Audiovox just killed the RCA Lexi!

[Nate the great]

I scored this exclusive over on TDR:

Per your inquiry regarding our RCA eReader, as a result of the recent price drops in the market (Kindle/Nook/Sony) our primary focus has shifted to international opportunities.

[kjk]

The race to the bottom claims another casualty.

[krischik]

Originally Posted by kjk

The race to the bottom claims another casualty.

Only 5% of the human population live in the USA. Dropping 5% of potential customer base where competition is fierce makes good business sense to me. It is only a tiny part of the market after all.

Martin

[ardeegee]

Originally Posted by krischik

Only 5% of the human population live in the USA. Dropping 5% of potential customer base where competition is fierce makes good business sense to me. It is only a tiny part of the market after all.

But far more than 5% of the people in the world that can afford a luxury item costing hundreds of dollars live in the US. If the prices readers are going for in the US isn't high enough for them, they certainly aren't going to make it in the large portions of the world where people attempt to survive on less than $2.00 a day.

Which isn't to say that there is no large market outside the US-- just that it is nothing even remotely close to 19x the potential size of the US market.

[kjk]

Originally Posted by krischik

Only 5% of the human population live in the USA. Dropping 5% of potential customer base where competition is fierce makes good business sense to me. It is only a tiny part of the market after all.

Martin

Well you bring up an interesting point. Where is the current market right now? Who is absolutely killing in the eBook market outside the US, in that 95%?

[Geppetto]

Originally Posted by kjk

Well you bring up an interesting point. Where is the current market right now? Who is absolutely killing in the eBook market outside the US, in that 95%?

http://www.the-digital-reader.com/20...reader-market/

Most likely Sony is the leading company in Europe.

[fjtorres]

Originally Posted by krischik

Only 5% of the human population live in the USA. Dropping 5% of potential customer base where competition is fierce makes good business sense to me. It is only a tiny part of the market after all.

Martin

And that 5% buys 58% of the ebook readers sold on the planet.
http://www.digitimes.com/news/a20100720VL200.html

Still think the NorthAm market doesn't matter?

Edit: With the China market running 21.4% that leaves the rest of the world with 20%.
In other words, the NorthAmerican market is 3 times the size of all the non-chinese markets combined. Yeah, it's "only" the US.

[krischik]

Originally Posted by fjtorres

In other words, the NorthAmerican market is 3 times the size of all the non-chinese markets combined.

Today that is. But not the current or past market is important but the potential future market.

Anybody who already has a Kindle or a Nook won't buy an RCA eReader. They are off the list of potential customers as they are likely to only replace the device with an newer version of the same brand. Especially with DRM in the equation.

Martin

PS: mind you: the device is damm ugly, to much bezel, to plasticy. I can't see them compete with the Sony as well.

[HarryT]

Have to admit that I've never heard of this device.

[Nate the great]

Originally Posted by HarryT

Have to admit that I've never heard of this device.

I covered it at CES.

[ardeegee]

Originally Posted by Nate the great

I covered it at CES.

That's the problem. Maybe you should have held it up in the air.

[Nate the great]

Originally Posted by ardeegee

That's the problem. Maybe you should have held it up in the air.

[sqrt(-1)]

Originally Posted by fjtorres

And that 5% buys 58% of the ebook readers sold on the planet.
http://www.digitimes.com/news/a20100720VL200.html

Still think the NorthAm market doesn't matter?

Edit: With the China market running 21.4% that leaves the rest of the world with 20%.
In other words, the NorthAmerican market is 3 times the size of all the non-chinese markets combined. Yeah, it's "only" the US.

On the other hand most^H^H^H^H^H all manufacturer's design their products for US market, and launch their products first there. Other countries might have to wait very long for new products to launch there. And when new product finally launches it might come with higher price tag and lowered functionality compared to US model.

Here in Finland it's almost impossible to find any kind of reader on sale. It certainly is possible to order some products abroad, but that requires knowledge on customer's part. No manufacturer has tried to actually sell their devices here. There has been no adverts and practically no mentions of ereaders in mainstream media, so practically every reader sold on Finland is bought by someone who found out about readers from internet and ordered device from abroad. Thus only people here who have bought reader this far are few gadget nerds, who are also keen readers. Whole rest market if fully intact.

So when comparing the ease of buying and amount of marketing done, it's no wonder that sales figures in US dwarf those of Finland (Even after accounting ~60x difference in market sizes)

(Sorry, this was probably bit rantish. I'm still trying to find myself a decent reader, task not made any easier by lack of offerings here )

[m-reader]

Originally Posted by sqrt(-1)

On the other hand most^H^H^H^H^H all manufacturer's design their products for US market, and launch their products first there. Other countries might have to wait very long for new products to launch there. And when new product finally launches it might come with higher price tag and lowered functionality compared to US model.

Here in Finland it's almost impossible to find any kind of reader on sale. It certainly is possible to order some products abroad, but that requires knowledge on customer's part. No manufacturer has tried to actually sell their devices here. There has been no adverts and practically no mentions of ereaders in mainstream media, so practically every reader sold on Finland is bought by someone who found out about readers from internet and ordered device from abroad. Thus only people here who have bought reader this far are few gadget nerds, who are also keen readers. Whole rest market if fully intact.

So when comparing the ease of buying and amount of marketing done, it's no wonder that sales figures in US dwarf those of Finland (Even after accounting ~60x difference in market sizes)

(Sorry, this was probably bit rantish. I'm still trying to find myself a decent reader, task not made any easier by lack of offerings here )

We had the same deal in Australia for a long while. But lately things are changing. There are lots of vendors selling electronic readers.
Just get it from overseas. Once the momentum gathers business will take note and start selling devices locally.
A business idea for you perhaps?

[Toxaris]

Originally Posted by fjtorres

And that 5% buys 58% of the ebook readers sold on the planet.
http://www.digitimes.com/news/a20100720VL200.html

Still think the NorthAm market doesn't matter?

Edit: With the China market running 21.4% that leaves the rest of the world with 20%.
In other words, the NorthAmerican market is 3 times the size of all the non-chinese markets combined. Yeah, it's "only" the US.

If they finally come to their senses and make the stuff AVAILABLE outside the US (both books and readers), then the 58% goes down a big deal. That's the real problem why the US market is so big, not because they have more money...