blockbuster uk teams with aol
AOL UK is to promote Blockbuster’s new online DVD rental service in a deal which is indicative of the increasing competition in the online DVD rental market.
Mirroring competitors ScreenSelect and Video Island, Blockbuster’s service - which also allows customers to rent up to five DVDs at a time and keep them for as long as they want for a fixed monthly price - was launched last month.
The service will be promoted on AOL’ entertainment channel. In return AOL’s service will be promoted and distributed in Blockbuster’s UK stores.
Blockbuster’s £13.99 for three DVDs service compares with Video Island, at £12.99 with two rentals, and ScreenSelect, at £14.99 with three rentals. Blockbuster also offers a £20.99 service to rent five discs at a time.
Alex Sparks, Blockbuster UK’s managing director was confident that the partnership would allow his company to take a further share of the UK online DVD rental market.
He said: “Our alliance with AOL is a milestone in the launch of our new UK online DVD rental service and the size and the nature of this relationship reflects how serious Blockbuster is about developing our online business.”
The service will also run in areas of the AOL service such as the Men, Women, Music and Games channels.
The signs are that competition is hotting-up in the online DVD rental market.
Last week Video Island raised £6m in funding, saying that it would use the cash to expand its business in the UK, and compete with an increasing amount of rivals in the online DVD rental market.
That would suggest it is either ready to begin a new round of marketing, or - a more which seems more likely - snap up a competitor in the space.
from e-consultancy.com
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