How Amazon Could Turbo-Charge Kindle Sales

It’s been about a year since my last post on the Kindle, and sadly, nothing has really changed.  I still see the device as popular among my more venture-savvy friends and colleagues, particularly if they travel frequently.  Overall, however, I find the prospect fairly uncompelling.

To restate my comments from a year ago:

I think the problem is that I’m emotionally attached to my library. I surround myself with my books. They remind me of what I’ve read, and even in some cases, who I was when I read them.

Unfortunately, while I’d love to flip through some of them more frequently, the physical form gets in the way. I know I would love to have all my books in electronic form, the same way that I have my CD library now on my iPod, or my DVD library on my AppleTV/Mac Mini.

I still feel like Amazon is not really pushing to convert book readers to digital.  However, there is a program I could get behind:

Let me send you my books. Yes, my physical books. When I send you them, give me download access to the e-book form, for my Kindle. Let me trade you my paper for electrons, in high quality form.

This is the same strategy that retailers like EB Games has been able to use to bring life back into video game retailing.  Set up a volume program to receive used books, and either resell them or donate them to recoup fractional costs.  Effectively subsidize the transition from paper to digital for readers who have large collections.  In fact, they could likely turn it into a phenomenal charity program, providing millions of books to needy libraries and schools around the country.

Once they have a majority of their works in digital form, the advantage of the Kindle takes over.  Incremental sales will be purely digital, and you’ll lock those readers into your format.

Sure, Amazon would need to negotiate some sort of “bulk rate” with publishers to effectively re-license the books to readers.  But if publishers are smart, they’ll realize that the likelihood of selling someone a digital copy of something they already own in print is close to zero.  In fact, the net dollars from such a program could actually even help justify better economics on the cost of the Kindle itself.

One of the things that has always impressed me about Amazon is their willingness to look past short-term financials toward long term strategic advantage and user needs.  I think that’s why I still believe that Amazon could be the type of company to make this type of program a reality.   If they don’t do it, however, I wonder if Google just might.

Let’s see if I have to write this post again in 2010.