Choosing Your Online Rental Service: Battle of the Titans

It took a while, but Netflix has finally caught on in a big way: Over 3,000,000 subscribers. The big boys are starting to feel the pain, too. With Comcast’s new On Demand service and DVDs delivered right to your front door, brick and mortar video stores such as Blockbuster Video are taking major cuts in sales.

So now what? The Empire Strikes Back.

As you may have noticed (hard to miss a multi-million dollar ad campaign), Blockbuster has recently debuted their own online, direct-mail movie rental service. The name? BLOCKBUSTER Online. In addition, they have done away with late fees at their own stores. Is this bad news for Netflix? Or is it a Sign of the Video Store Apocalypse? Maybe. But what it definitely is, is good news for the consumer: a choice.

At first Blockbuster was #1, but in this new industry, Netflix is the leader. Until recently, the unchallenged leader. What happens next is a series of challengers will rise up and compete for our bucks by offering the best possible service for the lowest possible price. God Bless America.

So whose service is really better? Take a look at this side-by-side comparison.

Price:

Blockbuster: Flat fee of $14.99 per month.

Netflix: 4 separate plans ranging from $9.99-$17.99.

Both offer a free 1 month trial.

Winner? If you’re going for the cheapest possible plan, Netflix.

Value:

Blockbuster: Up to 3 DVDs may be kept at once. Service also includes 2 free movie or game rentals per month at any “real” Blockbuster Location.

Netflix: Only 1 DVD can be kept at once under the $9.99 plan. For 3 DVDs at once, the cost is $17.99, without the added perk of real-store rentals.

Winner: Blockbuster

Customization:

Blockbuster: 1 plan, 1 price.

Netflix: 4 different plans to meet the needs of its customers.

Winner: Netflix

Variety of Movies:

Blockbuster: Over 40,000 movie titles to select from.

Netflix: Over 40,000 movie titles to select from.

Winner: Tie

Overall:

Blockbuster offers greater value and the ability to get a movie right away if you really want it (twice a month at least) from a real Blockbuster location. However, if you don’t watch too many movies anyway, or only watch them once and don’t mind waiting a little for the mail, Netflix’s $9.99 1-DVD plan is a much better price, saving the subscriber $59.88 annually. Then again, if you don’t watch that many movies to begin with, why get either service in the first place?

Winner: In this blogger’s view, BLOCKBUSTER Online.

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