These numbers deal specifically with device usage as reported by analytics firm Flurry, based on app sessions.  Given the importance of content sales compared to hardware profits, this is probably a significantly better estimate of consumer preference than simple sales or activations.  Thanks to this data, we can tell that the Kindle Fire’s approach to content is making a pretty big difference to the user.

The alternative method of analyzing the success of the Kindle Fire would be along the lines of what Google has been doing when describing Android as building up momentum compared to the competition.  That would be looking at device activations.  While this is not misleading, necessarily, it does focus entirely on numbers that fail to directly equate to post-purchase satisfaction.  Even using this method, the Kindle Fire is doing amazingly.  Approximately 10.5 million android tablets were sold in Q4 2011.  While Amazon is not releasing sales numbers, we can say with a fair degree of certainty that around 5-6 million of those were Kindle Fires.  The numbers are favorable, to say the least.

While there is not any indication that this is having a negative effect on iPad sales, there is also little to support the notion that Amazon had any intention of making a direct attack on Apple with this first tablet.  It is likely, given how much the two companies overlap in their digital media sales markets that there will be some more direct Kindle vs iPad competition down the road, but a 7″ $200 tablet that clearly lacks the potential to replace even the functionality of a netbook is not something you could take seriously if they were heading for a confrontation with the iPad 2 right away.

The biggest impact of all this is probably going to be on Google.  Since Amazon is running such a heavily forked version of Android, and since it lacks easy access to Google’s app marketplace, the success of the Kindle Fire will tend to draw people away from Google services despite technically relying on their original concept.  This has the added effect of drawing developers away from the more general marketplace.

While Amazon’s Appstore has not been a favorite destination for many developers thus far due to the heavy oversight and lengthy screening process for even minor updates, the most important thing will always be going where the customers are.  Right now, for better or worse, it is looking very much like that is the Kindle Fire if you’re talking Android tablets.

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Ross Sandler, an analyst from RBC Capital, has managed to estimate that your average Kindle Fire will be the source of around $136 of income for the company during its lifetime.  Naturally this is speculative to a certain extent, but it was based on an independently conducted survey of over 200 Kindle Fire owners regarding their spending habits thus far.  The findings are actually somewhat surprising to me and I have to wonder if they don’t reflect a certain amount of skewing due to early adopters with narrow expectations of the tablet’s potential.

Personally, despite having had the Kindle Fire since the day it came out, I can’t imagine sitting through so much as a single book on it.  It works for the occasional article or academic publication when needed, and I couldn’t be much happier with the PDF functionality for my own purposes, but owning E INK eReaders has left me with higher expectations.  It was therefore interesting to find that the most popular use for the Kindle Fire among those surveys was eBook reading by a wide margin (71% citing this as among their most frequent uses.

Also interesting is the fact that video streaming, which has seemed to be Amazon’s primary focus with the Fire so far, is relatively unpopular with only 13% of those surveyed reporting it as a frequently used feature.  That seems to include all video streaming, including things like Hulu Plus and Netflix, which works against Amazon even further given their efforts to built the Instant Video service into something impressive.

So where is all of this money that the Kindle Fire will supposedly earn coming from?  It looks like the current numbers support an estimation of around 5 eBooks per quarter, 3 apps per quarter, and a noticeable but unaccounted for increase in the number of general Amazon purchases each quarter.  My inclination would be to say that this is an overestimation of eBook purchasing and an underestimation of app appeal that will turn around once people get more comfortable with the capabilities of the tablet, but that is admittedly a matter of personal observation with no backing in numerical research.

The problem with any survey of this sort is that it the recent surge in Kindle Fire owner numbers has led to potential inaccuracies.  This is especially the case since all those surveyed came to own the Fire during 4th quarter 2011, nearly half of them as gift recipients.  It is hard to know for sure if things will change once the primary pool of new owners is made up of people buying for themselves.  Even so, chances are good that the numbers will level out somewhere along these lines.  Amazon clearly made a smart move here, and the Kindle Fire is going to pay off big in the long run.

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Among the more notable success stories, we know that the top ten most popular KOLL authors put together nabbed over $70,000 from these rentals alone.  That is around a 30% increase over other monthly income from the same works.  The top earner was Carolyn McCray, author of a number of paranormal romance and mystery/thriller titles, who is quoted in the Amazon Press Release as saying that “KDP Select truly is a career altering program”.  Romance writer Amber Scott, 16yr old children’s author Rachel Yu, and the puzzle book producing Grabarchuk family made up the rest of the highlighted triumphs, with over $6,000 in KOLL related income apiece.

In these cases, obviously there has been no significant downside to the program.  The fact that participation in it requires exclusively making one’s work available exclusively to Kindle owners may have more of an effect on many others, however.  What the press release numbers do not tell us is the average income that an author managed to pick up this month, aside from the fact that it was a measurable percentage increase over participating authors’ usual monthly income from Kindle Store proceeds.  It would be interesting, if pretty much impossible, to compare how many authors saw a jump in profits compared to the number who actually lost income due to exclusivity.  It seems safe to assume that this was the case for at least some people.

As with anything related to self publishing, however, most of the success will have to come through some form of author driven advertising.  Random hits by interested browsers are nice, but word of mouth is frequently not enough to drive sales on its own even for a skilled and prolific writer.  The lending community opens the door to new readers, but so far is not arranged in such a way as to point readers toward any particular title.

Overall this success is a plus for any fan of the Kindle.  Owning one gains some ongoing perks in the form of book rentals, success stories among authors will surely lead to even more participants, and Amazon has immediately shown themselves likely to increase the compensation pool.  We’ll be watching the program here in months to come as the situation stabilizes.  You can’t really assume that holiday Kindle sales are having anything but a positive effect on everything related to the eReading line, so it might be the end of first quarter before we can say anything definitive about ongoing positive trends.  Still, off to a good note.

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Both Amazon and Barnes & Noble are selling their tablets at near, or possibly even below, the cost of production.  The goal is to get people hooked into the platform and make ongoing profits based on media sales.  Effectively, the hardware has become secondary now that it can be treated as a conduit for consumption rather than an end in and of itself. Amazon is doing a better job on this side of things than Barnes & Noble so far.

The Nook Tablet has the technically superior hardware, with double the RAM and double the storage space among other things, but doesn’t make very good use of it.  The storage is restricted and the interface doesn’t seem to run significantly smoother than the Kindle Fire‘s.  There is an SD slot to expand the available memory of the device, but to get a sufficiently large one to make a difference you can expect to add a significant percentage onto the already comparatively more expensive price.  None of this means that it is a bad tablet, it’s actually quite excellent and highly recommended, but it is worth noting that B&N has a way to go before they are really making the best use out of their device’s potential.

The Kindle Fire, on the other hand, lacks some of the power of the Nook.  What it does have is a deeper integration with Amazon.com’s storefront and content.  Unlike B&N, Amazon has their own source of video and music for customers to take advantage of, as well as a robust cloud storage service that makes up for a lot of the seeming shortcomings of the hardware.  The lower price certainly doesn’t hurt sales numbers either, especially given the inevitable comparison of both products to each other and the iPad.

We can expect sales for both tablets to be improving even more through the next year.  The Kindle line, and the Kindle Fire in particular, is one of Amazon’s biggest marketing priorities, while the Nook line is pretty much the only thing B&N has going for it right now in terms of profitability.  What remains to be seen is what effect the next iteration of the Kindle tablet line brings.  A larger tablet could cement Amazon’s place on top of tablets for the foreseeable future, second only to Apple, but it could also severely damage the company’s reputation if something goes wrong and open the door to a big push by Barnes & Noble.

Either way we have good products to work with, but both Kindle Fire and Nook Tablet are built for content consumption and that means active ongoing support.  The more popular each one becomes, the more incentive the associated company has to expand the platform, and the more valuable the tablet in question becomes for owners.  It will be interesting to see the back and forth as the competition heats up in months to come.

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We’re making the assumption here that you enjoy the occasional audiobook.  Many people do, for a wide variety of reasons.  If you haven’t had a chance to check out the quality and usefulness of Audible’s selection, but you would like to consider making use of this promotional credit, do not succumb to the instinct to try out the service with a 30-Day Free Trial.  Yes, this is available, but you are only able to make use of one promo every 2 years according to the present terms & conditions and doing so would make you ineligible.  your best bet is to ask around for somebody who is already a member and try out something they have picked up.  It shouldn’t be hard to find someone, in my experience.

That addressed, it’s a simple enough arrangement.  By making the commitment of a 12 month membership plan at $14.95 per month, you get one book each month and $100 any qualifying product.  This includes any number of electronics from MP3 players and headphones to GPS devices.  There are even some tablets and laptops in the selection.  Most importantly, as far as I’m concerned, is that every Kindle product currently available is included in the promo.  This means that your Kindle Fire could be picked up for just $99, assuming you wouldn’t rather just have a free Kindle Touch.

To take advantage, head over to this Amazon promo page.  Under the heading “How to get your $100 promotional code” there is a link to sign up.  Your new audible membership will be tied directly into your Amazon.com account as soon as the transaction is complete.  This offer should be good until at least January 31, 2012.  It may be extended beyond that point, and has been in the past with no notice or fanfare, but you never know for sure.

There’s little risk in this if you are an audiobook fan.  Signing up for 12 books at $15 each isn’t exactly a ripoff on Amazon’s part, and they do not insist that you remain an active member to listen to them.  These days you can download your Audible selection to practically anything, up to 3 devices at a time, and take it to go.  The readings are above average, for the most part, and the service has been around long enough that reviews are plentiful and often highly informative.

Should you find yourself regretting the decision shortly after signing up, have no worries.  The program can be cancelled at any point in the first 30 days.  In that case you would be given the option to either pay the difference on your Kindle Fire (or whatever device you purchased with the $100 discount) or send it back unopened.

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The Kindle line, and eReaders in general at this point really, make excellent gifts.  The price has come down to the point of being practically large-scale impulse purchases, and the fact that you can expect ongoing support and content updates for the indefinite future makes a strong case or the practicality of ownership. Owning a Kindle eReader provides access to practically any title on the market today at the touch of a button with no need to worry about shipping, travel, or retail crowds.  This last one is likely to be a welcome benefit for people doing their holiday shopping this late in the year.

Additionally, according to Amazon the Kindle Fire is the most gifted, most wished for, bestselling item on the entire site and has been since before it was even released.  Like the eReader counterparts, it provides users with access to a huge library of content.  In addition to eBooks, you can also draw on a large App Store, all of Amazon Instant Video, and basically any digital content Amazon handles.  Top that off with access to services like Netflix, Pandora, Hulu Plus, and other content streaming services and you have a media consumption experience it is hard to argue against.  Keep in mind that each Kindle Fire comes with a month of free Amazon Prime membership and the access to all the benefits that that entails (free Instant Video selections, free 2-Day Shipping, etc), which means that anybody who gets one as a gift will have a chance to most of its more enjoyable features even without any post-purchase investment.

Keep in mind when considering Kindles as gifts that you can also include eBooks to go with them.  At present, all US customers have the option of choosing to gift a Kindle Edition eBook to anybody with an email address.  This will work as a cheaper gift option for anybody who might already be using a Kindle app for iOS or Android, incidentally.  Also, while I have no personal experience with the feature, you can also apparently also schedule your purchase’s delivery for exactly when you want them to get it.  This could help a lot when it comes to scheduling since, even with instant delivery and a smartphone, it is annoying to be making last second gift acquisitions.

If you’re interested in taking advantage of Amazon’s offer, keep an eye on the clock.  This will certainly not be extended, given their lack of direct control over shipping matters.

Enjoy your holidays!

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The most obvious early sign was the fact that the Kindle Touch’s 3G option did not include the same freedoms that we have come to expect in previous models.  Where up until now you could browse freely, albeit in a limited fashion due to the nature of the Kindle’s screen and experimental browser, now users are stuck with only Wikipedia and Amazon’s own store.  Given the size of the ongoing 3G bill that Amazon has to have been racking up over the past several years, this change should be no surprise.  Lifetime 3G for free is going to be hard to keep going without limitations.  What is surprising and makes this stand out is the fact that the Kindle Keyboard did not start having the same restrictions.  If this was really the direction that Amazon has chosen to go, the only easy explanation is that they were waiting to run out existing stock.

More recently, the Kindle Keyboard WiFi w/ Special Offers has silently disappeared from the Kindle Store.  You can still get the more expensive ad-free model, but somehow I doubt that is because Amazon has suddenly decided to drop their advertising subsidized eReader plans.  Not only is it gone, but the newer versions of the sales banner for the Kindle Family are now focused entirely on the newest devices and don’t display the Kindle Keyboard at all.

It would not be surprising to find that even more signs have been given that were just too subtle to be noticed at the time.  I seem to recall there being white versions of both WiFi and 3G Kindle 3 models, for example, but now that is only available for the 3G model.  Hard to say for certain at this point since the graphite frame was so appealing at launch that I didn’t bother picking up a white edition.

Will this be the end of eReaders with physical inputs?  Quite possibly!  The major competition has already moved to entirely touchscreen, though the Nook Simple Touch eReader still has some actual page turning buttons.  The virtual keyboard allows for a lighter, more compact device that is even less intrusive than previous Kindles.  I’m still dealing with mixed feelings regarding this move, having gotten used to my keyboard and not quite having had the same amount of exposure to the new design, but it does seem the way of the future.

If you are still interested in the Kindle Keyboard (formerly Kindle 3), now is really the time to buy.  Lefties will find it especially valuable since the Kindle Touch requires swiping if you want to flip a page forward with your left hand. It offers pretty much everything that the Kindle Touch does aside from X-Ray and the ease of use in highlighting and annotation, but you get the reassuring presence of buttons.  The option won’t be around much longer, I’m sure, but for now you can get either the normal Kindle Keyboard or the Kindle Keyboard 3G w/ Special Offers for just $139.

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There are a few things that stand in the way of making this work.  The most important of these is government intervention.  Marc Onetto, Senior VP of Amazon’s Worldwide Operations, is said to have been in active negotiations with Chinese officials over how this would work.  While no word has been released by Amazon about where they stand at the moment, the Chinese Government has a tendency to take an active part in censoring information that could make things complicated. It is already often problematic to obtain rights to sell digital content globally even without this sort of oversight, but Amazon clearly has plans.

China has proven to be one of the, if not the, fastest growing market for Amazon in the past year, with revenue up over 80 percent.  They have already got ten distribution hubs set up and warehouse space adding up to about a third of what their Unites States enterprises boast.  All that despite only recently rebranding the site from “Joyo Amazon”, inherited from the company Amazon bought to gain traction in the first place, to Amazon.cn.

Chances are good that these numbers will continue going up for some time, especially if Kindles do start shipping.  There is no word just yet on whether Amazon will be creating relationships with local retailers or just selling the devices online, but either way enthusiasm for the product is likely to be high.

If they get this up and running along when seems to be the intended schedule, this would be the first Asian country to have their own localized Kindle and Kindle Content. It seems inevitable that it would be a somewhat crippled version of the Kindle Store, though.  If nothing else, China’s censorship policies would make it difficult to truly enable the Kindle Direct Publishing platform that gives Amazon a unique edge over the competition in other markets.  On top of this, Onetto did say that they had no intention of forming any sort of connection to existing content providers in this market, indicating that there is going to be some problem with stocking the electronic shelves, so to speak.  How they will get around these difficulties is anybody’s guess.

If the Kindle gets government approval, it is likely to make a big splash.  There is a lot of demand out there for such a product. Don’t expect to be seeing something like the Kindle Fire any time soon, but now that the Kindle 4 and Kindle Touch have opened the door to localized interfaces this will be a big step moving forward.

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I’m even fairly certain that there will be some great deals available for the Kindle lovers among us.  “But how?!” one might ask, given that the new line of Kindles will just finish being released on the 15th and the associated price drops will still be settling in.  The answer is clear.

Expect, for one, at least one great offer on the Kindle Keyboard.  Amazon, prior to the release of the Kindle 4 and announcement of the new Kindle Touch and Fire, had been selling the refurbished Keyboard model at a fairly large discount.  This is a move we’d seen before during the transition from the second to third generation of eReader.  We still have them up for sale though, so why bother?  Personally I have a feeling that they just didn’t sell as well as was hoped now that customers knew what to expect.  Look for some great deals on this product with the Black Friday promotions, as this should be a wonderful time for Amazon to sell off large quantities of a product that many believe is being phased out.

Also, watch for accessories!  The Kindle Fire will still be fresh in peoples’ hands after pre-orders ship, as will the Kindle Touch.  As with any piece of portable electronics, there are going to be things needed both for personalization and proper utilization.  Not much fits the bill better than Kindle cases, styluses (you never know what it might be handy), skins, etc.  Given how hard Amazon has been pushing their new hardware, even taking a loss on much of it if external analysis is to be believed, it’s unlikely that a chance to further promote the line will be passed by.

The other thing that Amazon has been pushing, though, is their digital media distribution.  Given that potentially millions of customers will be pulling out their new media tablets in the same week as Black Friday, it makes sense to expect associated digital content sales.  This has the advantage of instant gratification for customers even as it increases awareness of the potential for Amazon’s services.  Look out for Kindle Fire apps, Instant Video downloads, and Kindle Edition eBook deals sporadically throughout the sale period.

Amazon’s Black Friday Deals Week will be kicking off on Monday, November 21 and going through the 27th which is itself perhaps better known now as “Cyber Monday”.  Deals will be posted in a staggered fashion throughout each day in pretty much every category of goods that Amazon sells.  There are even some early deals posted already to set the mood for potential customers.

The Kindle will not be taking center stage in all this, unless i miss my guess.  There won’t be some sort of major promo rush.  This is the perfect time for the retailer to be presenting good deals on things with significantly higher profit margins during a sales period high on one-off purchasing.  It would be silly to have this much traffic built up without any effort to cater to what has to be considered a major source of recurring customers, though, so Kindle Owners (especially Kindle Fire Owners) won’t be left out of the fun.

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Japanese publishers have shown themselves to be very hesitant to allow Amazon to acquire content, citing concerns about the online retail giant’s increasing level of control and influence in anglophile markets.  This, in addition to Amazon’s habitual price cuts led to them to question whether there was money to be made in Kindle Store content.

After Sony’s recent successful entry with the Reader PRS-650 at the beginning of this year, though, there has been reason to hope these companies are coming around. If nothing else, there is definite pressure from consumers who are quickly growing increasingly familiar with the potential of eBooks and eReaders and want to be able to take advantage of them.The solution to the publisher impasse seems to have taken the form of building a predefined framework for the timing and rate of discounts.  Publishers will, according to reports, be consulted before any such discounts were put in place.

Should Amazon manage to carve out a place for the Kindle in the Japanese eBook market, it could be a huge move.  Right now this space has been comparatively underexploited for a variety of reasons.  To make it work, however, they’ll need to do more than just set up a Kindle Store.

The first step will be getting the entire newest generation of Kindle eReaders out there.  The Kindle 4 and Kindle Touch, due to their virtual keyboards, both provide the ability to display Japanese characters in every part of the eReader’s function.  Just one advantage of doing away with the physical keyboard, I suppose.  Without the Kindle Touch, however, competing with even the Sony PRS-T1 would be difficult no matter the price of the Kindle 4.  Right now Amazon.uk is offering the Kindle 4 and the Kindle Keyboard without the touchscreen model, but that won’t do much good in an area where the English keyboard is less useful. These need to be available not just online but in retailers as well.  Exposure will be vital, and partnerships will need to be formed.

While the Kindle Fire is currently only available for pre-order in the US, it would make a great deal of sense for Amazon to push Japan as the first other market to get access to it.  Unfortunately, given that this would require a lot of effort to grab distribution rights in a wide variety of media forms it seems like a long shot.  An effort by Amazon to acquire these rights and expand its influence seems to be inevitable, but it won’t come quickly or easily and a half-hearted attempt would do more harm than good.

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It seems that pretty much anything you have on hand is eligible.  Even first generation Kindles will get you up to $12 depending on condition.  That might not be much compared to the initial purchase price, but using a 4 year old eReader to get 15% off a new Kindle 4 isn’t a bad deal at all, considering all the improvements that have taken place.  Surprisingly, even non-Kindles are eligible.  At this time, a non-touchscreen Kobo or Sony Reader Pocket will get you around $20.  You’ll find any number of competing products to be worth some money if you are interested in switching to the Kindle, or just want some Amazon credit in general (Nook excluded at the moment).

As one cautionary note, be aware that when trading in your eReader you are unlikely to get the full “up to $__” value for your device as this is for a completely unworn product with its original packaging intact.  I doubt many people have hung on to their old boxes on the off chance they might come in handy someday.  The difference between the “Like New” price listed and a “Good” product is generally between $1 and $15, proportional to the value of the device.

I can see this being a valuable move for Amazon in a couple different ways.  Obviously it spurs adoption of new devices.  The Kindle Fire is doing great, of course, but more is always better.  Also, the Kindle Touch is probably where Amazon wants focus at this time as far as eReaders go, so it makes sense to provide an easy way to upgrade.  No matter what device is chosen, there is a good chance that it will be something that Amazon can present ads on, increasing the revenue stream along those lines going forward.  There is also a high probability that, since the Kindle 4 and Kindle Touch are the newer, shiner eReaders at the moment, this will mean fewer devices with unlimited 3G access floating around.  While they have not gotten rid of that feature for new Kindle Keyboard purchases, the restriction on the new device makes it clear that there is an interest in cutting down those ongoing expenses.

Regardless of the motivation for offering the deals, though, this should help some people who want to get their hands on a new Kindle to do so.  It might not be a lot of the price being offset in some cases, but everything makes a difference in the end.

Here is the link to the Trade-in department of Amazon where you can choose any stuff for trade-in transactions. In the “Find the Items You’d Like to Trade In” select “Electronics” category from the drop-down menu and type Kindle in “Search by title or keyword(s)” box. After clicking the “Go” button you will see the options for trade-in transactions.

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Anyway, as was previously speculated would be the case, the popular ad-supported Kindle will now be playing host to a series of locale specific deals through the AmazonLocal program.  The AmazonLocal program, for those who have yet to get any information about it, is a local deals web service that offers customers as much as 75% off of various goods and services in their areas.  They launched it earlier this year, and have been spreading the service’s influence throughout the US.  So far, 44 locations across 15 states are covered and more are popping up all the time.  While it is separate from the Amazon owned LivingSocial deal site, many deals sourced through LivingSocial can be found in both places.

The initial Kindle deals will be limited to New York City customers.  Kindle owners in Downtown, Midtown, Uptown, and Brooklyn will get to take advantage of a few offers over the next couple weeks that should make the idea of ads on the Kindle even more attractive.  According to the recent press release, the first few big offers for New Yorkers will include:

• $7 for a one-hour bike rental in Central Park ($15 value)
• $5 for $10 at Dangerfield’s Comedy club
• $59 for one month unlimited yoga classes at Bikram Yoga Grand Central ($180 value)
• $5 for $10 worth of ice cream and ice cream cakes at Coldstone Creamery
• $45 for lunch at City Winery ($98 value)

The major attraction of the Kindle integration with AmazonLocal will be the completely computer-free access to the service.  Not only will potential customers be able to encounter new deals as a matter of course without going out of their way, just by closing their books and glancing at the screensaver, but even the purchases will be taken care of.  Customers wanting to make the purchase offered through this program will be able to grab it through the eReader and present the redemption voucher as an item displayed on the screen to the business in question.

This functionality, while not yet a part of the Kindle experience, will be included in an upcoming software update.  Once again, it seems that devices that do not have the integrated Special Offers will be left out of the promotion, increasing the overall appeal of an ad supported eReader.  Given the unobtrusive nature of the advertisements while reading, and the value of the advertisements that have been and will soon be offered, it will be no surprise if the Kindle w/ Special Offers is appealing for far more than simply the associated price cut.  Should you be somebody who is both interested in the offers and uninterested in ads on your Kindle, make sure to check out www.AmazonLocal.com!

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The $99 pricing seems appealing and probably will sway a few people.  I seem to recall that discounted refurbs toward the end of the Kindle 2′s life cycle did the same.  Still, before you jump on it, it is important to keep in mind what this move is likely to imply.  Rumors abound, both substantial and completely speculative, about the upcoming next generation of Kindle products.  We can be almost 100% sure that they will be showing up in the next three months, but beyond that there is little total certainty due to the expected overlapping release of the first Kindle Tablet and the difficulties inherent in trying to pick through the bits of information we have to determine which bit goes to which device.  Given competition in the eReader marketplace alongside some business moves that Amazon has made lately, though, we can make some pretty solid assumptions.

Amazon will, it can be assumed, be releasing a new touchscreen Kindle.  It is very, very likely that it will run Android in some form.  There are certain to be several incarnations of it to allow for choice between WiFi, 3G, ad support, and the combinations thereof that we have become accustomed to.  It is very unlikely that the new Kindle baseline model will cost more than the $114 currently being asked for the cheapest brand new Kindle on sale right this minute.

The question potential customers have to ask, then, is what factors matter in their choice.  If this is meant to show Amazon that you will not support Kindles over $100, then it is a good way to put your money into making your point while still getting a great product.  If you are in a hurry and don’t feel like waiting to get the new Kindle, then it makes sense to pick up one of these.  Never any harm in grabbing a refurbished product from a company that is known to have excellent customer service.  If you don’t have a point to make and aren’t in a rush, however, I can’t see that holding back to see how well the Kindle 4/Kindle Touch/Kindle Whatevertheycallit stacks up compared to the competition.  There’s no reason to believe that there won’t still be Kindle 3 refurbs and back stock sitting around by then anyway, probably discounted even further or sold through Woot.com.  While there are rumors going around that many customers will be getting brand new Kindles labeled as refurbished in order to be sneaky about their official new product announcement, it is hard to see Amazon running out completely in the next couple weeks.

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Why sell Kindles in a toy store?  It sounded kind of farfetched to me at first.  The e-reader has started to reach out to children as an educational tool.  K-12 schools are starting to experiment with using e-readers for textbooks and for other educational needs.  I’ve seen articles floating around that show that school libraries are testing e-readers and tablets for use.

Both Amazon and Barnes & Noble are targeting the back to school crowd this year.  Office Max will be selling the Nook around the same time.

It also catches the eye of parents who shop at the toy store.  Just puts the Kindle out there in yet another way.  It will be well positioned for the holiday crowd on Black Friday.

The major shopping times are going to be overflowing with new gadgets this year.  The thought is kind of overwhelming.  But, the competition will be fierce, which means awesome prices.

Toys ‘R Us will offer the Kindle 3G and Wi-Fi, as well as the Kindle Wi-Fi with Special Offers.  In addition to the device itself, there will be a good number of accessories available.

I remember, just a couple of years ago, the Kindle was only limited to online sales.  It is now reaching out to brick and mortar consumers of all ages and interests.  Those who were skittish about buying online have a lot of venues to choose from.

The popular e-reader can be used as an important tool for education in several ways.  The lure of a cool new gadget gets kids excited about reading.  Kindle games and applications have been developed to help kids with learning math and spelling.  There are also interactive Kindle books available that are packed with adventure.

Lastly, the lightweight e-reader is portable and fits easily into a backpack.  I think the Kindle can be used as an important tool in encouraging all children to enjoy reading.  It offers so many types of reading material, from books to magazines, and even graphic novels.  There is something for everyone.

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Right now the Barnes & Noble Nook product line is on top in terms of worldwide sales for the first time, beating out the Kindle a bit.  IDC attributes this in part to the introduction of the popular Nook Color, for which this was the first full quarter of sales.  While many have leaped at the chance to interpret this as an indication that the Nook Color is single-handedly outselling the Kindle, no indication of such is made in the article.  Instead, it seems likely that the Barnes & Noble Nook line’s incorporation of both a dedicated eReader and a budget Tablet PC has proven a smart move, especially with their managing to classify their tablet as a primarily reading focused device.  This does not necessarily mean that the Kindle is doing poorly in any way, but it does indicate fairly well that the expansion of the Kindle line to incorporate a variety of Tablets will come at a great time for Amazon.  The eReader market is expected to continue to expand, and IDC has increased their number of expected unit sales for the year.  Current forecasts call for 16.2 eReaders shipped worldwide in 2011.

On the tablet front, the iPad and newly released iPad 2 are continuing to dominate the market.  Though sales fell short of expectations in the post-holiday season, due to both current economic conditions and certain supply chain issues, there was still noticeable expansion and the rest of the year is looking strong.  Worst off have been the iPad’s competitors who choose to concentrate on distribution through telecommunication venues.  Due perhaps to customer reluctance to get locked into a monthly fee with their purchases, the demand in these areas is growing comparatively slowly.

Amazon’s anticipated third quarter tablet release is definitely looking like it has a chance at making a major impact on the Tablet PC space.  Due to firmly established distribution channels and an existing support structure, the device or devices can expect to be better received than most.  Should Amazon meet their expected sales numbers, as estimated from reports of supply orders made in anticipation of the upcoming release, they could jump to a 5% share of the Tablet market within months of release.

Given the success of the Nook line in the eReader market in a period when they were offering a fairly outdated eReader and an underpowered Tablet, it can be assumed that the combination of the current generation Kindle and the upcoming high-powered Kindle Tablet will provide Amazon with just the versatility needed to get firmly in place as a hardware provider in the months ahead.

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Owners of eReaders like the Kindle are fairly evenly broken across the genders.  Parents are more likely to have picked up an eReader in the last six months than people without kids under 18.  The greatest growth among surveyed ethnic groups was in Hispanics, who jumped from 5% ownership to 15%.  The only group that seems to have dropped off in terms of eReader ownership was High School non-graduates, who went from 5% to 3%.  College graduates predictably jumped the most.

Tablet ownership grew along similar lines, though not necessarily the same ones.  Men, for example, are significantly more likely to own a tablet than women, with a large number of those surveyed saying that being able to impress others with their purchase was a priority.  This might have played into age demographic differences as well, since tablets showed the most growth in the 18-29 bracket.  eReaders, by comparison, did best with those 30-49. In the case of tablets, ownership among college graduates was actually outpaced by that of those with partial college completion.  Hispanics still lead the pack among reported ethnic groups.

Basically, everybody likes their new gadgets.  Men, especially younger men, are fond of the flashiness of the tablets.  Slightly older people of both genders are getting into the eReader market.  Overall, tablets are still lagging a bit behind, in spite of early predictions that they would spell the end of the eReader.  Possibly this has to do with the lack of serious competition among tablet makers, in which case we’ll likely be seeing some different numbers this time next year.  More likely would be that this is an indication of a trend toward dual-ownership.  A good 3% of those surveyed confirm that they have both types of device on hand.

For now, there are already groups where as many as 20% of those surveyed have adopted eReaders.  There has been noticeable growth in all households with an income greater than $30,000 per year.  Households over $75,000 per year are of course doing the most shopping for portable electronics, but the difference in growth between this and other income brackets is not as pronounced as it is among tablet owners.  They seem to be cheap enough to be accessible to, and appealing to, pretty much everybody.  Pricing the Kindle at just $114 might be the smartest move Amazon could have made.  It will likely surprise nobody if the upcoming Kindle Tablet undercuts the competing iPad by more than a little bit to take advantage of the trends.

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Audible is probably the best place I have found so far to grab audiobooks, at least in terms of selection and reliability.  While on occasion I have found specific books with better readings elsewhere, I have yet to be unhappy with anything I’ve found through the site and in general they provide the best.  Their monthly plans include one or two audiobooks per month, with a small number of rollover opportunities if you want to skip a month or save up for newer books being released at the same time.  Technically they also do have annual bulk options for 12 or 24 books at a time, but that tends to be a bit much to digest all at once.

In addition to getting access to a selection of over 85,000 audiobooks, signing up through the banner in the Kindle Store will provide a coupon code good for $100 off of a selection of devices.  The Kindle w/ Special Offers is probably the best deal of the bunch, but there are others including other Kindles up to the Kindle DX, a range of Apple iProducts, and the occasional GPS device.  I’m going out of my way to specifically push the Kindle connection because the integration of the Kindle Store with Audible.com has made it amazingly simple to get everything working perfectly.  You can also, of course, transfer your Audible purchases to your iPhone, computer, or even burned CD.  The latter option is especially useful for long drives, I’ve found.

What made this at all worth noting right now, besides simply a desire to highlight the advantages that this deal, and Audible in general, provides to Kindle owners new and old, is the recent stir over the pseudo-children’s book, Go The F–k To Sleep by Adam Mansbach.  In addition to being a source of cathartic entertainment to many parents, babysitters, teachers, etc., and of course a source of outrage for the uptight, Go The F–k To Sleep stands as an example of the sort of success that internet fame and word of mouth can bring an otherwise small production.  A few copies of the book found themselves on popular filesharing networks and the buzz that this generated had it a number one spot on the Amazon lists before it was even released.

For now, Audible account-holders can get a copy of this book read quite effectively by Samuel L. Jackson for free as long as the limited time offer holds out. I wouldn’t say that this alone is incentive enough to spend a year paying $14.95/month, but put it together with 12 professional audiobooks and a nearly free Kindle and you’ve got quite the deal.

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Right now, it is easy to find the top selling Kindle Editions, whether they be paid content or free.  The algorithm might be a bit odd, but the results are right there on the front page of the Kindle Store.  We also get the occasional special promotion and a list of some of the most popular selections from some category in the store.  Pretty much what you might expect.  Nowhere do we have a list of Kindle Deals or anything similar.  I think we need one.

I’m not talking about just a category that lists all of the cheap or free Kindle eBooks, of course.  Not only would the sheer size of such a list make it almost as unmanageable as looking through a complete listing of the Store’s content, but it would include the sort of things that we need to filter out.  A deal isn’t really a deal unless you’re getting good value for your money.  That excludes the spam, plagiarism, and any number of other things that are inherently hard to automatically sort through.  So, how does one define a “deals” category?

At the very least, breaking it free from anything in the way of human interaction, it should be simple enough to set it to filter for a set maximum price, minimum number of sales/reviews, and possibly include some method of prioritizing recent price drops.  In the end, I don’t think this is the answer, though.  What is needed is an actual person, or persons, to make the judgment call.  There is a good chance that the Kindle Sunshine Deals experiment was meant in part to test the waters for this very concept.  It works because you’ve got affordably priced eBooks that have made it through at least some degree of scrutiny before being included.  In the case of Sunshine Deals, they’d passed through the hands of a publisher, but that doesn’t need to be the only channel available for something like this.

Probably, talking about this will turn out to be a moot point.  I anticipate at least some shift in perception among publishers once the results of the Kindle Sunshine Deals promotion have been more thoroughly reviewed.  More affordably priced eBooks, yes, but also better publicizing of those eBooks that are priced low enough to be noteworthy.  It isn’t enough to just throw up a book and price it at $2.99, as many authors new to self-publishing for the Kindle have found.  You have to get word out there and make sure that customers know that there are deals to be had and value to be found.

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First, I think that it is not unreasonable to restrict the number of book postings that an individual author can make in a day, except by special request.  Currently, as far as I can tell, there is little regulation on the process unless you are trying to fit into the Kindle Singles category.  Do we really believe that many authors have a genuine need to even consider publishing 10 books in a day, or 100 books in a week?  I understand that throwing up the back catalog of an author can involve a lengthy list sometimes and I think that should be possible if they clear it with Amazon Customer Service first, but as a general situation there’s no real need.  Why not say that you can only post one book per day, or three per week, and take the easiest means of profiting from these exploitative tactics away?

Perhaps a better way would be to have a way for verified purchasers of Kindle books be able to flag a purchase as spam.  Make it work off of a percentage system, wherein any Kindle Edition eBook that is flagged by 30% or more of purchasers (with a minimum of five or so to prevent the most blatant forms of abuse) is either taken down for review or publicly labeled as potentially harmful until it can be reviewed.  This would allow Amazon to get away with letting their customers police the system in a manner similar to the existing ratings system and point the finger at bad uploads for removal at the company’s convenience.

I realize that both systems come with their own problems, of course, but something needs to be done.  Millions of Kindle owners and readers simply deserve better than what’s being thrown at them.  Maybe adopt something like these fairly simple ideas, but have a method whereby authors can apply for exemption as needed?  It is a complex issue.  There are enough obstacles to deal with in the transition away from paper books that we don’t need this to be an ongoing problem, though.  It is time for Amazon to make use of the control inherent in having their own platform to change things for the better.

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We all know by now that Amazon has been selling more eBooks than print books recently.  It seems to be the start of a trend.  When commenting on this development, the report also states that “We believe that industry-wide, eBooks will surpass Print books in terms of sales within 2-3 years.”  Apparently this has held up in the UK as well, where the Kindle has experienced even more rapid adoption than in the US, with Kindle books already outselling hardcovers at a rate of 2-1. They also make note of the fact that Kindle book sales have managed to triple in the past year and show no sign of tapering off any time soon.  This year over 310 million Kindle books will have been sold and next year we are looking at perhaps as many as 751.5 million. That’s a combined total of $3.8 billion from Kindles this year alone and as much as $6.1 billion next year.

Aside from numbers, what does this mean for the Kindle line?  Well, estimates have been favorably improved recently.  Amazon is now projected to sell 17.5 million Kindles this year and perhaps 26 million in 2012.  In addition, the success of the Kindle w/ Special Offers, which has managed to become Amazon’s best selling eReader so far in the short time it has been available, lends merit to the idea that we may see a Kindle priced under $100 by the end of this year. According to many analysts, this is the tipping point whereat the Kindle can feasibly become an impulse buy for customers rather than an investment, giving it that much more influence over the eReading and Publishing marketplaces.

Interestingly, none of the Citi analysis’s predictions for the remainder of 2011 or 2012 make any note of the potential merits of the upcoming Kindle Tablet.  While it has not been officially confirmed, which may well be the reason for the exclusion, it is hard to do research on Amazon at the moment without finding some information pointing out what’s coming.  Given Citi’s use of actual numbers in their sales figures and projections, something that they certainly didn’t get from the notoriously tight-lipped Amazon, it is clear that they go more than a bit beyond press releases and PR interviews.  It could have been interesting to see what their take was.

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Since that time, people have reacted in a number of ways.  Publishers have expressed skepticism, which makes perfect sense given their level of investment in keeping eBook prices as high as possible.  People like me who are fans of the Kindle, its associated platform, and the community building up around it have expressed the obvious enthusiasm.  I’m not claiming a lack of bias on this point.  At least one analyst, a Michael Norris, has publicly called the claim “obnoxious” and expressed the opinion that the whole announcement was a publicity stunt made possible by taking things completely out of context.

Context is indeed what matters here.  Norris goes on to express the opinion that Amazon must be padding their numbers with some apparently astounding sales from the popular Kindle Singles program.  While I’m skeptical of the claim that the Singles are where Amazon is making most of their sales, having looked through the selection more than once, it doesn’t really matter.  The fact that the Kindle Singles are shorter doesn’t make them “not books” in my eyes.  Really, I don’t think it does for this guy either.  I believe what he is objecting to is the fact that a product selling for $0.99 can hold as much weight as a product going for $12.99 when it comes time to compare sales. He comes out and says “Obviously, when you’re selling units so inexpensively, you’re going to sell more of those than, for example, a $14 paperback print book” and thinks he’s making a point against eBooks.

This gets to the heart of the matter, and I think it explains the difference between what customers want to know and what publishers would like them to know.  As a reader and buyer of books, both electronic and otherwise, I am more interested in the number of copies being sold than I am in how much profit somebody is making off of them.  I’m not a stockholder.  If somebody tells me that in spite of 20% of all book sales in a year being eBooks only 5% of a specific publisher’s income came from them, I wonder what that publisher was doing wrong, not what is wrong with eBook loving customers.

What I’m trying to get at is that saying that the numbers are misleading just because they address an aspect of the transition to a new medium that you don’t like is not cool.  Yes, this is a different context from what you may be used to, but it is not out of context.  If anything, it highlights a more relevant piece of information about the new publishing business than most other things I have seen.  Is the announcement a bit self-serving on Amazon’s part?  Of course, or why would they have made it?  It wouldn’t be useful, though if it didn’t tell people something they wanted to know.  The Kindle is doing well, possibly better than anybody could have expected at this point, and whether or not that had to do with Kindle Singles it seems that people were interested enough to take notice.

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That’s right, it finally happened.  Since April 1st, Amazon’s Kindle Store has sold 105 Kindle eBooks for every 100 print books they have sold in any format.  We knew it was going to happen eventually, of course.  First they outsold hardcovers last July, then paperbacks six months later, and now this.  The speed of the progression is as impressive as the accomplishment itself.

To put this in the proper perspective, a couple things need to be kept in mind.  For one, all of these milestones I mention were factoring in only paid sales.  The free editions that tend to be the first selection of the new Kindle owner were left out for obvious reasons or else this probably would have happened a while back.  Really, how many people make their way through all their free downloads though?

Also, given the timing, this clearly came prior to and had nothing to do with the introduction of the discounted, ad-supported Kindle w/ Special Offers. This means that you can’t consider this more widely appealing Kindle offering to be part of the trend when Amazon lets us know that their 2011 Kindle Edition sales to date have been more than three times those of 2010.  When you consider than in about a month the Kindle w/ Special Offers has become the best selling member of the Kindle family by far, the trend seems poised to continue.

The Kindle Store is now home to over 950,000 titles, including 109 of 111 current NYT Best Sellers.  The vast majority of these titles are priced under $9.99, including the aforementioned Best Sellers.  Again, these numbers don’t even try to factor in the millions of titles that are available for free due to expired copyrights or the many books available through other sources that can be used on the Kindle.  On top of this, new titles are being added all the time including many from Amazon’s successful self-publishing platform.  Over 175,000 books have been added to the store in 2011 alone.

We’ve known for a long time that the eBook was on the rise.  It was only a matter of time before it became the dominant format.  While this is only citing the success of one retailer, Amazon is leading the way.  They have localized stores in multiple countries, are steadily expanding, and continue to distribute the most popular eReader on the market in spite of steadily increasing competition from tablets and competing eReaders.  Even without the upcoming Kindle Tablets, the Kindle is demonstrating an ability to keep up the momentum.

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One of the more interesting aspects of the deal’s announcement is the exclusion of the option to buy a Kindle WiFi.  There have been a number of vocal complaints about the fact that Amazon has allowed advertising to become a part of their product line at any cost.  It in indicative of a certain level of confidence on their part that they have decided to push in such a way.  Having the least expensive option in the Kindle line available in over 3,200 stores nationwide will definitely get the word out.  You can’t exactly consider it to be detrimental to be able to demonstrate to the public how trivial and unobtrusive the current ad implementation is, either.  It will be nice to see the newer release circulating and interesting to find out if they plan to start replacing the Kindle WiFi model in other stores at the same time.

Speaking of releasing the Kindle hardware into wider circulation, it seems entirely possible that this is an early step to get distribution channels in place before another entry into the device market.  Being able to release the next new thing, for example a tablet PC, with simultaneous sales both online and in thousands of stores nationwide would make for a truly impressive initial launch, if nothing else.  Many people have made a point of observing the advantage that the Apple stores have given the iPad so far.  If the tablet race becomes a matter of Kindle vs iPad, since we can assume fairly well at this point that the new Amazon tablet will be considered part of the Kindle line, then it would appear that Amazon has found a fairly good way to preemptively deal with this advantage.

Regardless of the complexities of the underlying motives, it’s good news for potential Kindle customers.  If you or somebody you know has been on the fence regarding a Kindle purchase, for whatever reason, chances are quite good that there’s going to be a nearby Walmart that can help with providing a bit of first hand experience.  Whether you personally like Walmart or not, you can’t deny their presence and convenience.  If nothing else, stop in, try out an eReader or two, then decide what you want and hit up Amazon.com for the actual buying.  Not endorsing the store, their politics, or their methods, just considering the potential advantage to the consumer.

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The roll-out for the German store seems to have gone fairly smoothly.  Where before the only way to get a Kindle in Germany was to order through the US Amazon store, it is now available directly through Amazon.de and ties into the associated Amazon.de user account. Customers can already choose from over 650,000 titles (including 71 of 100 Spiegel bestsellers according to the press release), thousands of self published German authors using the Kindle Direct Publishing service, and a good selection of popular international and German magazines and newspapers.  All of this is available to users of both the Kindle eReader itself and the Kindle app family, including the PC, Mac, iOS, and Android programs.

All in all, great news for fans of the Kindle outside the US.  Who hasn’t heard of the complications facing people who try to import their eReader into an unsupported area, right?  The only people who are going to end up with real problems are those who wanted one badly enough to go out of their way and grab a US release.  These “early adopters” are likely to find themselves in the unpleasant position of having to choose between the books they have already acquired through Amazon and the benefits provided by the new store. As many UK customers can attest, digital rights management in an international environment can create problems from differing availability and pricing to seemingly arbitrary exclusivity issues.  It is to be hoped that the worst of this will be avoided in this case since the Amazon.de Kindle Store is catering more specifically to German-language eBook options than the US store has so far and as such will experience minimal overlap, so maybe this won’t be quite as noticeable as the US/UK divide seems to be?

The question this inevitably seems to lead to is whether or not this sort of thing will lead to a true localization of hardware to go along with the international store presence. At the moment German customers will still receive Kindles with English keyboards and interfaces, and the same sort of issue seems to be present in the menus for the app selection as well.  Whether the Kindle line makes the move to Android, as many have thought likely, or they simply keep going on the existing modified Linux build, it would seem to be both fairly simple and a good idea to make the software as accessible to everybody as possible.  That just leaves modifying the keyboard which would, admittedly, likely cause problems with the whole form factor production. A great deal seems like it depends on the success of this and other new stores.

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The advantages are fairly obvious and stem mainly from the larger screen.  It gives you a lot more real estate to work with.  This means the potential for better PDF presentation, which I find essential for any serious academic or technical reading.  It also makes for more convenient reading of books on larger font sizes, since even if the screen refresh rate has gotten to the point of not being an issue it’s still obnoxious to have to flip after every hundred words or so.

The sacrifices that are required for the improved screen are minimal.  Some people will find the weight a little bit much for single handed reading.  It does weight slightly more than twice as much as my Kindle 3, it’s true.  This emphasizes what I consider to be the only major flaw of the device: No buttons on the left side.  You are required to handle all the controls on the right.  Combine those two issues and you get a fair amount of inconvenience.  From personal experience I would say that it goes largely unnoticed pretty fast in the face of the expanded screen, though I notice that some reviews on the site are a bit more vehement about the issue.

Keep in mind when you consider buying this that the current model of the Kindle DX came out slightly before the Kindle 3. As holdovers from an earlier generation of the product line, it still has a 5 direction navigation stick instead of the pad and it lacks WiFi capabilities.  This last is especially a concern if you or the person you are buying for happens to live outside of the US, as the coverage internationally is less than ideal, by all accounts.

Overall, however, it’s a great product for reading.  I’ve been using mine since a few weeks after it was released and have absolutely no complaints.  Due to the size, it tends to get brought out mainly when reading a brand new book, for that fresh hardcover feeling, or when I need to look at something larger like a textbook or diagram.  The DX handles pretty much everything I’ve thrown at it without a problem.  The overall 4-star review status would tend to confirm my personal assessment, with the majority of negative reviews seemingly concentrating on problems with Amazon’s customer service or a now-resolved hardware problem when using the leather case being sold as an accessory.

As always, let me emphasize:  This is not a tablet PC.  I know it’s the same size as one, and it has a big screen, but this is a device for reading.  It may be significantly more expensive than the Kindle 3, but it’s still a Kindle.  Do not buy the Kindle DX expecting anything but a great way to read your books.

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