1:50PM Blockbuster announces incentives for Wal-Mart and Netflix online rental subscribers (BBI) 9.69 -0.09:-Update- Co said that in response to Wal-Mart's announced discontinuation of its DVD rental service, BBI Online is offering both walmart.com (WMT) and Netflix (NFLX) online rental subscribers who switch their membership to Blockbuster Online two free months of service, a free retail DVD of their choice and the opportunity to subscribe to Blockbuster Online at their current walmart.com or Netflix price for the next year.
You are right, but its just a matter of the real world. Nothing unusual. In the Press conference this morning the CFO said that it will be easing off to 2.5% /month as they grow. What it means is that the average subscriber stays with them 1/.025 months or 40 months. Thats almost 3 and a half years! Then they go away and probably later come back. (like me...i was a sub from the earliest time--early adopter--)And when I left for France and later Argentina, I of course cancelled. When I get back to the states, I will renew.
Blockbuster doesn't reveal its number because IT SUCKS!!! Why else wouldn't they. You KNOW it has to be much worse than Netflix's. Especially with Netflix's high customer satisfaction. 4% churn now...leveling to 2.5% in the future. Yeah, you lose some , you gain more. Nothing bad about it.
It really hurts me to say this but...
The 150k number is basically about right. A 5% monthly churn at 3mm subscribers comes out at 150k. Although technically, at the last reported churn, we had less than 3mm subscribers. I think churn was a little higher than 5% too so maybe it balances out, maybe not. Maybe I'll look up the actual numbers later.
Unless I'm mistaken, this churn rate includes new subscribers that don't continue after their free trial. People like that guy that doesn't know the difference between 14 days and a month. I think they recently made some changes in how they calculate churn so it wouldn't hurt to check the 10k.
One thing we don't know is what bbi's churn is. As far as I can tell, they've never announced churn rates and it's been a while since they've announced specific subscriber numbers as well.
Dude, this whole bb is a joke. And he's wrong on his posts. pure and simple. He (bbi wins...)will never give acutal churn numbers because if he did the 150,000 number he posts would be shown a lie. BTW go back to a day I didn't post and tell me there were fewer posts by wmt wins.... All he does is reply to his own posts which are about 2 months old by this time.
he is paid by a third party to post bs and try to get a rise and influence negatively. the fact is the stock is up 50% since november when i got in so the only fool is the guy who is paying him or listening to him.
On Thursday, June 2, the stock traded at $15+ for about 10 minutes. 10 minutes!!! Guess who was waiting to sell as soon as this inflated balloon hit $15? McCarthy. He must have been salivating like a pig rolling around in the mud as he placed his order to sell @ 15.
Too bad Dillon could only get $14.44. Come on, pumpers, she's counting on you to do a better job. But don't worry, she'll sell to you even when this goes to $10.
SUPER STRONG SELL (even the insiders agree by virtue of their actions)