Learning from a Competitor’s Experience Essay

David crap was known to be the father of blockbuster Inc. In 1982, Cook founded the Cook Data Services, Inc which total offered softw be and computer devices. This companionship was founded in Dallas, Texas. Cook then ventured to other field of business by the recommendation of his wife. Thus, in the year 1985, Cook breaked the first base mega shine store (Microsoft Encarta 2007). Since then, the companionship has been hailed as peer little of the largest entertainment brands in the world. smash hit offers characterisation and dramatic play rentings on-store and online.With over 8,000 stores throughout the world, it serves non solely as a lease store barely besides a seller store for movies and other related media productions. To hit a few, franchises of the follow shag be found in the join States, Canada, Mexico, Argentina, Uruguay, Ireland, Panama, Puerto Rico, UK, Australia, New Zealand, Israel, Brazil, Chile, Taiwan, Italy, Denmark, Venezuela and Columb ia (megahit Online). Besides its vast territory, the confederacy dealwise offers a wide regorge of selection of movies and other entertainment merchandise.Though it has just started at that time, it is the that television receiver renting company that employs computer observe for its nodes accounts. Not want, the company opened more branches in diametrical split of the fall in States where it first flourished. Later on, the company was then renamed to smash hit pastime Corporation and then further took its present name as megahit, Inc. In 1987, H. Wayne Huizenga of the Waste Management, Inc. entered the company and expanded it overseas making it the largest video recording rental chain store not unaccompanied in the United States provided excessively in the United Kingdom.It was then owned by Viacom and afterward which became independent from the company (Microsoft Encarta 2007). Presently, the CEO of Blockbuster Inc. is James Keyes, former professorship and CE O of 7-Eleven (Yahoo Finance). The company offers a wide range of go to its clients. As has been menti hotshotd earlier, it not only presents rentals but in like manner retails movies and other media. Music and gaming merchandise stinkpot besides be found in roughly of its stores. Store hours be mostly from 1000am to midnight e precise day. Videos and other media be available in large quantities and a variety of formats in individually store ensuring that all customer needs ar satisfied.The customers bath to a fault choose from their various options for social station projects. Recently, the company has expanded not only with on-store rentals, but also by unhorse and via the internet, making it easy for customers who tolerate in places where no branches of the company atomic total 18 erected. The company also provides credentials for patronage of non-adult customers. No roughly violent films and pornographic videos be allow in in their broad selection. Although there argon some videos that ar sexy, the company ensures that no youngster could rent or deprave much(prenominal) a movie without the consent of the parents if they throw a family account.Even though Blockbuster is a fully-pledged investor company, it participates in many community affairs activities in its region. Its cooperation bears alliances involving Childrens Miracle Network and Boys & Girls Clubs of America. It also partakes in many cultural diversity physical compositions as headspring as entertainment events such as National urban League and Ameri squeeze out Black Film Festival respectively (Blockbuster Online). Blockbuster Inc. is not the only chain of video rental stores although it is 1 of the rivalrous companies in the industry.It has its fairly viable competitors in the market both including on-ground and online stores. whiz of its on-ground competitors is Hollywood Video which is also a subsidiary of Movie Gallery. except Like Blockbuster Inc. , Movie Gallery, Inc. focuses on retail stores and online subscription plans of video, gaming and medication merchandise (Movie Gallery Website). Nevertheless, it is path behind Blockbuster Inc. when it comes to both in-store and online rental helpers. Another competitor is battle of Hastings Entertainment, Inc which is also based in the United States.This company only operates in the domestic market. In addition, the company not only offers video, music and entertainment merchandise. It is a miscellaneous retailer of a wide variety of products from videos to t-shirts and books. It also has its sack upsite which offers its vast selection of products (Wright Investor Service). The most controversial competitor of Blockbuster Inc. is Netflix. Netflix was the pilot company to offer online service for video rentals and retail. Due to this endeavor, it is the top online service for the utter industry (Crunchbase).Nevertheless, Blockbuster Inc. tried and true to counter the company by build ing its own online rental and retailing service. From then on, although it never surpassed the quantity of members that Netflix has, Blockbuster has exceeded the enactment of visitors Netflix has on its website. Website abstract Blockbuster Inc. started to embark on online rental service in the Unites States extend August 2004 ( mash Release). This is in counteraction of Netflixs leading online movie rental service. The companys website is popularly called Blockbuster Online and is somehow independent with on-ground stores. call for the website, observations can be formulated regarding the effectiveness and creativity of the website to online customers. The congenial summon of Blockbuster Online is simple but effective. It is simple in a instinct that no pop-ups can be found there are no visual animations or advertising videos no sounds and background music to lure the customers. Nevertheless, it is sooner effective for the very reason that it uses the familial connection oc curring with its customers. This can be evident through the use of a family picture in front of a television, assumed to be watching movies.It gives the customers a intellect of national and belongingness. On another visit of the website, the featured picture is a woman lying down on a sofa in front of the television. These also give an idea that although movie viewing is easy in a family setting, it can also be done completely and still have sex the activity. In both pictures, the people involve are holding remote controls. This very small detail gives an impression that each(prenominal) are about to watch a movie although if one directs at the pictures alone, the television is not visible.Furthermore, the movie guides and popcorn on the table in the pictures give a unfermented dimension to movie home viewing. The said details represent the idea that satisfying movie viewing is not only accomplishable in the big screens but also possible in the home. One would even be made to conclude that it would be a lot feasible and safe to watch movies in the home or else than in theatres. The color scheme of the website, with its blue, light blue, yellow and snow-clad study colors, is also very appropriate for the services it offers. The colors utilize give an impression of brightness and lightness of the website.It gives a serene and tranquillise touch to anyone who visits the website. In the repose of the welcome scalawagboy of the website, the customers whitethorn also be persuaded to think that the services it offers are practical and cheap. It makes them feel that fees are inexpensive and affordable. On the other hand, the welcome page can be seen as a very uncreative effort in de sign oning. As one lingers longer on the page, it can be noticed that the website looks like an ordinary advertisement box in a newspaper page. This is negative since it will decrease the customers interest in exploring more of the website.Although the welcome page is u ncomplicated, it contains many promotional materials like the companys offer for a free trial. It also presents free shipping and a step-by-step bill to befriend customers who are new to the website. The three easy steps to enjoy the rental service include select movies, receive by institutionalise and return by mail or in-store exchange (Blockbuster Online). The various diametric relate from the welcome page to the other pages of the website makes up for the simplicity of the welcome page. Complex railroad ties can be found in the polar parts and corners of the welcome page.Links to a variety of web pages regarding the company are located at the bottom of the welcome page. This is very tense for the customers since it is in very small font sizes that it becomes unnoticeable. This part of the website includes the terms and conditions polity of the company. Nonetheless, the rent and buy movie links on the page are easy to follow. One particular detail that has caught attent ion is the link disruption default settings of the website. In the links related to rental services and other customer-related topics such as movie categories and new movie releases, the links open on the current page.On the other hand, if the link leads to the companys information or pecuniary and business issues such as expend and the company profile, the link opens on a new window. This is very enkindle since it implicitly draws the line between customer-related issues and internal issues of the company. Further on, the different links to the secondary websites are too many and are hard to cut across which may lead to the customer getting lost in the complete website. This may also be the effect of the websites moderate face of the links.Nevertheless, upon familiarity of the website links, customers can get used to the incomprehensible first impression organization of the website. The sign-up page of the website is simply designed too. A step-by-step act upon of the whole transaction of the rental service is included in a vivid and a worded method. It looks like a comic strip which accounts for its easy-to-comprehend characteristic. The big sign-up pushing is also fire enough due to its large size and benevolent color and font type. These properties of the page may convince the customer to sign up for a membership plan.Features of the rental service are also in the web page in brief making it a summary of the whole service that the company provides. The rent movies page is quite colorful and interesting especially for movie fanatics. It includes different categories and featured movies. In all of these categories, the movies featured all have small movie posters with the congener size of a DVD front cover. It gives a very curious influence on the customer since the customer can somehow see a glimpse of the movie. The rental page also provides a link on the procedure on how to rent via the internet.Like the rental page, the buyers page is also filled with the DVD front cover posters of on-sale movies. The structure also consists of different movie categories wherein the customer can choose from. However, in the buyers page, the movies in feature incorporate a going which adds the movie to the list of movies the customer wants to buy. Together with this element is the price of the movie. The payment terms can be done through credit card and other online wiring financial services such as PayPal. This is very secure for online clients, thus contribute with the websites ease of operation characteristic.Another amazing element of the website is its trailers and video clips page. In this part, the customer can take a glance of the movies and also watch the trailer of the movie. It is very appropriate and efficient since most customers would first want to see clips of the movie before they rent or buy it. This amazing feature adds up to the websites effectiveness. Some of the web pages in the site require information upload fr om the customers and members. Such web pages include the store locator and the interlocutor page (Blockbuster Online).In the store locator page, the client is asked to type in the address and then a button is clicked to reveal stores near the vicinity. This is very useful for online customers who wanted to avail of in-store exchanges that the company offers. Although the feature is very simple, it has its own link page to set it apart(predicate) from the rest of the website. On the contact page, the client can contact the company on certain issues such as membership and DVD issues. However, the dust used is not that of a presentation method but rather an e-mail type.In this method, instead of giving the companys contact twists, headquarters address and email-address, the company asks the customer to input the category issue, the clients information and contact details as well as the messages or questions concerning the companys services. It is much like an e-mail web page where one can submit the mail directly to the company. The governing body that the company uses is very reliable and easy to manage for their part since they can somehow sort the mails that they receive. This method also prevents prank callers and mailers from dumping pan on the companys telephone lines and mailbox.Nevertheless, the negative part for this process is that the customers may feel reluctant to communicate with the company since the company requires face-to-face information from the client which can be jeopardized unintentionally. The help page is also available for the customers. In the help page, the customers can find a way to better understand the structure of the large website of the company. In this page, the customers can also clarify doubts and questions regarding rental services, membership plans and promotional materials. Similar to the rental and buyers page, the help page contains categories.In this page, help issues are categorized in different classifications so as to better answer the customers concerns. A very interesting section of the Blockbuster Online is its information page. Found on this page are the company profile, financial reports, investors page and others. It actually has nothing to do to the services that the company may offer to the clients but rather it consists of bits and pieces of the companys needs such as employees and investors. In this page, business opportunities such as franchises and careers opportunities such as jobs for prospective employees are found.The financial reports of the company are also published on this area. It gives the company a sense of transparence for its customers. It enables the clients to see what has been happening inside the company. This is a very significant doer for such business establishments since it fosters trust from the customers. The webpage also offers a sidebar in almost all its links. For example, on the rental page, a queue list is on the right sidebar which enables the customer to view what movies he has selected for rental while on the buyers page, the customer has a shopping cart where the items he wishes to buy are listed.The sidebar also gives information on movies and other rental and retail issues. The sidebar is a good element to include in a website. Another noted detail is the take care engine located on the website which allows the customers to enter keywords and search the whole website. This feature is very helpful for the clients. In the help page, such search engine is also available to find answers on much asked questions. This gives the clients ease of access to the help page. In summary, the website is very effective in achieving its goal of reaching customers through the internet.Although the rental service via the internet and by mail is only available in the United States, the online service gives an learning ability of the whole company. The layout and the consistent use of the color scheme give a unified theme to the webs ite giving the excellent yet uncomplicated look and feel of the website. And though the web design is quite simple and jolly unattractive, it attains its goal to be an alternative and accessible way of rental service to customers in a variety of places. Service and Price Options Membership Plans and retail OptionsBlockbuster Online renders two major membership or subscription plans for its customers. These two categories are Blockbuster Total Access and Blockbuster by Mail (Blockbuster Online). The only difference on the two major membership plans is that in Blockbuster Total Access, rental services include both by mail and in-store exchanges of movies while in Blockbuster by Mail, in-store exchanges are not allowed. The different plans under these two categories also vary. Blockbuster Total Access can either be premium or just ordinary.In premium, the customer has an unlimited number of in-store exchanges while in ordinary, limited in-store access is available. Regarding Blockbuste r by Mail plans, the customer can order online for movie rentals and these are delivered by mail on the customers doorstep. Exchanges and returns of movie rentals are also done online and by mail (Blockbuster Online). Thus, in this type of membership plan, the customer need not go to a Blockbuster store. This membership plan is perfectly suitable for subscribers who do not have rental stores in their vicinity.Prices for rental services differ depending on the membership plan of the customers (see Comparison Chart). Retail services are by movie basis. Furthermore, online retail service is done via credit card or online wiring service. In addition to be able to buy movies on line, the customer has to have an account on the Blockbuster website. Prices of movies on sale depend on the movies producers. Nonetheless, new releases are much more expensive than old movie copies. Comparison Chart Movie Selections The company has a wide range of movie selections.It also offers TV shows and seri es as well as game software and music videos. The copies of movies are purportedly sufficient for its number of members and customers. However, the rental service is still subject to the availability of the movie copies. The number of copies also depends on the movie type. Classics have much less number of copies that new releases. Furthermore, most wanted videos have more copies than ordinary hit movies. The large selection of movies is simplified by the website through organizing the movies into different categories and subcategories.The major categories are action & gage, animation, comedy, documentary, drama, family & kids, foreign, horror, music & performing arts, mystery & suspense, romance, science fabrication & fantasy, special interest, sports & fitness, television, war and western. Under these categories are further subcategories of which some are listed below Action & adventure action comedy, action thriller, adventure drama. apprehension fiction & fantasy sea advent ure, swashbucklers, sword and sandal. Animation animated musical, anime. waggery comedy drama, comedy thriller, dark humor, family comedy, heist/caper comedy.Documentary adventure travel, art history, biography, history, language & literature. Drama addiction drama, police drama, childhood drama, disgust drama, medical drama. Family & kids infant, toddler, childrens entertainment, family classics, kids fantasy. Foreign Asian, Chinese, European, Filipino, French, German, Indian, Spanish, Japanese. Horror alien invasion, ghosts & haunts, monsters, occult, nature-gone-wild. Music & performing arts concerts, classical, dance, gospel, opera, musicals, singers. Mystery & suspense crime, detective film, spy, whodunit, political thriller.Sports and fitness primitive sports, Olympics, dance, diet & nutrition, yoga and Tai Chi. (Blockbuster Online). Competitors Information Application Blockbuster Inc. offers a lot of useful information and business experiences as well as practica l guides for the establishment of a beginner. It gives insight that can be utilized in order to enter the market with security and stableness. The long history and the many amendments to the companys organization and management can be a lesson to future business establishments even in a different industry. Experienced website history is possessed by Blockbuster Inc.although they are not the first mover in the field of online rental service. Nevertheless, their favor is that they have made possible and excellent revisions of competitors websites making their own website less prone to errors and negative feedbacks. It is therefore this very advantage that a new emerging business can take hold from the information obtained from Blockbuster Online. To further explain such circumstance, it is appropriate to give specific situations. For example, the simplicity of Blockbusters website instills over familiarity of customers which can lead to decrease of interest.Thus, if one has to build up a website on the same line of business, one has to make sure that the website include more interesting designs such as animations and video presentations. Addition of background music may also be added to increase the websites attraction. Scroll over animations and flash presentations of step-by-step procedures may also be employed. It is also appropriate that confidentiality of customers information is prioritized. One very important detail that Blockbuster Online lacks must be included in this new website.This detail concern a web page sacred for the employees of the company where every employee have access to more confidential information regarding the company. This will give an impression to consumers that the company values its own people. Furthermore, a web page containing a live chat room may be of help for quick answers of clients that regard their time too worthful to wait for questions on video rental services. The gathering of data from a future competitor of a buddi ng business establishment is just the beginning of the many challenges and trials that the business will undergo to gain stability and prosperity.It is even the easiest way to accomplish. Data gathering is uncomplicated. What is important is the ability to value the obtained data and utilize it for the benefit of ones own company. References megahit Online. . Retrieved June 29, 2008, from http//www. blockbuster. com/. Crunchbase. Netflix. Retrieved June 29, 2008, from http//www. crunchbase. com/company/netflix. Microsoft Encarta 2007. (2006). Blockbuster Inc. Microsoft Encarta 2007 CD. Redmond, WA Microsoft Corporation. Movie Gallery. Business Description.Retrieved June 29, 2008, from http//www. moviegallery. com/company/about. aspx. Press Releases. Blockbuster Inc. Company Profile. Retrieved June 29, 2008, from http//www. b2i. us/profiles/investors/ResLibrary. asp? BzID=553&ResLibraryID=6807&GoToPage=5&Category=27. Wright Investor Service. Hastings Entertainment, Inc. Company Pro file Snapshot. Retrieved June 29, 2008, from http//wrightreports. ecnext. com/coms2/reportdesc_COMPANY_418365102. Yahoo Finance. Blockbuster, Inc. Retrieved June 29, 2008, from http//finance. yahoo. com/q/pr? s=BBI.