Video Games: GameFly, Blockbuster & Netflix

The LA Times is running a story about GameFly that includes the usual optimistic quote from Michael Pachter (I'm joking, of course), interesting sources of funding, and quite a few details about the operation. The focus of the story is the concern that a larger competitor will enter the video game-by-mail market:

An executive for Blockbuster, which currently rents video games from its store locations, indicated through a spokeswoman that this year the company would consider adding games to its online subscription offerings, though he cautioned that the company was satisfied with its current approach.

Revenue from video game rentals totaled $498.8 million last year at Blockbuster, accounting for 11.3% of the company's rental revenue, the spokeswoman said. Industrywide, revenues for in-store video game rentals totaled $699 million last year, according to Rentrak Corp., which does not yet tally figures for online game rentals.

So, what about Netflix? "Netflix has no plans to add video games to its repertoire, a spokesman said."

Comments

[Zach]

I would love to see Netflix add games.

[Mike]

If blockbuster adds online game rental it would be enough to make me switch from Netflix. If Netflix added online game rental I would be willing to pay an additional $5-$10/month.

[Ken]

netflix and games would be great.

i used gamefly for about 4 months. it was one of the slowest services i have ever used.

p.s. i recently found a movie on blockbuster that i must have which is not at netflix, im going to break up my subscriptions to both one out at a time unltimited - $20 for both, not bad.

[E-rock]

I've been a Blockbuster online subscriber and one of my favorite parts was the two free in-store coupons that you could use to rent a video or game. They've changed the policy this month however, and no longer permit game rentals. Time to cancel I think

[jon]

I don't understand why Netflix won't get into games! I imagine with their distribution system already in place the costs to implement it would be very small!

Maybe there are some issues with game CDs being more brittle or something. Games are also probably a lot higher theft rate as well.

Got my e-coupons this month and there is no mention about using them for games anymore; which IS what I used mine for.

my coupons this month state they can be used for game rental. I haven't seen anywhere else that the policy is changing... where did you see it?

"I've been a Blockbuster online subscriber and one of my favorite parts was the two free in-store coupons that you could use to rent a video or game. They've changed the policy this month however, and no longer permit game rentals. Time to cancel I think"

this is a total lie by another netflix "investor."

I got my ecoupons this morning and it says games rental.

Thre is no such change in policy

[Bill Allen]

The exact wording from the coupon link received 9/26/05:
"Movie Rental E-Coupon"

Last months:
"Movie or Game Rental E-Coupon"

From the e-coupon itself:
"Get one (1) movie (DVD or VHS) rental at any participating BLOCKBUSTER store in the US with this BLOCKBUSTER Online E-Coupon."

NO mention of game rentals anymore. It used to say "movie (DVD or VHS) or game rental", but not this month. I emailed them about it on Sunday but no reply yet.

Any of you guys that say you still got it, were you locked in for the lower guaranteed rates as well? Maybe they are related. I for one, no longer have anything that says they can be used for games.

my coupons were sent 9/19 and games were on them. I wasn't locked in... so we'll see what happens. Is this worth quitting over? maybe.

[Bill Allen]

Here is Blockbuster's reply to my email about the game rentals:

e-coupons [Incident: 050926-000340]
"Dear Bill,

Thank you for contacting BLOCKBUSTER Online Customer Service.

Unfortunately game rentals are no longer available with the use of in-store rental e-coupons. Based on the current prices to rent a game in-store, it was not cost effective to continue this as a part of our membership plans. We sincerely apologize for any inconvenience this has caused.

Your Friends at BLOCKBUSTER Online"

Straight from BB so it seems no more games. I guess it was effective sometime between the 19th & 26th then.

[Bill Allen]

Well as a follow-up, I will be moving back to NF next month when my BB month is up. Even with NF throttling, they still (currently) do better than BB because of the following:

1. There was NO communication telling me that games were being dropped from the e-coupon.
2. There was also NO communication advising about a price hike until I saw my credit card statement.
1. Some movies still show "coming soon" weeks after the release date. (ie: Tommy Boy - Holy Schnike Ed)
3. My queue is constantly being re-arranged and I have to put stuff back in the order I wish
4. Discs are routinly being passed over when they say available - I have then in the order for a reason.
5. Did seem to get USPS scanning to help with turnaround but that seems to have stopped (cost reasons?)
6. 3-5 days shipping each way - too much time for delivery. (not counting in-house tuen-around)
7. Currently, the same price as Netflix for this inferior service.

I replied to BB with these reasons and asked that the "powers-that-be" be informed. Will probably fall on deaf ears however. If things don't change for the better, I will be surprised to see BBO around next year.

[PlungeBob]

Regarding Bill's issues:

#3: I have not seen this yet. This seems odd!

#4: This is a weak point for all of the services,
except NF. I call this Queue Predictability.

However, for me throughput is king, and I must
add that I disagree with #6. I find that the
total round trip time for BB is better than NF.

YMMV!

[Rob]

"Regarding Bill's issues:

#3: I have not seen this yet. This seems odd!

#4: This is a weak point for all of the services,
except NF. I call this Queue Predictability."

#3 - happens to me all the time. Especially to sequels. Put anything like Beverly hills cop 1-2-3, superman 1-2-3-4, etc. in number order and later, one (or more) of them will be moved several movies higher or lower.

#4 - I have seen this as well. Not the occassional skipped movie but MOVIES repeatedly skipped. I currently had had these movies in the top of my queue at BB for months or as of their release date and they have never shipped yet:

Christine
Monster-in-law bonus disc
Spongebob Christmas
Pitch Black
Christmas Vacation SE
Ladykillers (old)
Beverly Hills Cop 1

Yet they always show as "available now".

Plus as far as #6, I checked my records for the past 2 weeks and have:

-National Treasure, 5 days to me, 3 days back.
-others are 3 days each way.

I can agree with him on most. NF just opened a center in my area so I think I will try them again as well.

here's the response i recieved:

"Dear ,

Thank you for contacting BLOCKBUSTER Online Customer Service.

We apologize for the frustration. Unfortunately game rentals are no longer available with the use of in-store rental e-coupons. You may just want to rent games in nearest BLOCKBUSTER Store in your place.

We appreciate your patience and loyalty.

Your Friends at BLOCKBUSTER Online"

ARE THEY CRAZY? I know I'll be running to the nearest blockbuster to blow 8 bucks on a game.

I bet next month they'll start making us pay postage.

My new coupons were just generated yeaterday and both the account page and the coupons inlcude games. I rented two games with the coupons last night. this pollicy is for new accounts.

Unfortunately game rentals are no longer available for new acounts.

Your Friends at BLOCKBUSTER Online

[Kamal]

I got game e-coupons til Jan of 2006. That is when I noticed that I had been switched over to movie only ecoupon. I was never given any notice that this was going to happen. I think blockbuster probably signed themselves up for another class action lawsuit.

[sMyles]

Funny looking back on this old comment section. Blockbuster is still lame and Netflix still doesn't rent games and Gamefly is still the smartest way to get your games. I decided to ditch BB a while ago. I love being right.

[john]

netflix really needs to get up with its market. the gaming industry is a multi-billion dollar conglomerate,for netflix not to rent games by mail is a company ending mistake if they dont get on board.no one can afford to loose that kind of revenue.

[game renter]

Gamefly is so far the best place to rent video games online. I signed up for the free trial to rent video games but ended up staying with them.

[game renter]

Gamefly is so far the best place to rent video games online. I signed up for the free trial to rent video games but ended up staying with them.

[game renter]

I have used both Gameznflix and Gamefly. Gameznflix is absolutely horrible, based on my experience with them. There quantity/inventory status is never accurate. Their processing/shipping times are very slow. However, their price is competitive if you don't mind the underpar service. So far, I am in my first month of GameFly and the turn around time is decent. First month price is fantastic at 12.95 for 2-out, although I will switch to 1-out next billing.