Tablet sales falter, except for Amazon’s

The tablet, as a gadget, hasn’t had a great couple of years. The tech industry group Consumer Technology Association expects that sales of tablets will drop 12 per cent this year and revenue for those sales will drop 13 per cent, extending several quarters of steady decline.

The main bright spot in the market has been high-end laptop replacements, such as the Microsoft Surface or iPad Pro, with detachable keyboards. The familiar slate design has all but gone to collect dust in many minds.

That is, except at Amazon.com. There, tablet sales seem to be growing, and the products remain an integral part of the company’s strategies for selling its goods and services to consumers. Amazon ended 2017 as the world’s second-largest tablet maker, behind Apple, having overtaken Samsung during the 2017 holiday season, according to International Data Corp., which tracks tablet shipments.

Last week, the American online retail giant released a new version, the Fire HD 10 Kids Edition, a durable 10-inch tablet aimed at children for $200. It also released a $40 dock that lets tablet owners put their devices into “Show Mode,” turning them into a screen that acts more like a small television for watching on-demand video, which you can control with your voice.

Amazon doesn’t release sales figures, but analysts at IDC said that last year the company’s tablet business grew 50 per cent in the Christmas quarter, when it makes most of its tablet sales. Compare that to Apple, which IDC estimates saw just 0.6 per cent growth at that time, or Samsung, which actually saw its market share decline by 13 per cent from the previous year.

One likely reason behind Amazon’s success is that its tablets are inexpensive.

A basic iPad will cost you $329; Amazon’s highest-end tablet comes in at $150. Those prices are so relatively low that it may be easier to justify buying one to watch YouTube videos in the kitchen or to hand to the kids as a gadget of their own before buying them something pricier. Amazon is essentially the only major manufacturer going for the cheap end of the market right now, and it tends to push tablets with big discounts in the last half of the year, first with its Prime Day shopping holiday in July and then into the Christmas season.

“They’re essentially giving these devices away for half of the year,” said Lauren Guenveur, analyst for IDC.