Featured Articles

Nvidia officially launches the 8-inch Shield Tablet

Nvidia officially launches the 8-inch Shield Tablet

As expected and reported earlier, Nvidia has now officially announced its newest Shield device, the new 8-inch Shield Tablet. While the…

More...
Intel launches new mobile Haswell and Bay Trail parts

Intel launches new mobile Haswell and Bay Trail parts

Intel has introduced seven new Haswell mobile parts and four Bay Trail SoC chips, but most of them are merely clock…

More...
Aerocool Dead Silence reviewed

Aerocool Dead Silence reviewed

Aerocool is well known for its gamer cases with aggressive styling. However, the Dead Silence chassis offers consumers a new choice,…

More...
AMD SVP John Byrne named turnaround exec of the year

AMD SVP John Byrne named turnaround exec of the year

Director of AMD’s PR Chris Hook has tweeted and confirmed later in a conversation with Fudzilla that John Byrne, Senior Vice…

More...
AMD A8-7600 Kaveri APU reviewed

AMD A8-7600 Kaveri APU reviewed

Today we'll take a closer look at AMD's A8-7600 APU Kaveri APU, more specifically we'll examine the GPU performance you can…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Friday, 24 February 2012 10:33

More Blockbuster stores to close

Written by David Stellmack

y exclamation

Not doing much for Dish’s bottom line

New Blockbuster owner Dish Network is confirming that it will be closing another 500 Blockbuster locations. Some will be stores with expiring leases, while others will be underperforming units that didn’t make the cut in the last round of closings. While Blockbuster currently isn’t doing much to help Dish’s bottom line, it would seem that this is just another move toward the final elimination of Blockbuster retail rental outlets.

While Dish has said that the Blockbuster name will live on, it isn’t exactly clear where that might be. It would seem that the video and game by mail service as well as the streaming offerings are where Dish will be able to leverage the Blockbuster branding. It will not be in the video rental kiosk business, as its partner NCR (that had a deal to use the Blockbuster name to brand their rental kiosks) announced that NCR was selling out to competitor, Redbox.

With the steep price that Dish paid for Blockbuster, it will have a lot of hard work ahead in order to be able to reap the real benefits of the purchase of Blockbuster. Long-term it would seem that Dish will be closing the rest of the stores as it makes its transition to primarily rental by mail order business; but the introduction of more Blockbuster-branded offers is the only way that Dish will see measurable value.

An analyst that we spoke with says that he even questions the real relevance of the Blockbuster branding over the long haul. “I am just not sure that the using the Blockbuster branding makes that much difference to consumers, as younger consumers don’t really know it and older consumers might just associate it with video rentals, which just might not translate into what the company is looking for in the long term,” the analyst told us.


David Stellmack

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments