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Today C'Gear editor Doug Aamoth posted some advice for Amazon, centering on alternative ways to price the device:

1. Keep selling the Kindle for $359, straight-up, just like it's being sold now. No fuss, no muss, nobody gets bent out of shape. People can buy the Kindle and then spend as little or as much on e-books as they see fit.

2. Sell the Kindle for $249 with an automatic $15 monthly book credit for one year.

3. Sell the Kindle for $49 with an automatic $30 monthly book credit for one year.

He also offers how this layered model could entice exxisting Kindle owners to upgrade when Kindle 2 gets released. See the article for details:

http://www.crunchgear.com/2008/11/30/dear-amazon-heres-how-to-sell-even-more-kindles/
 

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Interesting article... I think I like the way I am buying books now... Coinstar and free books! But, the idea of a subscription for book purchasing?? If it was like Rhapsody where you pay a flat monthly fee for unlimited downloads.... I would go for that!!
 

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Harvey said:
Today C'Gear editor Doug Aamoth posted some advice for Amazon, centering on alternative ways to price the device:

3. Sell the Kindle for $49 with an automatic $30 monthly book credit for one year.
This is too low. . . .it undervalues it. I mean, if you have something worth something you should sell it for what it's worth. The $249 price point with monthly book credit is probably about right in terms of comparison with other tech gadgets.

'Course, the fact that it's SOLD OUT at $349, probably means that's about right for it!

They should do more to emphasize that the Whispernet is Free Forever when you buy it. . . .that is probably worth $30 per month right there. OTOH, I think they should negotiate with a provider with more coverage, like Verizon, but where would that leave us who have the Sprint chip?

just thoughts,
Ann
 

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I think the current price is more than fair. It is not as though Amazon had exclusivity on where you get your content. If you could only buy from Amazon then it might make sense for them to lower the price a bit. But since people can buy from other sites or get free content and since we expect to get the stuff we do get from Amazon at a much lower price, then how can we then also expect the device to be real cheap too? I do not understand this expectation some have, that they should get everythingfor nothing!?!

You can easily spend more on a pair of shoes, a purse or a jacket. To me it is all about use, with anything I buy. If I use it a lot, it is worth the investment. The more I use it, the cheaper it becomes. Right now, they obviously can not meet the demand and with people willing to spend 900.00+ on eBay, just to get one before Christmas... value is obviously a very subjective thing.
 

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I prefer it the way it is and wish cell phones, internet service and cable tv did it the same way. This way I spend only on what I like and as much as my budget will allow.
 

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I read the actual piece.  It's an interesting article and I think he makes a good point, although I disagree with the author's Kindle pricepoints and I think the reasoning is backwards.

I think the Audible model has some merit; but I look at it the other way around, not as a way to sell Kindles, but as a way to sell books from Amazon.  This is of course Audible's reason for their subscription and discounted devices; they want you to buy audiobooks from THEM.

If they had a subscription service, say $15/month, and one could get 10% off the price of the Kindle, some people might sign up for the subscription, figuring they would buy the books anyway and why not get a discount on the Kindle at the same time.  So Amazon not only sells a Kindle, but they are guaranteed another $180, at least, in book sales.

The other flaw in the reasoning is of course that there are many many many Kindle books on Amazon at less than $9.99.  I have only bought one so far....

Interesting though.

Betsy
 

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I like the straight up $359 and buy what you want as you go along with no other fees...just the way it has been. 
 

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I wouldn't suggest they change that, just some additional marketing schemes.  You never know what will hook someone, and if it makes Kindle more successful, I'm all for it!

Betsy
 

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Harvey said:
Today C'Gear editor Doug Aamoth posted some advice for Amazon, centering on alternative ways to price the device:

1. Keep selling the Kindle for $359, straight-up, just like it's being sold now. No fuss, no muss, nobody gets bent out of shape. People can buy the Kindle and then spend as little or as much on e-books as they see fit.

2. Sell the Kindle for $249 with an automatic $15 monthly book credit for one year.

3. Sell the Kindle for $49 with an automatic $30 monthly book credit for one year.

He also offers how this layered model could entice exxisting Kindle owners to upgrade when Kindle 2 gets released. See the article for details:

http://www.crunchgear.com/2008/11/30/dear-amazon-heres-how-to-sell-even-more-kindles/
OK anyone corrected me if I'm wrong but Amazon would take a lose with idea 2 and a real huge lose with idea 3, I don't think Amazon could afford to do either 2 or 3, and still sell the kindle book at a discount.
 

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I prefer to pay a fair price for it and be done with it.  I don't need some crazy scheme to make me think it's cheaper or to hide the real price.  They are sold out at the current price so they couldn't sell more even if they wanted to.  I guess they could sell more spots on the waiting list.  :)
 

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TheJohnNewton said:
I prefer to pay a fair price for it and be done with it. I don't need some crazy scheme to make me think it's cheaper or to hide the real price. They are sold out at the current price so they couldn't sell more even if they wanted to. I guess they could sell more spots on the waiting list. :)
Your right on both point, if it working don't fix it. From what I can see Amazon Kindle is selling really well, There an 11-13 week backlog.
 

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jah said:
OK anyone corrected me if I'm wrong but Amazon would take a lose with idea 2 and a real huge lose with idea 3, I don't think Amazon could afford to do either 2 or 3, and still sell the kindle book at a discount.
That's how I read it too jah. My background is accounting.

I think what he is trying to say is sell Kindle at a reduced rate with a bundled subscription to Amazon for purchasing books on a monthly basis. Plan 2's subscription cost the purchaser and additional $15 per month and Plan 3 will cost an extra $30 per month.

Also use you monthly allotment or lose it.
 

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cat616 said:
That's how I read it too jah. My background is accounting.

I think what he is trying to say is sell Kindle at a reduced rate with a bundled subscription to Amazon for purchasing books on a monthly basis. Plan 2's subscription cost the purchaser and additional $15 per month and Plan 3 will cost an extra $30 per month.
Also use you monthly allotment or lose it.
Basically he is suggesting they follow something similiar to what cell phone companies offer with their plans. Sign a contract for a certain service, and get the hardware much cheaper.
 

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Amazon is already discounting Kindle books.  From what I read, they pay the same price for a hardcover as an e-book, yet are selling those e-books to us for $9.99 or less. 

Who was the publisher who ranted about Amazon ruining the publishing and bookselling business?  I think it was in response to an e-mail inquiry from one of us.

No, I don't think CrunchGear's advice for Kindle was good advice.  If Amazon dropped the price of the Kindle, even with a monthly book subscription, the price of the books would have to go way up.  Amazon nearly went bankrupt several years ago and it would have been a black day for all of us.  Let's let them make their own decisions and stay in business.  I'll pay full price for the technology, and then load it up with free and bargain books. 

 

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I am of the opinion that Amazon knows exactly what it is doing and will continue to conduct business in this manner until they decide it is more lucrative to do it differently.

Personally, I think a Kindle is worth every penny that it is priced at.  I would purchase again at this price point.

I can not use a monthly subscription but even if I could I would prefer to make purchases on my own timetable not one imposed on me.

 

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If publishers are getting the same amount from Amazon on ebooks as they do hardcovers, then they should really be opushing ebooks, since they make much more from them (only production cost is the initial set-up of the kindle version).

I would love to see some sort of montly service like netFlicks has  - for amontly fee you can "borrow" as many books as you want (but can only have a certasin number active on your Kindle) - that would be great for books I don't plan on re-reading (or if I find one i love using the service, then i would ourchase my own copy so i could always have it accessable)...
 

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Personally, I hate the "subscription" idea.  It definitely would not be good for me.  I already pay for cell phone time I don't use, and Netflix in months I never get around to watching the DVD.  My book tastes are such that I can go for weeks without buying from Amazon (usually Baen Books instead), then spend a fortune buying books from them the next month.  And of course, the prices of books that I buy vary wildly:  from 0, to $2.00, to 9.99.  I recently bought 10 books for $20 from Baen, and have also been reading stuff from their free library, but the month before, I bought a couple dozen books from Amazon.  They probably love me!
 
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You can easily spend more on a pair of shoes, a purse or a jacket. To me it is all about use, with anything I buy. If I use it a lot, it is worth the investment
Not in this neck of the woods. The Kindle was a big purchase for me. That in itself makes it special to me.

I don't like the ideas of subscription book sales attached to the Kindle. I like it just as it is. As 2gen and 3gen Kindles get released, the prices will most likely come down anyway.
 

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Vampyre said:
Not in this neck of the woods. The Kindle was a big purchase for me. That in itself makes it special to me.
Same here even at $100 off. I put off a couple of other large purchases to get it. Reading is always a priority.
 
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