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Old 08-28-2012, 06:44 AM   #1
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5.5 inches tablet: Is there a niche for it?

For example, if Amazon or Google come out with a 5.5 inches wifi tablet, would it sell "okay"?

Price at around $129-149.

It will mainly be used for

web
gaming
movies
music
books

Obviously, this is a niche device. But for some people, it might be useful.

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Old 08-28-2012, 07:12 AM   #2
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If this came out for $150 it would be impressive. Such a tablet already exists in the form of the 5.3" Galaxy Note from Samsung (with phone capabilities as well) and the new 5.8" Samsung Galaxy Player (without phone functions):

http://www.sci-tech-today.com/news/N...d=12300F19NCYL

Samsung's previous 5" Player was retailing at about $200:

http://www.samsung.com/us/mobile/mp3.../YP-G70CWY/XAA

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Old 08-28-2012, 07:37 AM   #3
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Originally Posted by Graham View Post
If this came out for $150 it would be impressive. Such a tablet already exists in the form of the 5.3" Galaxy Note from Samsung (with phone capabilities as well) and the new 5.8" Samsung Galaxy Player (without phone functions):

http://www.sci-tech-today.com/news/N...d=12300F19NCYL

Samsung's previous 5" Player was retailing at about $200:

http://www.samsung.com/us/mobile/mp3.../YP-G70CWY/XAA

Graham

Those are expensive.

http://www.isuppli.com/Teardowns/News/pages/Low-End-Google-Nexus-7-Carries-$157-BOM-Teardown-Reveals.aspx

Quote:
Nexus 7 8G: $160 to make
Nexus 7 16G: $167 to make
Kindle Fire: $140 to make

(technology as of July 2012)

With a smaller tablet (5.5" vs. 7"), it might be possible to make and retail a $149 tablet.

Isn't the Nook at $179 right now? When the Kindle Fire 2 come out, the price for the Kindle Fire 1 might drop to $159 or even $149.


.....maybe Amazon will surprise us with a 5.5" Kindle Fire on its Sept 6 announcement. "Amazon Kindle Blaze" might work as a name. $149 doable?

Amazon is about making profit from "contents" selling apps, music, movies, books. It is okay with break-even on the hardware. Maybe using Amazon tested strategy of "with special offers" to subsidize the price.

At the very least, a 5.5" tablet retail at $149 will create BUZZ.

5.5" Kindle Blaze at $149
7" Kindle Fire at $199
10" Kindle Fire at $299-$349

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Old 08-28-2012, 07:41 AM   #4
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My Samaung (soon to be banned in the U.S.A.) Galaxy Siii is almost 5" and reasonably usable as a reader/web viewer. Would prefer to use it rather than an additional device.
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Old 08-28-2012, 07:46 AM   #5
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My Samaung (soon to be banned in the U.S.A.) Galaxy Siii is almost 5" and reasonably usable as a reader/web viewer. Would prefer to use it rather than an additional device.
How much does the Galaxy S3 cost? (not subsidized)

$600 vs. $149 is a world of difference.

And i'm talking about a niche here. You're not its targeted audience.
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Old 08-28-2012, 07:46 AM   #6
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Unfortunately, Samsung is crippling both players (5.0 & 5.8) with poor displays.

The problem with 4~6" devices is the use of low end hardware compared to the high end stuff found in top of the line smartphones and 7" tablets like the Nexus 7 and its competitors.
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Old 08-28-2012, 07:56 AM   #7
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Yes, there is a market.
No, it's not a niche; just as Apple about iPod Touch sales.
Price doesn't need to be terribly low--but it would help.
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Old 08-28-2012, 08:03 AM   #8
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Quote:
Originally Posted by Top100EbooksRank View Post
How much does the Galaxy S3 cost? (not subsidized)

$600 vs. $149 is a world of difference.

And i'm talking about a niche here. You're not its targeted audience.
That's not the point, how many of the target audience already have a smartphone? They just need to upgrade. You're creating a strawman.
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Old 08-28-2012, 08:06 AM   #9
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Quote:
Originally Posted by Top100EbooksRank View Post
Those are expensive.

With a smaller tablet (5.5" vs. 7"), it might be possible to make and retail a $149 tablet.

Isn't the Nook at $179 right now? When the Kindle Fire 2 come out, the price for the Kindle Fire 1 might drop to $159 or even $149.
Different business model. Google sell the Nexus 7 at-or-near-cost in order to get their advertising in front of more eyeballs. Amazon uses at-or-near-cost Kindle Fire as a conduit to Amazon.com, so as you say, profits from those sales; Samsung tries to make profit on the hardware itself.

Previous attempts at ~5" tablets/media players (Dell streak, and ummm... Elonex??) didn't exactly set the market alight, though to be fair that was a little while back, so in a world more familiar with clown-shoe-sized phones they may fare better being cheaper; I'd expect them to remain a niche product, though if they were priced cheaply enough they could probably sell as a third device for those times when your big phone is too small and your small tablet's too big.

Yeah, those times don't come around all that often really, do they??

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Old 08-28-2012, 08:12 AM   #10
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Quote:
Originally Posted by petermillard View Post
Previous attempts at ~5" tablets/media players (Dell streak, and ummm... Elonex??) didn't exactly set the market alight, though to be fair that was a little while back, so in a world more familiar with clown-shoe-sized phones they may fare better; I'd expect them to remain a niche product, though if they were priced cheaply enough they could probably sell as a third device for those times when your big phone is too small and your small tablet's too big.
I'd go for this size if they put high end components in them. But they don't, so I won't. To get the high end stuff, you need to jump to a 7" device.
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Old 08-28-2012, 08:12 AM   #11
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That's not the point, how many of the target audience already have a smartphone? They just need to upgrade. You're creating a strawman.
Let's say you are in the market to buy a small tablet for your son/daughter/nephew/niece that is easy to carry around like a phone. And you don't want to buy a Galaxy S3 or a Samsung Note or a LG Optimus Vu for this person because you just want a tablet and not a phablet.

What is your option if the Nexus 7 or Kindle Fire is too big to carry around like a phone?

That's the niche I would be targeting.
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Old 08-28-2012, 08:13 AM   #12
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Not everybody wants/needs a smartphone.
The kids market for a small tablet is substantial; a *lot* of iPods got to tweens and younger teens.

Note that iPod Touch sales have been increasing in parallel with iPhone sales:
http://mashable.com/2011/01/18/ipod-touch-sales/
A market 10 million deep is one heck of a "niche".

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Old 08-28-2012, 08:17 AM   #13
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Originally Posted by Top100EbooksRank View Post
Let's say you are in the market to buy a small tablet for your son/daughter/nephew/niece that is easy to carry around like a phone. And you don't want to buy a Galaxy S3 or a Samsung Note or a LG Optimus Vu for this person because you just want a tablet and not a phablet.

What is your option if the Nexus 7 or Kindle Fire is too big to carry around like a phone?

That's the niche I would be targeting.
Your best option is a Galaxy Player 5 or soon-to-be released 5.8 model.
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Old 08-28-2012, 08:17 AM   #14
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Let's say Amazon create this device (Kindle Blaze) and sell it for $149.
Google follow suit with Nexus 5.5" (Nexus Mini), also sell for $149.

These devices don't sell as well as the 7" counterpart at $199. Say 1/10 as much.

For every 10 million Kindle Fire or Nexus 7 sold, these 5.5" tablet will sell 1 million.

Is this "worth it"? Think of these little devices as "gateway" tablets for the tweens and younger teens.

If Amazon and Google can successful sell a 7" tablet for $199, I don't see why they can't be successful selling a 5.5" tablet for $149. Even 1/10 as much as its 7" counterpart is a success in my opinion.

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Old 08-28-2012, 08:22 AM   #15
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Your best option is a Galaxy Player 5 or soon-to-be released 5.8 model.
Samsung isn't selling these at break-even like Google and Amazon.

There is a reason why Samsung 7" Tab is at $249 while Google and Amazon is at $199.

And Samsung marketing power in the USA is lower than Amazon or Google. If Samsung introduces a 5.5" tablet, would it get as much attention as Google or Amazon?


Who know, maybe Apple could be the one to introduce the 5.5" Ipad Air. It will sell A LOT of units even at $199.

Ipod Touch sold roughly 10 million units in just 1 quarter and the prices were $199, $299, $399. Granted, this was back in early 2011.

Quote:
That means that the company sold roughly 10 million of the device in the quarter (versus 16.2 million iPhones and 7.3 million iPads)

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