Lock & home screen ads aid Amazon's aggressive pricing of Kindle Fire HD

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Comments

  • Reply 141 of 146


    Originally Posted by John.B View Post

    They'll lose money on hardware, they'll subsidize data plans, they'll lowball authors; all to corner the ebook market.  And the DoJ goes after Apple?


     


    "Apple paid, therefore they're guilty."


     


    But Apple only broke Amazon's mono-


     


    "The lawsuit isn't about Amazon. Guess you Appleteats can't suck any more of that milk, can you?"

  • Reply 142 of 146
    cpsrocpsro Posts: 3,192member


    IMHO Amazon is grossly committing false advertising. The new Fire models won't be distributed for nearly 2 months, until November 20th, yet on the company's home page, the present tense is used throughout:


    "Kindle Fire HD 8.9" 4G isn't just the best tablet for the price, it's the best tablet. $499 now gets you a large-screen HD tablet with a stunning 8.9" display, exclusive Dolby audio, dual stereo speakers, the fastest Wi-Fi, ultra-fast 4G LTE wireless, plus our new unprecedented $49.99 one-year 4G data package. Customers save hundreds of dollars in the first year compared to other 4G tablets. Kindle Fire HD 8.9" is also available in a Wi-Fi only model for $299."

  • Reply 143 of 146
    noahjnoahj Posts: 4,503member
    My question is, if it only costs $15 to stop all ads forever, why wouldn't they just charge $15 more for the device and not have to worry about the ill will that having to shell out the $15 is still going to generate? Amazon, you should be better than this.
  • Reply 144 of 146

    Quote:

    Originally Posted by NoahJ View Post



    My question is, if it only costs $15 to stop all ads forever, why wouldn't they just charge $15 more for the device and not have to worry about the ill will that having to shell out the $15 is still going to generate? Amazon, you should be better than this.


     


    The way I take it is that Amazon offered the same deal on the Kindle Reader and hardly anyone took them up on the offer.  So it sounds like they simply didn't make the offer for the Kindle Fire HD thinking no one would care.  People did, so now they are offering it again.


     


    I wonder how many of the people raising a stink about this would actually BUY the Kindle HD and pay the $15?  The people I know that would buy a Kindle want a cheap tablet, free apps, and probably won't drop $15 just to stop a few ads. 


     


    I am assuming they will make far more than $15 per customer by selling ads that are displayed on the home screen.  I certainly can't say that for sure, but that would explain why they don't add $15 to the total cost.


     


    Some people are more sensitive about ads than others.  


     


    Some will always choose to pay $0.99 or more for the ad-free version of an app and will avoid the ad-supported, free version.  Those people are unlikely buy a Kindle Fire HD knowing that they will be advertised to by Amazon and others.  


     


    Some don't mind advertising if they get something for free or at a discount, and those people probably won't pay the $15 because ads don't bother them.


     


    To me it makes a lot of sense that the $15 fee for no advertising would rarely be paid.  It appeals to a market that likely won't buy the product in the first place.

  • Reply 145 of 146
    john.bjohn.b Posts: 2,742member

    Quote:

    Originally Posted by NoahJ View Post



    My question is, if it only costs $15 to stop all ads forever, why wouldn't they just charge $15 more for the device and not have to worry about the ill will that having to shell out the $15 is still going to generate? Amazon, you should be better than this.


     


    Their mistake was to assume that, because it worked at the Walmart-type price point, it will also work at a Macy's price point.

  • Reply 146 of 146
    They probably pay about $50 for it.
    The ads are just another way to profit.

    I ad therefore I am.
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