Movie Release Friday 13th! 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 wish to download movies, they can; but they're able to only do it in Blockbuster stores.
The move, announced yesterday, is part of a broader intend to re-invigorate lagging profits. Blockbuster, the aged movie rental company that has tried repeatedly to stop Internet-based rival Netflix from enroaching on its market share, has appeared to be fighting a losing battle. As consumers gone after renting movies from the Internet and achieving them delivered within the mail, Blockbuster was expected to close most of its brick-and-mortar stores. However, even its online rental branch, that has been meant to undertake Netflix on its own turf, never became as big and profitable as the retailer hoped.
The download plan is actually form of strange. According to Blockbuster's CEO's announcement at a corporate meeting, Blockbuster will probably be setting up kiosks in a select few of their stores. These kiosks will let Blockbuster consumers download movies onto portable movie players produced by Archos. The catch, of course, is always that consumers should not only own an Archos-manufacturerd portable movie player, and can also still must drive to your 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 also have it shipped to their door (often through the next day). Blockbuster's move is additionally hardly revolutionary when compared with initiatives by Netflix to allow customers download and stream movies for their TVs uses the Netflix Player hardware. Computer manufacturer Apple, Inc., meanwhile, lets users with their Apple TV box similar privileges: Movies may be searched, rented and watched within minutes just by using a wireless Internet connection along with the Apple TV hardware connected to 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 actually offering video on demand for years.
With such competition, it's hard to discover why consumers will need to drive to some neighborhood Blockbuster only to download a motion picture onto a motion picture player that they're going to have to buy by themselves.
One way Blockbuster might make this plan more lucrative is if they opened the movie download kiosks to more portable movie players than Archos-manufactured devices. One can suppose that a kiosk than enable you to plug your iPod into and download a show immediately could have potential. At the same time, Apple has long offered a reverse phone lookup through iTunes through the comfort of your home computer. Thus, Blockbuster's plan is still very puzzling.
Time will inform if the new Blockbuster movie download kiosks is going to be attractive enough to lure consumers into driving with their neighborhood Blockbuster store rather than using Netflix, Apple, or even the host of other alternatives. Blockbuster obviously has a long way to venture to beat Netflix in the movie rental business.
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