Quote:
Originally Posted by mobelby
Dear RobertB,
Thanks again for all the information you do provide in these forums. You remain the most active company and you do have a major task ahead of you competing against the big two. I'm glad you accept all our challenges/criticisms as just attempts to get the most accurate, up to date information on upcoming readers and technologies.
My own view is that there is still a huge opportunity and it's around products that come under USD200.
I started off my quest wanting all the bells and whistles in one reader but the more I learn and the more patient I am I realise that what I'm buying is simply a book READER and that it will in all likelihood only be used 3 years, perhaps even less as replacement technologies/devices come thick and fast and cheaper.
When I began posting on this thread months ago I could not wait for the updated Hanling v3/bebook 2 with touchscreen etc. However, since that time my habits and buying policy have changed. I do a lot more browsing on my netbook and phone rather than my main pc, I have all my media content (incl books) stored on a central server running whs and I've realised that spreading the same dollars that would have bought me the best ebook reader on the planet can instead be spent on a good, basic reader, a next gen iphone subscription (phone, browser, compact book reader) and more books.
This week I had to replace one of my dual monitors that had died. I researched and researched and looked at many and read countless reviews. In the end I decided a good, basic monitor that met most of my criteria was just fine rather than splashing out for a top of the line only worthy of an imaging professional (out of interest AUD225 is pretty darned good for a full HD 22 incher).
My point at the end of this is to stronly encourage you to go out and capture the sub USD200 market where most of the action will be so bring on the Mentor-Lite, Bebook Mini, Cybook Opus and Cool-er and all the other players at this end and let's see what happens.
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Dear Mobelby:
I do hear you and I still hear that magic $200 figure and under. Here are the problems:
1. Astak has no desire to put out anything that is not first rate. Right now there are numerous firms jumping onto the $200 USD bandwagon but with questionable panels and software. There are, for example, LCD screens appearing and they cost a lot less and give a lot less as well. We all know the old saying: "there is nothing that cannot be sold cheaper by shortcutting and using questionable practices and components". We know that 6 inch panels in Grade 1 will cost around $65-$70 to the manufacturer. We will not use Grade 2. Then you have the engineering and the guts and the body and the mold for the body to deal with. That can add an additional $100 per unit minimal. Then the factory needs to make some profit. Figure they realistically want to make $35 per unit which is not obscene. Then Astak brings it in and sells it for $20 profit for Astak to a retailer. The retailer wants to make $40 profit minimum. I am not stating excuses here (and people can argue with my figures) but I am just trying to lay it out plainly as I know it to be.
2. Then the retailer needs to be "supported". this means dollars for marketing campaigns and rebates and such.
3. In addition to this you have to do a minimum amount of sales trips to the retailers and display at a few Trade Shows a year (this can be $90,000 for CES alone). AND... there is freight to pay for.
Mobelby, I know you to be a bright and very well-intentioned person. I just cannot see a way in all of this to sell first rate product at $200 in six inch. Yes, maybe 5 inch can hit there and definitely LCD already has hit there.
My question to myself is: Why would $65 or so make a huge difference to people when they are buying something that they will live with and count on for 2-3 years? Maybe I have been living too good (I do not make a big salary though)... but, to me, I do not feel that $65 would dissuade me. I bought the top-of-the-line iPod three years ago (instead of cheaper competition) and it has returned three years of pleasure and entertainment and never had a problem (knock on wood). I see the same with the EZ Reader (sold at Fry's for $249 often). I would hope that people read the posts from those who bought EZ Readers and love them and do not have problems.
I hear you and I know there is that somehow magical $200 figure... but I am much more concerned with the damnable purchase working no matter what for customers... than about a magical amount. Astak cannot afford to cut corners and have unhappy customers returning units. WHY do you think FRY's carries the EZ Reader? Minimal or no returns.
Please do not think I am pig-headed.