Why are Amazon's Kindles so cheap?
December 17 , 2013
Amazon sells its Kindles so cheaply for a simple reason: Its users end up spending a ton of money on Amazon.
New research indicates that those who own Kindle spend $443 more on Amazon than those who don't.
"Another way to look at Kindle Fire and Kindle e-Reader is as a portal to Amazon.com," the Consumer Intelligent Research Partners co-founder said.
CIRP surveyed 300 customers in the U.S. and its findings have indicated that Amazon's strategy is quite shrewd and appears to be effective.