It’s interesting that APPLEBOX and Quickflix both offer online rental models. Our main difference is our distribution processes. Quickflix by post, APPLEBOX by local pickup. And (as you point out) with people now selecting on-line, the ultimate evolution will be to switch the distribution model to VOD (once it becomes truly viable).

Perhaps the figures somewhat relate to the increasing proliferation of larger DVD rental mega-stores. In any case, such emerging threats to the local DVD rental market (eg DVD rental mega-stores, the retail sector, etc) would similarly represent a threat to all DVD rental models, including the postal model.

Perhaps it’s time for both the traditional and postal DVD rental business models to evolve.

Based on the figures, the overwhelming millions of traditional DVD rental members have chosen to not migrate to the postal model – despite the widespread advertising coverage. Whilst Applebox does not appear to be an evolution just yet, it does provide a somewhat hybrid business model of delivering the benefits of the internet to the established traditional profit driven DVD rental business model and its many members.

Perhaps the real evolution will come when you provide your slice of the millions of traditional DVD rental members, already happily interacting through your hybrid Internet store model, with the choice of VOD when it eventually becomes more viable.

A better mouse trap – time will tell.

Good luck.

Daz