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Siddharth Dalal
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Siddharth is a software engineer at The University of Virginia. He is very interested in personal finance and investing. He follows and writes about Renewable Energy, Tech Stocks, Indian ADRs and Dividend Stocks. He blogs about finance at Personal Finance Simplified - http://www.parchayi.com/... More
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Personal Finance Simplified
  • Blockbuster Adds No Added Cost Game Rentals. Still Dying 0 comments
    Aug 11, 2010 10:48 AM | about stocks: NFLX, BBI

    I logged in to my Blockbuster account today and saw this:


    Blockbuster is really throwing everything and the kitchen sink to compete with Netflix and Redbox. But nothing seems to be working to keep the company alive. I'm not sure why they don't throw in free streaming like Netflix too.

    Total Access (exchanging disks in store), no delay for new movies, no extra charge for Blu-Ray none of this has worked for Blockbuster online. I'm not sure how well the kiosks are doing as compared the Redbox.

    In my opinion, the problem with  Blockbuster is not that they aren't doing enough. They are just doing it wrong. None of their offerings integrate with each other and Blockbuster just seems like a combination of separate companies held together by a bandage that is too small.

    When Total Access first started, it want very well integrated with the Queue. Finally when they did integrate it with the queue, they removed features that made Total Access attractive in the first place. After blockbuster started shutting down stores and opening kiosks, they made the kiosks incompatible with total access. When Blockbuster started the streaming options after buing a streaming company, there was no option to stream some items for free like with Netflix.

    The allure of free streaming from Netflix is that  alot of devices come with the ability to stream from Netflix and it is included. With Blockbuster you have to pay to stream so that is not as nice as Netflix. Of course with Blockbuster you can stream newer movies but if you are getting them in the mail anyway, why would anyone pay to stream? I just don't get it.

    I'm not a gamer so this new game feature is useless for me but this might cause a few gamefly users who also have Blockbuster to possibly consolidate into one account.

    Either way I hope Blockbuster stays relevant and I hope they add total access to their Kiosks. That would really make me stay with Blockbuster for longer than I am planning now.



    Disclosure: No Positions
    Stocks: NFLX, BBI
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