Hero-of-Time Posted January 16, 2013 Posted January 16, 2013 ( As pointed out by Rowan in the HMV thread ) Another one bites the dust. http://www.dailymail.co.uk/news/article-2263380/BREAKING-NEWS-Video-chain-Blockbusters-goes-administration-putting-4-000-jobs-risk.html?ito=feeds-newsxml DVD and video games rental chain Blockbuster UK has collapsed into administration, putting more than 4,000 jobs at risk. The entertainment retailer becomes the latest high-street casualty to fall under the strain of the recession and increasing consumer reliance on internet shopping. Blockbuster UK, which first opened in 1989, has appointed Deloitte to seek a buyer for all or parts of the business just days after rival HMV hit the rocks. It is the latest high-street casualty to fall under the strain of the recession and increasing consumer reliance on internet shopping. Deloitte, which took control of HMV on Tuesday, said Blockbuster's 528 stores would continue to trade as normal in the meantime. The firm employs 4,190 staff. Britain's high street has been rocked in recent weeks with the collapse of a string of well-known brands, including electronics outlet Comet and camera store Jessops. Lee Manning, Joint Administrator and Partner in Deloitte’s Restructuring Services practice, comments: 'In recent years Blockbuster has faced increased competition from, internet based providers along with the shift to digital streaming of movies and games. 'We are working closely with suppliers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors. 'The core of the business is still profitable and we will continue to trade as normal in both retail and rental whilst we seek a buyer for all or parts of the business as a going concern. During this time gift cards and credit acquired through Blockbuster’s trade-in scheme will be honoured towards the purchase of goods.' Blockbuster became one of the UK's best-loved video rental outlets after its launch in 1989.
Jimbob Posted January 16, 2013 Posted January 16, 2013 I think we should just have an Administration thread. Was Blockbusters even open?, thought they'd gone ages ago. Still a sad time for those employed, hopefully none lose their jobs.
dan-likes-trees Posted January 16, 2013 Posted January 16, 2013 Ah that is really shitty. I've actually been using it loads lately (very 90s of me). Renting blu rays is a great shout considering what a rip off they are to buy. Boo.
Charlie Posted January 16, 2013 Posted January 16, 2013 I'll miss them if they do close down. I regularly buy stuff from my local one. It's really handy as it's open until 10pm. I quite often rent games that I don't want to buy too. Haven't done so in a while because there's a £7 fine on my account and I refuse to pay it to rent a £2 movie! Coming to think of it, I'm probably the cause of their downfall.
Jim Posted January 16, 2013 Posted January 16, 2013 Do you guys have other video rental stores that are still operating over there? There's still a few blockbuster stores here, but so many have closed over recent times. There's still a couple other chains that seem to be doing okay still though.
Rummy Posted January 16, 2013 Posted January 16, 2013 Sign of the times once more! Not sure how much I can chalk this up to legitimate competition, though there's no doubting services like lovefilm, netflix etc definitely offer an often more convenient service. I'd also hazard a guess it's better value, too? Did any rental stores move in line with the internet model of a monthly fee and time-unlimited rentals for that? Ah that is really shitty. I've actually been using it loads lately (very 90s of me). Renting blu rays is a great shout considering what a rip off they are to buy. Boo. I'll miss them if they do close down. I regularly buy stuff from my local one. It's really handy as it's open until 10pm. I quite often rent games that I don't want to buy too. Haven't done so in a while because there's a £7 fine on my account and I refuse to pay it to rent a £2 movie! Coming to think of it, I'm probably the cause of their downfall. What's the general sort of pricing that blockbusters offer? Including time limits on returns etc?
Guy Posted January 16, 2013 Posted January 16, 2013 They're gonna sneak them all into administration now. Managers everywhere jumping on the bandwagon.
bryanee Posted January 16, 2013 Posted January 16, 2013 My local is only a 5 minute walk away so I use them alot. It'll be a shame to them go as they second hand stuff is usually priced quite well and they do have some decent sales now and again. They always seem quite busy, maybe they should of gone online only.
The Bard Posted January 16, 2013 Posted January 16, 2013 I used to go into Blockbusters with my ex every week to get a good sense of what films we should torrent over the weekend.
Cube Posted January 16, 2013 Posted January 16, 2013 I used to go into Blockbusters with my ex every week to get a good sense of what films we should torrent over the weekend. But they would be a month old at that point.
The Bard Posted January 16, 2013 Posted January 16, 2013 But they would be a month old at that point. True, but it wasn't just to scope out the new stuff, we'd look at the foreign cinema section and niche indie films that we might not have heard of otherwise.
flameboy Posted January 16, 2013 Posted January 16, 2013 Can't say I'm surprised they folded over here last year and now there is no where to rent movies in this manner. You can go to Redboxes and Playdium machines that are in Wal-Mart's etc.... but it's really not the same.
Cube Posted January 16, 2013 Posted January 16, 2013 I think Blockbuster should give this a try: have a subscription based service. Like Lovefilm and similar places, people can rent X amount of stuff at the time for however long they like (as long as they pay the subscription). This makes it much more affordable for people who rent a lot, and also gets rid of the late fees people fear. And it would have a big advantage - you get to choose form what is available (instead of getting it randomly assigned), and if you live near one you wouldn't need to wait 3+ days for your next one.
The Bard Posted January 16, 2013 Posted January 16, 2013 Not sure that's a business model that would work with brick and mortar stores though. They'd be limited by their physical presence and the fact that films that might be high in demand during a certain time frame would be constrained by stock, and the fact that people could then keep them indefinitely - well past the time frame of the hype - due to a lack of late fees. Lovefilm probably works so well because it's decentralised, so popular demand for any given product in a specific area can be made up for by the lack of stock limitations.
Murr Posted January 16, 2013 Posted January 16, 2013 "oh Hah Hah I get it Blockbuster's so old only ghosts are here!" South Park called it :p
dan-likes-trees Posted January 16, 2013 Posted January 16, 2013 True, but it wasn't just to scope out the new stuff, we'd look at the foreign cinema section and niche indie films that we might not have heard of otherwise. Isn't that like, a bit of a dick move? If you're literally in the store then it's what, a quid from your girlfriend and a quid from you to rent a DVD? I only take issue because you say you're looking at niche indie ones, which actually need people's money in order to be made. Like a shit blockbuster, fine, they'll be alright but, for an independent one.. Unless you were kidding. Sign of the times once more! Not sure how much I can chalk this up to legitimate competition, though there's no doubting services like lovefilm, netflix etc definitely offer an often more convenient service. I'd also hazard a guess it's better value, too? Did any rental stores move in line with the internet model of a monthly fee and time-unlimited rentals for that? What's the general sort of pricing that blockbusters offer? Including time limits on returns etc? I think there might actually be something along those lines offered by Blockbuster. Might be getting that confused with the cinema though. Pricing isn't brilliant to be honest - I think it's £2.50 for a DVD and £3.50 for a blu ray on new releases. Still not bad though, and from a brief look on itunes rentals it compares surprisingly favourably (4.50 for HD rental on there). Then again, tends to be 24 hr on new releases, which isn't fantastic.
Cube Posted January 16, 2013 Posted January 16, 2013 Not sure that's a business model that would work with brick and mortar stores though. They'd be limited by their physical presence and the fact that films that might be high in demand during a certain time frame would be constrained by stock, and the fact that people could then keep them indefinitely - well past the time frame of the hype - due to a lack of late fees. Lovefilm probably works so well because it's decentralised, so popular demand for any given product in a specific area can be made up for by the lack of stock limitations. I've used Lovefilm. They have the same problem.
Charlie Posted January 16, 2013 Posted January 16, 2013 What's the general sort of pricing that blockbusters offer? Including time limits on returns etc? It's a few pounds to get a new release for a night. I actually came home today to find a letter from them. £12 fine because I forgot to return a film over Christmas.
Guy Posted January 16, 2013 Posted January 16, 2013 Apparently these guys will still accept Blockbuster gift cards during the administration period. Guess that's good news for about 30 people across the country.
The Bard Posted January 17, 2013 Posted January 17, 2013 Isn't that like, a bit of a dick move? If you're literally in the store then it's what, a quid from your girlfriend and a quid from you to rent a DVD? I only take issue because you say you're looking at niche indie ones, which actually need people's money in order to be made. Like a shit blockbuster, fine, they'll be alright but, for an independent one.. Unless you were kidding. Defs was a dick move, but when you're a student living off instant noodles and discount wine, and your only real resource is a T1 connection, you make use of it.
Beast Posted January 17, 2013 Posted January 17, 2013 Genuinely sad to hear this! I love Blockbusters!
Rummy Posted January 17, 2013 Posted January 17, 2013 I think there might actually be something along those lines offered by Blockbuster. Might be getting that confused with the cinema though. Pricing isn't brilliant to be honest - I think it's £2.50 for a DVD and £3.50 for a blu ray on new releases. Still not bad though, and from a brief look on itunes rentals it compares surprisingly favourably (4.50 for HD rental on there). Then again, tends to be 24 hr on new releases, which isn't fantastic. That's pretty poor pricing given the alternatives. As Cube said too, they should have looked to at least try and move to a model like LoveFilm and the like, just to stay in line with the competition. They were operating a somewhat outdated business model, with little adaptation or evolution. I'd imagine it's been steadily reflected in their revenues for years, too, so why didn't someone try to do something about it? Your mention of the cinema is exactly what I'm talking about. Cinemas run the risk of following a similar fate in a few years(they have the slight unique experience appeal to keep them going, though), however I know many offer all sorts of loyalty promotions now, and Cineworld's Unlimited card is a brilliant way to move with the times; £15 a month for all the films you like + discount on food and drink. Admittedly there's the surcharge for 3D films(£1.50 for my local), but with the way regular prices are you only need see 2/3films a month to equate regular ticket prices. Moving more off topic, I wonder sometimes how much Orange Wednesdays might have done to help breathe more life into the cinema industry.
Guy Posted January 17, 2013 Posted January 17, 2013 Moving more off topic, I wonder sometimes how much Orange Wednesdays might have done to help breathe more life into the cinema industry. I know people who only go the cinema on Wednesdays because of the promotion. Can't imagine how things would be without it, although to be fair most of my recent cinema visits have been with decently packed theaters. I hope the cinema sticks around for a long time - it's still a very definitive way to see a movie in my opinion.
Cube Posted January 17, 2013 Posted January 17, 2013 Cineworld's Unlimited card is a brilliant way to move with the times; £15 a month for all the films you like + discount on food and drink. I was thinking about getting it, but I really need to see how much I'd actually use it - it needs a trial period. Not a free trial (obviously), but they should allow you to buy one month before committing yourself a a 12-month contract.
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