Apple’s Ipad vs. Amazon’s Kindle Fire

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Category: Business and Industry

Date Submitted: 02/27/2015 05:07 PM

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Price Demographics:

One of the driving factors of success for both the Ipad and the Kindle Fire are the prices in which Apple and Amazon sell its product for. Both are using two different types of strategies in their pricing methods. Amazon is selling its Kindle Fire for a very low price comparative to the Ipad. Currently, the price ranges from $150-200. This price attracts consumers with a low cost value based system. Cost conscious buyers have shown a 26% increase in tablet’s purchase, which is even higher than the overall tablet market.

On the other hand, Apple’s Ipad sells for almost $300 dollars more than the Kindle Fire. While this would normally lead towards a competitive disadvantage, Apple has been able to avoid losses because of its very strong brand name and the high quality of the Ipad. The Ipad offers more applications and a wider variety of accessories which makes it marketable and worth the extra money to the consumer.

Age Demographics:

The Kindle Fire and Ipad reach out to different groups, which is critical in determining the future success of each product. Through research, the Kindle Fire reaches an older audience, especially garnering usage from the 55+ age range. On the other hand, the Ipad is more popular to a younger demographic. The reasons for this have to do with the actual products itself. The Amazon Kindle Fire is easier to use and more geared towards its Ebook application. This easier usage allows less tech-savvy individuals, usually part of the older generation, to be more interested in purchasing and using the Kindle Fire. On the other hand, Apple’s Ipad is much more technical with almost an unlimited amount of applications to use. This higher level of technology makes a younger demographic more comfortable in purchasing the product. Below are graphs that shows the age demographics of both the Kindle and the Ipad.

Based on the statistics, it is clear that the Kindle Fire win the demographics from ages 50+...