In probably one of those communication technology developments that validate McLuhan's medium theory, the Internet has enhanced consumers' capacity to enjoy movies, in the process dispensing with the actual DVD. It is a similar tale to how the i-pod has transformed the CD into an outmoded relic of the past. More significantly, the effect of the new technology can be felt at the economic model: how consumers pay for the movies they wish to rent. As the article observes, the video rental experience and model shifts "as “on demand” movies increase in popularity, and lower priced all-you-can-watch monthly plans begin to lure some customers away from the pay-per-rental model." So, how do you think Netflix will fare in the Canadian market?
I think that Netflix will fair very well because it is very easy to access. People can easily go on their computer and rent a movie versus physically driving all the way to the store. Also Netflix has an easier search method to browse for movies that you would like to view. Going to a movie rental outlet requires you to walk around the store until you find your movie of choice. Netflix will be a success because they make the process of finding and renting a movie a simple process that people can access from the comfort of their homes.
ReplyDelete- Chelsea Schonberg