2. Some Web 2.0facts
Google search stats:
1,000,000,000,000 (one trillion) - approximate number of unique
URLs in Googles index
2,000,000,000 (two billion) very rough number of Google searches
daily
$110,000,000 approximately amount of money lost by Google annually
due to the Im Feeling Lucky button
3. Wikipedia stats
2,695,205 - the number of articles in English on Wikipedia
684,000,000 the number of visitors to Wikipedia in the last
year
75,000 - the number of active contributors to Wikipedia
YouTube stats
70,000,000 number of total videos on YouTube (March 2008)
200,000 number of video publishers on YouTube (March 2008)
100,000,000 number of YouTube videos viewed per day
4. Online Video Rental
Services allow a person to rent DVDs,Blu-rarDiscs,HD DVDs and VCDs
among other film media online
Delivery through mail
All communication between rental and renter takes place on the
company website
Advantages:-
Convenience
Hassle-free
Variety
Price cheaper and no concept of late fees
5. How it works
Most companies operate on the following model:
The customer joins the rental service creates a list of titles they
wish to watch.
Titles from the list are mailed to the customer.
The customer watches the films and then sends them back to the
rental company.
Most companies let customerskeep DVDs for as long as they
want.
Commonly, one disc is returned, other is sent out.
Membership usually billed monthly and includes postage both
ways.
6. Types of plans
"Unlimited"
"Limited", "capped", "monthly maximum"
"Package"
"Individual Rentals", "pay-as-you-go"
"Peer to Peer Trading"
"Season Rental", "Series Rental"
Rentals Online easier with technology :-
Online video streaming.
Movie download
7. MAJOR PLAYERS
8. NETFLIX
9. Netflix History
Founded in 1997 by by Marc Randolph and Reed Hastings
Personalized Video Recommendation System
IPO on May 29, 2002
Worker Oriented Culture
Netflix in European Markets
September, 2004 Consumer Class Action Lawsuit (Throttling)
In January 2005, Netflix changed its terms of use to accommodate
throttling
10. Services Offered
Disc rental
Netflix's most popular plan cost US $16.99 (plus tax) per
month
Internet streaming
Virtually all subscribers are entitled to unlimited Internet
Streaming
Profiles
One Subscriber Account but multiple users
11. Netflixs competitive advantages and disadvantages relative to
Blockbuster
Netflixs competitive advantages
No due dates or late fees,
No waiting in line at store,
Its titles are rarely out of stock,
Its customers do not have to return videos in store.
Netflix also has an excellent Internet site and an existing
Web-based logistics infrastructure.
Netflixs competitive disadvantages
Lack of immediacy (customers have to wait to receive DVDs),
Customers cannot ask knowledgeable sales clerks for information on
substitute DVDs or purchase new and used DVDs.
Blockbuster also has potential synergies due to its operating a Web
site as well as stores.
12. Netflixs competitive advantages and disadvantages relative to
Amazon
Netflixs competitive advantages
an Internet site that is devoted to DVD rentals, and a long-term
commitment to DVD rentals.
Netflixs competitive disadvantages
A smaller customer base,
A smaller logistics infrastructure.
Amazon.com has considerable experience as a Web-based
retailer.
13. Market Scenario
The DVD rental by mail industry was pioneered by the US company
Netflix, launched in 1999. In India, online rentals have only
really taken off since 2005, and even now, not many people have
heard of them.
Unlike the West where DVDs are sent through the postal system, in
India nearly all providers rely on courier services. There are
three main reasons online rental penetration lags the West
Internet penetration is lower
Low price (and quality) pirated copies are common
Most consumers are still reluctant to make online payments, though
this is changing in the cities and will continue to spread.
Current Indian subscribers are mainly the affluent, nonetheless,
the room for growth is astounding--The home video market in India
largely the rental market was estimated to be about Rs 4 billion in
2005. Over the past two years, it has grown by about 15-18 per cent
per year. It is expected to grow to about 14 per cent by
2010.
14. India has approximately 15 million DVD players and this figure
is expected to touch 70 million by 2010, which translates into a
vastly untapped video rental market.
This explosion in Indian online rentals will probably pick up for
several years to come, as the service goes mainstream.
Given the courier-based nature of Indian DVD rental, most companies
only serve certain metropolitan areas (see our rankings for Delhi,
Mumbai, and Bangalore services where there is plenty of
competition) and there is yet to be a truly large-scale, nationwide
service.
15. Competition
Clixflix DVD Rental(First Mover)
Technically advanced, family-run site serving Mumbai area in tandem
with seven stores; cheap prices, but unfortunately late fees are a
concern
Seventymm DVD Rental
India's largest DVD rental service and in our opinion, the best;
excellent site design and expanding fast
Movie Mart DVD Rental
One of the best online DVD rental service, boasting excellent site
features and prices.
Bigflix DVD Rental
Large, modern, well-funded service with great promise if it
expands.
Source www.india-dvd-rental-guide.com
16. 17. 18. To Conclude
Better logistical framework
Tapping of social networking sites to gather viewer data and
trends
Creating awareness to reduce piracy
Encouraging customers to rent rather than buy
Tie-ups with retail chains and corporates
19. Thank You