Consumers have numerous options in regards to viewing movies at home. Two of the most used are renting movies at the neighborhood video store and renting movies via an on line service. An informal survey was recently conducted on a house electronics/entertainment site concerning the movie viewing habits of website visitors. The outcome pointed to a few of the misconceptions that still exist about online rental of DVDs by consumers which have not even tried the service.
Participants in the survey were asked numerous questions, including how often they watch movies in the home, if they rent movies online, and if not, khatrimaza why. Nearly 28% of those responding indicated they rent movies online. Of the remaining, the absolute most frequently cited reason behind not having an online movie rental service was concern which centered around the perception that online movie rental will be higher priced than the neighborhood video store. When taking a look at several scenarios it becomes evident which method is commonly more affordable.
For people who indicated they watch only 1 to 3 movies monthly the savings from renting online are small. Renting 2 movies monthly at the neighborhood video store would average around $7.40 whereas renting from Netflix like, when they chose the program that has a control of 2 movies monthly, would run $5.99. After getting a video at the neighborhood store the consumer might have overnight or maybe one week to come back the movie but an on line rental will allow them to help keep the movie for an unlimited period of time.
For anyone people who responded they view 1-3 movies per week, the savings will be more significant. For example, renting 8 movies monthly would run around $29.55 at the neighborhood store and as low as $14.99 online when they chose the “2 out at a time” plan or $17.99 for the “3 out at a time” plan. As viewing increases so does the likelihood of experiencing greater savings.
For those who responded they view 4 movies per week (averaged out to 16 per month) the average cost at the neighborhood store will be $59.04 while online rental will be $23.99 allowing the consumer “4 out at a time” ;.Renting by way of a service like Netflix generally doesn’t limit exactly how many movies a person views but rather, exactly how many movies they can have out at any given time. Therefore rentals are just about unlimited with lots of the plans.
The 2nd most frequently cited reason behind not utilizing online movie rental services was that the individual rented movies on the spur of as soon as and didn’t plan ahead. Certainly renting movies online and receiving them through the mail wouldn’t allow someone to decide at 6:00 p.m. that they wish to see The Queen and receive it so that they’ll be viewing the movie by 8:00 p.m. However, the delay for receiving movies selected through the mail is just 1 business day which will seem sufficient in many instances.
The ongoing future of DVD rental might be changing however as Netflix announced in early 2007 that customers would now have the option of watching movies instantly via a streaming service that’s now available for many movies. The service should be quicker than most download services as streaming allows viewing of the movie because it is streamed as opposed to waiting until download is complete. Although a full transition from the current mail delivery system to a download type of service will take time, it is clear that immediacy is only going to continue steadily to improve. It would appear that other online movie rental services would follow suit in coming years in order to compete.