Posted by brindils in Gadget News | 0 Comments
Amazon says they has sold more e-book than hardbooks
There is more evidence that digital books are upending the publishing industry.
Internet retailer Amazon.com Inc. said it is now selling 80% more downloaded books than hardbooks. Amazon download format is in its Kindle e-reader and other devices.
“The Kindle format has now overtaken the hardcover format,” said Jeff Bezos, Amazon’s chief executive, in a statement.
“Amazing when we consider that we have been selling hardcover books for 15 years and Kindle books for 33 months.”
Paperbacks, hard cover, which now sell more, were not included in the notice. Moreover, Amazon did not disclose sales figures for the categories.
But it was clear that digital books grew. A survey by PricewaterhouseCoopers and Wilkofsky Gruen Associates Inc. has shown that although income from retail sales of printed books has been stagnant for several years, e-books is forecast increased to $ 1.6 billion in sales in 2010 of $ 1 billion last year.
Amazon said that its second full quarter, 143 were purchased eBooks on the site for all 100 hardcover books sold.
A drastic reduction in the price of Kindle portable reader was probably a major factor. Amazon said that sales of the device tripled after the company lowered the price to $ 189 from $ 259 last month.
“We have reached a turning point at the new price of the Kindle, Bezos said.
Amazon lowered the price just hours after Barnes & Noble Reader lower than rival e-book, corner, at $ 199 and introduced a version of $ 150.
Without more detailed information about Amazon’s e-book business, analysts said it is difficult to assess how the company is doing in that area.
” We don’t know the economics of these e-books,” said Colin Gillis, an analyst at BGC Financial. “In our opinion, they are losing money on many of the best-sellers are sold as eBooks.”
The site has about 630,000 electronic books for sale, as well as numerous titles that are available as free downloads. About 80% of e-book price is $ 9.99 or less, according to the company, significantly lower than the average about $ 25 for hardcover books.
The profit margin of these is unclear. Amazon “can easily set a price and lose money,” said Gillis.
The company is much more likely to be a profit on sales of its Kindle device, he said, even with the price reduction. ” There’s one thing that we’re pretty certain on,” said Gillis. “They are doing a lot of money on the hardware.”
Amazon Kindle reader said the issue has been the best selling single in the last two years. The device debuted in 2007.
The company’s announcement comes three days before he was due to report its second-quarter profit, fueling speculation that the company wishes to emphasize that the positive news in advance.
“Why release this now rather than the earnings report?” Asked Gillis. ” Which is more typical.”
Dmitriy Molchanov, an analyst at Yankee Group, said that Amazon might have wanted to dispel the notion that sales of its Kindle could be hurting since Apple Inc.’s iPad Tablet PC was introduced in January.
iPad models, starting at $ 499, can also be used for downloading and reading books.
“There is a real perception that the iPad has crushed the entire area of e-reader, and that’s not really the case,” Molchanov said. “Amazon is doing very well and both companies can benefit simultaneously.”
Related posts: