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We've been running Australia-DVD-Rental-Guide.com as an independent, unbiased review of the Australian DVD and game rental-by-post industry, which we hope allows you the customer to make informed choices. We're still going strong in 2009 after our blog relaunch and hope to maintain the high standards our readers have become accustomed to over the years.Links
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Archive for December 2008
Blockbuster Chief Financial Officer Thomas Casey noted that digital download spending was still "nominal" and "wouldn't have a material effect on earning until at least 2011."
This tracks with our thinking in Australia, that online distribution is becoming a greater player, but will lag online DVD rental for several years, and in that time most DVD rental stores will likely close, though DVD rental kiosks may fill some of that void in high foot traffic areas.
We believe there are broadly similar trends at work in Australia, but haven't seen solid data. The UK's market leader, Lovefilm, also estimates its user base will grow 70% this year, fueled by the credit crunch and people staying home more, though this sounds a bit optimistic to us. While Netflix's rise may have been a bit extreme, we're fairly confident the major Australian DVD rental companies will weather the storm.
Customers are simply looking for cheaper means of entertainment given the poor economic climate, and it's hard to beat online DVD rental, especially when compared to the cinema, theatre, or even a bricks and mortar video shop. Amusingly, Britain's Times Online noted that Lovefilm reported a 40% jump in demand for comedy DVDs, as people seek more cheerful escapism from the headlines.
We still judge Quickflix to be the all around best, but believe it's now a much closer race between the two.
US Blockbuster's Rental Charges Key
As noted in Video Business, Blockbuster's US division will focusing on boosting its rental profits vice pushing its new digital delivery service. It plans to improve earning by renegotiating better terms from the Hollywood studios.Blockbuster Chief Financial Officer Thomas Casey noted that digital download spending was still "nominal" and "wouldn't have a material effect on earning until at least 2011."
This tracks with our thinking in Australia, that online distribution is becoming a greater player, but will lag online DVD rental for several years, and in that time most DVD rental stores will likely close, though DVD rental kiosks may fill some of that void in high foot traffic areas.
12 Dec, 2008 | Category: DVD Rental News |
DVD Rental Growth Continues Despite Recession
US online DVD rental leader Netflix is poised to see a 30% profit rise in the fourth quarter (with a 20% share price increase in December so far), despite the global economic downturn.We believe there are broadly similar trends at work in Australia, but haven't seen solid data. The UK's market leader, Lovefilm, also estimates its user base will grow 70% this year, fueled by the credit crunch and people staying home more, though this sounds a bit optimistic to us. While Netflix's rise may have been a bit extreme, we're fairly confident the major Australian DVD rental companies will weather the storm.
Customers are simply looking for cheaper means of entertainment given the poor economic climate, and it's hard to beat online DVD rental, especially when compared to the cinema, theatre, or even a bricks and mortar video shop. Amusingly, Britain's Times Online noted that Lovefilm reported a 40% jump in demand for comedy DVDs, as people seek more cheerful escapism from the headlines.
11 Dec, 2008 | Category: DVD Rental News |
December 2008 DVD Rental Guide Update
In our first major rankings move in some time, we bumped up DVD rental giant Bigpond to the number two slot, as their offerings continue to expand, and we've been getting less negative feedback about them compared to in years past.We still judge Quickflix to be the all around best, but believe it's now a much closer race between the two.
01 Dec, 2008 | Category: Site Announcements |
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