Skip to main content

Posts

Showing posts with the label movie rental war..

Movie Rental & the RedBox Strategy

Renting movies has been part of out culture for more than a couple of decades. As a matter of fact, I remember when the line of "Make it a Blockbuster night" was at its peak, and nobody would even think about going anywhere else. Well, as of yesterday, Blockbuster (BB) might have to ask for Chapter 11 help, bankruptcy. The following is a quick excerpt from USA Today: "Blockbuster ended 2009 with nearly $1 billion in debt. The chain that once made Hollywood moguls tremble saw its net loss rise 20.7% to $437.7 million in the fourth quarter on revenue of $1.1 billion, down 17.5% from the same period in 2008. This year continues to look gloomy. Faced with growing competition from Redbox 's $1-a-night DVD rental kiosks, Netflix and a host of Internet and cable video-on-demand services, Blockbuster says that sales at its stores open a year or more will continue to fall in 2010." I used to be a BB member (store only) in El Paso, then moved to Lubbock and bec...