Whenever you mention the words Blockbuster video, you immediately think of the corporate video store chain that has been in business since 1985. But a lot has changed since then, recently the video store has filed for chapter 11(bankruptcy), due to a huge drop in profits from competitors Netfilx and Red Box. Netfilx is a new online video rental store that allows its users to view and download as many movies as they want for only $9.99 a month. And Red Box(Coinstar) allows customers to rent their videos out of vending machine. Both new companies offer a big connivence factor to its clientele. Instead of driving X amount of miles to your nearest blockbuster, you can just push a button on your computer and stream your video live without contributing to Co2 emissions, killing trees, and wasting plastic in the process. Not to mention there are no late fees with Netflix.
The primary reason for Netfilx's success is because they know how to market themselves electronically. For example Netfilx offers a program on all Xbox 360 and PS3 Consoles. Furthermore Netfilx offers an App that users can download on their Apple iPhone/iPad/iPod, and Android based mobile devices. Blockbuster only offers an iPhone app that came long after Netfilx introduced theirs. Secondly people are fed up of being nickeled and dimmed by corporate America. Blockbuster charges $5 for each movie you rent, plus late fees up to a 1$ per day its late. If your a busy person like most of us you could potentially spend 15$ for one video, while the Netflix user could have seen dozens in that time frame for their cheap monthly rate.
All in all the corporate tech world is changing literally every day, and in this fiercely competitive field blockbuster isn't hanging around with the competition. And just like CD and Record stores disappeared, Blockbuster will soon be diseased...RIP.
Bloomberg News-Blockbuster Video Files for Chapter 11
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This is actually pretty incredible. I didn't know what I would ever do if I were in Buffalo (aside from maybe eating at Applebee's), but a social museum for virgin records or a CD buying market sounds pretty cool. In the same breathe it makes me feel incredibly old.
ReplyDeleteWhat can blockbuster do to halt this slow death? Is there anything... because they've tried the whole "online rental" thing and it doesn't seem to be working...
I agree, Blockbuster does seem to be coming to the end of its era unless they are able to come up with something to dig them out of this hole. However, I have not had many encounters with Netflix, before they introduced their "on demand" feature; I never saw the point in having to order a movie in advance. When I watch movies it's normally a spur of the moment thing not something I plan for. So, for me to have to order a movie and have it come several days later did not appear ideal to me. However, I have had experiences with RedBox and personally it seems to be a rip off. Although it is probably my own fault.. numerous times I have rented movies from them and although they are only $1 to start, if you do not return them within a certain number of days you are charged $30 dollars for it. Once that time comes there is no returning it to get any money back. I normally either forget about bringing it back, it gets lost under something or I just don't have time to get around to bringing it back. To me $30 for a movie seems crazy, but I guess that is where they make their money. I would have to say I might miss Blockbuster if it does have to close its doors.
ReplyDeleteLast week or so, a Blockbuster near my house, that's been open for as long as I can remember, closed its doors. Driving past it now makes me feel a bit nostalgic because I went in there countless times with many different people, family and friends, while growing up. It was exciting as a kid to walk in and be surrounded by so many movies (from VHS to DVDs) and then video games. I feel like this whole internet movie renting gig diminishes all of the excitement and just adds to overall laziness. Future children probably won't even know what a "blockbuster" store is. And despite being able to buy and stream movies online, I personally still make trips to Best Buy to purchase actual dvds, just as I like to have an actual book in my hand and not some electronic thing such as the Kindle.
ReplyDeletePretty soon, all of the other existing Blockbusters will follow suit and finally shut the doors. And then maybe, just maybe, movie theatres will too become obsolete.
I can see what you're both saying. When I was visiting in Cambridge, MA, there was no RedBox or Netflix available, so I found myself signing up for a "Hollywood Video" membership card. I couldn't help but laugh to myself as the whole thing was unfolding...
ReplyDeleteI always go into Blockbuster. I always rented movies from blockbuster and still do. I get anything from new releases to old old movies that you only want to watch one in a while. A few years ago Hollywood Video closed down in my neighborhood which really got me upset since im a huge movie renter. Luckily, I had blockbuster, but slowly, I see redbox taking over in local supermarkets, netflix, which my parents both are subsribed too and buying movies on ipods. I think it's really cool that this all has taken over, but what's not cool about it is the tradition we used to have is slowly fading away.
ReplyDeleteThat's actually pretty interesting... why do you think the whole movie renting experience still exists for you? Had you ever considered jumping on the RedBox/Netflix banwagon?
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