Be kind. Rewind.
The video rental motto might as well be the industry's mantra these days. Going back to happier times when folks were hanging out at the video store, picking out new releases, and laughing off late fees would be a welcome change of scenery for today's renting retailers.
Loaning out flicks hasn't been all that it's cracked up to be. Last night Hollywood Entertainment
With Stocks 2004 now on sale, it wouldn't be right if I didn't point out how the company was the dud of Stocks 2003. Thankfully, eight of the other 11 featured stock ideas trounced the market, and the Hollywood Entertainment report did include a meaty sidebar on Netflix
So why is Netflix faring so well while Hollywood and market leader Blockbuster
Packed with features and priced aggressively, DVDs are attracting more buyers than videotapes do. Really. While there are more homes with videocassette players than DVD systems, when Disney
So how come Netflix has been spared the brunt of this rejection? Good question. It could be that the mail delivery convenience of the Netflix model is giving consumers the luxury to sample many releases before deciding on an outright purchase. The "all-you-can-eat" subscriber model also blurs the actual cost per rental with Netflix. At your neighborhood Blockbuster, you know you're getting billed $5 for a DVD that you have to come back to return, knowing that just $10 more at any other retailer would give you the freedom to own it forever.
As for Hollywood Entertainment, 2004 is already shaping to feature a scary opening. And warning about the holiday quarter just as the shopping season is starting doesn't make for a promising preview.
If you want to learn more about our best stock ideas for the year ahead, check out Stocks 2004. And if you're looking forward to many of the hyped movie releases coming out in the coming weeks and want to trade reviews and previews, visit the Great Movies discussion board. Only on Fool.com.