Kobo to challenge Kindle in SA

Canadian e-reader maker reckons it can take 50% of the South African market within 12 months, challenging Amazon.com in the process. By Duncan McLeod.

Added by Duncan McLeod on 31 October 2012.
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The Kobo Touch costs R995

Canadian e-reader manufacturer Kobo has launched its first product in South Africa, predicting it will challenge Amazon.com’s Kindle for dominance in SA by taking more than 50% of the market within the next 12 months.

Kobo has launched its first e-reader device in the country in partnership with Pick n Pay. The black-and-white e-ink Kobo Touch, which costs R995, will be available in 41 of the retailer’s stores at launch. Pick n Pay has signed a six-month exclusivity period with Kobo, which is owned by Japan’s Rakuten group.

Kobo executive vice-president for business development Todd Humphrey says the first device to be launched in SA is a touch-enabled e-reader with integrated Wi-Fi access — a cellular version is not available — that provides access to the company’s catalogue of 3m e-books, 1m of which are free to download. He claims this is a larger selection than what Amazon offers consumers on the Kindle.

The reader can store a thousand books on its internal memory, though an SD card can be inserted to provide expanded storage. A range of covers and other accessories are also available.

Kobo is working with local book publishers and already has more than a thousand Afrikaans-language e-books in its catalogue. Pick n Pay will take a portion of the value of e-book downloads on devices bought at its stores.

Humphrey says the South African e-reading market is still in its infancy. “We look at the [launch of Kobo] as the beginning of e-reading in this country.”

Kobo, originally called Shortcovers, was established by Canadian retailer Indigo Books & Music. It has more than 10m customers worldwide and 550 employees. It was acquired by Rakuten in January 2012 in a US$315m all-cash deal.  — (c) 2012 NewsCentral Media

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  • http://twitter.com/davebaker_sa David Baker

    Well I am all for competition. I must admire Kobo for their balls to take on Amazon.

    I see Kobo have an excellent market share in Canada and France. Bigger than Amazon’s which amazed me.

    I am disappointed about the ‘exclusivity deal’ but I suppose P&P will spend money promoting it and dont want other companies piggy backing on their launch

    Maybe they have a good chance in SA because acquiring a Kindle in a traditional manner (go into bog shop, touch, feel, buy) is not that widespread.

  • http://twitter.com/wondersteve Steve Nossel

    Amazon Kindle can be seen at any one of Incredible Connection, Hi-Fi Corporation, Dion Wired, Game and Makro as they have been appointed by Amazon to sell the ereaders in South Africa. They have been available in brick and mortar retail in south Africa since October 2011

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