Blockbuster (NYSE: BBI) Again Charging Late Fees


Monday, March 1st, 2010

It's hard to tell what to make of Blockbuster (NYSE: BBI) re-instituting their late fees policy, but that has now been implemented as of March 1, while the company struggles to survive as revenue continues to plunge at the movie rental company.

The policy changes from their previous policy, where their customers were given a grace period of 10 days before being charged a $10 fee.

Now the policy won't go beyond $10, but instead of waiting for a 10-day grace period, the new fee will be applied per day up to the 10 days, so customers will have to pay from the first day they're late with their rentals.

Another thing Blockbuster customers need to know is the period they can rent a movie has fallen from seven days to five days, which means after five days the $1-a-day fee begins for them. This is in regard to new release movie titles rented for $4.99.

Other rentals the $1 daily fee will be applied to are Blu-ray Disc films which are previously viewed, and also standard DVD rentals for one day.

This is better than their highly unpopular late rental fees in the past which could add up forever if the movie wasn't returned, so the cap of $10 on the late fee isn't bad in that regard, and would largely pay for the physical disc when it's bought by the company for rental.

Blockbuster is in the midst of attempting to compete with their major competitors by going to a multi-platform distribution business model, something they were far behind with as other surpassed them, pretty much destroying the former business model for them that had propelled them to success.

What this will do is give the company some much needed revenue while they attempt to make the changes to distribute on the Internet, which is really what this is all about more than anything else, although low-cost competitors charging only $1 a movie are another challenge they must face if they're going to make it in the industry and survive as a company.



Article by Gary B

The views expressed are the subjective opinion of the article's author and not of FinancialAdvisory.com



Tags: blockbuster , blu-ray rentals , dvd rentals , movie rental fees , rental fees

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Comments:

SJ Johnson (January 18, 2011 5:19 AM)
New customer in 2010, old customer in 2010. After living out of the US for a few years, I signed up to a local Blockbuster due to the convenience factor. Rented 3 movies on one night, had remembered an advertisement a few years back saying "No more late fees". Did not get around to watching the movies immediately, and am now being hounded by a collection agency. Of course, I will not pay it on principle. Would rather take them to court. And of course, after one visit I have closed my account. Good riddance BB. SJ Johnson, Quincy, MA.
Danielle (July 1, 2010 8:56 AM)
The thing that upsets me the most (which is why I'm closing my account today) is that this "extended viewing fee" is automatically debited from whatever account they have on file. No warning, no call, ...for even 1 day late. Libraries, and other rental places let you pay the next time you rent something...and if you don't pay, you can't rent. What ever happened to that policy???? Well goodbye Blockbuster it was nice while it lasted.
happy (June 3, 2010 1:39 PM)
your all idiots just use net flicks and let BB close another 900 stores
Adam (May 4, 2010 10:37 PM)
Appalled ex-blockbuster customer- Thank you so much for the compliments about my store! I'm sorry to see that the store you used to frequent has failed to satisfy your family's needs. If you're ever near a franchised location, stop in. Most of us independently owned Blockbuster stores are very grateful to get new customers, and we do our best to make it fun for the whole family. Most of our customers know me and my employees by name and we treat every single customer like a member of our family. I know that sounds a little cheesy, but it's true. I can definitely understand your change over to Netflix and I hope they end up working out better for you guys than BB. Again, thanks a bunch for the compliments. It means a lot to me and my staff. We're suffering from Corporate Blockbusters choices as well and it feels good to hear a kind word every now and then. Cheers! :)
Appalled ex-blockbuster customer (April 9, 2010 6:39 AM)
I understand the new release being $5 for 5 days, that is the same as a redbox or blockbuster stand. BUT a very old movie? My children went with their father last night to rent two old children movies and it was $11!!! I could have bought them a new movie for that price. It is absolutely absurd. In this economy we don't have much to do with out children anymore and a movie night is easy to do. But not anymore! I would rather take them to a movie for that price. I was shocked. I have a netflix account already and just pop into the blockbuster store to rent for my children or when I need a movie fix. But not anymore. I QUIT blockbuster for good. P.S., to the Tennessee asst. store manager (Adam)-I wish all the stores were like yours!!! I would never quit if we had a store like yours. GOOD FOR YOU!!!! There should be more people out there like you. Corporate should take a lesson from your store. I am sure that even if Blockbuster goes under, your store will be safe.
Frustrated By Bad Blockbuster Communication (March 27, 2010 3:34 PM)
I just received saw a charge for $25.68 on my account for movies that were rented on March 5 and returned by the "normal" No Late Fee date. I was NOT told when I rented the movies that the policy had changed and that I could only keep them for 5 days w/o incurring late fees. I'm in agreement with most people here - Netflix here I come!!
Adam (March 24, 2010 8:03 AM)
As an Assistant Manager at a Blockbuster Video franchise, I am appalled by some of the supposed employees coming here to bash our customers. That's ridiculous and it's part of the reason why some of our stores aren't doing so well. Yes, we get some difficult customers, but every business does. Whether or not you feel that our customers are rude doesn't matter. They give us business and you should act professional and be polite because guess what? You're getting paid to represent the company. Whatever face we show will be how the company looks in the customer's eyes. Also, as for the 5$ for 5 days... I think it's a bit steep, but it honestly is on par with what Redbox charges. They should have lowered the price on the catalog titles, though. No one wants to pay 5$ for Mary Poppins, for example. Anyone who is dissatisfied with the corporate stores, you should visit a franchise location and see if your opinion changes. My particular franchise charges about 4$ for 5 day new releases and only .95 cents per day if it's kept over. Our catalog titles are .99 for 5 day family movies, with a .35 daily rate thereafter and $2.99 for the other catalog titles for 5 days, with a .65 cent daily rate thereafter. I think this is something closer to what the corporate stores should have introduced. It makes a lot more sense. At any rate, they had to get rid of the whole "End of Late Fees" model. It's a great idea, but it just doesn't work. We are a business and we need to be profitable. Those DVDs are almost as expensive for us to get into the store as they are for the customer who purchases them. We have to make a return profit on them and thus cannot simply give them away for free. Anyway, I honestly hope corporate Blockbuster takes a few pointers from its franchise stores. They need to get a little smarter about business. Anyway, if anyone's ever in Tennessee, drop by our franchise. We're friendly, lower priced, and we don't treat our customers poorly. We also don't try to suggestive sell the entire store to you ;)
DD (March 21, 2010 11:53 PM)
I just learned about the $5 per movie, regardless if its new releases or 8 yr old movies, did not rent the two I was going to. After I finished the last DVD I rented from BB, I will no longer rent from BB. Have just signed up for Netflix. Its that simple - BB should not have charged the same price for old movies. It is essentially like a 2010 Mercedes cost the same as a 1990 model. I understand BB is out there running a business (if they know how) but they need to realize that there are many competitors, they should not have the same mark up for new release and a 5 yrs old movie. All BB employees - its a good idea to start getting those resume ready.
Former Blockbuster patron (March 14, 2010 4:20 AM)
So now it costs $5 to rent an old movie. Up from the previous cost of $2, that's a 150% increase. Is this what happens when they see Hollywood Videos going under? They think they can just hike their prices now that they have no serious brick and mortar competitors. If they are serious about improving their profit margins they need to find ways to streamline their operation and reduce their cost. Raising their prices is just a lazy short term remedy. Now that Redbox is starting to catch on with their $1 a day rentals Blockbuster can't afford to make the mistake they just made. Maybe Blockbuster is just becoming obsolete. I don't see them sticking around that much longer. It's certainly no longer my first choice of movie rentals. Not after this $5 on everything nonsense.
Will (March 11, 2010 1:56 AM)
No one here is mentioning the video game aspect of this. Along with their new plan regarding movies, you now are charged for the full price of the video game the moment it becomes late. That's $63 some dollars charged to your credit or debit card. People cannot beat video games in five days and Blockbuster knows this. A risky move for them considering their competition just has to wait them out. Even more risky if they knew that all they had that was keeping customers coming back was the ability to essentially hold onto a movie/game a week or so past the due date. That's why anyone went to Blockbuster. This ends all that. They can talk about how busy they are now, but that won't last. The long term effects of this plan are terrible. Tomorrow I deliver my game back, kill my account and join Gamefly. Never thought that would happen, but here we are. Also, If you're already getting complaints 10 days after the initial implementation of this plan, imagine ten months from now. People take this very seriously and personally in a recession. As someone else mentioned, it's only a matter of time. Nice way to kick your customers in the teeth as you teeter into inevitable insolvency.
Nick (March 10, 2010 3:24 PM)
Blockbuster is taking a step backwards with this new plan of theirs. Netflix has Blockbuster brick and mortar beat on value and convenience. The only thing Blockbuster brick and mortar had over them were relatively lax due date policies. As a result, I will no longer be patronizing Blockbuster once I return the movies I just rented and will now use Netflix. And I used to spend $40 or so a month at my Blockbuster store.
store manager (March 9, 2010 11:22 PM)
i think the Head Cashier, is just displaying frustration, towards the people that were bashing, his or her job. and saying that their company was gonna go out of business?!? But on another note, as a manager in a blockbuster store, i don't think we are gonna go out of business. obviously you guys dont see how busy our stores are. The policy has been changed for a week now, and ive only had a handfull of people in my store complain. its also about how the employee or cashier states the new policy. but in the long run the policy was put into effect FOR the customer, with the added daily rate, the customer is more enticed to bring the movies back on time, or even early so that our store isnt checked out of the movie, and that it will be stocked for the next customer (possibly your self) and you will be able to rent the movie. also as far as hollywood video is concerned, they are a done deal. All their stores in the bay area are closed, or are in the closing process. while blockbuster had an average of stores every 4 miles apart. (in the bay area) if you have any questions, you can feel free to stop by my store in san jose, ca and i will be happy to discuss the policy, and terms with you. :) and @ joe, yes im sure the person who posted in all caps, is a moron, but, say hes gonna be jobless, is kinda rude! if blockbuster supports his family, then hey!!! lol.
joe (March 9, 2010 6:04 AM)
To: Head Cashier post.. perhaps you didn't realize that saying something in all caps is shouting, and calling customers a$$holes as you did , does not win them over to your opinion. I suspect one that this attitude is why your company is failing and soon you will be out of a job. Second, I suspect that your lack of understanding these basic fundamentals is why you are just a cashier at blockbuster. Good luck in your new career as a grocery bagger!
stephanie (March 9, 2010 5:54 AM)
My 1st thought was, I switched from hollywood video who had 7 day, to a closer blockbuster store with the mysterious 2 day and 7 day grace, so that I could rent new on tuesday and return to rent new again on next tuesday. This decision, makes renting inconvenient and with so many convenient choices, like netflix, apple tv, ect,,, I think blockbuster will get much less of my busines, till eventually none at all, or the company closes brick and mortar, which I suspect is it's future!! Lastly, reading the other commentors, it's obvious why the business is failing. The attitude the franchises or manager have is one of us against the customer. Again, my prediction is soon enough you will be standing outside looking in, LOL
blockbuster in san jose ca (March 7, 2010 9:44 PM)
take your business elsewhere if u must. but what you fail to realize is that blockbuster signed an agreemental contract with the major movie companies, and will get all the new releases for a 30-day window before any other company. also, if people like yourself returned movies and didnt abuse the policy we wouldnt even be here!! lol. LASTLY, there are some people that i talked with over the weekend in my store, and ill tell you like i told the gentleman, if you cant watch these movies in 5 days, then maybe you shouldnt rent 6 movies at a time!! and if you rent only one movie, and you cant watch in 5 days
Ca Blockbuster Employee (March 7, 2010 12:21 PM)
The reason this article doesn't represent every stores previous policy is because every district had it's own policy... some stores had 7 day rentals other 5 days so no article that is popping up on the internet can accurately represent every district.
Syd B (March 7, 2010 9:19 AM)
Wow...it does seem that the article has some facts wrong...though I do agree with its tone. We rented last night and were told ALL movies are $4 for 4 days. After that, you are charged $1 a day for 10 days. Then, the movie autosells to you. You then have 30 days to return it and get your money back minus the "restocking" fee. As someone who normally rents with online coupons, the biggest change for me is that they are now charging me $10 for something that used to be free (the ability to have the movie autosell and then return it and get a refund minus the restocking fee...almost as if they raised the restocking fee to $11.25). I get what the BB employees are saying about the program not working, but whose fault is that!?! Did blockbuster not envision the impact of "no late fees" when they started the program. What frustrates customers like myself is going BACKWARDS. Don't give us something, then take is away and make your terms worse! THAT is what makes customers angry and encourages them to do business elsewhere. Netflix...here I come!!
Head Cashier (March 6, 2010 1:07 AM)
AS AN EMPLOYEE OF BLOCKBUSTER I MUST SAY THIS ARTICLE IS NOT RIGHT! FIRST OFF, THERE WAS NEVER A FLAT FEE FOR BEING LATE. IT WAS A.. 5-DAY RENTAL, THEN A 5-DAY GRACE PERIOD, AFTER THE 10 DAYS IT THAT SAID MOVIE WAS CONVERTED TO A SALE! AND YES THAT MIGHT BE MORE THEN $10, BUT HEY, IF YOU PEOPLE DONT BRING BACK THE MOVIES HOW THE FUCK ARE WE SUPPOSED TO RE-RENT IT, THIS IS A BUSINESS, AND WE NEED TO MAKE MONEY! THEN AFTER THE SALE DAY, YOU HAD ANOTHER 10 DAYS TO BRING THAT SAID MOVIE BACK, AND WE REFUNDED THE MONEY BACK TO YOU, AND WE ONLY KEPT A RESTOCKING FEE OF 1.25!! NOW LETS BREAK DOWN THESE NUMBERS REAL QUICK.. YOU CAN PAY $5 FOR A NEW RELEASE MOVIE, AND KEEP IT FOR 20 DAYS?!?!?!?! YES IM SORRY BUT AS A COMPANY WERE GETTING ROBBED WHEN YOU DO THAT. SO WHEN YOU COME INTO THE STORE AND THE MOVIES ARE ALL CHECKED OUT, WHAT DO YOU EXPECT, WHEN PEOPLE WERE ABUSING THE POLICY THAT WAS PLACED TO PLEASE ALL OF YOU IN THE FIRST PLACE!!!!!!!!!! THE NEW POLICY IS THAT ITS A 5-DAY RENTAL AND ITS 20% OF THE COST PER DAY ITS LATE. $5 MOVIE, $1 A DAY, $1 MOVIE .20 A DAY!! NOT BAD AT ALL. IN A SENSE ITS JUST LIKE REDBOX, YOUR JUST PAYING FOR YOUR 5-DAYS UP FRONT! AND FOR ALL THE ASSHOLES THAT HAVE A PROBLEM WITH IT, RETURN THE MOVIES ON TIME SO SOMEONE ELSE CAN ENJOY THEM!! AND DONT FORGET YOU CAN BE THAT ONE PERSON THAT WANTS A TITLE WHEN SOMEONE ELSE HASNT BROUGHT IT BACK ON TIME!! AND YES SURE THEY DO SEND US ~100 - ~200 COPIES OF THE BIG MOVIES, BUT WHEN ALL 200 COPIES COME BACK 2 OR 3 DAYS LATE THATS 200 X $5 THAT EACH STORE POTENTIALLY LOST!! ITS A BUSINESS PEOPLE!! JUST REMEMBER THAT!! THANKS.. @JOHN, IF YOU RENTED THE GAME 6 DAYS AGO, AS YOU CLEARLY STATED, THEN THAT WOULD BE FEB 28TH? THE NEW POLICY STARTED MARCH 1ST. SOOO YOUR STILL IN THE OLD POLICY YOU FUCKING MORAN!! BRING SHIT BACK ON TIME, AND THATS THAT!! BLOCKBUSTER DOESNT NEED PEOPLE LIKE YOU TO BE A DICK AND NOT BRING STUFF BACK ON TIME!! AND WHERE ELSE CAN YOU RENT VIDEO GAMES? GUESS WHAT YOU'LL BE BACK!!! IN THE LONG RUN WE WILL HAVE VIDEO GAMES AND MOVIES FOR YOU WHEN YOU COME INTO OUR STORE, AND WE WONT BE ALL CHECKED OUT!!
Jeff (March 5, 2010 4:59 PM)
So geniuses a BB, you want me to pay $5 for a three year old kid's movie because people are keeping movies to long. How about charging me $5 and then refunding a dollar a day each day I bring it back early.
John (March 5, 2010 3:37 PM)
@ BB employee: i did ask the clerk and did my research. The only thing that has kept in favor of the customer (which pays your weekly paycheck) is the rental fee for kids movies. In my market they raised the older movies to $5.00, up from $.99/$1.99. A $.01 raise in game rental fees and the reinstated late charge fee. Which overall, pisses me off as i wasn't informed of this when i rented the games 6 days prior. If your executives don't start thinking clearly you may have to find work somewhere else. Before you get on your BB high horse you should consider thinking about the effects this could have in the long run.
bb employ (March 5, 2010 9:38 AM)
Blockbuster changed its rental policy for the simple fact that, the old way wasnt working, they were not making any money letting custs keep a movie for as LONG as they wanted, meaning if an employee tells a cust ok your movie is due back by this date but you have a grace period of 10 days or you will be charged the full retail price for the movie, the cust is going to think that they have depending on the rental period either 2 or 8 day at the time a 12 or 18 day rental. and they wonder why it is that when they come in for a movie they particularly want, it isnt in stock. and it asales on the acct on the 10th day - 1.25 restocking fee but wait......then you have an additional 30 days from the asale date to bring it back for a refund?????? how are you as a company supposed to sustain a business with that kind of logic, sure it was good for the cust and im sure at the time, just like with online, they werent seeing the big picture. so they had to change the policy..... i get the whole 1 dollar a day thing for 10 days, i understand the 5 for 5 thats reasonable, the new policy is if you keep a movie for 5 days and bring it back before the close of business, your fine or they will be assessed a 1 dollar adr for each day it is kept, on the 10th day if the cust does not bring it back by the close of business it will be converted to a sale and the cust will be responsible for both the movie and the 10 dollars adr............ that is how it should be, but, blockbuster still wants to be cust service friendly so they still give an asale 30 day window, but if you return the movie in the first 10 days of the 30 day period, blockbuster will reverse the purchase price, but on the last half of the month the cust will only recieve a partial credit of about 11 dollars to be used on the acct not refunded back to the cust.........so basically this insures that blockbuster recieves its adr rate. and the money is kept in the store, and if the cust chooses to keep the rental past the 30 day mark then they are stuck with the asale and the 10 dollar adr fees,,,,, makes sense except for the fact that blockbuster is still handholding its customers and really 15 days is long enough to have a movie.
bb employ (March 5, 2010 9:36 AM)
Blockbuster changed its rental policy for the simple fact that, the old way wasnt working, they were not making any money letting custs keep a movie for as LONG as they wanted, meaning if an employee tells a cust ok your movie is due back by this date but you have a grace period of 10 days or you will be charged the full retail price for the movie, the cust is going to think that they have depending on the rental period either 2 or 8 day at the time a 12 or 18 day rental. and they wonder why it is that when they come in for a movie they particularly want, it isnt in stock. and it asales on the acct on the 10th day - 1.25 restocking fee but wait......then you have an additional 30 days from the asale date to bring it back for a refund?????? how are you as a company supposed to sustain a business with that kind of logic, sure it was good for the cust and im sure at the time, just like with online, they werent seeing the big picture. so they had to change the policy..... i get the whole 1 dollar a day thing for 10 days, i understand the 5 for 5 thats reasonable, the new policy is if you keep a movie for 5 days and bring it back before the close of business, your fine or they will be assessed a 1 dollar adr for each day it is kept, on the 10th day if the cust does not bring it back by the close of business it will be converted to a sale and the cust will be responsible for both the movie and the 10 dollars adr............ that is how it should be, but, blockbuster still wants to be cust service friendly so they still give an asale 30 day window, but if you return the movie in the first 10 days of the 30 day period, blockbuster will reverse the purchase price, but on the last half of the month the cust will only recieve a partial credit of about 11 dollars to be used on the acct not refunded back to the cust.........so basically this insures that blockbuster recieves its adr rate. and the money is kept in the store, and if the cust chooses to keep the rental past the 30 day mark then they are stuck with the asale and the 10 dollar adr fees,,,,, makes sense except for the fact that blockbuster is still handholding its customers and really 15 days is long enough to have a movie.
Brian H. (March 4, 2010 9:49 PM)
My local blockbuster is doing $4 on all dvds but kids movies and they're due in 4 days. Really all you need to know is return the movie on it's initial due date or you'll be charged extra for every day you keep it longer. I admit it's a big switch to what I was able to do before = keep movies for 2 weeks without any extra fees. I have netflix for the selection and convenience. I really only rent at blockbuster because I get an older dvd rental free with every rented dvd and I can get new releases immediately on release day instead of waiting in line for them on netflix.
RE: BB employ (March 2, 2010 11:59 PM)
"Before the new policy, Blockbuster did NOT charge a $10 late fee, they charge $1.25 "restocking fee". And new releases rentals were only TWO days and have gone to FIVE days, not seven to five. Facts are way off. Do some research first. You could have gone into a store and asked a clerk. Simple as that.... " Rental terms are different in different markets. Don't post when you don't know what you're talking about.
Bill (March 2, 2010 7:52 PM)
Sure a lot of different takes on what BB is doing today. Tomorrow it will be a different story. The very odd part is that all these changes seem almost arbitrary bordering on panic. Nothing in writing and what info is out there and being presented by the folks at the registers in the stores. In "my" store two of the folks behind the counter are high school dropouts.
BB employ (March 2, 2010 12:17 PM)
Before the new policy, Blockbuster did NOT charge a $10 late fee, they charge $1.25 "restocking fee". And new releases rentals were only TWO days and have gone to FIVE days, not seven to five. Facts are way off. Do some research first. You could have gone into a store and asked a clerk. Simple as that....
Jim K (March 2, 2010 7:46 AM)
Fee Outline For Non-Sale Max Period Rentals: Old EVF Policy(pre-2005): ~$4, one week, re-rent for $4 if late; thus $8/14 days--or $.571/day No Late Fee Policy(2005-2010): ~$5, 5 days, 5 day grace period, auto-sale, 10-30 day refund minus $1.25; thus ~$6.25/11 days (conservative)--or $.568/day New ADR Policy (2009): $5, 5 days, .99 late for 5 days; thus $9.95/10 days--or $.995/day Blockbuster had a competition with Redbox in per day ratios, it was like the Costco of movie rentals. The new ADR program just narrowed product price-point to -.005 of the competitive dollar... quite brilliant for a company nearly $700mil in debt. Also, Blockbuster's loyalty programs (which crushed competition of yesteryear), has gone up in price. There's far better ways for Blockbuster to build a better business model, yet rising prices and laying off workers is their answer.
Alberto (March 2, 2010 3:35 AM)
This is just great , everything is 5 day rentals, everything, movies, games, blu Ray , kids, family, old movies, hot new releases , no more confusion on when the movie needs to be returned , u rent on Monday the movie is due on saturday by closing time , tuesday - Sunday . Wednesday - Monday and so on. Most new movies are released on Tuesday with the exception of blockbuster premiers that are being release on Friday . 5 for $5 is a great idea.
Graham (March 2, 2010 1:01 AM)
I'm from the UK. I do not understand the 5 day $5 rental charge. If I want to watch a movie on Saturday night, why pay $5 to keep it until the following Thursday. DVD rental is very spontaneous, which is something bricks and mortar shops have over internet based sites, yet do not utilize to their advantage. Plus most movies can be brought in this country for a few pounds more from the likes of ASDA. In the UK the companies use the Eurpean Rental Rights Program to change their pricing policies on dvd's. When rental shops were thriving, mainly because there was a rental window from retail (sell thru here) they changed the goal posts, and the rental and retail street dates were made the same, except there was a vast difference in price between the rental and retail. It galled most dealers to pay 30 for a movie, yet could buy the same movie for 10 from the supermarkets. This change of rules wiped out most of the small and large rental stores, and now the only man standing is Blockbuster, and they're on crutches. For their bricks and mortar shops its just a matter of time. And now the companies change the goalposts again, because the kiosk business model works and they don't like that. Don't they realise we're in a recession, and where people can save money they will. $1 is better than $5, although I understand Blockbusters reasons for the price change. They have to. It's a last grasp at survival. There are also two more reason why the dvd sales have declined. The quality of the movies the studios make. A lot a rehashed junk. Nothing original. If a quality film is released and people love it they buy it. Plus piracy. Movies are so easily accessible over the internet. TOOTH FAIRY, SPY NEXT DOOR and OLD DOGS have all yet to appear at the cinemas here yet can be brought, perfect copies of I may add, from any wheeler dealer in the pub. Make all release dates universal, for both cinema and dvd, worldwide. Shorten the theatrical window (now being done with ALICE) and give every internet user an id number, and when they log onto a site they have to register this site against their user number their IP provider has given them. How many will download if they think their provider knows they're doing it. Also, are the prices rising in the UK too?
Jeff (March 2, 2010 12:43 AM)
Tina, as far as I am aware, the 28 day window on WB is only being applied to Netflix. And yes, regardless of what stores might have had in the past, the new policy is as follows for rentals. Kids and family movies: $1 for 5 days $0.20/day after the first 5. Older (BSI) titles, New Release, and Blu-Ray movies are $5 for 5 days and $1/day after the first 5. Games $9 for 5 days and $1/day after the first 5. If kept out beyond 10 days past the initial rental period, the rental will sell to the account. The nice thing is that you won't pay the selling price as well as the daily rates. So for example, you rent 2012 tomorrow and keep it for 15 days. You will only be charged (guessing on the price here), $19.99 (plus tax where it applies). If you decide to keep it, that's great, if not, return the movie and the amount minus the original daily fees will be refunded. So, without tax being factored in, a returned copy of 2012 will bring a refund of $9.99. Now say a movie costs $3.99. If that movie is kept beyond the initial rental period, the most the movie will be charged in daily fees is $4. The daily fees will not exceed the selling price of the individual movie. Another new item to the policy is that once the movie sells, you still have 10 days to bring it back for a refund. After that, between days 11 and 30, you will get a refund as store credit. This is probably one of the biggest changes for some regions, as some have had 30 days from sell date to return the item, and some have only had 10 days from sell date to return the item. The nice thing is that, as far as I am aware of, this is completely nationwide, with the exception of Franchisees. This means not having to adapt to new terms when moving to a different region of the country as they will all be using the same policy. I imagine some people might be confused over parts of the new policy, but the biggest thing to remember is to return the movies/games by close of the 5th day. If you've got that under control, it won't be a problem.
Ash K (March 1, 2010 9:00 PM)
Dear Gary B, Get your facts straight and present a clear view of the new policy. You lack so many areas in the new policy which mean you don't understand it. Also, before you write this article, you should have done a much better job at researching it. i give you a 3/10...
tina (March 1, 2010 7:43 PM)
Yeah, there's some slight misinformation here. I'm also suprised there's no mention of a rental window of 28 days on warner brother movies.
Teresa Miller (March 1, 2010 6:40 PM)
All movie rentals are $5 in the entire store, not just new releases, and Blu Ray is the exact same. Blockbuster is not doing anything w/ previously viewed Blu-Ray's? Someone must of given u the wrong info. All accounts will be charged a $1 a day, up to ten days, if movies are not returned on the due date by the close of business day.
Mint (March 1, 2010 4:47 PM)
Blockbuster has never charged a $10 fee after a 10 day grace period. What Blockbuster DID do was rent you a movie for $4-$5 and then after a 10 day grace period, they sold you the movie. That charge is whatever the selling price of the movie is, whether its $3.99 or $21.99, its the price to keep the movie... not a fee. Also, their movie rentals went from 8 (not 7) day rentals down to 5 days on some movies. What you failed to mention is that they also increased the rental period for hot new releases from 2 days to 5 days (this affects many more customers then the 8 day rentals decreasing to 5 days). Just thought I'd help straighten out your story.... Mint p.s. if you are basing your story off of a test market somewhere then I apologize, but what I stated above is the change to the national rental policy in all stores except a few test markets.
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