After enduring the earthquake and Irene, yours ‘battered’ truly really needed a good laugh.
Thank God for those bozos at market researcher Forrester.
Ha ha ha. Ha ha ha.
Listen, guys, Forrester is predicting that it sees Amazon ‘easily selling 3 million to 5 million units in Q4 alone.’
Sure, Forrester adds the caveat of right price and enough supply:
If it’s launched at the right price with enough supply, we see Amazon’s tablet easily selling 3 million to 5 million units in Q4 alone, disrupting not only Apple’s product strategy but other tablet manufacturers’ as well. Apple will maintain a strong lead in market share, but Amazon will gain ground quickly and give product strategists from media, software, retail, banking, and other firms a reason to kick app development for Android tablets into high gear.
And pray, what’s the right price?
Apparently, the price Forrester is looking at for the Amazon tablet is below $300.
God, whatever the folks at Forrester smoke we’d like some of it as well. Please! We’re tiring of our daily staples, Guinness Extra Stout beer and Gilbey’s Gin. 😉
Forget all this 3 million or 5 million
tablet sales pipe-dreams in the fourth quarter.
Here’s what we think Amazon ought to do instead of focusing on price and supply chain alone.
Tablet buyers have already shown that they’re willing to pay Apple’s extortionist pricing for an iPad but will not consider a competing product even if it’s $100 less.
Having watched HP’s TouchPad disaster (and consumers’ subsequent mindless frenzy to buy the same flop at $99), the wise souls at SI think Amazon’s tablet ought to be prized between $199-$249.
Closer, perhaps, to $249.
Is that a feasible price given the cost of the components?
Likely not, but Amazon can afford to, and indeed must, absorb some losses if it harbors any dreams of dislodging Apple from its high perch of King of Tablets.
Expand Kindle Store
Besides a low price, what Amazon also ought to do is launch a Netflix-like streaming service and offer low-cost WiFi streaming of movies and TV shows to all buyers of its tablet (yes, we recommended a similar strategy for Sony from its movie content stable).
In other words, Amazon must expand the Kindle store into a full-fledged digital media store that goes beyond the current repository of e-books to include e-books, Android apps and movies/TV shows/music.
Amazon has the advantage of already offering e-books, Android apps and movies/TV shows/music in separate silos.
But the silos must now come together.
The Amazon tablet and Kindle digital media store should be tightly coupled a la the iPad and the Apple App Store.
The Android tablets have many issues, one of the foremost being lack of enough quality applications to feed its owners’ ravenous appetites.
Besides a sleek product and a slick interface, the single biggest advantage the Apple iPad has lies in the AppStore that already contains over 90,000 dedicated iPad apps and another 335,000 iPhone apps that also work on the iPad.
By providing a solid entertainment and Android AppStore option via the Kindle store, Amazon will have some hope of breaching the Apple iPad citadel.
Apple singlehandedly created the tablet market and its iPad tablets have so far sold over 28.7 million units.
If iPad rivals like Amazon and Sony plan to mount a credible challenge, they need more than the crutch of low-price. Content and apps must follow closely.
By the way, Amazon has yet to formally announce its tablet plans.