[Piper_]

Originally Posted by SensualPoet

Penalizing a specific book title with a one-star review at one vendor's website because you don't like the pricing policies of the publisher for all its books and all its vendors ... sounds ineffectual to me.

I don't know if it's ineffectual, but I don't like that it skews the ratings I'd like to use as a guide to the quality of the book, especially since that review remains to skew things, even if the price drops.

Originally Posted by SensualPoet

I am one of those consumers who would never have bought an ereader had I believed ebooks cost $15 or more -- the $10 "ceiling" promise was the assurance I needed to take the plunge.

So true for so many, judging from the feedback. I think it's safe to say Amazon put a lot of study into what price points would optimize the growth and sales of ebooks. (A study at the beginning of this year showed that lower prices were one of if not the biggest attractions a focus group gave for choosing ebooks.)

They were on a great roll, then got screwed by the Agency 5 this spring.

I know they hate it, and their eagerness to fight it is why they've officially stated that they think reviewing books based on price is fine, and will not remove those reviews.

Originally Posted by SensualPoet

Yes, exactly, and that's their job -- maximizing shareholder returns, balancing current and future value. They do care about what's best for the reader ... provided it entices them to be a customer who gives the publisher more revenue at attractive margins.

True, but of course, that doesn't mean they are making smart business decisions long-term, or even short term.

Companies do misjudge. What's shocking to me is that publishers have the benefit of observing the pitfalls the music companies made, and yet they are stepping right into them themselves.

I cannot help but believe that what this is all about is that the publishers are luddites, stubbornly resistant to adapting their models to the current terrain.

I think they hope that setting ebook prices high will reduce the sales of e-readers and thus the popularity of ebooks. As you said, people do consider the lower cost of the ebooks when buying an ereader. I think most count that as an investment that will be returned on savings per book.

(I know many of us feel that the benefits of ebooks make it worth it, but that impression isn't nearly so strong for those who are happily reading books now. Some would still go the e-route, for the luxury. Many others wouldn't - especially in this economy.)