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The truth about Apple and the eReader app changes: Customers lose

By | July 26, 2011, 11:12am PDT

Summary: You may have heard about Apple forcing ebook apps to remove the ability to shop at non-Apple ebookstores from the apps. While within its right to do so, the move is ruining the Apple experience.

You may have heard about Apple forcing ebook apps to remove the ability to shop at non-Apple ebookstores from the apps. They were also forced to remove any link to a store on the web, rendering it difficult for Apple’s own customers to use the iPhone/iPad to its fullest; at least they can’t use it as fully as they did before this week due to the changes.

Dan Frommer has a good take on how these changes are bad for Apple’s customers as it leaves them with an inadequate user experience. I agree with Frommer for the most part, due to what I have seen in my own household.

My wife bought an iPhone 4 as soon as it was available on the Verizon network. She has taken to the iPhone like an addict to a banned substance, rarely putting the thing down at home. She has explored the App Store on her own and installed many apps that she uses a lot.

One of the apps she installed was the Kindle app, and since then she has been reading ebooks on her iPhone almost exclusively. Forget that I tried to convince her years ago that ebooks were better than the paper variety, especially on a phone that is always with you, it took doing it herself to convert her reading habits.

Today she is not a happy camper, meaning she is an unhappy customer of Apple’s due to the changes Amazon was required to make to the Kindle app. She can no longer easily access the Kindle bookstore on her iPhone, she has to manually open the Safari browser and shop like she would on the desktop. She doesn’t like doing this given how easy it used to be, and each time she does she gripes loudly; but she does it. She has no intention of switching to Apple’s iBooks just to make buying ebooks easier as she’s already built up a library of Kindle books. She is the type of customer Apple loves, a loyal one, and now she’s ticked off at Apple over the change.

I understand that Apple has the right to handle its own App Store anyway it sees fit. I agree that it had every right to change the way in-app purchases are handled, thus forcing the changes to competing ebook reader apps. But in the long run I am not sure it is in Apple’s best interest to have done so. The good (loyal) customers are not going to switch just to make it easier, so Apple is not gaining anything. It is just making its own customers unhappy at Apple.

Image credit: SplatF

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James Kendrick has been using mobile devices since they weighed 30 pounds, and has been sharing his insights on mobile technology for almost that long.

Disclosure

James Kendrick

James Kendrick has no affiliations or relationships that need to be disclosed.

Biography

James Kendrick

James Kendrick has been using mobile devices since they weighed 30 pounds, and has been sharing his insights on mobile technology for almost that long. Prior to joining ZDNet, James was the Founding Editor of jkOnTheRun, a CNET Top 100 Tech Blog that was acquired by GigaOM in 2008 and is now part of that prestigious tech network. James' writing has appeared in many print publications: Smartphone and Pocket PC Magazine, Information Week and Laptop Magazine to name a few. James' coverage of the mobile technology sector has regularly appeared in the New York Times, Salon.com and CNN/ Fortune online. Not just a writer, James has filmed numerous video reviews and how-tos that have garnered well over a million viewers. He has appeared on local news segments and been interviewed by the Associated Press on mobile technology topics. Additionally, James has been podcasting about mobile technology for years.

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RE: The truth about Apple and the eReader app changes: Customers lose
mschauber 28th Jul
We can all home that consumers finally open their eyes to Steve Jobs' tactics and leave Apple and their products in the dust. The only vote consumers get is with their wallet. It's not enough to not switch to ibooks store, they must drop their phone/ipad off at the nearest apple store and move on to bigger and better. Then, and only then, will apple be forced to make changes. Until that time, apple will continue controlling what apple users can and cannot do more and more until their data is in complete lockdown, much like facebook is doing today.

Consumers have good choices:
1) Android
2) WinMo
3) Human interaction vs. human to device interaction.
You should NEVER make a customer feel that all you want is his money.
@aquart hummm... then that would NOT be a US corporation.
@aquart
if normal human being hear about Apple profit margin he should logically decide not to buy their pieces...
@AdnanPirota: ... about it?
@AdnanPirota
While, I'm not sure what it is exactly, but MS's gross margin in Windows and Office is probably much higher than 42%.
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Or did you tell her?

I obviously don't have statistics to back me up on this but I would hazard a guess that 99% of Apple's customers will never ever know why that button disappeared. They will assume that this is yet another example where Apple gets the UI right and everyone else gets it wrong.
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And yet you spew your oral garbage of half baked insults anyway.
@toddybottom
This is the most ridiculous rant I have ever heard. When the Kindle app still had the button it sent you to safari to purchase new books! Nothing has changed except that you need to go type in the address yourself. Or, I don't know... how about make a freaking bookmark on your homescreen.

Why would/should apple host an app for a company that they get no money for and then allow that app to sell content from a different website and make it easier to access that site from in the app?

How about they let the iPhone users choose to purchase IN APP so that Apple gets a piece of the sales cuz they are hosting the app to read the book FOR FREE.

I should also point out that having the iPhone/iPad app on iOS devices has increased the number of people that are purchasing books from Amazon.
@Geuseppi If I tell my cousin to buy an e book from Amazon then that will increase the number of people purchasing books from Amazon. Weak argument.
@Guyver21
But if you had your own book store, would it be rational to redirect you cousin to amazon. That's basically Apple's position.
@Geuseppi

Yes because we know how expensive it is to host an App. Apple seems fine with getting a cut of the .99$ App purchases so we know the pain threshold lies somewhere beneath .99$. Why then a need for 30% of a purchase that is handled ENTIRELY outside Apple's cost center?
Answer ... a combo of greed and pushing other competition out of the way for iBooks, etc.
I am not singling out Apple here ... it is the way of business. Now it is up to Amazon and Barnes and Noble to respond.
By the way, I have nook on my iPhone and only read using the phone. I have always made all purchases via a browser on my PC. nothing through Apple.
@Geuseppi

Agree with you 100%. People are making a mountain out of a mole hill.
@jmiller1978 Google Books, Kindle, Nook, eReader, Kobo, Wattpad, Stanza, and other book readers have been available for years on the ipod Touch, and most have been adapted to the iPad. If I GOT the iPad to surf the web and read ebooks from my choice of reader, because maybe I have a Nook, and the Nook app on my phone and computer, Apple has cause some irritation. But I'm a huge reader of Google books, many free ones in the public domain because I study that lit professionally. Now Google reader is gone, with the unique feature of having the choice to read to OCR flowing text, or the scan of the original it was taken from.

I didn't purchase an iPad for that--nor will I now. I'm guessing the Google Book app won't be kicked off the Android devices any time soon. Searching for Google books is integral to that app because of the way Google sends you the books. Because I have this less than common need, I will NOT buy an iPad II, and I will seriously consider competing Android tablet. And I'll vocally caution my colleagues.
@Geuseppi

"Why would/should apple host an app for a company that they get no money for and then allow that app to sell content from a different website and make it easier to access that site from in the app?"

Yeah, right.
I wonder why Microsoft allow iTunes on Windows too.

Seriously, how about developing a good 3rd party developer relationship for the sake app ecosystem? If Apple keep going greedier and greedier that could very well drive developers away and their whole app ecosystem wither..
@Samic
Yeahhhhhhhhhh Apple really cares if Kindle leaves. Let's see, they have Apple host an app that allows then to use items that are sold from their website, which Apple gets no cut of... Oh yeah, and it directly competes with one of their products.

That ain't the way business works.
@Geuseppi
Your arguement is weak because Apple also hosting a tons of free apps that won't genereate any revenue to them. From the USER'S POV, the Kindle app let them to read books on iPad and make iPad itself a use case for them. In that case it was Kindle app that makes reading books on iPad valuable to the user, not the other way around.

Yeah, Apple probably doesn't cares if Kindle leaves, but Kindle users does. Apple probably will ends up losing users because as all of their books are already in Kindle's ecosystem, they can read books from other device as long as there is a Kindle app.

Yet iBooks only lives on iDevices. User's has no choices, none, zip, zero.

I agree, that ain't the way business works. That's why when Amazon has it's own tablet Amazon would, and they should, totally pull out from Apple App Store, and there will be a big loss for Apple.
@Geuseppi I would agree with this if there was an alternative way to purchase apps for my iPad, but there isn't I can only by Apps from and through Apple. These are anti-competitive practices that Apple needs to be called on. This is no different then with the whole Microsoft / IE anti-trust thing.
@ccrockett@...
I may be wrong, but I think you need a monopoly or at least a dominant position to be anti-competitive.
This probably would have been more important when there was actual competition over ebook prices. Seems like all new ebooks are $13.99 across the board from all the booksellers. There is no price competition in ebooks anymore.
Look, this is a monopolistic practice by Apple. If Microsoft all sudden said that you can only use Bing as the only search engine on Windows, the Justice Department would be all over it.
The Justice Department is asleep on this issue with Apple.
@mktpostal@...

Oh but when Google was the only search available on the iPhone, you were ok with it?
@jmiller1978 I reread his comments and I don't see any mention of google. Why would you even bring that up? Makes no sense at all.
@jmiller1978 That wasn't google's decision, that was Apple's decision. What makes it of interest to the justice department is if a company is using a vertical to advance an unrelated product based on its market share. The key there is "a company" meaning one.
@snoop0x7b
Apple market share doesn't not make it a monopoly. It can't even be considered to have a dominant position.
@mktpostal@...
It's ironic you mention Windows and bing, because that's exactly what MS does with WP7. Bing is default and you can't change it. The only reason MS doesn't do the same in desktop Windows is because they have a monopoly, which coincidentally is exactly why the DoJ would investigate them and not apple.
@anono Okay but in the tablet market Apple has a near monopoly. Maybe they should be investigated in that area?
before this is pretty much getting what they deserve. Apple has always had a long rich history of telling its customers to shut up and bend over. So quit crying about it and get off the apple platform already.
@Johnny Vegas
Here's a econ 101 lesson for you. No company actually cares about their customers. Management would be fired if they openly told the shareholders that they'd rather help customers than increase profits. While this practice is a definite negative for Apple customers, people should still choose a product based on consideration of all pluses and minuses and not on the assumption that one company cares for them and another doesn't.
@anono

No company actually cares about their customers? That's completely false. If you piss off all of your customers, where do you get your revenue from?

I have worked for several companies where the number one pillar or mission was to "be customer-focused".
People have to realize that Apple benefits not one bit from having other eBook readers on their device but the competition benefits greatly. When Apple allowed the Kindle app, Amazon's Kindle footprint increased exponentially thus increasing their sales footprint. How many people buy an iPhone because it has the Kindle app? Just saying.
@jmiller1978 Apple's going to have unhappy customers because customers will lose their buttons in the app due to apple's decision.
@jmiller1978 And that entitles them to a cut of the Kindle's sales how? People buy kindles and books from Amazon because Amazon has the most titles, the best online book store experience, and a good self-publishing system.
@snoop0x7b
All that is useless unless there is a platform to read the book. Sure you could go Android, but what if the consumer prefers an iPhone. Would they sacrifice the iPhone or Kindle? For many consumers the answer will be the kindle so the iPhone/iPad definitely helps Amazon.

To look at it another way, would Amazon still keep the app on the platform if they felt its presence is not beneficial to them.
@jmiller1978

"How many people buy an iPhone because it has the Kindle app?"

--------

Obviously that question is impossible to answer, but think about people with any sort of Amazon Kindle book collection looking for an eBook reader and trying to decide if they just want to get a Kindle or would like to spring for a more fully-featured iPad. If the Kindle app wasn't present on the iPad, it would automatically be taken out of the equation and the choice would be a no-brainer and Apple makes zero dollars.

And I also love the way Apple zealots will twist anything in order to support Apple. So getting rid of apps won't hurt Apple now. I thought that the number of apps Apple App Store was one of the most attractive things about the iPhone and iPad?
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Called the "Bait and...
Feldwebel Wolfenstool 26th Jul
..Switch." It's Apple. Anyone actually surprised they'd pull a stunt like this?
Despite what some want to believe this ia BS!

Apple allowed free apps on their store and required Vendors to use their app store! Then they started wanting 30% off content sold via said App! What is that, is there even a parallel out there or is this something only Apple would do?
@Peter Perry

The funniest thing is in some comments I saw in another Apple-related story on ZDNet, someone was defending Apple by saying "At least they don't lock you in like Microsoft does!". I was pretty puzzled by that one.
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Sow on the wind ...
johnfenjackson@... Updated - 26th Jul
"I agree that it had every right to change the way in-app purchases are handled, thus forcing the changes to competing ebook reader apps."

A legal right maybe: a moral right, I think not.

Apple wants everything to itself ... and a 30% cut of everything not itself.
It tramples related vendors and standards like a greedy, egotistical child (flash, digital media).

If Apple is not careful then the rest of the industry will unite against it. If I were Intel and ARM for example I would ask Apple for 30%: hey you built your product on my platform.

The beauty of Apple's products is matched by the ugliness of its corporate culture, epitomised by its CEO.

Never mind, all enlightened ZDNET bloggers seem to be buying AIR's ... those that can afford them anyways sad
This is exactly why I hate Apple. They are bullies, plain and simple. They don't care about their customers as long as they "win" the war against competitors and suck up every nickel they can regardless of the consequences. This decision is shameful and as this article points out it hurts their customers as much as any one. To throw in my own two cents, I can guarantee two things. First I will never, and I mean NEVER buy anything from Apple's book store. Second, I have bought my last iPad. Much as I like the device and for the most part, the user experience, I refuse to support a company that operates in this fashion. There are options now for tablet consumers and though they may not currently be as good as the iPad, they'll get better and I can live with that. Congratulations Apple, you've won the battle but you've got your last dollar out of me.
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I always found it jarring to be kicked out of the Kindle app to purchase books. If you just setup an icon for the Kindle store you can use that to shop for more eBooks from Amazon with almost no noticeable difference in user experience.
We can all home that consumers finally open their eyes to Steve Jobs' tactics and leave Apple and their products in the dust. The only vote consumers get is with their wallet. It's not enough to not switch to ibooks store, they must drop their phone/ipad off at the nearest apple store and move on to bigger and better. Then, and only then, will apple be forced to make changes. Until that time, apple will continue controlling what apple users can and cannot do more and more until their data is in complete lockdown, much like facebook is doing today.

Consumers have good choices:
1) Android
2) WinMo
3) Human interaction vs. human to device interaction.

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