How Blockbuster Flopped - A Case Study for Entrepreneurs
HTML-код
- Опубликовано: 29 дек 2016
- Subscribe to Valuetainment: bit.ly/2aPEwD4
The Biz Doc, Tom Ellsworth dives into case study #7 How Blockbuster Flopped. This week you will hear a lesson on how a Blockbuster literally, missed out on adapting to the digital era and how eventually Netflix took over and now dominates the digital video space. How did this happen to a dominant company? Find out in this weeks case study.
Grab your notebook, take notes and join the conversation as Valuetainment brings you case studies with The Biz Doc - a new way to learn entrepreneurial lessons. Please subscribe, comment and share to help educate entrepreneurs from all over the world.
About Tom Ellsworth: THOMAS N. ELLSWORTH, is an experienced CEO / COO and entrepreneur. He has been disrupting industries and driving consumer shifts through Venture-backed companies in technology, software, publishing and mobile that have generated exits totaling over $1B. Watch the interview with Patrick Bet-David: • The Man Who Sold 4 Com...
Visit the official Valuetainment Store for gear: www.valuetainmentstore.com/
Connect with Tom: / thomasellsworth
About Blockbuster: Blockbuster LLC, known as Blockbuster, was an American-based provider of home movie and video game rental services through video rental shops, DVD-by-mail, streaming, video on demand, and cinema theater.
About Netflix: Netflix Inc. is an American multinational entertainment company founded on August 29, 1997, in Scotts Valley, California, by Reed Hastings and Marc Randolph. It specializes in and provides streaming media and video on demand online and DVD by mail.
Valuetainment- The Best Channel for Entrepreneurs
The First LIVE Valuetainment Conference for Entrepreneurs is here. An event you won't want to miss hosted by Patrick Bet-David. For tickets and details visit: www.valuetainment.com
Such gold, much wow!
+Mayank Bhattacharya - Big thanks and much love back to you. - Tom
VALUETAINMENT
One of the best case study!!
In my opinion the conclusion is to be FLEXIBLE. Adapt to the change.
Great one.. Loved it..✌
Still 7 days more till next case😂 study!!
One of the best channels there is. And you make it so intriguing. Got my motivation!
Hi Valuetainment, watching your vids every day!!!
Im hooked on your videos. Its a really good tool to learn what to look for in management in a company.
Thank you, I look forward to learning from these examples every single week so keep them coming.
+Hickory Homes - Thank you and Happy New Year. - Tom
Tom keep up the great work I love your videos I've learned alot of business history 👍👌
i love this CASE STUDY series !! can't wait 2 see more brands and companies.
+Scott Mckenzie - See you here every Friday - Tom
so much contents and values in your videos Tom. Thx for all the works you put in and all your advise.
+Sebastien Boulay - thank you for watching and have a happy new year -Tom
Absolutely love this channel!
Tom Ellsworth, I LOVE how informative and educative you are while doing a case study. If there's still a room for improvement, I would recommend case study video to have some kind of "Story Summary" or "Story Timeline" about that story fact and figure display on the screen while the story being told. Because sometimes the story becoming a bit complicate/mind twisting and viewer might miss the important fact & figure about the story. What happen to me is I will rewind over and over again on the fact and figure part so that I can memorize/take note because it will relate and make sense at the end. Hope this help. Thanks Biz Doc!
peace from Malaysia.
+Adib Afifi - Great suggestion! Thank you for watching and double thank you for taking the time to send a comment. - Tom
Recently found this channel, i found that i absolutely know nothing after watching these videos, i need to go back to school!, really big thanks Tom.
thank you! My SCORE coaches have been telling me, 'you don't sell knots, you deliver the Mystic, CT experience. You sell Mystic, not your work.' I've been hearing that from them all year, but the last word about Blockbuster being about a relationship with people that love movies connected me to what they are saying. Thanks for another of a great channel of videos! I really appreciate all you do.
+Mystic Knotwork - that's fantastic! I'm glad that it made a connection with what you're doing right now. Thank you for leaving a great comment. - Tom
Happy New Year Tom and thank you!!!
+Hickory Homes happy new year to you as well.
Thank you Tom , great video cant wait till next friday no matter what the business i always get great content
+isaiah thomas - Thank you sir! - Tom
Im so happy that Tom consistenly makin the video! another perspective from the practitioner.
and I Like&Comment first as always :D
There you go - the early bird! - Tom
I love the case studies Tom, they teach me so much, you teach me so much and thank you for that. I can't wait to till the next case study.
+Rachel Sangara - thank you so much for sharing that with me. It makes me very happy to know that people are learning things. Happy new year - Tom
Thank you so much Tom :) I haven't missed a single case study so far!
+Oscar Dávila that's great, thank you for your loyalty. Happy new year! -
man, they really didn't pay attention. They could have started a streaming service and possibly killed Netflix.
Books 4 A Better Life they should.
Books 4 A Better Life They did start a Streaming service. "Sling TV" if you've heard of it. It used to be called "Blockbuster On Demand"
bob hobby Doesnt have the same ring tp it does it?
They did. Partnered with ENRON for fiberoptic. U know ENRON!!!!!
It’s all about their biz model. Blockbuster sold through franchises. The franchisees weren’t wild about streaming cannibalizing their brick and mortar investment. Kind of like why Walmart couldn’t keep up with Amazon. They were too tied down by the old model.
Such good content. One of the best channels on youtube. Tom, keep 'em coming, please, this case studies series is great.
+Lucas Gurgel Thanks - Tom
This makes me feel bad for Blockbuster, then I realized that I have both Netflix and HBO Now
+The Industrious - yep, you have great new products from companies that were paying attention and earn your business. - Tom
comcast is next dinosuar to die
Tom these are some good videos. Keep it up.
Mind Blowing!! ......... Lesson here is "Keep learning and evolving at every stage of your life and business" ..
Once again I love the music in the end ;) ................... So thankful for this video Tom.
+Lakhbir Singh Thanks! I appreciate that you too the time to leave a comment! - Tom
Great video Tom! Thanks a lot!!!!
What a great awesome video!
Thank you Pat and Tom!
+WaqarDepp Thanks - glad you watched! - Tom
"There's a word for that... DAMN!" Haha 😂 Well done Tom 👏
+Mike Barron - hey, if it's the right word… - Tom
great takeaway regarding entrenched thinking and flexibility. this is my new mantra. Thank you
It's a delight to watch a smart millionaire with humor to elaborate business stories that are valuable as hell. Thanks Tom, Patrick and Team!
Could you do something like case studies on entrepreneurs and CEOs, like the Koch brothers, or Carlos Slim. I always wonder how individuals make it to become millionaires and billionaires.
cxa011500 biographies may have that info
They are super-greedy and have a lack of empathy. That's any CEO.
@@DJVARAO shut up you jealous the ceo work hard to get to the top spot not sit and be obese and lazy like you
@@nishant54 Don't project your misery onto me, little lad. Elon Musk is a liar, specially about his physics knowledge. I have been teaching physics to engineers long enough to know how a cheater speaks. What's so hard to get on that? More importantly, why do you overreact about it? Is he your lover or you just wake up without money for drugs?
@@DJVARAO i think you are describing yourself and it looks like your family has drug problem but elon musk is a genius and completely knowledgeable
This just gave me a really great idea. Thanks.
Really good the idea of sharing this case studies. Very helpful and instructive . Thanks
+Hector Rubio Thank you sir! Glad they help you! - Tom
I love this. I feel like this case study represents more than just the fall of Blockbuster. Any company or organization that is not centered around the customer will lose in the age of the internet.
I LOVE YOU MR ELLSWORTH SEEM LIKE YOUR A GREAT PERSON ASIDE FROM BUSINESS I APPRECIATE YOUR GUIDANCE AND TEACHINGS
I love these case studies!
keep up with the case studies, great job!
+Rafael Montenegro -thank you for that - Tom
Thank you for another great case study !! Love the shirts too you look like an entrepreneur F1 driver :D
This was a great case study Tom. Much appreciated!
+joefer thank you for that. - Tom
Thank you Tom and Patrick
I really enjoy it when he says, "DAMN!"
+Igbo Prince - I like it when you watch! - Thanks for coming back! - Tom
A comment from an established entrepreneur! This is so awesome!!!!!
+Igbo Prince - I read all the comments and I appreciate all those who watch. Have a happy new year - Tom
VALUETAINMENT Happy New Year to you too
My plans are to open a video game retail business. I am starting with this video to watch every single one of VALUETAINMENT's videos. I am thinking of a way to relate this to my future business, and it is sparking a few good ideas. I will need to incorporate a digital world somehow, especially since the next game consoles may be only digital anyway.
Great job. Loved this case study!
+Rios's Vlogs thank you very much. - Tom
You got this exactly the way it happened. i worked at Blockbuster when they came to Canada. At the time they were a good place to work. Two great things that came from BB. Netflix and its where i met my wife of 24 years. Thanks for the case study.
+Graeme E - Great comment from someone (you) who saw it from the inside. And... what can be better than finding a great wife? - Tom
Great presentation delivery and I like the exclamation jokes you have! DAAMN.
Great to see you speak about your experience within these case studies as well having that inside view on the matter! Amazing segment addition to Valuetainment! Enjoyed every single one and learning a lot from them!
+The Grinning Skull - Love your avatar / logo! Glad the videos are useful to you! - Tom
Thank you very much Tom! I took it from back in my Xbox 360 days!
Great video Tom. Could you make a study case on Apple vs Microsoft throughout these years? It would be great.
As always, excellent 👍🏼 Thank you
+Carlos B thank you for watching. - Tom
My man Tom! another lesson learned. thank you sir.
+Aspire to Inspire You are very welcome. - Tom
i love this series!! our business sir said to learn business strategy from this channel....srsly best channel for entrepreneur!!!
+Kanefor King - it's really great to hear that, thank you so much for sharing it. We want to bring a new form of education to everyone through this channel! - Tom
never stop making these
this is my first Tom video. I like him! Great content
+Davis Nicholas Thank you sir! - Tom
Hey thanks Mr. Tom for this case study ! Very helpful and interesting. Good work sir, have a great day ! Bye bye.
+Xavier Kerns - thanks happy new year! - Tom
Awesome case study! In business you always need to improve/expand your services and pay attention to changing conditions!
+Philipp Czernitzki - absolutely. The alternative is to die a lonely terrible corporate death. - Tom
I love these types of videos.
+Suhail Mohd - thank you for watching we love that you are getting something out of them. - Tom
I use to love Blockbuster, thank you for sharing, now I know what happened. Now I know what to look for.
+Wendy Powers - Sad tale with a ton of wreckage. - Tom
I understand . I have just closed down my blockbuster store . yes I am looking at the next step with dvds to either sell them or stream them
Thanks again Tom; you're great at telling these stories, the case studies are my favorite videos on the channel
+Combat Goose - Hello again Goose, good to hear from you. I appreciate the compliment. I think all the content is good. - Tom
I agree! By the way, would you ever consider hosting a little Q&A some time in the future?
+Combat Goose i'd love to do that. General Q and a on open topics or would it be on a short case study? We have in mind?
I think more of a general Q&A, VT fans come from so many backgrounds I'm sure they have all sorts of unique questions
Again, awesome content!
+Peter Roberts thank you sir. - Tom
Happy Holidays Tom
best
Alexander
+Trade Small THINK BIG - have a safe and happy new year! - Tom
Tom you made me chuckle with the Morpheus cameo. Keep up the great work. Watched every one of these!
+Dan774E - I am glad you enjoyed that bit! - Tom
Excellent as always
+Pele Fraud - Thanks! - Tom
I'm just working on a Netflix strategy plan for university and this video is awesome!
+The eCom Project excellent! Glad we could somehow be a part of it. - Tom
Loving these case studies! I feel like I'm getting a video MBA, without the huge time & money investment. Kudos to y'all for wanting to produce more entrepreneurs.
+Audrey Long - thanks for that! We are on a mission to educate entrepreneurs in a new and exciting way! - Tom
great presentation like always!
+LeTechPreneur Thanks! - Tom
Great information! 👍
Great content. We need more insider to feel the story. When you explain how was your negotiation with them, it was really interesting.
Thanks
Love from Paris
+Dogan Ulusoy - thank you for that I'm glad the inside angle was helpful. Much love to Paris have a happy new year. - Tom
i like it keep it up...plz make case study about IBM,wipro....companies
Forward thinking!! Good information!
+Destiny Jones thank you. - Tom
I was in US for one year from 2005 to 2006. During that time I had a subscription with blockbuster and I still love the company. They were also doing the mailing service and at that time my colleagues have recommended me Blockbuster but not netflix(don't remember exactly why...may be because blockbuster had bollywood collection too). Few years down the lane heard about blockbuster's downfall and was sad to hear about it and was wondering what happened to it....and there it goes....
Again, very good coverage Tom. Thank you as always.
Btw...I've read Blue Ocean Strategy after you've suggested it....It was a nice one...thanks for that suggestion too :-)
+Allabakash Shaik - I'm an American, but have spent a good amount of time in India and love Bollywood movies. In case you don't already know about this, check out this listing of Bollywood movies on Netflix: www.netflix.com/browse/genre/10463 - a little off topic, but I thought you might enjoy it. ;) ~Rebecca (VT production team)
Amazing review
Great case study. Look at technology available and ways to make it easier for customers. Revisit ideas every year that may now be possible.
Add that another competitor Redbox was able to address the need to get a movie on the spot, with better pricing, usually with a more convenient location, and with LESS selection. RIP
An emotional connection between an organisation and a customer is one of the most valuable goals that a bussiness should have.
+Haki Tayloo absolutely positively 100% correct! - Tom
VALUETAINMENT I'd like to make you a great compliment about the way you explain - You explained it so simple that a kid would understand it. Einstein would approve. I am looking forward to learning more from you. I also love the spirit and enthusiasm you fill up the video with. Have a wonderful day! :)
Tom another great content Patrick is soo lucky to have you as a mentor... one of my goals for 2017 is to fly you both lads in in dubai all at my cost soo i can spend a bit of time with you legends... Tom and pat you're going to be remembered forever... you're company PHP is really helping change lives even on youtube.!
+Adnan Daad - I am truly humbled and honored by your comments! That would be a momentous trip. - Tom
VALUETAINMENT i am sooo excited to 2017 Tom it's going to be a blast!! just keep working success is around the corner...
i watched all the case studies
they are all good and i learned alot from them
+Fahd Nasser - thank you so much. - Tom
ur welcome
Another great video!
+ChrisGT - Thanks! - Tom
Thank you
I love your videos..
This is interesting can we do case studies on successful businesses not just ones that had a downfall. I love to have both.
+Berthony Duverglas - absolutely. The one on Dryers ice cream talked about great things that they did and recovering from adversity. Also the one on yellow tail wine talked about good market research and great marketing to dominate the market. We will try to have a mixture of both good decisions and successes, recovery stories and yes of course companies that stumble and fall. Thank you for the comment - Tom
VALUETAINMENT I must have miss those now I'm going to look for them
You learn more from failures than successes.
Great Video !
awesome case study. its amazing, i am 34 now and you'd never think blockbuster can go out of business. Also i like how you stressed the fact that resources like Viacom do not guarantee success. wow wow wow.
theres hope for me. great presentation.
+Atonio Taualii thank you - Tom
Love your content. i am curious about FIT BIT
Another factor that contributed to Blockbuster's problems was their policy not to carry Adult Movies in their stores. Those movies account for a huge amount of revenue in rental stores with even better margins, as in the 90's and early 2000's Adult VHS movies were cheaper than mainstream movie VHS titles. Thus, stores could make money faster off adult movies than Hollywood movies. Even Netflix hasn't tapped that market which is why there are still video store chains in existence. Family Video is one example of a chain in my area that has a large number of locations and each location still has an adult section. Even with adult entertainment available online, I think many older customers are still nervous about using online services for adult entertainment and their viewing history getting hacked and exposed.
loved this
+Thomas t thanks - Tom
I love case study I reall enjoy it
Thanks for watching - Tom
hi tom and team ..... its that word , which you introduced a few weeks back .... HUBRIS !!!!
NOT BEING PROACTIVE OR EVEN REACTIVE GOT THEME WHERE THEY WENT .
FANTASTIC REMINDER . YOU BREAK THINGS DOWN AND DISTILL FOR US THANK YOU .
+beemer84 - thank you very much for that nice comment. I'm glad it helps you. - Tom
yes definitely helps ... in reflecting on past successes and failures and planning for the future .... kindest regards ...@SAMILLAIEE, LONDON
I agree that holding onto a pile of retail space is not a good idea, however I would challenge your thinking about all the other stuff they had in the store. If the model is to sell groceries alongside then that could work in the areas I presume they had their stores. Whereas I appreciate that they cannot buy like Walmart and Costco, their USP is convenience and being open until very late. Since the beginning of this century there has been a trend in Europe towards local shops again and that is why, for example, we can find the likes of Tesco and Sainsburys in the centre of London. The exit strategy is then to start to attempt to sell off this part of the business, getting rid of the real estate (and no doubt the long leases) at the same time.
great stuff!
+Joe thank you sir, have a happy new year! - Tom
I miss the Blockbuster experience Used to love browsing Blockbuster for video games. old movies, and new releases. Was cool to be able to test a videogame and system by renting. I know Netflix is cheaper but there was something special about chilling at a movie rental store.
Great case study ! Very helpful Tom. Maybe Target Canada Next! lol
+Saad Basim thanks - Tom
Sorry Patrick...Tom might just have the best video series on Valuetainment! Haha, but great stuff from both of you. Keep up the great work!
+Cameron Blackwell - Will do! I think there's a ton (years!) of great content from Patrick already up here and I am pleased to add to it. - Tom
Fascinating... one of the phrases that just jumped put the video to me was "800 million of annoyed consumers". Money, even though it's a huge amount, made on a negative consumer experience is short-lasting!
+joshuaogaldez You are very correct! - Tom
Subscribed!
+D4rkn1te that's great. Thank you for joining us. - Tom
PURE GOLD
Yes, not all that shines is gold, It should be kept in mind.
I remember those popcorn buckets they had that you could put in the microwave. My mom would always get me candy and snacks when we went to Blockbuster
You're awesome Tom!
+Joanna Montoya - I think the viewers such as you are pretty awesome as well. Happy new year. - Tom
Thank you :D Happy New Year to you too!
Awesome dissection of BlockBusters demise! However I am surprised you didn't mention the part that RedBox played in this as well.
+Ismail Zrikem - very good point Redbox was another part of it and then a company called Vudu that was purchased by Walmart was yet another competitor. - Tom
VALUETAINMENT interesting never heard of Vudu
Well segment 13:00 answered the question of vision and options to save Blockbuster. What other options could there have been? It is obvious that forward thinking was lacking and inovation was needed.
You have no idea how many speakers I've heard telling this story all wrong. It's always comforting to hear a famous story from an insider. Tom, Pat mentioned Crispy Creams, could you do a case for that? Thanks!
+cesar malabrigo mujica - great idea - I know the Krispy Kreme story. - Tom
VALUETAINMENT sorry for misspelling, didn't know about that company until 3 days ago.
VALUETAINMENT your video are nice and motivative and I am one of your follower and I am the next world's richest man so I have one request pls try to small the length of your video so I can see it becoz i am not getting time so much so try to make for 9-12 minute 😎😎😀😀😀😀😀
great! That outro song tho 😄
+Rafi dash yes, we are thinking about that one. - Tom