Rent Movie 300! Blockbuster, Inc., carries a new plan coming out in June 2008 to maintain consumers' allegiance from switching to rival movie rental company Netflix: If consumers want to download movies, they can; but they can only get it done in Blockbuster stores.
The move, announced yesterday, is part of a broader intend to re-invigorate lagging profits. Blockbuster, the aged movie rental company containing tried repeatedly to stop Internet-based rival Netflix from enroaching on its business, has were fighting a losing battle. As consumers gone after renting movies with the Internet inside them for hours them delivered inside mail, Blockbuster was forced to close most of its brick-and-mortar stores. However, even its online rental branch, that has been meant to undertake Netflix by itself turf, never became as big and profitable because the retailer hoped.
The download plan is actually sort of strange. According to Blockbuster's CEO's announcement with a corporate meeting, Blockbuster will probably be setting up kiosks in the select few of the company's stores. These kiosks will let Blockbuster consumers download movies onto portable movie players created by Archos. The catch, needless to say, is always that consumers mustn't only own an Archos-manufacturerd portable movie player, but will also still have to drive to a physical Blockbuster location.
This seems counter-intuitive in comparison with Blockbuster's main rival, Netflix. Netflix allows consumers to search a show library online, request a show, and still have it delivered to their door (often with the next day). Blockbuster's move is additionally hardly revolutionary in comparison to initiatives by Netflix to allow customers download and stream movies to their TVs uses the Netflix Player hardware. Computer manufacturer Apple, Inc., meanwhile, lets users of their Apple TV box similar privileges: Movies might be searched, rented and watched during first minutes just by using a wireless Internet connection and also the Apple TV hardware connected with their TV.
Apple and Netflix aren't the only competitors to Blockbuster's coming download plan. Amazon.com already offers movie downloads through Amazon Unboxed, while cable tv companies are already offering video on demand for years.
With such competition, it's hard to realise why consumers will want to drive to some neighborhood Blockbuster only to download a show onto a show player that they may have to buy independently.
One way Blockbuster could make this plan easier is if they showed the movie download kiosks to more portable movie players than merely Archos-manufactured devices. One can suppose that a kiosk than enable you to plug your iPod into and download a motion picture immediately might have potential. At the same time, Apple has long offered this service through iTunes through the comfort of your own home 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 on their neighborhood Blockbuster store rather than using Netflix, Apple, or perhaps the host of other alternatives. Blockbuster obviously carries a long way to venture to beat Netflix inside movie rental business.
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