As Amazon buy Lovefilm, we ask - where do you buy your films?
Popular online movie rental concern Lovefilm will soon be entirely in the clutches of Amazon after the mack daddy of online entertainment retail agreed to gobble up the remaining 58% of the Lovefilm shares that they don’t already own. Amazon snaffled up the other 42% back in 2008.
The news comes a day after it was revealed that old-school ‘bricks & mortar’ movie retailer HMV are in the brown, sticky stuff, having recently announced the closure of stores along with reports that suppliers are facing pressure from insurance companies. In other words, there's not a lot of confidence in HMV right now.
As a combination of mass-market adoption and online competition forces the cost of physical product into the floor, HMV is struggling to make the profits it once did. Music sections have been reduced to bestsellers, DVDs are piled high to sell cheap and Blu-ray titles will inevitably go the same way. HMV is being forced to rely on volume in order to make money these days, instead of selling titles at £15 a pop. There may still be hefty profit in a £30 game title, but it isn't HMV's core business.
HMV is quickly running out of formats that generate high yields, but also running out of customers who care about buying physical product. It's difficult to see stores like HMV still in business in a year or two, never mind five or ten.
So while we note the strengthening of an online brand while prematurely signing the death warrant of a British institution, safe in the knowledge it'll happen at some point before we die, we thought we'd ask about where you lot usually buy your films these days - assuming you're buying them at all, of course. If HMV isn't getting your business, then who is? Let us know, popcorn gobblers.