Disney Movie Collections! Blockbuster, Inc., includes a new plan coming out in June 2008 to help keep consumers' allegiance from switching to rival movie rental company Netflix: If consumers wish to download movies, they can; but they can only take action in Blockbuster stores.
The move, announced yesterday, is a component of a broader intend to re-invigorate lagging profits. Blockbuster, the aged movie rental company which includes tried repeatedly to prevent Internet-based rival Netflix from enroaching on its business, has seemed to be fighting a losing battle. As consumers gone to live in renting movies over the Internet and achieving them delivered within the mail, Blockbuster was instructed to close a lot of its brick-and-mortar stores. However, even its online rental branch, that was meant to accept Netflix on its own turf, never became as big and profitable since the retailer hoped.
The download plan is actually sort of strange. According to Blockbuster's CEO's announcement with a corporate meeting, Blockbuster will likely be setting up kiosks in a very 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 should never only own an Archos-manufacturerd portable movie player, but will also still must drive to a physical Blockbuster location.
This seems counter-intuitive when compared to Blockbuster's main rival, Netflix. Netflix allows consumers to search a show library online, request a movie, and possess it delivered to their door (often through the next day). Blockbuster's move is also hardly revolutionary when compared to initiatives by Netflix permit customers download and stream movies with their TVs uses the Netflix Player hardware. Computer manufacturer Apple, Inc., meanwhile, lets users of these Apple TV box similar privileges: Movies could be searched, rented and watched within minutes just by employing a wireless Internet connection and 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 wire companies are actually offering video at will for years.
With such competition, it is hard to understand why consumers will need to drive with a neighborhood Blockbuster simply to download a movie onto a show player that they can have to buy automatically.
One way Blockbuster may make this plan more productive is if they showed the movie download kiosks to more portable movie players than merely Archos-manufactured devices. One can imagine that a kiosk than enable you to plug your iPod into and download a show immediately might have potential. At the same time, Apple has long offered a reverse phone lookup through iTunes from the comfort of your home computer. Thus, Blockbuster's plan is still very puzzling.
Time will inform if the new Blockbuster movie download kiosks will likely be attractive enough to lure consumers into driving with their neighborhood Blockbuster store as an alternative to using Netflix, Apple, or the host of other alternatives. Blockbuster obviously includes a long way to venture to beat Netflix in the movie rental business.
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