Consumers have a number of options when it comes to viewing movies at home. Two of the most popular are renting movies at the local video store and renting movies via an online service. An informal survey was recently conducted on a home electronics/entertainment site regarding the movie viewing habits of website visitors. The results pointed to some of the misconceptions that still exist about online rental of DVDs by consumers that have not yet tried the service. Participants in the survey were asked a number of questions, including how often they watch movies at home, whether or not they rent movies online, and if not, why. Nearly 28 of those responding indicated that they rent movies online. Of the remainder, the most frequently cited reason for not using an online movie rental service was concern which centered around the perception that online movie rental would be more expensive than the local video store. When looking at a couple of scenarios it becomes evident which method tends to be more affordable.
For individuals who indicated that they watch only 1 to 3 movies per month the savings from renting online are small. Renting 2 movies per month at the local video store would average around 7.40 whereas renting from Netflix for example, if they chose the plan that has a limit of 2 123movies websites per month, would run 5.. After getting a video at the local store the user would have overnight or perhaps one week to return the movie but an online rental would allow them to keep the movie for an unlimited period of time. For those individuals who responded that they view 1-3 movies per week, the savings would be more significant. For instance, renting 8 movies per month would run around 2.55 at the local store and as low as 14. online if they chose the 2 out at a time plan or 17. for the 3 out at a time plan. As viewing increases so does the likelihood of experiencing greater savings.
For those who responded that they view 4 movies per week averaged out to 16 per month the average cost at the local store would be 5.04 while online rental would be 23. allowing the user 4 out at a time. Renting through a service like Netflix generally does not limit how many movies a person views but rather, how many movies they can have out at any given time. Therefore rentals are more or less unlimited with many of the plans.