First Mover Advantage of

kindle

M V P S K NARAYANA GUPTA
19L31E0107
 Definition of First mover
• The first-mover advantage refers to an advantage gained
by a company that first introduces a product or service to
the market.
• The first-mover advantage enables a company to
establish strong brand recognition and product/service
loyalty before other entrants to the market.
• It is important to note that the first-mover advantage only
refers to a large company that moves into a market.
• For example, Amazon was not the first company to sell
books online. However, it was the first company to
achieve significant scale in that line of business.
 Kindle
Maintaining First Mover Advantage

• Continuing to secure the first mover advantages as they

become more available over time.
• Enacting switching costs for any customers or resources
gained .
• promotion of the branding to make it ubiquitous .
• Creating barriers to entry and imitation against competition.
• Placing high importance upon retaining high customer
satisfaction.
 Key factors
• Came into the market at the right time
• Built the right product for the right audience
• Set price expectations
• Wrangled publishers
• Used their heft smartly
• Turned the kindle into a platform
 Sustainability of kindle In market
• There were eBook readers before the Kindle and
there were publishers selling eBooks but none of them
were able to provide the sort of unified marketing of
hardware and software that Amazon did. 
• Kindle succeeded because it had Amazon pushing it.
• Amazon already controlled a significant part of the
retail book market before introducing the Kindle.
• Amazon went to book publishers and told them, “We
want everything. Get it for us,”
 Benefits of being first mover

• Positive brand reputation for being the trailblazing

innovator.
• Exclusive contracts with authors and publishers.
• Advanced product quality from developing and
improving new generations of the kindle.
• Partnering with organizations that would highly value
an e-reader product like research organizations,
schools, libraries and more
 Conclusion
• Once a win in the market is achieved, it’s very
important to cultivate and renew the reward
achieved through the implementation of
strategy.
• The success of maintaining the rewards of a
first mover advantage are great and so might
be the loss if an entrant overtakes the initial
mover.