Blockbuster's Latest Concession.

Discussion in 'DVD Video' started by One-Shot Scot, Dec 15, 2004.

  1. For those who still rent DVDs from baked clay and plaster stores,
    Blockbuster's latest concession might be of interest. In its glory days,
    Blockbuster became a DVD rental leech and was able to extort over $300
    million in annual gross revenue from its late fees. When Blockbuster
    customers complained on this newsgroup, they were advised to shop
    elsewhere. Apparently, many Blockbuster customers have taken this
    excellent advice.

    For many years, Blockbuster was able to gouge its customers with
    exorbitant "extended viewing fees." These late fees were not calculated
    on a daily rate, so a DVD that was only 1 hour late would not be
    prorated (as was done originally) but charged a late fee equal to the
    original rental price. This meant that a $4, 2-day rental returned 1
    hour late would be assessed a $4 late fee. A 5-day rental returned
    1-hour late would be assessed a $4 late fee.

    Blockbuster continued this policy of collecting large late fees as long
    as customers would line up and pay them. But Blockbuster's customers can
    now rent DVDs with no late fees, at lower prices, from stores with a
    much better selection. Will this latest business strategy help
    Blockbuster by "eliminating a significant negative associated with the
    brand name?" Some business analysts feel that this plan will backfire.

    Here are the details of the latest Blockbuster compromise:

    *** *** ***

    DEC. 14 | Bowing to the realities of a changing competitive landscape,
    Blockbuster Video on Tuesday said it would eliminate most late fees in
    2005.

    Beginning with the New Year, consumers will get a one-week grace period
    beyond the scheduled due date on movies and videogames. If the product
    still isn't returned at that point, the customer's account will be
    charged a purchase price equal to the price the product was selling for
    on the date rented.

    Those who rented new releases will be charged the new release purchase
    price; those renting older titles will be charged the previously viewed
    disc price.

    Even then, the customer will have 30 days in which to return the product
    for a full credit, minus a $1.25 restocking fee.

    The move knocks out the last pillar of Blockbuster's original business
    model, which for two decades involved charging customers an upfront fee
    with each rental and imposing late fees if the movie isn't returned on
    time.

    During the past year, the rental giant has completely overhauled its
    model and now offers monthly subscriptions, both in-store and online,
    and has eliminated late fees for those who still choose to pay on a
    per-rental basis.

    But while the move is likely to be greeted enthusiastically by
    renters--who have long chafed at paying late fees--it carries large risk
    for Blockbuster by eliminating a significant revenue stream.

    The company projected that late fees would have contributed $250 million
    to $300 million in operating income in 2005, roughly the same as in
    2004.

    Although Blockbuster did not disclose total revenue derived from late
    fees, analysts estimated Tuesday that the $250 million to $300 million
    in operating income probably represents about $300 million to $350
    million in gross revenue.

    Blockbuster chairman and CEO John Antioco said he expects to offset that
    loss through an increase in overall rentals and other new initiatives.

    "I don't want to get into the gory details, but through a combination of
    revenue increases that will go toward offsetting the loss of late fees,
    plus other changes in our business model, we hope it will be revenue
    neutral in 2005," Antioco said.

    The impact will still be negative, however, due to an expected $50
    million in initial costs associated with implementing the program.

    Most of that will be spent on advertising to promote the change.

    The company also said it will reduce capital in 2005 by about $100
    million compared to 2004 spending, mostly by scaling back new store
    openings and store remodels.

    The move also is bound to introduce a new layer of complexity to
    managing the chain's rental inventor, which now will be almost
    completely unmoored from firm return dates.

    As recently as six months ago, Antioco told analysts that he would love
    to eliminate late fees but couldn't see a way to guarantee that movies
    would be returned without them.

    Now, however, he says he sees little choice but to take the risk.

    "Consumers have a lot of options for getting movies today that do not
    involve incurring late fees, from retail, to Netflix to video-on-demand,
    and there will probably be more in the future. So in that sense, I think
    this reflects a realistic view of the marketplace. It recognizes the
    competitors we have today and the competitors we're likely to have in
    the future."

    The move also is designed to reposition Blockbuster with consumers,
    Antioco said, by eliminating a significant negative associated with the
    brand name.

    "It's no secret that late fees have been an issue with consumers and
    that the issue has gotten more and more acute over the last several
    years," he said. "We want the Blockbuster brand to be perceived in the
    most positive way possible, and we have a number of revenue streams that
    could be enhanced if the brand were perceived more positively."

    Analysts weren't so sure, however.

    "I don't get it," independent analyst Dennis McAlpine said. "I don't see
    how you replace $300 million [in revenue] by getting people to feel more
    warm and fuzzy about Blockbuster."

    The market also seemed unsure, sending Blockbuster's shares up a modest
    20¢ on the day.

    "I don't think anybody gets it," McAlpine said.

    McAlpine also questioned Blockbuster's cut back in planned new store
    openings in 2005.

    "I don't know why you'd cut back at a time when Hollywood can't open
    any," he said. "You know Hollywood will have to start opening them
    quickly after the sale because they'll have to repay the buyer. This
    seems like the time Blockbuster should be grabbing all the market share
    it can get."

    Given Blockbuster's huge rental market share, the move is bound to set
    off ripples throughout the industry.

    No. 2 rental chain Hollywood Video is likely to be sold in 2005, perhaps
    to Blockbuster, which is among the bidders for the company.

    With a sale pending, however, Hollywood is unlikely to risk a
    significant cut in revenue by following Blockbuster's example.

    No. 3 retailer Movie Gallery might face more scrutiny.

    To date, the Dothan, Ala.-based chain has largely resisted the move
    toward subscriptions and other no-late-fee models.

    Movie Gallery also is a bidder for Hollywood, however. Should it
    prevail, it would find itself facing far more head-to-head competition
    with Blockbuster due to the heavy concentration of Hollywood stores in
    close proximity to Blockbuster outlets.

    Hollywood and Movie Gallery officials did not return calls seeking
    comment.

    http://www.videobusiness.com/article.asp?articleID=9364&catType=NEWS
     
    One-Shot Scot, Dec 15, 2004
    #1
    1. Advertising

  2. this move will retard Blockbuster's eventual extinction, albeit not for very
    long.

    the only thing now that can give them an edge is porn, and they're too
    Republican to do that
     
    Vlvetmorning98, Dec 16, 2004
    #2
    1. Advertising

  3. One-Shot Scot

    Omarichu Guest

    >In its glory days,
    >Blockbuster became a DVD rental leech and was able to extort over $300
    >million in annual gross revenue from its late fees.


    If you're going to use big words like "extort," try doing it correctly, idiot.
    Blockbuster's fines were never a secret so anyone stupid enough to keep movies
    out too long doesn't get to complain about it after the fact. If you sign a
    contract giving me permission to hit you in the face every Wednesday, guess
    what I'm going to do?

    > When Blockbuster
    >customers complained on this newsgroup, they were advised to shop
    >elsewhere.


    And to comprehend the things they agree to. That's be a nice adult thing for
    these morons to do.

    >These late fees were not calculated
    >on a daily rate, so a DVD that was only 1 hour late would not be
    >prorated (as was done originally) but charged a late fee equal to the
    >original rental price.


    Good. Lazy jerks keeping tapes out too long ruined things for everyone else so
    the late fees needed to be as prohibitive as possible (here's a hint, genius,
    prorating wouldn't have sent the message that needed to be sent).

    >But Blockbuster's customers can
    >now rent DVDs with no late fees, at lower prices, from stores with a
    >much better selection.


    Netflix is dying. Get a brain.
     
    Omarichu, Dec 16, 2004
    #3
  4. One-Shot Scot

    Hey Zeus Guest

    Omarichu wrote:

    >>In its glory days,
    >>Blockbuster became a DVD rental leech and was able to extort over $300
    >>million in annual gross revenue from its late fees.
    >>
    >>

    >
    >If you're going to use big words like "extort," try doing it correctly, idiot.
    >Blockbuster's fines were never a secret so anyone stupid enough to keep movies
    >out too long doesn't get to complain about it after the fact. If you sign a
    >contract giving me permission to hit you in the face every Wednesday, guess
    >what I'm going to do?
    >
    >
    >
    >>When Blockbuster
    >>customers complained on this newsgroup, they were advised to shop
    >>elsewhere.
    >>
    >>

    >
    >And to comprehend the things they agree to. That's be a nice adult thing for
    >these morons to do.
    >
    >
    >
    >>These late fees were not calculated
    >>on a daily rate, so a DVD that was only 1 hour late would not be
    >>prorated (as was done originally) but charged a late fee equal to the
    >>original rental price.
    >>
    >>

    >
    >Good. Lazy jerks keeping tapes out too long ruined things for everyone else so
    >the late fees needed to be as prohibitive as possible (here's a hint, genius,
    >prorating wouldn't have sent the message that needed to be sent).
    >
    >
    >
    >>But Blockbuster's customers can
    >>now rent DVDs with no late fees, at lower prices, from stores with a
    >>much better selection.
    >>
    >>

    >
    >Netflix is dying. Get a brain.
    >
    >

    Finally...someone posting here with an adult brain. When you rent a
    movie and it says it has to be back by noon on the 3rd day and you KNOW
    this and you are late-then expect to pay a late fee. It doesnt take a
    genius to figure that out. All those complaining about late fees. Get
    those rented movies back on time fer crying out loud.
     
    Hey Zeus, Dec 16, 2004
    #4
  5. One-Shot Scot

    Video Flyer Guest

    On 12/16/04 7:28 AM, in article q0gwd.5610$,
    "Hey Zeus" <> wrote:

    >>

    > Finally...someone posting here with an adult brain. When you rent a movie and
    > it says it has to be back by noon on the 3rd day and you KNOW this and you are
    > late-then expect to pay a late fee. It doesnt take a genius to figure that
    > out. All those complaining about late fees. Get those rented movies back on
    > time fer crying out loud.
    >


    Nobody¹s arguing that. But given a choice between a shop with relatively
    limited selection that imposes late fees and one with a relatively expansive
    collection that doesn¹t.........personally, I¹ll take the latter every time.
    It¹s a better deal for me so why wouldn¹t I? And if enough other people do
    the same, then THAT¹s got to be part of BB¹s good business decision-making
    process ­ do lost customers cost them more than they stand to net from the
    imposition of late fees.

    Neal
    --
    "If morons could fly, it'd be pitch black." - Anonymous
     
    Video Flyer, Dec 16, 2004
    #5
  6. "Omarichu" <> wrote in message
    news:...
    > >In its glory days,
    > >Blockbuster became a DVD rental leech and was able to extort over

    > $300 million in annual gross revenue from its late fees. If you're
    > going to use big words like "extort," try doing it correctly, idiot.
    > Blockbuster's fines were never a secret so anyone stupid enough to
    > keep movies out too long doesn't get to complain about it after the
    > fact. If you sign a contract giving me permission to hit you in the
    >face every Wednesday, guess what I'm going to do?



    Blockbuster's attitude was exactly the same as yours: "If you don't like
    it, **** off!" Many Blockbuster customers who were not satisfied with
    the arrangement, contract or no contract, went elsewhere. Then,
    Blockbuster started changing its policies.

    From the quoted article:

    "The move ... is designed to reposition Blockbuster with consumers,
    Antioco said, by eliminating a significant negative associated with the
    brand name."

    "It's no secret that late fees have been an issue with consumers and
    that the issue has gotten more and more acute over the last several
    years," he said. "We want the Blockbuster brand to be perceived in the
    most positive way possible, and we have a number of revenue streams that
    could be enhanced if the brand were perceived more positively."

    Blockbuster admits that its previous policies gave a significant
    negative association to its name. The dissatisfied customers didn't
    change, Blockbuster did.

    So, who won the war? It certainly wasn't you.

    P.S.

    Don't forget, your DVDs are due back by NOON!

    Fuckwad.
     
    One-Shot Scot, Dec 16, 2004
    #6
  7. One-Shot Scot

    Stan Brown Guest

    "Omarichu" wrote in alt.video.dvd:
    >If you're going to use big words like "extort," try doing it correctly, idiot.
    >Blockbuster's fines were never a secret so anyone stupid enough to keep movies
    >out too long doesn't get to complain about it after the fact. If you sign a
    >contract giving me permission to hit you in the face every Wednesday, guess
    >what I'm going to do?


    What I don't understand is going to the opposite end of the scale. If
    there are now no more late fees for a week's grace period, does that
    mean every "2-day" (really 1.5-day) rental is now a 9-day rental?

    Isn't that going to diminish the selection even more? (Not that it
    was ever all that terrific.)

    --
    Stan Brown, Oak Road Systems, Tompkins County, New York, USA
    http://OakRoadSystems.com/
    "Don't move, or I'll fill you full of [... pause ...] little
    yellow bolts of light." -- Farscape, first episode
     
    Stan Brown, Dec 16, 2004
    #7
  8. One-Shot Scot

    FAQmeister Guest

    "Stan Brown" <> wrote in message
    news:
    > "Omarichu" wrote in alt.video.dvd:
    >> If you're going to use big words like "extort," try doing it
    >> correctly, idiot. Blockbuster's fines were never a secret so anyone
    >> stupid enough to keep movies out too long doesn't get to complain
    >> about it after the fact. If you sign a contract giving me permission
    >> to hit you in the face every Wednesday, guess what I'm going to do?

    >
    > What I don't understand is going to the opposite end of the scale. If
    > there are now no more late fees for a week's grace period, does that
    > mean every "2-day" (really 1.5-day) rental is now a 9-day rental?
    >
    > Isn't that going to diminish the selection even more? (Not that it
    > was ever all that terrific.)


    That's what I was thinking. They will have to either stock more copies
    of each movie or end up with more unhappy customers who can't get the
    movie they want. Neither option will improve their bottom line.
    --
    Buford T. Justice
    The alt.video.dvd faq is located at:
    http://aww-faq.org/dvdfaq.html
     
    FAQmeister, Dec 17, 2004
    #8
  9. One-Shot Scot

    Black Locust Guest

    In article <>,
    Stan Brown <> wrote:

    > What I don't understand is going to the opposite end of the scale. If
    > there are now no more late fees for a week's grace period, does that
    > mean every "2-day" (really 1.5-day) rental is now a 9-day rental?
    >
    > Isn't that going to diminish the selection even more? (Not that it
    > was ever all that terrific.)


    Indeed it will. I asked a friend of mine who works at Blockbuster about
    this very issue and she told me they're going to increase the number of
    copies they have on new releases, but she said it will likely not be
    enough... Copy depth is already a problem due to the sheeps desire to
    have that "hot new blockbuster" title that very first week it's out. I
    can pretty much guarantee if I went into my local Blockbuster this
    Saturday night, they will be out of Collateral and I, Robot.

    You combine this with the fact that they have a bunch of customers
    already on their "movie pass" and those customers don't have to bring
    back their rentals at any specific time and it's bad news. They aren't
    going to have anything in-stock anymore and the very same customers who
    always bitched about late fees and having to bring back movies in 2 days
    are now going to complain that the Tom Cruise and Adam Sandler movies
    they want to rent are never in stock anymore...
    --
    "Our enemies are innovative and resourceful, and so are we.
    They never stop thinking about new ways to harm our country and our people,
    and neither do we." - George Dumbya Bush
     
    Black Locust, Dec 17, 2004
    #9
  10. One-Shot Scot

    Guest

    One-Shot Scot wrote:
    > For those who still rent DVDs from baked clay and plaster stores,
    > Blockbuster's latest concession might be of interest. In its glory

    days,
    > Blockbuster became a DVD rental leech and was able to extort over

    $300
    > million in annual gross revenue from its late fees. When Blockbuster
    > customers complained on this newsgroup, they were advised to shop
    > elsewhere. Apparently, many Blockbuster customers have taken this
    > excellent advice.
    >
    > For many years, Blockbuster was able to gouge its customers with
    > exorbitant "extended viewing fees." These late fees were not

    calculated
    > on a daily rate, so a DVD that was only 1 hour late would not be
    > prorated (as was done originally) but charged a late fee equal to the
    > original rental price. This meant that a $4, 2-day rental returned 1
    > hour late would be assessed a $4 late fee. A 5-day rental returned
    > 1-hour late would be assessed a $4 late fee.
    >
    > Blockbuster continued this policy of collecting large late fees as

    long
    > as customers would line up and pay them. But Blockbuster's customers

    can
    > now rent DVDs with no late fees, at lower prices, from stores with a
    > much better selection. Will this latest business strategy help
    > Blockbuster by "eliminating a significant negative associated with

    the
    > brand name?" Some business analysts feel that this plan will

    backfire.
    >
    > Here are the details of the latest Blockbuster compromise:
    >
    > *** *** ***
    >
    > DEC. 14 | Bowing to the realities of a changing competitive

    landscape,
    > Blockbuster Video on Tuesday said it would eliminate most late fees

    in
    > 2005.
    >
    > Beginning with the New Year, consumers will get a one-week grace

    period
    > beyond the scheduled due date on movies and videogames. If the

    product
    > still isn't returned at that point, the customer's account will be
    > charged a purchase price equal to the price the product was selling

    for
    > on the date rented.
    >
    > Those who rented new releases will be charged the new release

    purchase
    > price; those renting older titles will be charged the previously

    viewed
    > disc price.
    >
    > Even then, the customer will have 30 days in which to return the

    product
    > for a full credit, minus a $1.25 restocking fee.
    >
    > The move knocks out the last pillar of Blockbuster's original

    business
    > model, which for two decades involved charging customers an upfront

    fee
    > with each rental and imposing late fees if the movie isn't returned

    on
    > time.
    >
    > During the past year, the rental giant has completely overhauled its
    > model and now offers monthly subscriptions, both in-store and online,
    > and has eliminated late fees for those who still choose to pay on a
    > per-rental basis.
    >
    > But while the move is likely to be greeted enthusiastically by
    > renters--who have long chafed at paying late fees--it carries large

    risk
    > for Blockbuster by eliminating a significant revenue stream.
    >
    > The company projected that late fees would have contributed $250

    million
    > to $300 million in operating income in 2005, roughly the same as in
    > 2004.
    >
    > Although Blockbuster did not disclose total revenue derived from late
    > fees, analysts estimated Tuesday that the $250 million to $300

    million
    > in operating income probably represents about $300 million to $350
    > million in gross revenue.
    >
    > Blockbuster chairman and CEO John Antioco said he expects to offset

    that
    > loss through an increase in overall rentals and other new

    initiatives.
    >
    > "I don't want to get into the gory details, but through a combination

    of
    > revenue increases that will go toward offsetting the loss of late

    fees,
    > plus other changes in our business model, we hope it will be revenue
    > neutral in 2005," Antioco said.
    >
    > The impact will still be negative, however, due to an expected $50
    > million in initial costs associated with implementing the program.
    >
    > Most of that will be spent on advertising to promote the change.
    >
    > The company also said it will reduce capital in 2005 by about $100
    > million compared to 2004 spending, mostly by scaling back new store
    > openings and store remodels.
    >
    > The move also is bound to introduce a new layer of complexity to
    > managing the chain's rental inventor, which now will be almost
    > completely unmoored from firm return dates.
    >
    > As recently as six months ago, Antioco told analysts that he would

    love
    > to eliminate late fees but couldn't see a way to guarantee that

    movies
    > would be returned without them.
    >
    > Now, however, he says he sees little choice but to take the risk.
    >
    > "Consumers have a lot of options for getting movies today that do not
    > involve incurring late fees, from retail, to Netflix to

    video-on-demand,
    > and there will probably be more in the future. So in that sense, I

    think
    > this reflects a realistic view of the marketplace. It recognizes the
    > competitors we have today and the competitors we're likely to have in
    > the future."
    >
    > The move also is designed to reposition Blockbuster with consumers,
    > Antioco said, by eliminating a significant negative associated with

    the
    > brand name.
    >
    > "It's no secret that late fees have been an issue with consumers and
    > that the issue has gotten more and more acute over the last several
    > years," he said. "We want the Blockbuster brand to be perceived in

    the
    > most positive way possible, and we have a number of revenue streams

    that
    > could be enhanced if the brand were perceived more positively."
    >
    > Analysts weren't so sure, however.
    >
    > "I don't get it," independent analyst Dennis McAlpine said. "I don't

    see
    > how you replace $300 million [in revenue] by getting people to feel

    more
    > warm and fuzzy about Blockbuster."
    >
    > The market also seemed unsure, sending Blockbuster's shares up a

    modest
    > 20¢ on the day.
    >
    > "I don't think anybody gets it," McAlpine said.
    >
    > McAlpine also questioned Blockbuster's cut back in planned new store
    > openings in 2005.
    >
    > "I don't know why you'd cut back at a time when Hollywood can't open
    > any," he said. "You know Hollywood will have to start opening them
    > quickly after the sale because they'll have to repay the buyer. This
    > seems like the time Blockbuster should be grabbing all the market

    share
    > it can get."
    >
    > Given Blockbuster's huge rental market share, the move is bound to

    set
    > off ripples throughout the industry.
    >
    > No. 2 rental chain Hollywood Video is likely to be sold in 2005,

    perhaps
    > to Blockbuster, which is among the bidders for the company.
    >
    > With a sale pending, however, Hollywood is unlikely to risk a
    > significant cut in revenue by following Blockbuster's example.
    >
    > No. 3 retailer Movie Gallery might face more scrutiny.
    >
    > To date, the Dothan, Ala.-based chain has largely resisted the move
    > toward subscriptions and other no-late-fee models.
    >
    > Movie Gallery also is a bidder for Hollywood, however. Should it
    > prevail, it would find itself facing far more head-to-head

    competition
    > with Blockbuster due to the heavy concentration of Hollywood stores

    in
    > close proximity to Blockbuster outlets.
    >
    > Hollywood and Movie Gallery officials did not return calls seeking
    > comment.
    >
    > http://www.videobusiness.com/article.asp?articleID=9364&catType=NEWS


    I feel sorry for the first customer who goes beyond the grace period
    and is given a bill for the "rental" retail price, which like in the
    days of vhs is a heck of a lot more than the "consumer" retail price.
    I might be mistaken but last time I checked this type of pricing was
    still in effect.
     
    , Dec 17, 2004
    #10
  11. One-Shot Scot

    Biz Guest

    <> wrote in message
    news:...
    articleID=9364&catType=NEWS

    I feel sorry for the first customer who goes beyond the grace period
    and is given a bill for the "rental" retail price, which like in the
    days of vhs is a heck of a lot more than the "consumer" retail price.
    I might be mistaken but last time I checked this type of pricing was
    still in effect.

    VHS rental retail was much higher as VHS did not have sell through pricing
    model that DVD has. The retail price on the retnal copy is the standard
    MSRP for the same titles you buy anywhere.
     
    Biz, Dec 17, 2004
    #11
  12. One-Shot Scot

    Ed Kim Guest

    FAQmeister wrote:
    > "Stan Brown" <> wrote in message
    > news:
    > > "Omarichu" wrote in alt.video.dvd:
    > >> If you're going to use big words like "extort," try doing it
    > >> correctly, idiot. Blockbuster's fines were never a secret so

    anyone
    > >> stupid enough to keep movies out too long doesn't get to complain
    > >> about it after the fact. If you sign a contract giving me

    permission
    > >> to hit you in the face every Wednesday, guess what I'm going to

    do?
    > >
    > > What I don't understand is going to the opposite end of the scale.

    If
    > > there are now no more late fees for a week's grace period, does

    that
    > > mean every "2-day" (really 1.5-day) rental is now a 9-day rental?
    > >
    > > Isn't that going to diminish the selection even more? (Not that it
    > > was ever all that terrific.)

    >
    > That's what I was thinking. They will have to either stock more

    copies
    > of each movie or end up with more unhappy customers who can't get the
    > movie they want. Neither option will improve their bottom line.


    and they still haven't addressed the "SCRATCHED TO HELL AND UNPLAYABLE
    AND WTF IS THIS STICKY BROWN JUNK ON THE DISC" problem endemic to
    Blockbuster.

    The rental experience is getting ever more intolerable. it's not
    surprising that dvd purchases are so substantial, esp. with those deep
    discounts online and in the first week from BestBuy.

    -goro-
     
    Ed Kim, Dec 17, 2004
    #12
  13. One-Shot Scot

    Justin Guest

    wrote on [16 Dec 2004 20:44:21 -0800]:
    >
    > One-Shot Scot wrote:
    >
    > I feel sorry for the first customer who goes beyond the grace period
    > and is given a bill for the "rental" retail price, which like in the
    > days of vhs is a heck of a lot more than the "consumer" retail price.
    > I might be mistaken but last time I checked this type of pricing was
    > still in effect.


    I feel sorry for the people that had to skip through 140odd lines to
    read your incorrect theory. Rental price for these DVDs is MSRP. Which
    you would pay at a place like Borders
     
    Justin, Dec 17, 2004
    #13
  14. One-Shot Scot

    Dick Sidbury Guest

    Justin wrote:
    > wrote on [16 Dec 2004 20:44:21 -0800]:
    >
    >>One-Shot Scot wrote:
    >>
    >>I feel sorry for the first customer who goes beyond the grace period
    >>and is given a bill for the "rental" retail price, which like in the
    >>days of vhs is a heck of a lot more than the "consumer" retail price.
    >>I might be mistaken but last time I checked this type of pricing was
    >>still in effect.

    >
    >
    > I feel sorry for the people that had to skip through 140odd lines to
    > read your incorrect theory. Rental price for these DVDs is MSRP. Which
    > you would pay at a place like Borders


    Actually if you read the fine print, they will not necessarily be
    charged the MSRP, they will be charged the current BB price for a disk
    in that condition. So under optimal conditions, they'd only have to pay
    what they would pay for a used copy at BB.

    dick
    -- but I don't rent from there anyway so it doesn't matter to me.
     
    Dick Sidbury, Dec 17, 2004
    #14
  15. In article <>,
    says...
    >
    >>In its glory days,
    >>Blockbuster became a DVD rental leech and was able to extort over $300
    >>million in annual gross revenue from its late fees.

    >
    >If you're going to use big words like "extort," try doing it correctly,

    idiot.
    >Blockbuster's fines were never a secret so anyone stupid enough to keep

    movies
    >out too long doesn't get to complain about it after the fact. If you sign a
    >contract giving me permission to hit you in the face every Wednesday, guess
    >what I'm going to do?
    >
    >> When Blockbuster
    >>customers complained on this newsgroup, they were advised to shop
    >>elsewhere.

    >
    >And to comprehend the things they agree to. That's be a nice adult thing for
    >these morons to do.
    >
    >>These late fees were not calculated
    >>on a daily rate, so a DVD that was only 1 hour late would not be
    >>prorated (as was done originally) but charged a late fee equal to the
    >>original rental price.

    >
    >Good. Lazy jerks keeping tapes out too long ruined things for everyone else

    so
    >the late fees needed to be as prohibitive as possible (here's a hint, genius,
    >prorating wouldn't have sent the message that needed to be sent).
    >
    >>But Blockbuster's customers can
    >>now rent DVDs with no late fees, at lower prices, from stores with a
    >>much better selection.

    >
    >Netflix is dying. Get a brain.


    I didn't realize we had Blockbuster employees in here?
     
    MS#1Fanboy-JoJo, Dec 17, 2004
    #15
  16. >
    >I didn't realize we had Blockbuster employees in here?


    Alas, I am one
     
    Vlvetmorning98, Dec 18, 2004
    #16
  17. >and they still haven't addressed the "SCRATCHED TO HELL AND UNPLAYABLE
    >AND WTF IS THIS STICKY BROWN JUNK ON THE DISC" problem endemic to
    >Blockbuster.


    that problem is not unique to Blockbuster. I've rented plenty of defective
    discs from Netflix and local video stores. Many people simply do not know how
    to handle DVD's
     
    Vlvetmorning98, Dec 18, 2004
    #17
  18. One-Shot Scot

    Justin Guest

    Vlvetmorning98 wrote on [18 Dec 2004 04:55:41 GMT]:
    >>and they still haven't addressed the "SCRATCHED TO HELL AND UNPLAYABLE
    >>AND WTF IS THIS STICKY BROWN JUNK ON THE DISC" problem endemic to
    >>Blockbuster.

    >
    > that problem is not unique to Blockbuster. I've rented plenty of defective
    > discs from Netflix and local video stores. Many people simply do not know how
    > to handle DVD's


    Plenty know, many people simply don't care how they treat something that
    doesn't belong to them. DVDs, rental cars, you name it.
     
    Justin, Dec 18, 2004
    #18
  19. One-Shot Scot

    Greg R Guest

    I never like Blockbuster.

    I would of became a member. I didn’t like the contract.
    Some person bought me a gift card for there. I just bought some blank
    cd-r

    If a class action lawsuit is brought against us-you will opt out.
    How would you know about it? For example, the notice get lost in the
    mail..

    Also, there are other things I didn’t like about the contract. They
    require you to give to much information to them. I am not applying
    for a job their.

    I do return my videos/dvds on time. I can see blockbusters going
    out of business. I have other video/dvd rental choices here.


    Greg R
     
    Greg R, Dec 19, 2004
    #19
  20. One-Shot Scot

    FAQmeister Guest

    "Black Locust" <> wrote in message
    news:
    > In article <>,
    > Stan Brown <> wrote:
    >
    >> What I don't understand is going to the opposite end of the scale. If
    >> there are now no more late fees for a week's grace period, does that
    >> mean every "2-day" (really 1.5-day) rental is now a 9-day rental?
    >>
    >> Isn't that going to diminish the selection even more? (Not that it
    >> was ever all that terrific.)

    >
    > Indeed it will. I asked a friend of mine who works at Blockbuster
    > about this very issue and she told me they're going to increase the
    > number of copies they have on new releases, but she said it will
    > likely not be enough... Copy depth is already a problem due to the
    > sheeps desire to have that "hot new blockbuster" title that very
    > first week it's out. I can pretty much guarantee if I went into my
    > local Blockbuster this Saturday night, they will be out of Collateral
    > and I, Robot.


    So if you don't really care about the new releases, you can always use
    that to get a coupon for a free rental.

    --
    Buford T. Justice
    The alt.video.dvd faq is located at:
    http://aww-faq.org/dvdfaq.html
     
    FAQmeister, Dec 19, 2004
    #20
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