The introduction of the iPad and the iBooks store has lots of people forecasting doom for Amazon’s Kindle. And Citigroup’s Mark Mahaney, an Amazon bull, acknowledges that Apple will eat into the Kindle’s share: He’s convinced, quite reasonably, that Amazon needs to overhaul the Kindle very soon, and cut its price below $200, to stay competitive.
From a note Mahaney published on Friday:
+ 88% of NY Times Fiction and Non-Fiction Best Sellers are available on Amazon’s Kindle vs. 63% being available in Apple iBooks;
+ The average price of the Best Selling eBooks available on both platforms is $11.23 on the Kindle and $12.31 on the iBook platform – a 10% difference;
+ All in, about 50% of NY Times Fiction and Non-Fiction Best Sellers are available on both the Kindle and the iBook platform; and
+ For the eBooks available on both the Kindle and the iBook platform, 80% had the same price, whereas Kindle prices were cheaper for 20% of the books by an average of 11%.
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