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Kindle fire sales didn't collapse in the first quarter of 2012,research group says by 123wert sdfsf





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Kindle fire sales didn't collapse in the first quarter of 2012,research group says by
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Kindle fire sales didn't collapse in the first quarter of 2012,research group says


 
Business,Business News,Business Opportunities
To paraphrase Mark Twain: "Lies, damned lies, and tabletstatistics." Amazon Kindle Fire Thursday's media reports of Kindle Fire sales collapsing after a stellar launch are misleading, a leadinganalyst says, and an indication that many tech bloggers andjournalists don't understand the difference between "shipments" and"sales" of a product. In a Friday blog titled "Shipments Are Not Sales," Stephen Baker of The NPD Grouppulls no punches in chastising tech bloggers for misinterpretingnew data from research firm IDC , which shows a dramatic drop in shipments of Android tablets inthe first quarter of 2012. If you skim yesterday's IDC press release quickly, it's easy tosurmise that Amazon's Kindle Fire had a particularly terriblequarter. Here's a quote: "Amazon, which stormed into the market in 4Q11 to grab second placewith 16.8% of the market on shipment of 4.8 million units, saw itsshare decline significantly in the first quarter to just over 4%,falling to third place as a result." Many bloggers saw the drop in Kindle Fire shipments as anindication that Amazon is losing ground in the tablet race--andthat consumers may already have soured on the company's new 7-inchslate.



Here's How to Interpret the Data But that interpretation is inaccurate, says Baker, who is the NPDGroup's vice president of Industry Analysis. He writes: "This current firestorm around the Kindle Fire numbers is a perfectexample of how mistaking shipments for sales leads the market toincorrect and faulty conclusions about trends and opportunities." Stephen Baker, NPD Group As Baker points out, IDC's data shows that Amazon shipped 750,000Kindle Fires in the first quarter of 2012, down considerably fromthe 4.8 million Fires shipped in the fourth quarter of 2011, thetablet's debut quarter. Of course, sales always rise dramatically in the fourth quarter ofthe year--also known as the holiday shopping season--and Amazonunderstandably shipped millions of Kindle Fires to its warehousesand retail partners to meet demand. All of those 4.8 million Firesshipped didn't sell, naturally, which meant plenty of inventory wasleft over for early 2012. This resulted in lower (OK, significantlylower) Kindle Fire shipments in that quarter.



So how did the Kindle Fire do in the first quarter of 2012? Prettydarn well, thank you very much. According to NPD's ConsumerTracking Service, the Kindle actually sold (there is that wordagain, this time properly used) 1.8 million units in the firstquarter. That is, "an actual consumer bought it and took it home(or had it delivered) and paid their own real money," Baker writes. Baker goes into greater detail, so check out his post if you're interested in a shipments-versus-sales primer.



Contact Jeff Bertolucci at Today@PCWorld , Twitter (@jbertolucci ) or jbertolucci.blogspot.com .

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