"The Gadget Show" on C5 tested Kobo Touch vs. Kindle Touch
http://youtu.be/KQtuQ2m7kdQ
Kindle touch "landscape mode"? a throwaway comment, but is that landscape, any book format? The Kobo Touch can go landscape for PDF viewing, and that's it!
The screen of the Kindle Touch was reckoned to be better, and the Kindle Touch also has audio capability.
If the Kindle Touch had been available in the UK at the same time as the Kobo Touch, my mum would not be a Kobo user now.
Comparing the price that Kobo can be found for, maybe it doesn't need to face the Kindle feature for feature - if you want audio on your reading device, then the Kobo touch is not for you.