Saturday, February 12, 2005

Blockbuster policy questioned...

No more late fees or so we think. Blockbuster's new policy is misleading at best. Where is Greg Stumbo when we need him to get on this immediately? This isn't a Democrat or Republican thing--it's the American thing to do.

But the policy's fine print is raising some potential customer-relations questions, industry executives say.

Though consumers now have an extended grace period to return films and games without extra fees at Blockbuster stores, they ultimately are charged the full retail price of the title (minus the initial rental fee) if they keep it for more than a month. The program, which launched Jan. 1, is now in effect at Blockbuster's more than 4,500 stores in the United States.

According to the Los Angeles Times, several state attorneys general are investigating the company's ad campaign.[...]

Understandably, rival rental operations are poking at Blockbuster's campaign. Online rental company Netflix, which pioneered a no-late fees policy, says that Blockbuster is reacting to consumers' high interest in alternative rental options without extra fees.

Netflix CEO Reed Hastings calls Blockbuster's policy "a sign that we are really setting the agenda in the video rental business and they are reacting. It's not really 'no late fees.' It's the 'Blockbuster automatic purchase program."'
If I really wanted to purchase a video or DVD, I'd go through Amazon.com instead of the mess that Blockbuster wants us to go through. No late fees means no late fees or automatic purchase program in my opinion. Why change a policy to a confusing policy? That's the part many people will not understand. LINK

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