There are two contradicting perceptions about the 99 cent price strategy of Amazon Kindle Store.
Many of the books, mostly from the new writers, are priced 99 cent which is a very low price compared to an average book.
On one side, there is a perception that such a low price would inevitably attract the reader and hence the sales of the book would soar. On the other hand, there is also a perception that people would think that low price means low quality and hence would not purchase a 99 cent book.
So far no specific rule has been established about the truth of any one perception, since the eBook publishing is still in its infancy and there are not any rules about it. It all mainly depends upon subjective experience since one writer can have a great experience with 99 cent price strategy while other can be annoyed with it.
There are certain things that are still undecided in the eBook publishing arena such as virtually non-existent cost of the writers and the actual worth of an eBook. With the passage of time and experience, however, these questions would be settled down.
For any genuine writer, the main point is to convey his or her writings to as many people as possible, and it seems that 99 cent strategy has been doing pretty good in this regard.
Of course, there are people who would simply like to make big money through self-publishing which does not cost them anything, but their chances of doing so multiple times are next to nothing. If a person downloads a book from a certain author and does not like it, he or she would most probably not download any book written by the same author.
So basically, high price does not mean high quality necessarily, since it is possible that a person might just want to earn big buck in first try.
Lowering the price of an eBook is just another way to expose your work to a wider audience, and Amazon has given this opportunity to virtually anyone who could previously not even think of getting his work published through conventional publishers.