The Amazon marketplace could be thought of having two distinct areas when it comes to books. One area is the world of traditionally published books in hardback or paperback versions.
The other area is the exciting new world of digital publishing, which on Amazon means Kindle. While traditional publishers have been slowly moving to produce digital versions of some of their top selling books the move has been relatively slow.
There are far more traditionally published books on Amazon that don’t have a Kindle version than those do. There are also entire topics where there are traditionally published books selling well but no good Kindle alternative.
Understand what I mean by this is that there may be a Kindle version on this topic but often it is of obviously so low quality that it really isn’t a proper alternative to the traditionally published version.
This is the kind of gap we want to find in the market. Essentially we use the best seller lists in the Amazon physical book section to find the topic for our next Kindle non fiction book. Once we find a book that is selling well and which interests us we then check in the Kindle section and see if there is a good digital alternative to this book.
If there are no Kindle books on this topic or they are of a low quality then we may have ourselves a gap in the market we can exploit. People who are checking out a traditionally published book will often look to see if there is a Kindle book on the same topic.
Our Kindle version will be highly attractive because we will be able to price it slightly lower than the traditionally published book and the reader can access it immediately.
Using Best Seller arbitrage will help to ensure that you are producing books which have a ready market. If someone is willing to purchase a hardcover book then they are almost certainly going to be willing to purchase a digital one.
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