Paul Uniacke is tenacious to say the least! He’s had a set top box strategy in place since at least 2005. It faltered with a failed partnership with Mobilesoft last year (Mobilesoft went into receivership), but has since been resurrected with a new partner in the form of Digisoft. The idea is that true Video on Demand is still a decent way off, so why not bridge the gap with a local store download service that circumvents poor broadband performance. The process:
- Local store places a download kiosk on their floor. The kiosk is filled with latest release movies in digital format (licenced and with DRM in place)
- Customer buys a USB key or iPod, and download movies to device
- Customer buys a set top box for home, and uploads movies to device
- Customer watches movies at leisure, only gets billed for those watched, DRM deletes the movie once done.
Video Ezy’s GM, Andrew Gardiner, says “You could go to the shop once a month and download 20 movies and only pay when you watch them.”
I love the idea of downloading 20 movies, then pick and choose what I want to watch from home. Even if I have to wait 20 minutes for 20 movies (at a slowish 1min/gig, 20 mins for 20 gig), that doesn’t seem too bad. Even better if I only pick 1 or 2 movies. High Def, Blu-ray style will of course push those times out.
But I’ve also got problems with this:
- If I’m going to fork out $600 for extra AV kit, it ain’t going to be Video Ezy’s stuff. To put that amount of money down and be locked into movies from my local Video Ezy? Think I’d rather get a Blu-ray player, or Apple TV, put my money toward a high def TV or a kick-ass DVR like Beyonwiz or TiVo (should TiVo ever come to Oz).
- Kiosks just don’t scale! They beauty of Video Ezy’s current model is they can absorb 100 people all at once browsing shelves on a Saturday night. I’m not going to wait 15 mins for someone browsing a kiosk.
- Content is King. Video Ezy better have a great catalogue in the kiosks. Good luck, because BigpondMovies download is hardly impressive, even with the might of Telstra behind it.
- Why can’t I do it online? Then I don’t have to even go to the local store .. but wait .. that’s straight up VOD.
I sorta like the idea, I like it that Video Ezy are trying to inject new life into their operation. But I just can’t see it working. The $$ outlay for their gear is just too much (can I rent it?). Kiosks don’t scale well. By the time Jo Public gets the idea, Apple TV will eat the stb model’s lunch. Kiosks of course don’t have to sit in franchisee stores .. they can sit in an IGA or Coles just as easily. Perhaps this is a plan for Video Ezy to expand beyond their franchise boundaries?
With all it’s problems, I think there’s a better model out there