Rent Dvd Sideways! Blockbuster, Inc., features a new plan coming out in June 2008 to maintain consumers' allegiance from switching to rival movie rental company Netflix: If consumers need to download movies, they are able to; but they are able to only undertake it in Blockbuster stores.
The move, announced yesterday, is an element of a broader intend to re-invigorate lagging profits. Blockbuster, the aged movie rental company that has tried repeatedly to halt Internet-based rival Netflix from enroaching on its market share, has appeared to be fighting a losing battle. As consumers gone after renting movies through the Internet and having them delivered in the mail, Blockbuster was made to close many of its brick-and-mortar stores. However, even its online rental branch, which has been meant to undertake Netflix on its own turf, never became as big and profitable since the retailer hoped.
The download plan is actually kind of strange. According to Blockbuster's CEO's announcement with a corporate meeting, Blockbuster will likely be setting up kiosks in a select few of their stores. These kiosks will let Blockbuster consumers download movies onto portable movie players made by Archos. The catch, obviously, is the fact that consumers should never only own an Archos-manufacturerd portable movie player, but will also still ought to drive to a physical Blockbuster location.
This seems counter-intuitive in comparison to Blockbuster's main rival, Netflix. Netflix allows consumers to search a motion picture library online, request a film, and still have it brought to their door (often from the next day). Blockbuster's move can also be hardly revolutionary when compared to initiatives by Netflix to let customers download and stream movies for their TVs uses the Netflix Player hardware. Computer manufacturer Apple, Inc., meanwhile, lets users of these Apple TV box similar privileges: Movies can be searched, rented and watched in minutes just by by using a wireless Internet connection as well as the Apple TV hardware connected with their TV.
Apple and Netflix are not the only competitors to Blockbuster's coming download plan. Amazon.com already offers movie downloads through Amazon Unboxed, while cable companies have been offering video when needed for years.
With such competition, it's hard to understand why consumers will desire to drive to a neighborhood Blockbuster only to download a film onto a show player that they can have to buy on their own.
One way Blockbuster may make this plan more successful is if they showed the movie download kiosks to more portable movie players than simply Archos-manufactured devices. One can suppose that a kiosk that allow you to plug your iPod into and download a film immediately may have potential. At the same time, Apple has long offered a reverse phone lookup through iTunes from your comfort of your house computer. Thus, Blockbuster's plan is still very puzzling.
Time will state if the new Blockbuster movie download kiosks will likely be attractive enough to lure consumers into driving with their neighborhood Blockbuster store as opposed to using Netflix, Apple, or the host of other alternatives. Blockbuster obviously features a long way to visit beat Netflix inside the movie rental business.
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