What's Your Prediction - $99 Digial Reader

[umpi]

Originally Posted by Fayth

Hmmm, I didn't realize borders was in trouble...

Uhm...so I should probably not expect to receive my PRS 950 ordered 3 weeks ago from Borders US...

ps: that's my 1st post. I live in UK. Thanks to all the contributors to this very informative forum.

[Parx]

Good thing I just used my $15 giftcard from Borders....on a bluray. Not surprised though about Borders. While their stores were nice, the prices were always sufficiently higher to preclude me from going there unless I were given a giftcard. Since I'm new here, I won't give both barrels of my opinion about the Kobo, but I'd say that it is clear that a significantly higher amount of R&D went into the Kindle, Nook, and Sony's line (even their apps on my iPhone/iPad) than went into the Kobo. I get the whole "minimum frills/single use device" approach to designing a reader...but it seems they (Borders) spent too much time rushing a device out into the market before taking the time to make sure it could distinguish itself.

[fjtorres]

Originally Posted by Parx

it seems they (Borders) spent too much time rushing a device out into the market before taking the time to make sure it could distinguish itself.

Actually, Borders didn't invest *any* time in designing the Kobo reader. Kobo (a Unit of Canada's Indigo) is the source of the Kobo reader (built by Netronix for them). All Borders did was buy a small equity stake in Kobo and outsource the reader and ebookstore to them.
Kobo also provides the ebookstore that runs under the Borders name.

If this sounds familiar it is because it is the exact same approach Borders used for online pbook sales for years (they outsourced it to Amazon, of all people).

[sabredog]

Originally Posted by Parx

...but it seems they (Borders) spent too much time rushing a device out into the market before taking the time to make sure it could distinguish itself.

The Kobo in Australia certainly pushed the ereader concept along at a rapid pace in a market that had stagnated.

Prior to Kobo, almost all ereaders were limited to online purchase and cost three times as much as elsewhere. The exception was the Kindle, which still needed to be ordered online.

The Kobo appeared in a brick and mortar store, providing interested and casual customers alike the ability to gain a hands on look.

[Parx]

Originally Posted by sabredog

The Kobo in Australia certainly pushed the ereader concept along at a rapid pace in a market that had stagnated.

Prior to Kobo, almost all ereaders were limited to online purchase and cost three times as much as elsewhere. The exception was the Kindle, which still needed to be ordered online.

The Kobo appeared in a brick and mortar store, providing interested and casual customers alike the ability to gain a hands on look.

Sabredog; I am woefully ignorant about the land down under. Amazon is obviously ubitquitous (with re: the kindle) and you can't throw a rock here in Texas without hitting a Barnes and Noble. Sony's a major force but always placed their readers from "slightly" to "outrageously" beyond the price point that most people would consider buying one.

However, Borders (aside from their web presence) never seemed to have the storefront weight that Barnes and Noble does...I grew up in Houston and can think of only 1 Borders off the top of my head (I'm sure there are more)...and live in Austin and can't think of any (once again, sure there is at least one somewhere).

Does Borders have a greater B&M marketshare down there? I'd tend to agree with you that even a scaled down ereader at $99.99 is a threat to Amazon and B&N worth their attention; but I think it would only cause them to shave a $10-$20 off their baseline readers...and then harp on the bedrock nature of the ginormous content they can always offer (interestingly, Amazon really didn't latch on to the second prong of attack since they have continuously thumbed their nose at epub).

[coinín]

Originally Posted by sabredog

The Kobo in Australia certainly pushed the ereader concept along at a rapid pace in a market that had stagnated.

Prior to Kobo, almost all ereaders were limited to online purchase and cost three times as much as elsewhere. The exception was the Kindle, which still needed to be ordered online.

The Kobo appeared in a brick and mortar store, providing interested and casual customers alike the ability to gain a hands on look.

That's what happened here in Canada, too. There are thousands of people thinking about ereaders because they've seen them in the Chapters/Indigo stores now, and had never had the opportunity to handle an ereader before.
Many will choose other devices, and that's fine. Many will also get one because it does what it needs to (read books) and having it in their hands NOW fills the instant-gratification need.

There's also a place for Kobo's simplicity and ease of use for the very un-tech-savvy population.
I could give my mom a Kobo, if I gave her a Sony or a Kindle she'd take one look at all the buttons and put it away, never to look at it again.

[The Terminator]

Chapters/Indigo in Canada seems to be doing really well

[sabredog]

Originally Posted by Parx

Does Borders have a greater B&M marketshare down there? I'd tend to agree with you that even a scaled down ereader at $99.99 is a threat to Amazon and B&N worth their attention; but I think it would only cause them to shave a $10-$20 off their baseline readers...and then harp on the bedrock nature of the ginormous content they can always offer (interestingly, Amazon really didn't latch on to the second prong of attack since they have continuously thumbed their nose at epub).

No, not really. The big brick and mortar stores here are, Dymocks, Angus and Robertson and Borders. Of the three the former two have more stores and are owned by Redgroup. The Kobo is sold instore plus Redgroup have been gearing up online with ebook store shopfronts. Dymocks has not fully embraced the revolution.

The Kobo retails for AU$179 here. The more than mostly direct competitor is the Kindle, followed by the Sony PRS-350 at $229 and the PRS-650 at $299. There are other ereaders such as the Kogan sold locally and other less than stellar ones sold at Officeworks, Dick Smith and JB hifi.

Traditionally here, ereaders have been niche items that at one stage cost a keen player over AU$600.

When Kobo arrived at Borders and A&R at a sub $200 price in 2010, the momentum increase in a stagnated market grew quickly. By the end of the year, Sony even came back into the market with their new models.

There is no real reason why the Kobo should not be cheaper, at say $129. It is a big cut above the other cheaper offerings available.

The only true competitor for the Kobo in Australia is the Kindle but the Kobo has the distinct advantage of being able to be physically seen and trialed.

[The Terminator]

I wish chapter/indigo's Kobo price was $99

[Grimm]

Originally Posted by HamsterRage

Kobo started it when they came into the market in April at the lowest price around. And when the Kindle came down, the Kobo dropped too and then followed up with with the WiFi model. I think the last of the original model were sold off months ago for $99. To see the WiFi drop by 1/3 in six months is pretty significant.

I think his point was that compared to the Kindle and the Nook, no one (at least in the USA, which may or may not apply to your comment) really knew/knows about the Kobo, and he's main point was also correct, the Nook came down in price first, then Kindle matched it a few days later. That was the driving force behind the Kindle price drop.