Blockbuster has announced the addition of mail order game rentals to their By Mail home delivery subscription service.
In a press release, the struggling video and game rental retailer revealed details about the service, which will offer customers access to over 3,000 game titles for Xbox360 Wii, PS3, and more.
"The addition of games for our BLOCKBUSTER By Mail customers -- from families looking for entertainment experiences they can enjoy together, to serious gamers -- is yet another convenient way to access entertainment content from Blockbuster," said Blockbuster Sr. VP Kevin Lewis. "This enhanced offering supports Blockbuster's multichannel strategy and shows our commitment to being the leading provider of home entertainment content."
This is the latest move by the ailing company to boost business and reduce massive debts that have had it teetering on the verge of bankruptcy for several months. Blockbuster’s financial situation has been so dire that they were actually delisted by the New York Stock Exchange in July.
Customers who are already subscribing to rent DVDs using Blockbuster’s By Mail service will not see an increase in their $8.99 per month subscription fee (for one title out at a time) to take advantage of game rentals. The same pricing is also available to new customers, with no limits or late fees for games or movies as long as the subscription is active.
The new business strategy puts Blockbuster in direct competition with Gamefly, a mail-order service that is strictly for games. Starting at $15.95 per month, Gamefly is substantially pricier although they offer over 7,000 game titles, more than double that of Blockbuster’s selection. In addition to pricing, Blockbuster has the advantage of offering a substantial movie and television show selection which could be an attractive feature for current Gamefly subscribers.
Even if the new By Mail game rental model proves successful for Blockbuster, bankruptcy may still be inevitable. The company is currently facing a looming $100 million interest payment deadline this month, but could receive a one-month extension to prepare for a Chapter 11 filing in September, according to the Wall Street Journal.
Will the addition of games convince you to try Blockbuster by mail again or is the company still on the fast track toward oblivion?
