End of Beverly Hills Video - Business Pulse

In the “dead contest” to the cabbies or typesetters may soon join the staff video store. “We regret to inform you that on May 20, 2013 all the shops in Beverly Hills Video ceased operations” – a message from yesterday greets customers on the website of one of the largest movie rental network in Poland. The door is now shut, salons, and operating on the market since 1997, the company apologizes partners and customers “for any resulting inconvenience” and asked the latter for sending discs, the address of its Warsaw office.

the closing podwojów network ran 33 stores – including 14 in Warsaw. A few years ago, every year recorded a turnover of between 40 million z? and showed about 1 million z? net income (0.84 million z? in 2009). Scale operation with the Metropolitan company can only compare Silesian Network Video World, under whose banner he runs 57 points, mainly in the south of the country.

Death

network is not surprising – the closing classic movie rental is a few years the global trend, triggered by the development of VOD services (video on demand, or video on demand) and a flourishing of piracy. American Blockbuster, the biggest player in the global market, at the peak of development – nine years ago – had nine thousand. offices in 17 countries. The vast majority of them closed or sold after the bankruptcy spó?kiw 2010 – the latest plans for its new owners say, to maintain only 500 rental locations in the U.S..

Blockbuster has not coped with the aggressive competition from the U.S. market leader VOD – Netflix, offering a network of thousands of movies and TV series and recently invested in their own productions. Polish VOD market against the U.S. at the moment its infancy – the most popular so far won Ipla of Cyfrowy Polsat portfolio (valued at 150 million z? and attracting 1.5 million viewers per month), VOD services are also TVN and TVP, and portal Onet, BBC News and HR. The market is active or Agora (Kinoplex.pl) and film distributor Monolith (Cineman. en). The user also fights Iplex, which has a majority stake in Warsaw Equity Management.