Blockbuster Heading for the Dustbins of History?
Massive layoffs are in the cards at Blockbuster, as revenue slid almost 6 percent in the 3rd quarter, stock prices are down to an anemic $5.06, and 526 stores have been closed in the last year. It appears that Netflix has not only put a chink in Blockbuster's armor but given it a flesh eating virus.
Blockbuster managed to put pressure on Netflix with lower prices, but all the focus on destroying the pioneer of DVD rentals via mail has taken an even worse toll on Blockbuster.
Consumer familiarity with Netflix and its streaming films have proven too much for Blockbuster to battle. Blockbuster chairman Jim Keyes has even admitted that the focus on Netflix has damaged the company. He has decided to move the focus of the company to just increasing overall membership but it might be too late. Like the traditional print media outlets barely scraping by in this new online economy, Blockbuster may be staring death in the face.
From Crave
Related links:
- Netflix Customer Service Drops E-Mail In Favor of Real People
- Netflix "View It Now" Service Hacked - Users Downloading Movies
- Netflix Subscriptions Drop, Despite Price Cut






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Comments
483
Subscribe to commentsBettyLNov 6th 2007 1:42PM
I love blockbuster, I order online & return for tape at store, it has worked out great, I always have a movie, & their system just keeps on getting better.
MarcNov 6th 2007 12:02PM
I hope that Blockbuster stays. Not because they give good services or not but for the sake of competition. I believe that the only reason that people who have Netflix are having good deals is because of the competition with blockbuster. as soon as blockbuster will get out of the way, netflix will probably start dissapointing its customers the same way blockbuster is apparently doing it right now.
BriscoNov 6th 2007 3:44PM
Blockbuster has the worst customer service possible. I was renting a recently released video game for my preteen son. We asked the clerk to check for one that had the directions. It made him mad. He would only check one at a time. He would put that one back on the shelf, bring another one up to the front counter, check that one, and then return it as slowly as possible. We offered to carry them back and get another one to speed things up. He acted like he did not hear us. It took over 30 minutes to rent the game. Most of the time we were the only customers in the store. One was leaving as we approached the counter and one more came in and checked out as we waited. It took so long to rent this game and the clerk was so rude that my son apologized to me for the ordeal while we were still at the counter. The manager on duty was right beside him behind the counter all this time. Evidently he thought this was funny. This was in 2001 in Rocky Mount, NC and I have not set foot in the store since. There is a Hollywood Video not far from the Blockbuster. They have excellent customer service. Everyone there has always been courteous to me and to every other customer in the store while I am in there. Maybe the few decent employees of Blockbuster (if there are any left) can get a job at a Hollywood Video when Blockbuster goes under.
shellyNov 6th 2007 12:05PM
I've been a Netflix subsriber for over three yrs now and all I can say is Netflix ROCKS. Their selection is far superior to Blockbuster. In addition, if I return a movie on Monday, I have my next movie by Wednesday. Their customer service is always on top of things and easily reachable. Blockbuster online is a joke. Netflix = Love
lotooleNov 6th 2007 12:03PM
That reminds me, I need to logon to Netflix and get some more movies.
Chris GrossoNov 6th 2007 12:42PM
We use Blockbuster's online service and love it. The option to trade a movie right away at the store is great. Movies come in the mail very fast....great service.
IIINov 6th 2007 12:10PM
I used to have NetFlix and thought that it was the way of the future. Then I got Blockbuster Online and couldn't figure out why anyone would waste their money on NetFlix. I get 3 movies at a time, and can return them for additional movies...all while 3 more are being sent to me. Plus I receive additional free movie and game rental specials. If you only watch a few movies a month then NetFlix is fine...if you are a junky, then Blockbuster is definitely the way to go. As long as Blockbuster keeps their doors open they will have my business.
JamieNov 6th 2007 12:10PM
Eventually ALL movie stores will close down. Soon enough either you will have internet video stores through your television or the satellite TV companies will come up with their own remote controlled movie store. YAHOO...we will never have to leave our homes!!
sullynlaNov 6th 2007 12:10PM
This is very typical of any company controlled by a major religious organization...refusal to change and compromise their "mission statement." Good riddance, I'm so tired of their HORRID customer service. I'm so glad a company that won't let us rent "adult or risque" movies for our own good is going to be OUT of the mix!
BobNov 6th 2007 12:12PM
Go Joseph Go!
I love Blockbuster.
I still remember the old days when Wayne owned the company. One of the best places I ever worked. If you looked at their code there are a lot of programs with my name in there.
To bad they made that move to Dallas. The Broward County Florida run was a great time for me.
sandyNov 6th 2007 12:13PM
I use Hollywood Vido exclusively. I am on the
MVP program and pay once a month for as many
movies as I want w/no late fees. I would never
wait for movies through Netflix.
larryNov 6th 2007 12:25PM
hahah... i'll be glad to see them go down ,,, Chri$tian right-wing,,,, i went to blockbuster in 1993 and tried to rent "the last temptation of christ",,,, but was told that "blockbuster " would not carry anything that contradicted the bible... hopefully Wal-Mart will be next....
ILIKENETFLIXNov 6th 2007 12:19PM
I went with Blockbuster until they started lying to me. They'd tell me the movie was delivered and I would never get it. Then after I switched to Netflix. They told me I never returned a movie and were going to charge me for it.
cattyoneNov 6th 2007 12:19PM
I was once arrested for 2 late video's in my hick town. Police came to my house and handcuffed me in front of my kids. I swear.
It was not blockbuster,just a local video store now out of buisness.Thank God.
Held on a 5,000 dollar bond for theft by taking.
DUI offenders got out faster than I did.
I was finger printed and had my pic took.
I no longer rent video's period.
TinaNov 6th 2007 12:23PM
Good, I hope they do go under. I have had repeated problems with them. One time they sent me to collections for a late fine. The fine was less than $10. They didn't even send a late notice to my home nor did they call to say they were going to do this if I did not pay the fine. After that, I left and never looked back. They suck.
lotooleNov 6th 2007 12:25PM
I can't believe upper management of Viacom ever experienced the lack of customer service in their Blockbuster locations. They spent millions to get you in the store and then the employees treated the customers with indifference at best. Ever notice how everyone would be standing in line to check out, no one browsing the isles and management talking on their cell phone with complete lack of interest. The employees in my experience definitely had a hand in the imminent demise of this chain. I vowed several years ago never to return and haven't regreted my decision. Glad to see them fold up and leave town.
NormaNov 6th 2007 12:28PM
I don't rent at Blockbuster anymore because EVERY SINGLE TIME I have rented a movie in the past few years, I have gotten a letter in the mail threatening to turn my account in to a collection agency because of late fees. This is frustrating because the movies AREN'T LATE! These fees range from $1.21 to $2.50. It's insane. But if I bring the letter in and pay the late fee, I GET A FREE RENTAL. Does this make sense to anyone? Because I can't get the idiots at Blockbuster to figure out what the problem is.
Jack CNov 6th 2007 12:34PM
Netflix doesn't have late fees or what ever Blockbuster is calling them now. It might cost a little more but Netflix has no late fees. Netflix makes you plan a little ahead for the movies that you want. Not really a big deal. Netflix customer service is good in the 7 years I have been with them only had 3 problems, and the fixed the problem fast with great customer service.
THANKS NETFLIX
Bruce LawyerNov 6th 2007 12:30PM
Worst rental experiences ive ever had were Blockbuster.Passing a store makes my eyes sore.Good riddence.
Other Brother DarrylNov 6th 2007 12:35PM
Blockbuster's business model has been on the rocks since the film industry's transition from VHS to DVD. Once upon a time, film studios would release a movie exclusively for rental after it's theatrical run, then release it for retail many months later. (That's why it cost you over $100 back in the days if you lost the tape). This model changed once DVD's hit, and for many reasons, film studios started to release their goods for sale and rental at the same time, and the allure of BBV (ad their revenue) started to fade from there...
Factor in Netflix, On Demand Video, Bootlegs, etc and it's no wonder they're fucked...
Good riddance, I say.