facebook rss twitter

Amazon Coins virtual currency launches in the UK

by Mark Tyson on 22 November 2013, 11:30

Tags: Amazon (NASDAQ:AMZN)

Quick Link: HEXUS.net/qab5j5

Add to My Vault: x

Today online retail giant Amazon has brought its Amazon Coins virtual currency to UK customers. If you are a Kindle Fire owner you will find that you have been credited £4 worth of coins in your Amazon account to spend upon Kindle Fire apps, games or in-app purchases. Others will have to buy some; one Amazon Coin has the purchase power of 1p for apps, games and in-app purchases.

Up to 10 per cent bulk buy discount

First of all why would you buy Amazon Coins when you can very easily spend real money on Amazon? (I think Amazon is one of the easiest places to spend, with its ‘one click’ orders.) Well, Amazon Coins are sold at a bulk discount, saving you up to 10 per cent by using the coins instead of real currency. Even buying the smallest amount of coins saves you four per cent (500 Amazon Coins costs £4.80), to get a 10 per cent discount you have to spend £90 on 10,000 coins. In Amazon purchases an Amazon coin is equivalent to 1p.

Not for books, music or video

The range of products you can spend your Amazon Coins on is limited not just to digital goods but to particular kinds of digital content. Amazon says that the coins can be used to purchase “apps, games and a broad range of in-app items on the Amazon.co.uk Appstore and on Kindle Fire”. This excludes popular digital goods such as ebooks, music and films etc.

The only way to get Amazon Coins right now is by purchasing them in bulk – or the free 400 coins you get with a Kindle Fire purchase. However things might develop and Amazon coins become more useful as suggested by Mike George, VP of apps and games at Amazon, who said “We will continue to add more ways to earn and spend Coins on a wider range of content and activities.”

Amazon says the new currency is good for both customers and developers. Developers will apparently get an “opportunity to drive traffic, downloads and increased monetization”. Amazon informs us that the virtual currency implementation has boosted developer income in the US over the last few months. Amazon Coins were launched in the US in May this year.



HEXUS Forums :: 16 Comments

Login with Forum Account

Don't have an account? Register today!
One step closer to Amazon's total domination of Earth.
RussiaForever
One step closer to Amazon's total domination of Earth.
Well, given the conditions and limitations mentioned in that News piece, I'd say it's more like edging one toe forward about 1/1000mm. In fact, it looks more like a desperate attempt at discounting on Fire content than anything else, and even then, only on some conrent. I mean, can't be used for ebooks, music, films, etc.

Bitcoins it ain't.
They didn't introduce this system to benefit anyone but themselves. Tempt you in with a small discount and get lumbered with a load of non-transferable “coins” while Amazon accrues interest on your “investment”. It's like book tokens for Amazon. Worthless.
I guess it would be possible for app developers to let you “earn” coins, that can then be spent on other items in the app store. I'm not sure if it is something that would be of much benefit to a lot of developers, but it is interesting.

I can't see it making a huge impact though.
it's in the same vein of in app purchases.
Mark my words, soon there will be things that can only be purchased with coins.