Once the pinnacle of entertainment, the DVD retail industry is growing obsolete as new online streaming platforms wipe them off the face of the Earth with every passing day. The advent of modern technology has changed our lives completely. Convoluted in the future, modern AI continues to grow rapidly with an exponential growth rate, picking out obsolete traditions and replacing them with their much more efficient counterparts. The inability of many businesses in the DVD rental industry to adapt to more innovative means of providing home entertainment to its customers was indeed a mistake that subsequently compelled them to close shops.
The truth is that the DVD rental industry just couldn’t keep up with the rapidly evolving milieu of Modern AI that we find all around us. The convenience with which a number of movies are at-the-ready is a major deal-breaker in the war between online streaming platforms such as Netflix, Amazon Prime and the DVD rental businesses such as Blockbuster LLC. The provision of an unlimited supply of video entertainment is certainly very appealing when it comes at the right price, and these platforms made sure that they did cater that to their customers.
With respect to this transition, cost has indeed been a major reason for the downfall of once the epitome of entertainment. Online platforms, with their advanced means of marketing and pricing policies, has broken the monopoly that many DVD retailers used to occupy back in the day. While the average cost for a single DVD still remains $5, on the other hand, the cost of a Netflix subscription plan with unlimited movies for a month is $14.99. This drastic difference proved to be the final nail in the coffin for the DVD retail industry.
The transition from DVD to online streaming services is made more evident by recent data collected by the Nash Information Services & Digital Entertainment Group. The overall sales of DVD in the United States have fallen from $16.3 billion to a mere $2.2 billion within a time period of 13 years. That’s a massive decline of 86% in sales, forcing more than 13,160 video rental shops go out of business. A decline of that proportion is surely to have ripple effect that followed on the US economy. Classic traditions proved to be not enough to cover the huge losses that these individuals were facing due to the colossal evolution epidemic.
The truth is that these online streaming platforms were in fact in the past a part of the DVD rental industry but seeing as to how the entire economic climate was shifting to a more futuristic approach, they decided to adapt to the new setting rather than stick to their outdated methods of dealing. Netflix was once a DVD retail business with just the provision of an additional mail-order service. When the upcoming business saw the potential in advancing its operations to a more internet-based expertise, they shifted from a dying industry to become one of the world’s largest TV entertainment providers.