Blockbuster Underground

Blockbuster Movie Pass

2011-09-23T23:59:00.004-04:00

Today, Blockbuster/Dish Network announced a new streaming service to compete with Netflix. Blockbuster's new service, Blockbuster Movie Pass, will allow subscribers to stream video, receive DVDs by mail, and exchange mailers for DVDs at Blockbuster stores. The new plan will be available to existing Dish Network customers for an additional charge of $10.

There is no word yet on when or if the plan will be made available to those who are not Dish Network subscribers. Right now, it appears Dish Network is going to use Blockbuster Movie Pass as bait to attract new customers to Dish Network and retain the ones they already have.

Certainly, at some point, Dish Network will see the value of making Blockbuster Movie Pass available to all. Netflix is really on its heels at the moment. A really great service that offers DVD-by-mail, in-store exchanges, and streaming video at a competitive price could be just the thing to knock Netflix to the mat.

Unfortunately for Blockbuster, they are probably not going to act fast enough to take full advantage of Netflix's weaknesses and its furious mass of disgruntled customers. Those angry customers are going to cool down in a few months. If Blockbuster does not act right away by offering them a competing service at a competitive price, the opportunity will be lost, and Blockbuster will--once again--have missed the boat. Isn't that just the way things always seem to go at Blockbuster?

A Stream Come True, Blockbuster to Offer Streaming Video?

2011-09-20T15:52:00.002-04:00

Blockbuster is planning to hold a press conference on September 23, 2011. The press conference will be streamed live from San Francisco at 10:00 AM PT on Ustream (www.ustream.tv).

An event called "A Stream Come True" has been heavily rumored to be an announcement of Blockbuster's entry into streaming video as part of "the most comprehensive home entertainment package ever." Given the current turmoil facing Blockbuster's main competitor, Netflix, the timing of the press conference could not be much better for Blockbuster, a company that is in serious need of some good luck.

The Dish on Blockbuster Online Under Dish Network

2011-09-20T02:22:00.002-04:00

When Blockbuster first got into the DVD-by-mail business in 2004, the service was largely a joke for the first several months. Blockbuster Online would ship incorrect DVDs, takes days to ship DVDs, etc. Blockbuster was having a hard time getting their online business going, and it was obvious.

Blockbuster Online improved in 2005 and eventually was a pretty good value. The Blockbuster Online service continued to be a pretty good value through most of 2006 and 2007. The real problems did not begin until late-2007 when Blockbuster began throttling the flow of DVDs to customers using a wide, ever-changing array of delay tactics.

Through much of 2008, 2009, and 2010, Blockbuster engaged in all sorts of bizarre and unsavory behavior such as rarely shipping DVDs on certain days, taking days to process DVDs, making subscribers stack the tops of their queues with "Available" DVDs, failing to register in-store returns, etc. In short, Blockbuster Online was back to being a joke--only this time, the joke wasn't funny. The service was just awful, absolutely awful. It was a horrible value, a major headache for consumers, and it was probably one of the main reasons Blockbuster wound up finally going bankrupt in 2010. Blockbuster not only deserved to go bankrupt, the company was out-of-control, and it needed to go bankrupt.

In April 2011, Dish Network bought Blockbuster at auction, and that was when things began to turn around a little. Here we are a few months later, and there is little to no evidence of Blockbuster Online blatantly throttling customers. Yes, Blockbuster Online has some substantial problems with availability, but the throttling is minimal or non-existent. For now, it appears Blockbuster Online is basically shipping DVDs when they should and not playing a lot of obvious, sleazy games with customers. This is most likely because Dish Network cannot afford to mistreat whatever few Blockbuster subscribers are left. In order to remain in the DVD rental business, Dish Network has probably decided to do nothing to trigger more customer defections from what is already a dangerously weak customer base.

Now, Blockbuster Online deserves no praise for shipping DVDs to subscribers as agreed. Blockbuster is just doing what they should have been doing all along. Since, however, Blockbuster Underground has been intensely critical of Blockbuster for at least a few years now, it is fair to make it clear that Blockbuster's DVD-by-mail service has improved remarkably since Dish Network took the reins of that deeply troubled company.

Please do not read this article as an endorsement of Blockbuster or any of its services. The Blockbuster name has been severely--perhaps permanently--tarnished by years and years of bad customer service in the stores and online. Millions of people hate the Blockbuster brand, and they have every right to do so. It will take years to rebuild trust among millions of alienated consumers.

Maybe the new Blockbuster is going to be a good company under Dish Network, but it is also possible Blockbuster could suddenly revert to its old ways. Only time will tell. If Blockbuster starts messing around again and begins taking advantage of customers, Blockbuster Underground will go right back to exposing every single wrong thing Blockbuster does. For now, on Blockbuster Underground, Dish Network is going to get a fair chance to prove they can and will deliver on what they promise to Blockbuster customers. Stay tuned.

Blockbuster: Please, Please Change Your Habits

2011-07-09T03:51:00.000-04:00

Fast Company is running an article by Austin Carr about the problems with Blockbuster's new subscription-free DVD-by-mail program. Click the link below to read the article.

"Blockbuster: Please, Please Change Your Habits"

New Release Delays and Shortages at Blockbuster

2011-05-05T03:25:00.002-04:00

A new trend seems to be developing at Blockbuster. Around February, finding new releases at least some Blockbuster stores became extraordinarily difficult. We are not talking normal shortages here. This is a stunningly low supply.

Last year, a customer could walk into a Blockbuster on a Tuesday night and almost always find the DVDs that came out that day. They would be gone by Thursday night, but they were still there on Tuesday. (New releases generally become available for rental on each Tuesday.) Now, the new releases are gone by Tuesday afternoon. Even after a particular title has been out for a week or more, the title will be completely gone or in very low supply. The odd thing is that the Blockbuster store may try to cover up the low supply by putting out dozens of those placeholders that look like the DVD jewel case. This could give the illusion that the store owns many copies of a title, but all of the copies are checked out. Given the low quantities of new releases in stock, and the unremarkable flow of customers, one might wonder if Blockbuster is actually purchasing very limited numbers of each title while pretending to have normal quantities in stock.

Now that is just one suspicious thing going on in some stores. Something far more serious also seems to be beginning. Since March, some new releases are not available at Blockbuster stores or Blockbuster Online. When questioned about why the new releases are not in stock, Blockbuster employees are claiming the titles are being held up by the studios, but this is very unusual. New releases for major movies almost always come out on time. It makes no sense that the studios would suddenly be incapable of delivering DVDs on time.

What makes more sense is that 1) Blockbuster's suppliers are withholding shipments because Blockbuster is not paying them quickly enough, 2) the studios are taking advantage of Blockbuster's weakened state and deliberately delaying shipments in an attempt to motivate consumers to buy new releases rather than waiting to rent them, or 3) the studios are offering price incentives that encourage Blockbuster to delay purchases of new titles.

At this point, the cause is completely unknown to the public, but something suspicious is going on at Blockbuster. Regardless, Blockbuster needs to remedy this supply problem immediately. One of the few benefits that Blockbuster has to offer its customers is having new releases the day they come out. Netflix and Redbox have already conspired with the studios to impose artificial release delays. If Blockbuster cannot have the movies before the competitors, there is no way Blockbuster can even think about being competitive.

Blockbuster Store Closings Create Privacy Concerns

2011-04-25T19:00:00.000-04:00

Beth Givens with Privacy Rights Clearinghouse was recently walking by a Blockbuster store in Mission Valley, San Diego which happened to be closing down. Outside of the store, Givens found a box of case files that contained Blockbuster employee records, such as job applications and detailed employment termination documents. The documents contained private information such as social security numbers, full names, etc. There are probably signatures and birthdays too. This could be a gold mine for an identity thief or a wonderful supply of embarrassing employment information.

Luckily, Givens found the employee files before a criminal found them. Givens plans to return the files to Blockbuster, and it appears no harm was done in this case, but this incident should sound an alarm.

Blockbuster stores are closing all over the country. With Dish Network taking over, many more Blockbusters are likely to be closing later this year. If Blockbuster is mishandling files from abandoned stores, not only are the employees at risk, but so are the customers.

When you opened that Blockbuster account years and years ago, do you remember exactly what information you put on the account application form? Where is that form now? Could an identity thief use that form to steal your identity? What about your rental records, credit card information, address, etc.? What is Blockbuster doing to make sure this information is not going to fall into the wrong hands?

With all of these stores closing, Blockbuster/Dish Network needs to get on top of this issue. When people trust a company with their privacy, that company has a duty to protect the information of its customers.

Sold! Dish Network Buys Blockbuster at Auction

2011-04-06T12:53:00.002-04:00

For some reason, Dish Network has chosen to drop $320 million on the purchase of Blockbuster, Inc. No one is quite sure what Dish Network intends to do with Blockbuster, but one might imagine that Dish Network could use this as an opportunity to create a big brick-and-mortar retail presence. Dish Network could be trying to position itself to better compete with Netflix by being on the street and in the mail in addition to the skies.

By taking over Blockbuster's existing infrastructure, retail presence, customer base, relationship with movie studios, and merchandise supply channels, Dish Network now has the tools to become a potential threat to companies like Netflix. Dish Network could now be in the unique position of being able to deliver all kinds of movies to all kinds of consumers in all kinds of different ways. What other company has all of that? Redbox has the rental kiosks. Netflix has DVDs by mail and streaming video. Many retail stores sell videos. The pay TV channels and many other services offer video-on-demand. Up until now, no one company has been able to offer it all, and no one company has been able to reach what is nearly the entire market of video renters/buyers. Perhaps Dish Network will try to be the first to make that happen.

Considering the harsh realities that Blockbuster had been facing, this deal is probably as good as it could get for Blockbuster. If Dish Network does wish to build a strong retail presence, they will probably not be liquidating Blockbuster (which had been an extremely likely possibility). If Blockbuster continues to exist in brick-and-mortar form, many Blockbuster employees may be able to hang on to their jobs for a while. Consumers will also not have to face losing one of their video rental options.

Not much is certain at this point, but the Dish Network takeover is probably being viewed as at least moderately encouraging news for anyone who likes Blockbuster or depends on the company for a living.

Troubled Video Rental Chain for Sale

2011-02-21T18:06:00.003-05:00

Blockbuster is up for sale, and bidders are welcome. If you have a little extra money, and you are looking to sink it into a company with a tainted brand name, a Chapter 11 filing, and no clear path for regaining its market footing, this may be your opportunity.

Seriously, the number on the table as of today is $290 million. Blockbuster is hoping to sell for at least that much. It is unclear exactly why anyone would want Blockbuster. Perhaps the purchasers are interested in liquidating the company.

How many scratched DVDs and barely touched Blu-ray discs does it take to add up to $290 million anyway? If Blockbuster can unload the used discs for an average of $5 a piece, they will need 58 million of them to hit the $290 million mark. That sure seems like a lot of used discs.

Blockbuster does have more than used video discs, however. Blockbuster has all of that overpriced candy, drinks, and popcorn. Do not forget about all of the stuffed animals, key chains, and those framed movie posters no one ever touches.

No one is sure what is going to happen to Blockbuster, but it looks like Blockbuster is moving ahead quickly. Probably, by the end of April, we will find out who is buying Blockbuster and for what price. After that, we will either be treated to a tremendous reincarnation/re-branding of Blockbuster or the most massive clearance sale of used DVDs, games, and movie-related merchandise the nation has ever seen.

The sad thing is that very few people care. Not many people were upset when Blockbuster went Chapter 11, and there will not be that many people upset if Blockbuster is transformed or liquidated. How often do you hear someone praising Blockbuster, or excited about making a trip to a Blockbuster store? It's pretty rare, isn't it? That is the real problem. Most people just do not care about Blockbuster anymore, and why should they?

Blockbuster Online's Processing Decoy Tactic

2011-02-10T13:39:00.003-05:00

It appears Blockbuster Online has begun favoring a particular throttling tactic. This one is the processing decoy tactic. Blockbuster will tie up your queue for an extra day by holding a DVD in Processing status overnight and then canceling shipment of the DVD the following morning. Here is an example of how it works.

On Monday morning, you have an empty slot in the At Home section of your Blockbuster Online queue.
Later that day, Blockbuster will move one of your most desired DVDs (normally one with an Availability status of Long Wait or Very Long Wait) to the empty slot in the At Home section of your queue. This DVD will be tagged as Processing.
The DVD will sit in your queue for the rest of the day and into the night with the status of Processing.
The next morning, the DVD will have mysteriously been moved from the At Home section of your queue back down to its original position in your list of desired DVDs. This leaves an empty slot in the At Home section of your queue.
Later that day, the empty slot will likely be filled with a different DVD from you queue. That replacement DVD is likely to ship that afternoon.

This throttling tactic is bad for you for two reasons. 1) The delay automatically adds at least one day to your turnaround, reducing the number of DVDs you can receive during the subscription month and thereby reducing the value of your subscription. 2) By holding one of your most desired DVDs in Processing status, Blockbuster is discouraging you from renting that title from another source for at least one day. You will probably not rent a DVD from a Blockbuster store, Redbox, etc. if you believe Blockbuster Online will be shipping that DVD to you in the immediate future.

Blockbuster might think they are being clever with this tactic, but they are only annoying subscribers. We all know Blockbuster Online generally knows whether it can ship a particular DVD or not. Those DVD envelopes and sleeves are barcoded and tracked through their inventory system. Yes, sometimes returned DVDs arrive damaged or in the wrong sleeves or envelopes, but generally Blockbuster knows what DVDs it has in its shipping centers. If Blockbuster is going to throttle subscribers, Blockbuster needs to stop playing games and just be straightforward with it.

Come on, Blockbuster, don't be such a tease. Just leave those shipping slots empty until you are satisfied with how much extra money you have milked from the subscribers. Irritating your last few loyal customers is not a good way to pull yourself out of bankruptcy.

Blockbuster's Blu-Ray Disc Rental Figures May Be Flawed

2010-11-17T13:00:00.001-05:00

If you are a Blockbuster Online subscriber and you exchange your online rentals at stores for store rentals, you may have noticed that, sometimes, your store DVD rentals show up as Blu-ray discs in the At Home section of your Blockbuster Online queue. This commonly occurring error does not necessarily prove an inventory flaw; however, the error strongly suggests that Blockbuster inaccurately records some store DVD rentals as Blu-ray disc rentals.

If you do a lot of store exchanges and typically choose the DVD format, look in your Blockbuster Online rental history. There you may find several titles tagged with the [Blu-ray] tag. Depending on your rental preferences, you may notice that few or none of these supposed Blu-ray discs you rented from Blockbuster stores were really Blu-ray discs. They were just improperly tagged DVDs. Even more curious, this error seems to occur disproportionately often among new releases. Perhaps this is just a recent problem affecting only newer titles.

What is uncertain is whether or not Blockbuster is tagging discs inappropriately on purpose for some reason or if this is just another example of Blockbuster's incompetence. Regardless, many DVDs are being tagged incorrectly as Blu-ray discs in at least one system. If these errors are being carried over into other systems, such as the systems that provide data for inventory reporting and sales reporting, Blockbuster's numbers could be showing dramatically inflated figures for Blu-ray disc rentals.

There do seem to be stacks of unwanted Blu-ray discs just sitting on the shelves at Blockbuster stores. The excessive Blu-ray disc supply could stem from improper inventory reporting, or the improperly tagged discs could be concealing that Blu-ray discs are not terribly popular among Blockbuster store customers. Regardless, Blockbuster needs to get their act together and consistently tag DVDs as DVDs and Blu-ray discs as Blu-ray discs in all of their systems.

Imagine if you lost a store DVD that was electronically mislabeled as a Blu-ray disc. Would the store charge you the lower DVD price or the higher Blu-ray disc price? That could be an unpleasant surprise. If you lost the physical disc, you would have no proof it was a DVD, and you would be at the mercy of Blockbuster's inaccurate computer system.

Blockbusted: Blockbuster Files for Chapter 11 Bankruptcy Protection

2010-09-23T12:58:00.001-04:00

Blockbuster has filed Chapter 11. This is barely news, because we have all been seeing this coming for a couple of years. The reasons for the bankruptcy are fairly obvious: debt, outdated business model, alienated customers, constantly shifting pricing structures, unpredictable rental policy changes, tainted brand, etc. The question should not be, "Why did Blockbuster go Chapter 11?" but "How did Blockbuster stay out of Chapter 11 for so long?"

Now, what does all of this mean for you? If you are a common shareholder, you are probably about to get screwed and lose your investment. If you are a customer, things are less certain. Chapter 11 is a reorganization status. Blockbuster is not shutting down at the moment, but the company is likely to spend the coming months trying to restructure their organization into a profitable business. Look for a lot of store closings, changes in policies, changes in pricing, changes in store inventory, and changes in ways of doing business. (Wow! That sounds like business as usual for Blockbuster.) Maybe these changes will benefit the customers. Maybe the changes will be a big headache for customers. The good news is that you have choices. If Blockbuster changes in ways you do not like, just go somewhere else.

This Chapter 11 filing gives Blockbuster one last chance to get things right. If Blockbuster can take advantage of this opportunity, they might be able to figure out a way to please customers while being profitable. If Blockbuster cannot figure out how to rehabilitate their business model, then the eventual end of Blockbuster in inevitable. We will just have to wait and see.

What Happens to Your Shares If Blockbuster Files Chapter 11 Bankruptcy

2010-03-20T01:53:00.000-04:00

If you have been following Blockbuster in the news, you have noticed the bankruptcy talk is really heating up again. Frankly, it is stunning Blockbuster was able to survive all of the way through 2009, but they made it somehow. Well, it is 2010 now, and Chapter 11 seems like it could easily be in the cards for Blockbuster.

If you are a Blockbuster shareholder, you have probably been whimpering each time you have checked your portfolio during the last six years, but things can still get worse. If you are one of the unlucky investors still hanging onto Blockbuster shares, be aware those shares could possibly become worth absolutely nothing. If Blockbuster enters Chapter 11 bankruptcy, the common stock (probably the type of stock you hold) will be worthless. You will have no way to recover your money, and you will not be entitled to shares in the reorganized Blockbuster. In short, you, the common shareholder, will be left holding the bag (an empty bag). If you are concerned about losing 100% of your investment in Blockbuster, consult with your broker as soon as possible and explore your options. Maybe you can cash in those shares and have just enough money left for a few DVD rentals at that little, struggling independent video store in your town.

Here We Go Again: The Shipping Upgrade Excuse Is Back

2010-03-18T10:05:00.000-04:00

If you are experiencing extended shipping delays on your Blockbuster Online account and you contact customer service about the issue, get ready for one of Blockbuster's favorite excuses. When you complain about delays, Blockbuster is going to claim they are in the process of implementing upgrades to their shipping process.

There is nothing new about this excuse. Blockbuster used it for an inexplicably long period of several weeks during the fourth quarter of 2009. This supposed shipping upgrade never really improved delivery much, but it sure did seem to slow down shipping for a while.

Here is the deal. Blockbuster is supposed to ship DVDs to you when you have empty shipping slots in your queue. If they are making changes that are resulting in shipping delays, that is Blockbuster's problem, not yours. If Blockbuster cannot ship DVDs to you when they should, they must compensate you with a refund, coupon, discount, etc. If Blockbuster tries to hide behind the inadequacies of their own system, demand compensation from them. You have a right to it, and Blockbuster owes it to you.

Easing up on the Throttle

2010-02-09T04:03:00.001-05:00

Curiously, Blockbuster Online seems to have recently cut back on what had appeared to be a very aggressive system of throttling. The change seems to have begun near the beginning of 2010 and has continued to the present time. For whatever reason, Blockbuster appears to be easing up a bit.

This sounds like a positive story, but it is not. Blockbuster should not be praised for sending out DVDs in a reasonable timeframe. This is what they should have been doing all along. Praising Blockbuster for not throttling for a few weeks would be like praising a thief for walking out of a mall without stealing anything.

So, why would Blockbuster Online ease up on throttling their customers? At this point, the answer is unclear. It is possible they found themselves getting into legal jeopardy. Maybe too many customers were canceling their subscriptions. Maybe outraged customers were speaking out and tarnishing the Blockbuster brand. Who knows?

If you have noticed changes in Blockbuster Online's behavior during 2010, please post your comments below. More importantly, if Blockbuster Online is still throttling you, please let everyone know right away.

Blockbuster Underground Site Upgrade

2010-01-30T18:37:00.000-05:00

To improve the overall experience for Blockbuster Undergrounders, Blockbuster Underground is currently in the process of incorporating several site upgrades. The appearance and functionality of the site will be going through some enhancements during the next several days. The full text of the original articles and comments from readers will be preserved and accessible as usual.

How Blockbuster Is Throttling You to One Set of DVDs per Week

2009-12-04T20:28:00.006-05:00

If you are a Blockbuster Online subscriber, you may have noticed a curious pattern of delays on your account. Sometimes, you will return a DVD to a Blockbuster store, and it will take a surprisingly long time to clear your queue. Often, you will have DVDs--that are apparently being processed--sitting in your queue for multiple days. Frequently, your DVDs will take days longer to arrive than they should have.

If these strange events are routinely occurring on your Blockbuster account, you are not just a random, unfortunate Blockbuster customer. You are most likely a victim of throttling. Blockbuster may be systemically limiting the number of DVDs you receive by employing a combination of delay tactics against your account.

Below is a summary of Blockbuster Online's more common throttling tactics. Each tactic creates only a small delay, but when Blockbuster uses two or more of these tactics together, they can easily place tight limits on the number of DVDs you can receive in any given month.

Delayed Store Check-In
If you are being throttled by Blockbuster, you may have noticed you can return a store DVD to a Blockbuster store, but it might not clear your queue for hours (or days). You may have noticed the returned store DVD almost never clears your queue in time for another DVD to ship that same day--even if you returned the store DVD as soon as the store opened. Blockbuster can use this delayed store check-in tactic to slow down your DVDs by at least one extra day.

Processing Delays
One of Blockbuster's favorite throttling techniques is the processing delay. Blockbuster may indicate they are processing your DVD for shipment, but they will actually not ship it out until the following day. Blockbuster just claims to be processing your DVD so you will be less likely to complain. If you do complain, they will just defend themselves by saying, "We are processing your next DVD. We will ship it as soon as possible."

How long does it take to process a DVD anyway? How could it possibly take a full day or more to turnaround a DVD? There is no legitimate reason for this type of delay. The purpose is to slow down your shipments by an extra day or an entire weekend, therefore decreasing the number of DVDs you can watch for your monthly subscription fee.

Long-Distance Shipping
If you are being throttled by Blockbuster, you may have noticed, when Blockbuster ships a DVD to you on a Monday or Tuesday, that DVD takes an extra couple of days to arrive. This is because Blockbuster is shipping DVDs to you from shipping centers far from your house. Blockbuster could be intentionally exploiting USPS transit times to ensure that your DVD takes longer to arrive at your house. Blockbuster pays the same whether they ship a DVD to you from down the street or 3,000 miles away. By shipping DVDs from remote shipping centers, Blockbuster can add days to your turnaround time and then blame USPS for the delay.

What This Means for You
By using a devious combination of multiple throttling techniques, Blockbuster has made it nearly impossible for throttled subscribers to get more than one set of DVDs in any given week. If you are being throttled by Blockbuster, expect to be hit with a variety of delays. No matter how quickly you watch and return your DVDs, it appears Blockbuster has stacked the deck against you. Blockbuster is simply not going to send as many DVDs to you as they should.

If you are a Blockbuster subscriber, know that you are dealing with a shady company that is willing to take your monthly subscription fee while providing very limited benefits. This is just what Blockbuster is doing to subscribers now. Imagine what other sorts of unscrupulous business practices Blockbuster will be employing in the future as this increasingly irrelevant company continues to lose market share to its competitors and finds it more difficult to generate enough profits to sustain its outdated and bloated business model. For Blockbuster subscribers, things are bound to only get worse from here on out.

Speed or Order: Choose How You Want Blockbuster to Throttle You

2009-10-22T21:57:00.005-04:00

Blockbuster has added a new feature that allows you to apply new settings to your queue. On the My Account page, under Manage Account Settings, you can designate Shipping Preferences for your queue. You may choose either Speed or Order. If you select Speed, Blockbuster should ship DVDs to you according to which titles in your queue will ship the fastest with less regard to their rank in your queue. If you select Order, Blockbuster should ship DVDs to you according to their rank in your queue with less regard to speed. Furthermore, if you select Order, you will need to select how many extra days you are prepared to wait for the highest ranking titles in your queue. You may choose to wait one to five extra days.

Choose from these queue options carefully, because Blockbuster can use these preferences to their advantage. If you select Speed, you will be inviting Blockbuster to send DVDs that might be low in your queue but abundant in Blockbuster's inventory. If you select Order, you will be inviting Blockbuster to slow down your shipments with no guarantee you will actually receive your most desired titles. Either way, Blockbuster could use these settings to your disadvantage. Either you could get less desirable titles more quickly or more desirable titles more slowly.

At this point, it is unclear how these settings will affect which distribution center will be shipping your DVDs. When Blockbuster ships from distant shipping centers, days may be added to transit times. In recent months, Blockbuster has displayed a strong tendency to slow down the flow of DVDs to some subscribers by shipping from more distant centers. Blockbuster has not yet specified whether or how transit times will be factored based on a subscriber's Speed/Order queue shipping preference.

Here is the safe way to play this new Speed/Order queue feature. Set your preference to Speed, and do not have any titles in your queue that you would not be happy to receive. Keep your most desired titles at the top of your queue, and hope for the best. Blockbuster is still probably going to throttle you, but if you have your preference set for Speed and you have plenty of desired titles in your queue, Blockbuster will not have any legitimate excuses. Yes, Blockbuster will still probably throttle you, but they will have a hard time convincingly pinning the blame for the delays on you.

Blockbuster Cops out with Partial Fulfillment

2009-10-21T01:45:00.000-04:00

Since late-September, Blockbuster has become more aggressive with one of their more cheesy throttling tactics. For some reason, the minds at Blockbuster have assumed they can get away with shipping fewer DVDs to subscribers by partially filling empty queue slots. Blockbuster may not ship all of the DVDs they are supposed to send to you, but they will at least send one or two, so you cannot accuse them of letting your account sit idle for days at the time.

Here is how Blockbuster's partial fulfillment works. On Monday, you have three empty queue slots, but nothing ships that day. On Tuesday or Wednesday, Blockbuster ships two DVDs to you. These DVDs have been sent from far enough away that they will almost never arrive until Thursday or Friday. If you are lucky, Blockbuster will ship the third DVD to you by Friday, but they might hold off on shipping until the following Monday or Tuesday.

Here is the important thing to realize: By trickling out partial shipments, Blockbuster will have the ability to claim--at almost any given time--they either recently shipped something to you or will be shipping something to you soon. At almost no point is Blockbuster living up to the terms of the subscription agreement you have with them. Blockbuster is perpetually leaving one to three of your queue slots empty while hiding behind the illusion they are shipping DVDs to you on a regular basis.

Now, here's the deal. If you have three empty queue slots on Monday morning, Blockbuster should ship three DVDs to you by Monday afternoon. If Blockbuster does anything else, they are cheating you out of your subscription benefits. Just because Blockbuster ships a DVD to you on Tuesday, it does not mean they are absolved from sending another DVD to you for the next few days.

Do not let Blockbuster trickle out DVDs to you and con you into thinking you are getting the subscription benefits for which you are paying. When you complain to Blockbuster about delays and they try to appease you by telling you they just shipped a DVD to you, fire back with, "Okay, congratulations for partially living up to our agreement. Now what about the other DVDs you should have sent to me days ago? What is Blockbuster going to do to compensate me for this delay?"

Blockbuster Tries to Confuse and Distract Complaining Customers

2009-10-19T23:37:00.008-04:00

If you email Blockbuster with a legitimate question about unexplained delays on your account, there is a very good chance a customer service representative will attempt to confuse or distract you with irrelevant information while completely failing to address your question.

You may have a simple question about why Blockbuster has not shipped any DVDs to you even though you have had three empty slots in your queue for two days. Blockbuster will probably not address your question. Instead, they will try to bombard you with extraneous details about your account. Perhaps they will hope you will think they have sufficiently answered your question even though they ignored it.

Try this out by contacting customer service (http://www.blockbuster.com/help). Ask them a simple question in an email like:

Dear Blockbuster:

I have had empty slots in my queue for days. Why has Blockbuster not shipped any DVDs to me all week?

Than You,
Joe Customer

Most likely, Blockbuster's response will be something like this:

Dear Joe (Sucker),

You returned DVD A on __/__/____, DVD B on __/__/____, and DVD C on __/__/____. We shipped DVD X to you on __/__/____.

We will ship you the next available title in your queue within 1-2 business days, provided you have enough "Available" titles at the top of your queue.

As a reminder, always keep 15 available titles at the top of your queue to ensure prompt service.

Thank You,
Blockbuster Customer (We Don't) Care

Notice that Blockbuster used data from your account to give the illusion that someone actually investigated your issue; however, Blockbuster did not actually address your question or provide any useful information. They simply just mixed some easily obtained facts with boilerplate text to fake an answer to your question.

Do not be fooled by these confusion tactics. When Blockbuster does this to you, hit the reply button and tell them they did not address your question. While you are waiting two to eight hours for a response to your email, consider picking up the phone and calling Blockbuster toll-free at (866) 692-2789. Maybe the Blockbuster employee on the phone will not be as bold about evading your questions. The important thing is to make Blockbuster explain why they are screwing you. If a company is cheating you, they should at least be forced to come up with some sort of a direct explanation, even if that explanation is a total lie.

Blockbuster Shipping Delays Spanning Multiple Weeks

2009-10-16T19:22:00.002-04:00

Blockbuster Online must have recently determined that throttling customers down to one set of DVDs per week was not profitable enough. It now appears Blockbuster is experimenting with a throttling tactic that allows subscribers' empty queue slots to sit idle for many days on end.

Under Blockbuster's regular system of throttling, Blockbuster would delay shipping until the later half of the week or simply ship DVDs at the beginning of the week from distant shipping centers, knowing they would not reach the subscribers until Thursday, Friday, or Saturday. Regardless, throttled subscribers would not receive DVDs until the end of the week, which made it nearly impossible for the subscribers to get more than one set of DVDs per week.

During October, however, shipping has gotten slower on some accounts. Blockbuster has allowed queue slots to remain empty for extended periods, even for time periods that extend through weekends. For example, a throttled subscriber could have three empty queue slots on a Monday morning. Blockbuster might ship only one or two DVDs during the week, leaving one or two slots open through the weekend. The following week, Blockbuster might ship an additional DVD or two to fill the empty slot(s). Under this potential new system of throttling, subscribers could have to wait more than a week and a half to receive just one set of DVDs.

Blockbuster claims the October delays are due to a shipping center upgrade. At this point, it is unclear what sort of an upgrade actually slows shipping, but if Blockbuster is telling the truth, this problem should be over soon. Presumably, Blockbuster will then resume its standard throttling program, which effectively limits subscribers to one set of DVDs per week.

Watch your Blockbuster Online account closely, and make sure Blockbuster is not delaying your shipments for extended periods. If you find that Blockbuster is delaying your shipments, the best thing to do is contact them via email and phone to complain every day they fail to ship a DVD to you. If you contact Blockbuster enough, you will get free weeks of service, free store rental coupons, discounts, etc. You can call Blockbuster toll-free at (866) 692-2789.

Blockbuster Store Check-In Delays Mysteriously Vanish

2009-06-17T14:00:00.004-04:00

Blockbuster store check-in delays seem to have disappeared as mysteriously as they arrived. In May, some subscribers may have experienced significant delays while waiting for returned store DVDs to clear their queues. These delays were sometimes adding days to the turnaround time for each DVD. At no point, did it become clear whether the delays were due to system problems or deliberate throttling measures intended to reduce the flow of DVDs to subscribers.

There are three main theories. 1) Blockbuster had some strange system glitch that coincidentally allowed them to ship fewer DVDs while still charging full subscription fees. 2) Blockbuster was experimenting with a new throttling technique, and realized the horrifying potential for a massive class action lawsuit. 3) Blockbuster was experimenting with a new throttling technique, and the outcry from subscribers and Blockbuster store managers was too great to be ignored.

The Blockbuster store managers had to hate the check-in delay problem. Blockbuster Online requires each subscriber with issues about store DVDs to call that store's manager during business hours. The managers must have resented getting calls from angry Blockbuster Online subscribers about check-in delays. Every time a subscriber called the store manager about a check-in delay, that manager would have to log into the store's computer system, confirm the DVD had been checked in, and then offer a variety of explanations about why Blockbuster Online's system was out of sync with the store's computer system. This had to be an irritating waste of time for the managers, especially since these calls only consumed the store's resources and generated no revenue.

Blockbuster needs to explain what was going on with the check-in delays. Regardless of whether the delays were due to system problems are deliberate actions, some Blockbuster Online subscribers were inconvenienced during this time and did not receive the full benefits of their subscriptions. Blockbuster needs to compensate the affected subscribers in some way to make up for the delays. Several DVD coupons or a temporary subscription plan upgrade might be sufficient.

Have you experienced any strange store check-in delay problems? If so, post the details here.

Blockbuster Online Post-Dating Appears to Be Related to Time of Day

2009-06-11T16:15:00.002-04:00

Further tracking of Blockbuster's online system has shown that the practice of post-dating some store transactions appears to be related to the time of day at which a given transaction takes place. For store transactions taking place in the earlier part of the day, Blockbuster tends to assign the correct date in the online system. For store transactions taking place in the later part of the day, Blockbuster tends to assign a later date in the online system.

This trend suggests that Blockbuster has established some arbitrary cutoff time during the day. This would mean store transactions taking place before the cutoff time would be recorded on the correct date, and store transactions taking place after the cutoff time would be recorded as taking place on the following date. If this is the case and Blockbuster does have an arbitrary cutoff time during the day, Blockbuster has established an unfair an unnecessarily confusing policy of recording store transaction dates.

One Blockbuster Undergrounder has suggested that Blockbuster has chosen to use a posting practice common to the banking industry. For example, if you deposit money into your account after 2:00PM on Monday, the funds will be posted to your account on Tuesday. The problem with this idea is, even though the bank will post your funds on the following day, the bank will still accurately record the date of your actual transaction. Confirm this by looking at your ATM receipt the next time you make a deposit after your bank's cutoff time. The funds from your deposit may not be available until the following day, but the actual date of the transaction will be correct in the system. In Blockbuster Online's system, the transactions are sometimes being recorded as actually happening on the following day.

If Blockbuster is somehow basing their arbitrary cutoff time on shipping center hours, this is also an unfair practice. Blockbuster Online shipping center hours should be irrelevant when recording store transaction dates. The online shipping system is supposed to operate based on whether or not a subscriber has available queue slots in time for shipping. The online system has no reason to be basing anything on store transaction dates. As far as the queue is concerned, either a store DVD has been rented and returned, or it has not. A slot is open at shipping time, or it is not. What would be the legitimate reason to record store transactions one day late? We already know the Blockbuster Online system is operating beyond shipping centers hours, because the system often displays in-store exchanges quickly after they happen, even when those transactions take place late at night. Why should the system not record the actual dates of transactions?

Since the transactions in question are physically taking place in Blockbuster stores, the transactions are taking place within normal business hours for the store. Therefore, the transactions should be recorded on the proper dates. If Blockbuster is assigning different dates, they are unjustifiably skewing subscriber data. This skewed data would inaccurately indicate subscribers are one day slower when exchanging some online DVDs at stores and Blockbuster is one day faster when shipping some online DVDs after the return of store DVDs. In short, the skewed data makes Blockbuster Online look better on paper by artificially making the subscribers look less active and Blockbuster Online look faster. Some subscribers could end up getting fewer DVDs because of delays, but the records would show many of Blockbuster's shipping delays are one day shorter than they actually are.

Blockbuster Prominently Displays False Statement on Web Site

2009-06-10T08:35:00.001-04:00

Once you have returned all of the DVDs allowed by your Blockbuster Online subscription plan, a message will appear in the At Home section of your queue. This message reads,

To have movies shipped, just make sure you have added movies to your queue that are Available Now.

There's nothing else to do. We will ship your next available DVDs within 1 business day.

This statement is false. In fact, Blockbuster may not ship another DVD to you in one business day. They may take days to ship another DVD to you. If you call Blockbuster and ask why they have taken longer than one business day to ship a DVD to you, they will give you a variety of excuses. Blockbuster's favorite excuse is that the delay is your fault because you do not have enough available DVDs at the top of your queue.

How does Blockbuster get away with insisting subscribers have certain quantities of Available DVDs at the top of their queues? As long as the subscriber has at least one Available DVD anywhere in his or her queue, Blockbuster should ship something.

The fact is Availability is a very vague concept at Blockbuster. Just because a DVD shows up as Available in your queue, it does not mean the DVD is actually available. A title may be in abundant supply for the rest of the country, but if that title does not happen to be in ample supply in your shipping area, you could wait a long time to receive an "Available" DVD.

Also, why is availability such a ludicrous problem at Blockbuster? If DVDs have wait statuses of Short Wait or greater for month after month, doesn't that mean Blockbuster's supply is insufficient? Most of these DVDs are readily available for sale on the Internet. Many of them are available for very reasonable prices. If these Internet retailers can stock these titles, why can't Blockbuster?

Blockbuster Sometimes Post-Dates Store Transactions for Online Subscribers

2009-05-29T14:32:00.002-04:00

The next time you exchange an online DVD for a store DVD at Blockbuster, check the date on your rental history on Blockbuster's Web site. You might notice that Blockbuster's system will sometimes indicate you rented and/or returned a store DVD one day later than you actually did.

For example, if you exchange an online DVD for a store DVD on 5/25/09 and return that same store DVD on 5/27/09. Your rental history on Blockbuster's Web site may sometimes erroneously indicate the transactions took place on 5/26/09 and 5/28/09.

Even when considering time zone differences, there is no logical explanation for these errors. Oddly, the process does not seem to work in reverse. These errors seem to only show some transactions taking place later than the actual dates. The system does not seem to be indicating transactions are taking place earlier than the actual dates. Why are the errors only resulting in apparent late transactions?

This practice of post-dating transactions might benefit Blockbuster, because--on paper--it might seem a subscriber held an online DVD one day longer than the subscriber actually did. This would artificially show a Blockbuster Online subscriber as being less active than the subscriber actually is, which would look better on Blockbuster's balance sheets, because subscribers who are less active are generally more profitable. The errant record keeping might also hide that Blockbuster took too long to ship an online DVD after the return of a store DVD. Post-dating a transaction makes it appear Blockbuster took one day less to ship a DVD than it actually did. In short, post-dating store transactions makes the subscriber appear to be slower and Blockbuster Online appear to be faster. Since store transactions take place in person, Blockbuster cannot directly delay when a subscriber gets a store DVD, but Blockbuster can delay when that subscriber gets the next online DVD by adding an extra day through the practice of post-dating.

Another strange thing is Blockbuster's ship and receive dates for online rentals seem to be fairly accurate. The post-dating seems to be isolated to some store DVDs upon rental and return.

To investigate this post-dating issue for yourself, click on the Rental History link located just above the At Home section of your Blockbuster Online queue and crosscheck Blockbuster's reported dates with the actual dates from your own records.

Make sure to keep accurate records of all of your transactions with Blockbuster. You may need these records to defend yourself against Blockbuster at some point. These records will also come in handy if you choose to take action against Blockbuster at some point in the future.

Blockbuster Store Returns May Sit in Queue's At Home Section Indefinitely

2009-05-27T14:42:00.005-04:00

Be aware that you must check the At Home section of your queue at least once per day. Blockbuster Online seems to have a system problem or be engaging in an intentional delay tactic that will allow a returned DVD to sit idly in the At Home section of your queue for multiple days.

Even if you personally return a store DVD to a Blockbuster store and call the manager of the Blockbuster store to confirm the DVD has been scanned into the system, the DVD can still sit in your queue and occupy a shipping slot indefinitely. Every day a returned DVD incorrectly remains in the At Home section of your queue is a day you are not able to fully benefit from your subscription. Please note that Blockbuster will continue to charge you the full subscription fee even if unnecessary shipping delays of this nature are Blockbuster's fault.

The best thing is to call Blockbuster at the first sign of any shipping delay. You can reach Blockbuster toll-free at (866) 692-2789. Blockbuster may ask you to wait twenty-four hours before reporting a delay, but this is a ridiculous request. Blockbuster's system should be able to update at least hourly. If their system updates less than that, they need to fix it.