PRICING STRATEGIES OF

ONLINE BOOKSTORES

Prepared By,Nithya Ann Thomas

Earlier if you wanted to buy a book, you bought it from a bookstore. Book buying possibilities have changed. Now you can pay to download a book to an e-book reader or buy it from an online source e.g., the author’s or publisher’s website, Amazon.com.

Pricing Strategies Pricing strategies for products or services

encompass three main ways to improve profits. These are that the business owner can cut costs or sell more, or find more profit with a better pricing strategy. When costs are already at their lowest and sales are hard to find, adopting a better pricing strategy is a key option to stay viable.

Important factors to be considered for Pricing EBooks

LengthReaders passionAuthors platform Reader trustSeries or not Author marketingPerceived valuePlatform building

Charge extra for convenienceLink eBook prices to their ”value

proposition”Factor in the author’s timeMake it free to help gain market sharePrice newer titles higher than old onesTie an eBooks price to the cost of other

formatsLet the readers decide

7 Must-Consider Strategies for EBook Pricing

Pricing Strategies of Amazone.com

offers discounted prices such as 30% off any book over $15 coupled with a very popular free shipping option on nearly all orders over $25.

Amazon uses a form of value pricing strategy known as every day low pricing, which Kotler and Armstrong describe as charging a constant low price with few or no temporary price discounts.

Amazon also offers value-added services to differentiate themselves as a retailer. This includes offering free shipping, as well as services such as personalized product recommendations and bridal and other gift registries.

Web’s most popular site due to its strategy of low product and shipping prices combined with a superior customer experience