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Old 12-01-2010, 03:57 PM   #30
grooks
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Posts: 1,326
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Join Date: Feb 2008
Location: Fort Myers, FL
Device: Pocketbook Era, Kobo Forma
Quote:
Originally Posted by kartu View Post
I'd rather suspect that in this case it's simply amazon is dumping. Sony isn't in the same league as far as selling actual books goes, so they can't play this game. I've seen people talk about "oh, sony is 30$ more expensive!" and then pay 60$ for Kindle cover.
I wanted to expand on your comment a little bit.

Maybe we should look at ebook readers the same way people look at cars and take the total cost of ownership into consideration.

Example 1: Person 'A' buys a Kindle for $139. This person reads popular fiction and typically buys ebooks when they are first released. Let's assume they can read a book every two weeks which equates to 26 purchases a year. At a price of $10 per ebook they are spending $260 (26 ebooks x $10). Their year 1 cost of ownership is $399 ($260 + $139).

Example 2: Person 'B' buy a Sony 650 for $229. This person also reads popular fiction but instead of purchasing all of their reading material, they get 1/2 from the library and 1/2 are purchased. At a price of $10 per ebook they are spending $130 (13 ebooks x $10). Their year 1 cost of ownership is $359 ($229 + $130).

I know you can throw any variable you wish into the above equation but I wanted to look at the scenario of an average consumer.

If I were to run this model for my own case then my cost of ownership would be $229 as I get all of my ebooks from public libraries. If there is an ebook I have to have and it's not available from the library, I would typically spend less than $20 a year.
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