A Blockbuster shareholder and former DVD kiosk owner—who tried to warn the company of the impending movie rental revolution back in 2005—says Blockbuster can be saved. Yes, it’s $1 billion in debt and looks doomed, but because Netflix and Redbox recently signed a deal delaying their access to many new films for 28 days, Blockbuster has a new window of opportunity it must exploit, Greg Meyer tells Slate.
Having belatedly launched mail service, streaming service, and kiosk service, Blockbuster is again a one-stop shop. Now it must simply change its pricing scheme. Instead of charging $5 for 5 nights on every title, charge $2 for 2 nights on older titles—plus $1 for each additional night. That way, when customers rent an old and new title together, they’ll likely keep them both for 5 nights, making Blockbuster an extra $3 on the old title, or they'll cram them both into 2 nights, returning the new title 3 nights early.
(Read more Blockbuster stories.)