B&N Ups Nook Supply

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Barnes & Noble said sales of its nook eReader have been surprisingly strong, leading the bookseller to ramp up nook production and devote more manpower to selling the product in stores.

B&N outlets will start offering live demos of the $259 nook in the next two or three weeks, said the company during a conference call with analysts Tuesday.

CEO Steve Riggio said of the nook “We’re ramping our investment in the necessary people and technology to establish a strong market position.” More in-store personnel will support the nook and supplies of the eReader are currently healthy, said the company.

Barnes & Noble operates over 700 retail outlets and over 600 college bookstores. In addition to the nook, it also plans to merchandise Plastic Logic’s Que eReader in B&N bookstores and on line.

The 3G wireless nook shipped late in 2009 and then quickly went into backorder over the holidays. Fresh supplies of the nook began shipping earlier this month.

The nook has dual screens including a 6-inch screen for reading and a smaller color touchscreen LCD for navigation. It offers free 3G service for over-the-air book downloads. It also supports WiFi. The device runs on Android and may support additional apps in the future.

The nook permits a “LendMe” feature that lets users “loan” eBooks to friends by emailing them to a friend’s PC, Mac or smartphone. Nook users can also browse through eBooks on their nook via WiFi when visiting a B&N bookstore.

Approximately 3 million eReaders sold in 2009 and sales are expected to double for this year. By the end of 2010 there will be an existing user base of approximately 10 million eReaders said B&N, citing industry forecasts.

Source: Barnes & Noble

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