I don't work on much erotica, but if anyone wants an editor's perspective on how to prepare a query or on any general publishing questions, feel free to PM me. I'm afraid I won't be very helpful with issues of self-publishing and e-books, but I'd be able to help with questions regarding traditional publishing houses and literary agents.
And here's some more info on other publishers who do erotica:
As of two weeks ago, Ellora's Cave was accepting all erotica romance genres but F/m. The most popular for them are vampire/shapeshifter, futuristic and bondage/M/f. They're also interested in acquiring gay/lesbian romances. Must be a minimum of 20,000 words and they prefer submissions be over 40,000 words. EC only publishes erotic romance, not erotica. But they are starting up some kind of new erotica program that will run under a different name and are actively searching for submissions.
They're keeping pretty quiet about it, but MIRA Books (an imprint of Harlequin) is actively acquiring classy erotica for a new program. You must have an agent to submit. There's no info up on their websites (www.eharlequin.com and/or www.mirabooks.com), but PM me and I can give you the name of the editor heading up the program.
ImaJinn is starting a new paranormal erotica line. From what I understand, they'll accept queries from unagented, unpublished authors, but won't accept unsolicited partials or completes. More info at www.imajinnbooks.com.
Pocket Books is doing erotica, but only accepts agented submissions. If you want the names of the editors interested in erotica, PM me.
Red Sage Publishing is looking for "sensuous, bold, spicy, untamed, hot, and somtimes politically incorrect stories." Their ideal submissions are between 35-40,000 words long, but will take submissions longer and shorter. And they welcome unagented authors. www.redsagepub.com