21 Jump Street Intro! Blockbuster, Inc., features a new plan coming out in June 2008 to keep consumers' allegiance from switching to rival movie rental company Netflix: If consumers need to download movies, they are able to; but they could 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 containing tried repeatedly to avoid Internet-based rival Netflix from enroaching on its share of the market, has seemed to be fighting a losing battle. As consumers gone to live in renting movies from the Internet all night . them delivered in the mail, Blockbuster was made to close a lot of its brick-and-mortar stores. However, even its online rental branch, that has been meant to undertake Netflix alone turf, never became as big and profitable as the retailer hoped.
The download plan is actually sort of strange. According to Blockbuster's CEO's announcement in a corporate meeting, Blockbuster will be setting up kiosks in a very select few of its stores. These kiosks will let Blockbuster consumers download movies onto portable movie players manufactured by Archos. The catch, obviously, is the fact that consumers mustn't only own an Archos-manufacturerd portable movie player, and can also still must drive with a physical Blockbuster location.
This seems counter-intuitive when compared to Blockbuster's main rival, Netflix. Netflix allows consumers to search a film library online, request a show, and have it shipped to their door (often with the next day). Blockbuster's move is additionally hardly revolutionary in comparison to initiatives by Netflix to let customers download and stream movies with their TVs uses the Netflix Player hardware. Computer manufacturer Apple, Inc., meanwhile, lets users with their Apple TV box similar privileges: Movies could be searched, rented and watched during first minutes just by using a wireless Internet connection as well as 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 happen to be offering video at will for years.
With such competition, it can be hard to see why consumers will wish to drive with a neighborhood Blockbuster only to download a show onto a show player that they're going to have to buy on their own.
One way Blockbuster will make this plan more successful is if they opened up the movie download kiosks to more portable movie players than merely Archos-manufactured devices. One can that is amazing a kiosk that permit you to plug your iPod into and download a show immediately may have potential. At the same time, Apple has long offered this particular service through iTunes from your comfort of your own home computer. Thus, Blockbuster's plan is still very puzzling.
Time will inform if the new Blockbuster movie download kiosks will be attractive enough to lure consumers into driving on their neighborhood Blockbuster store as an alternative to using Netflix, Apple, or even the host of other alternatives. Blockbuster obviously features a long way to go to beat Netflix inside movie rental business.
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