Matt Canchela, Staci Schmaltz, Jachin Walters. Mission  “To be the global leader in rentable home entertainment by providing outstanding service, selection,

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Presentation transcript:

Matt Canchela, Staci Schmaltz, Jachin Walters

Mission  “To be the global leader in rentable home entertainment by providing outstanding service, selection, convenience and value.”

Background  The first Blockbuster store was opened in Dallas, Texas In October, 1985  1996, Blockbuster Entertainment Corporation was renamed Blockbuster Inc., then called Blockbuster Video by 1998  Blockbuster has over 5,000 U.S. stores (3,291 international)  Including: Canada, Britain, Australia, and Denmark

Background cont.  In December 2004, Blockbuster announced it wanted to pursue a hostile takeover of Hollywood Video, its major U.S. competitor  In August 2004, Blockbuster introduced an online DVD rental service in the U.S. to compete with the established market leader, Netflix

Sales Figures  2008 revenues: $5.29 billion  6.4% increase in year- over-year sales  Free cash flow of $110 million

S.W.O.T.  Large inventory levels  “Depth of copy” for new releases  Family – friendly  International brand name  Variety of rental plans/ prices  Online option  Blu-ray

S. W.O.T.  High prices for new releases  Saturated market  Non-competitive hours (redbox, netflix, etc.)

S.W. o.T.  International expansion  Blu-ray & HD conversion  Growing on-line market  Franchising

S.W.O. T.  Hollywood Video  Netflix  Redbox  Online downloading

Sources  internationalOperations  RDMHomeApr2007.htm  netflixlogo.jpg  jobs/