Blockbuster CEO 'Confused by Fascination' with Netflix

[jlaking]

http://blog.wired.com/business/2008/08/blockbuster-ceo.html

He's obviously never stood in line at BB or had the "joy" of dealing with some of their employees.

[Michael24]

Older titles are basically why I started using Netflix in early-2005. There were a lot of older movies I was wanting to see that I could never find in places like Blockbuster or Hollywood Video, so I decided to check out Netflix. Most new movies that look interesting to me I'll likely see in the theater, so I'll know whether or not I'll be buying them when they hit DVD. But Netflix makes catching up with older movies much easier, and I love that.

A couple times a year I hit up our local Movie Gallery here in town for some video game rentals. But I do kind of miss going to an actual video store on Fridays and renting movies for the weekend. I used to do it all the time, so it feels kind of strange to not do that anymore. Heck, I even worked at Blockbuster when I was in high school and had a lot of fun. But Netflix is just very convenient.

[Temple Fugate]

I don't do either. I use Hollywood Video religiously. They have a lot of the old, independent, and obscure titles that I'd be looking for. When I rent movies I don't want to wait a day or two for it to come in the mail, I'm more than happy to drive to the store.

That CEO does sound very out-of-touch. He sounds like he'd be better off managing a local Blockbuster store, not the entire company.

[Draft]

Personally, I haven't tried Netflix, but I understand why it's popular. Easy to use, mailed to your door/streamed to your computer. Keep as long as you want. The thign that is mkaing me think about getting it is that it's really cheaper than BB. When it's 5 bucks for a 2 day rental or a 7 day rental of an older title, I feel ripped off. This is why I ultimately stopped using BB (that and the library gets all this stuff and I can rent it for free :-p).

[Old Guy]

I don't do either. I use Hollywood Video religiously. They have a lot of the old, independent, and obscure titles that I'd be looking for. When I rent movies I don't want to wait a day or two for it to come in the mail, I'm more than happy to drive to the store.

I kinda agree. Although I am a Netflix member I do like to go to my local library and see what they have to offer. You'd be surprised what you can find at the DVD section of the library.

[PC!]

...why would he be confused by Netflix's success when the company he's the CEO of does the EXACT SAME THING?

[Shawn Hopkins]

That CEO is way out of touch with what I want. I don't care that much about new releases or mainstream staples. I want to be able to choose from the best stuff from the history of cinema, and that's easier with Netflix than it is with Blockbuster.

Netflix beats every video store I've ever been to because of it's wide selection of offbeat things and, mainly, because it carries so many TV box sets. Waiting a day or two another movie isn't that big a deal if you have the three out at a time option or above. If you send them back as soon as you watch them you rarely have a dry spell, although it could be a problem if you expect to watch three movies every day. As for the library, that's probably a good option for people that live in a decent sized city, but if you live in the boondocks like I do the library video sections can be rather limited.

I also use the instant viewing option. It's a nice bonus but both the selection and especially the video quality could be a lot better. With the Internet connection I have now movies streamed from sites like Hulu.com simply look better than movies streamed from Netflix.

Netflix never calls you if your movies are late. You never have to drive to Netflix and wait in line. Netflix is understanding if you lose a movie once in a while and doesn't try to make you pay for it. Netflix actually has no late fees, they don't charge you for the entire price of a movie after a certain amount of time like Blockbuster does (although Blockbuster will take all but about two dollars per movie off if you bring them back).

I haven't had cable for three years, just Netflix, and I've been pretty happy with it.

[Light Lucario]

I actually haven't tried Netfix either since I haven't really gotten into renting videos like I did when I was little way back in the early and mid 90s. I think that's when I got more into television than videos. Still, I totally understand why Netfix is popular and successful. There's a larger selection of older movies, they're mailed right to you and you can return them whenever you want to. Most of the Blockbusters and Hollywood Video stores around me are pretty empty whenever I come in. I guess that more people find it appealing that they can get the movies they want without having to leave their home.

[Yash]

"Man, this 'convenience' thing sure is confusing."

[Master Moron]

The people who run Blockbuster aren't movie fans. I remember reading about a CEO of Blockbuster not understanding the appeal of widescreen movies.

[PRdude]

The people who run Blockbuster aren't movie fans. I remember reading about a CEO of Blockbuster not understanding the appeal of widescreen movies.

.........

[Flame Alchemist]

Why are people like this running a video rental company? Netflix is convenient (which I was going to say before I even read the article), and it saves gas (and money for that matter). You don't need to drive to the store, and drive back a few days later. I know, something so easy as Netflix must be confusing for someone as intelligent as Mr. Jim Keyes.

[Antiyonder]

Netflix never calls you if your movies are late. You never have to drive to Netflix and wait in line. Netflix is understanding if you lose a movie once in a while and doesn't try to make you pay for it.

While I agree with the conveniences such as not having to leave the house and having the movie for as long as possible, you can't fault a video store or business that allow for rental (like the library) for wanting their property to be handled well.

It the case of the libraries, sometimes the problem with some patron's isn't withholding an item, but returning it in an unusable condition.

Why are people like this running a video rental company? Netflix is convenient (which I was going to say before I even read the article), and it saves gas (and money for that matter). You don't need to drive to the store, and drive back a few days later. I know, something so easy as Netflix must be confusing for someone as intelligent as Mr. Jim Keyes.

Business and networks alike make it a point of trying to beat the competitor without understanding the reasons for the success of the competition.

[Shawn Hopkins]

While I agree with the conveniences such as not having to leave the house and having the movie for as long as possible, you can't fault a video store or business that allow for rental (like the library) for wanting their property to be handled well.


Yeah, I meant in the mail. They want you to pay for it if you break it or lose it yourself. But they don't know the difference, really, and they'll trust you if you don't lose an excessive amount instead of holding you responsible for things that aren't your fault.

[Michael24]

I think their website says that a few occasional lost or damaged rentals are forgivable, but excessive incidents will result in temporary account suspension and investigation. I've only had one incident so far, where a disc took a little over a week to arrive, and when it did it was only the removable half of the envelope with my address on it, with one end shredded apart. :eek:

[EinBebop]

Yeah, I meant in the mail. They want you to pay for it if you break it or lose it yourself. But they don't know the difference, really, and they'll trust you if you don't lose an excessive amount instead of holding you responsible for things that aren't your fault.I read somewhere a few years back that Netflix actually has an 'expected lifespan' of their discs in terms of how many shipments they can survive. Since many Netflix discs have the same printed grey label on them, I imagine that they have a royalty deal worked out with the major studios where they press their own discs as needed, rather than outright purchasing the movies.

[Michael24]

Since first singing up in early-2005, I think I've only gotten a few (maybe no more than a dozen) discs with that generic grey label. The majority I've rented have their own regular labels or printed-on-the-disc-artwork, like they would if you'd bought them in a store. I'd wondered why some had that grey label.

[Shawn Hopkins]

Since first singing up in early-2005, I think I've only gotten a few (maybe no more than a dozen) discs with that generic grey label. The majority I've rented have their own regular labels or printed-on-the-disc-artwork, like they would if you'd bought them in a store. I'd wondered why some had that grey label.

I get those grey label disks all the time. They're most common in tv box sets.

[Michael24]

Perhaps that's why. I haven't rented many TV shows, mostly just movies, so I've only seen them occasionally.