Netflix Shakes Up the Game with Physical Stores: Blockbuster & Redbox Left Shook!

Summary

Blockbuster and Redbox react sarcastically to Netflix's plans to open physical stores, hinting at the irony of the situation.

Netflix plans to open stores in order to maximize the value of its intellectual property, rather than to revert to physical media rentals. This strategic decision enables Netflix to tap into the immense popularity of its original content, adopting a model akin to the successful storefronts employed by Disney.

Video rental companies Blockbuster and Redbox have hilariously responded to Netflix's surprising announcement to open physical stores. Netflix initially started as a mail-order DVD rental service, but their shift towards internet streaming services led to the closure of many physical video stores. However, it has now been reported that Netflix plans to open a network of retail, dining, and live entertainment options connected to its brand. Blockbuster and Redbox took to Twitter to share their sarcastic thoughts on this development. See their reactions below:

Blockbuster, with only one remaining franchise store in operation, humorously pondered whether they should inform Netflix about the outcome of their plans.

In response, Redbox joined the conversation, stating that they believe they have witnessed a similar scenario in the past.

Netflix’s New Stores Will Be About IP, Not DVDs

Netflix's decision to open physical locations may seem ironic given its role in closing down competitors' stores. However, this move does not imply a desire to revert back to physical media rentals. Despite selectively releasing original content on DVD and Blu-ray, Netflix recently discontinued its DVD mailout service. Instead, the company's focus is on capitalizing on the value and popularity of its vast collection of unique intellectual property, rather than revisiting an outdated business model.

Netflix is expanding its offerings with new storefronts featuring hit series like Stranger Things, Wednesday, and The Witcher, as well as upcoming sci-fi epic Rebel Moon. This move allows Netflix to capitalize on the popularity of its own original IP, providing immersive experiences and exclusive merchandise for fans. Following in the footsteps of Disney, Netflix aims to prioritize its own content over licensed material from other studios. While some may debate whether Netflix has the same level of recognizable IP as Disney, the streaming giant remains confident in its steadily expanding catalog. However, the opinions of former video rental competitors may differ.

Source: Blockbuster and Redbox/Twitter