It seems like only yesterday that you couldn’t drive more than a couple of miles without seeing the familiar blue and yellow insignia of Blockbuster Video. In the 90s, before the internet took precedent in people’s homes, Blockbuster Video reigned supreme in the entertainment market. If you were planning for a weekend of movie watching at a friend’s house, it was absolutely necessary to stop by Blockbuster and pick up the latest movie that you didn’t get a chance to see at the theater.
I have fond memories of my time going to Blockbuster Video. I first discovered it about a block away from the elementary school I attended. My father would pick me up, and I’d always see that big blue sign next to the Pizza Hut, always wondering what it was. One day, I asked my father to take me there. That fateful moment shaped my life like nothing else. It created a bonding experience with my father that I’m never going to forget. It became almost ritualistic. Every Friday after school, he and I would go to Blockbuster and rent our entertainment for the weekend. We started a love affair with movies that made me the entertainment enthusiast I am today.
As the 2000s rolled in, the popularity of the internet increased by the minute. With it came a whole new world of possibilities in terms of entertainment, and soon Blockbuster found itself on the losing end of the battle against other rental models. After gouging tons of brick and mortar stores throughout the country, and introducing mail service rental platform to compete with Netflix and Redbox, Blockbuster has found itself on its last legs. Now, its parent company DISH, has placed the final stake in the heart of Blockbuster Video and will be closing its last stores and shutting down its mail service (Blockbuster Express).
Dish Network said Wednesday it will close all of the video rental chain’s remaining U.S. stores, as well as its DVD-by-mail business by early next year.
Dish, which bought Blockbuster in 2011 for $320 million, attributed the move to more consumers switching to digital alternatives to rent or stream movies, while kiosk operators like Redbox also have played a considerable role in Blockbuster’s demise.
But, while Blockbuster as we know it will be gone, DISH has other plans for the name.
Dish also said it continues to stand behind the brand, which it sees as an opportunity to grow its VOD business among Dish’s more than 14 million satellite TV subscribers.
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“This is not an easy decision, yet consumer demand is clearly moving to digital distribution of video entertainment,” said Joseph P. Clayton, Dish president and CEO. “Despite our closing of the physical distribution elements of the business, we continue to see value in the Blockbuster brand, and we expect to leverage that brand as we continue to expand our digital offerings.”
The Video-on-Demand market is becoming a very competitive platform for many television companies, so it makes sense that DISH would want to use a familiar brand to get people on their side.
A lot can be said about the legacy that Blockbuster leaves behind. The whimsy that my younger self experienced is a lot nicer than the viewpoint I have of the company as an adult. While it provided me with something beautiful, it cannot be denied that Blockbuster was corporate-personified. Blockbuster became a mega-company that pushed many smaller entertainment rental companies out of the way in a sort of “Wal-Mart for video rentals” sense. In the end, Blockbuster was making 16% of its income from extravagant late fees. It came to the point where Blockbuster’s greed got the best of it, and when they stopped thinking about the customer, and ignored possible competition, things went south. And they went south fast.
My fascination for all things film may not have happened if it wasn’t for Blockbuster Video. And for that, I will miss it. But competition is healthy, and good customer service is always required. Gouging a customer while ignoring your customer-friendly competition will certainly spell your demise.
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Rest In Peace Blockbuster Video/Entertainment (1985-2013)
Do you have any fond memories of Blockbuster you’d like to share? Leave them in the comments.
(Read more at Variety)
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