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Old 11-02-2009, 06:11 PM   #16
rhadin
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Originally Posted by fugazied View Post
I bet the nook is priced just above manufacturing costs + advertising costs for B&N. They just want to get these into as many hands as possible.
You are probably right but if that is the case, they should have been smarter with their marketing.

It isn't enough to get a breakeven device into a lot of hands if those hands don't buy a lot of ebooks to populate the device. B&N would have been a lot smarter to price the device $30 higher and offer a 10% discount (which would have netted them a $1.10 more than they net at $259) and have more of their members buy the device. members are members because they buy enough books to earn back the cost of the membership plus some, which means they have to buy a significant number of books each year. These are the people that B&N needs to entice to buy the nook and they are failing at the task.
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Old 11-02-2009, 06:28 PM   #17
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Originally Posted by rhadin View Post
B&N would have been a lot smarter to price the device $30 higher
And immediately lose the headline price war with the Kindle? Err.....
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