3 ms·

Supply and demand. A thing is worth what another is willing to pay for it. Those $5 streaming "rentals" are for those actually willing to pay $5 to watch that

Supply and demand. A thing is worth what another is willing to pay for it. Those $5 streaming "rentals" are for those actually willing to pay $5 to watch that movie right now. It's worth it to them. Eventually the $5 rental crowd is satiated, and the "not more than $4" crowd gets a chance as the price is lowered to match what others are willing to pay for it. Eventually that price tapers off to "$8/month buffet" and ends up on my Netflix queue. They DO lower the cost - as those willing to pay higher prices do so, are satiated, and the audience temporal/economic demographics shift. It's not just about price per rental, it's price plus time per rental. Some movies I'll pay $15 to watch on day of release; some I'll happily "spend" time waiting for so I only spend $1 to watch it. And yes, I'd happily get "that, here, now" for $5 rather than pile 4 people into the car, drive to Blockbuster, ask if they have it, find out the 2 copies are out, and wander the aisles for an hour reviewing what they do have and picking something ("Masters of the Universe"!) just to not completely waste the whole exercise (and decide that just leaving would have been better than watching "Masters of the Universe" only because it was the only thing vaguely appealing at the moment). Even with Redbox I at least have the option of looking for something new in particular and reserving it, from whichever of several nearby locations, for $2 from the convenience of my phone. Come John Wick 2 I'll have already pre-ordered it and be watching it, without the crowd, the moment it's available (and happy to pay the $19 to do so, having seen John Wick twice thanks to the $1 streaming specials).

PaulHoule 10y ago
Great point. People complain about windowing, but it is a sign that the movie industry is flexible about pricing to maximize the value they capture, unlike the music industry, TV industry, etc. When a movie comes out these days it often comes out in multiple editions with different features (not to mention Blu Ray, DVD or both) at different price points. If you want it right away you will pay a high price, but the movie they sell for $20 one day will probably be on sale for $10 or $5 at some point in the future. Thus, go to a retail store, and you will be able to buy a movie at a price you can afford or you can pay extra to get a better edition of something specific. Contrast that to music CD and track prices that are almost always the same, or the "take it or leave it" bundle offered by the cable companies.
- e12e 10y ago
  > Thus, go to a retail store, and you will be able to buy a movie at a price you can afford or you can pay extra to get a better edition of something specific. Nit; it's not really an option to buy above a price you can afford. It's certainly possible to pay more than one would normally think is fair.

PaulHoule 10y ago

Great point. People complain about windowing, but it is a sign that the movie industry is flexible about pricing to maximize the value they capture, unlike the music industry, TV industry, etc. When a movie comes out these days it often comes out in multiple editions with different features (not to mention Blu Ray, DVD or both) at different price points. If you want it right away you will pay a high price, but the movie they sell for $20 one day will probably be on sale for $10 or $5 at some point in the future. Thus, go to a retail store, and you will be able to buy a movie at a price you can afford or you can pay extra to get a better edition of something specific. Contrast that to music CD and track prices that are almost always the same, or the "take it or leave it" bundle offered by the cable companies.

e12e 10y ago
> Thus, go to a retail store, and you will be able to buy a movie at a price you can afford or you can pay extra to get a better edition of something specific. Nit; it's not really an option to buy above a price you can afford. It's certainly possible to pay more than one would normally think is fair.