Amazon’s strategy with its Kindle e-readers and tablets has always been pretty clear: bring in more customers, even at a loss, so long as they partake of the online retailer’s panoply of services, from e-books to streaming movies, according to TIME.
Unlike rival Apple, which sells its devices at a premium, Amazon has seemed more or less happy to break even or lose money on its devices. Now, a report based on research by Consumer Intelligent Research Partners (CIRP) shows how shrewd that strategy may be.
CIRP surveyed 300 US-based Amazon customers over a period of three months this fall. Based on the results, the firm estimates that Kindle owners spend about $ 1,233 per year on the site, compared with $ 790 for Amazon members who do not own one. In other words, Amazon members with Kindles spend $ 443 more annually, TIME reports.
H / T: Newser
See this story on business . time.com
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