DID BLOCKBUSTER SHUT DOWN FULL COLLECTION OF
DID BLOCKBUSTER SHUT DOWN MOVIE DISTRIBUTION COMPANY

Did Blockbuster Shut Down Movie Distribution Company

This is a big deal.Hi, IвЂ™m Diego Lucero, the CEO and founder of Siam Tek.Blockbuster Video, once an icon for the original VHS and DVD rental industry, has effectively been reduced to the least profitable movie distribution company in the United States.But how did Blockbuster get in this position? Well, IвЂ™m sure the Blockbuster board of directors would argue that it was because of outside forces, specifically new companies like Netflix and Redbox.But the real reason is much simpler, and much more in their immediate realm of control. However, in 2013, ABC News reported that Dish was shutting down all the remaining Blockbuster IвЂ™m not sure if you have heard the news yet, but Blockbuster Video has just closed the last of their lingering video stores nationwide. The plan was to integrate Blockbusters on-demand streaming platform with Dishs services.

As you will see, they had many opportunities to avoid this fate.The real solution was much simpler than that.Where Blockbuster Went Wrong (And Where Netflix Went Right)What caused Blockbuster to self-destruct was not something as trivial as $40 in late fees or long lines to return videos before the deadlines. That and the lines (the horrible, horrible lines).You may already see that lines and late fees are not enough explanation of the reason why Blockbuster fell apart. It was like heaven.And, if you are like me, IвЂ™m sure you remember Blockbuster VideoвЂ™s late fees! I still need to confirm, but I remember being forced to pay over $40 in late fees at least once or twice.As a matter of fact, IвЂ™m pretty sure that was the thing that I miss the least about renting from Blockbuster. On my own personal movie binge days, I had stacks of videos that were taller than I could see over when I took them to the car. Along the walls of the store were lined the hottest new videos available for rent.You may remember waiting in line to pay for 5 wonderful days of video watching.

Why mess up a good thing?But the social proof of NetflixвЂ™s decision later became very clear: Their subscriber growth since the year 2007 was astronomical, topping 24.4 million people by 2011. They still have their customer base. And the industries donвЂ™t mix. After all, they were a retail-rental company, not a technology company.

Did Blockbuster Shut Down Full Collection Of

As a matter of fact, as a web developer myself, I can most assuredly tell you that things will change dramatically and quickly over the coming years, much faster, and much more pronounced than the years before.In the current economy, technology is going to transform everything. Their fear of change spilled over into every business decision they made, preventing them from acting early and competently.So how can you avoid a вЂњBlockbuster-sizedвЂќ fail? Embrace change.With the advent of the technology age, itвЂ™s clear that even entire (huge) industries can change in almost an instant. They really thought that brick-and-mortar video rental stores were, and ever-would-be the most preferred method of movie and video consumption.But as you can see, they found out that their customer base not only disliked physically going out and spending more money for each video unit they watched, they also found that they loved being able to stay at home and browse a full collection of high quality movies and videos on their computers, tablets and TVs for a (completely affordable) 8 bucks per month.Blockbuster lost their customers from the greatest form of executive negligence there is: Fear of change. Netflix already had complete control over the new industry.Now on to the root of BlockbusterвЂ™s problem:How Blockbuster Could Have Saved Themselves (And How You Can Avoid a вЂњBlockbuster-sizedвЂќ Fail)DonвЂ™t get me wrong, they loved their business model, but they believed in it so much that they were unable to see opportunities as they arose. Their customer base had already fled from BlockbusterвЂ™s field (late fees) to NetflixвЂ™s greener pastures (вЂњNo Late FeesвЂќ and unlimited online streaming).

I believe that these are the qualities of the new age entrepreneur. We need to also track trends, try new technologies, and embrace the future before it even comes.Taking from NetflixвЂ™s example, we need to be willing to take the risks necessary to build the environments that will to support the future of our industries.Forward thinking, risk-taking, competence in decision-making, and trend-setting.