05-11-2012 08:29 AM
05-11-2012 08:32 AM
05-11-2012 10:53 AM
Amazon is willing to sell for cost, or even at a loss, in order to drive competitors out of the market. A bunch of the publishers got together with Apple to set minimum prices, but now the government is going after them for price-fixing. It's an ongoing discussion.
05-11-2012 11:25 AM
Most of the time, excluding special offers, Amazon's prices range between the same as and about $2 less than Nook books, and books from other ebook vendors such as Kobo, Sony, and Apple. In cases where Amazon is $1 - $2 less, I think the reason is because of Amazon strategy/marketing decisions; others can speculate about the rationale and effectiveness of such decisions. The cases I find interesting are those cases where the pricing difference is much larger. In several such cases, I have found that B&N has priced much higher than its non-Amazon competitors - so Amazon ends up pricing $1 - $2 less than Kobo et al, and B&N prices $5 - $9 more than Kobo. I have no idea why B&N would price like this unless it believes that its customers don't notice or don't care.
05-11-2012 01:12 PM
I would state unequivocally, since I am not burdened wit h actual knowledge, that it is a bit of both. BN, Amazon, Apple use proprietary tech in part with the hope that impulse, and convenience are enough that constant price checks are not something most will do. Committing resources to constantly monitor competitors probably is low priority except for high profile titles. On below cost prices for less popular titles a lost sale is probably not a concern. I am sure that they worry about loyalty, but always having the lowest price is a non starter when books are your core business. Amazon uses books to lure buyers in the hope it leads to sales in other areas. They are the Cosco of the internet.
05-11-2012 01:27 PM
They probably do it for the same reason that you can get a box of your favorite cereal cheaper at one store than in another. On the non-agency books that I buy I haven't seen much if any difference (more in the non-fiction section). Usually I shop at Kobo for my non-agency books. Their prices usually start out higher but they always have a good selection of coupon codes going at any given time (for non-agency books) that brings the price a lot lower than any of the other stores. I got the last 2 Hunger Games books for less $3 for the two books. For a while Kobo had 90%, 75%, and 50% coupons. They almost always have 30 or 40% off coupons.
05-11-2012 01:55 PM