2%
£3.98
65%
£2.58
Title 4
£24
10%
£2.40
7.4%
£0.89
65%
£0.58
Title 5
£10
10%
£1.00
3%
£0.36
65%
£0.24
Total
£130
/
£32.60
100%
£12.00
65%
£7.80


In this example, 40% of Title 1 was read during the month. Taking the percentage of the title read and multiplying this by the list price (A)x(B) provides the weighting of that title against the remaining titles accessed during the month (C). For Title 1, this rating amount is 39.2% share. The actual revenue is £12, which is the average monthly subscription rate that users pay to access Perlego premium. Using the 65% publisher payback rate, the publisher payment would be £3.05 for Title 1, with the combined 5 titles earning the full £7.80. If the user only read Title 1 then the full allocation of funds would be given to the publisher of Title 1. This model thus allows monetization of both "core texts" and the additional reading/long tail approach.