Amazon change the game yet again
I bought my first ebook reader – a Sony PRS505 about 4 years ago, and it cost me about $500. Then about two years ago, I bought an Amazon Kindle for about $300. It recently broke and Amazon replaced it for a nominal fee (even though it was out of warranty), with a Kindle worth over $250 (4 months later you can get the same unit for $139).
As of today, for less than $200 you can get a full-colour Kindle, and if that is too much, an entry-level Kindle is just $79, which is the cost of about 5 paperback novels. Here is some quick maths (and I am going to switch to Rands).
- The entry level Kindle is about R640.
- A paper-back book in South Africa is about R150.
- The equivalent ebook on the Kindle is about R80, so for each book you buy and read on the Kindle, you are spending R70 less.
- So, if you read 10 books on the Kindle you have “saved” R700, which covers the cost of the unit. You have broken even.
- Anything above 10 books makes it cheaper to read on a Kindle.
- That is less than a single book per month.
Of course I am ignoring bargin books and book sales etc, but I think the point is quite clear..
Borders books are already closed, who is next? If I was running a regular book store, I would be very very afraid, and I would be finding ways to drastically change my business model. Because this type of price point is going to change everything.
For the record, I probably read about 80% of my books on my Kindle.