How Blockbuster Flopped - A Case Study for Entrepreneurs

Subscribe to Valuetainment:The Biz Doc, Tom Ellsworth dives into case study #7 How Blockbuster Flopped. This week you will hear a lesson on how a Blockbuster literally, missed out on adapting to the digital era and how eventually Netflix took over and now dominates the digital video space. How did this happen to a dominant company? Find out in this weeks case study. Grab your notebook, take notes and join the conversation as Valuetainment brings you case studies with The Biz Doc - a new way to learn entrepreneurial lessons.Please subscribe, comment and share to help educate entrepreneurs from all over the world. About Tom Ellsworth: THOMAS N. ELLSWORTH, is an experienced CEO / COO and entrepreneur. He has been disrupting industries and driving consumer shifts through Venture-backed companies in technology, software, publishing and mobile that have generated exits totaling over $1B. Watch the interview with Patrick Bet-David: Connect with Tom: About Blockbuster: Blockbuster LLC, known as Blockbuster, was an American-based provider of home movie and video game rental services through video rental shops, DVD-by-mail, streaming, video on demand, and cinema theater. About Netflix: Netflix Inc. is an American multinational entertainment company founded on August 29, 1997, in Scotts Valley, California, by Reed Hastings and Marc Randolph. It specializes in and provides streaming media and video on demand online and DVD by mail. Valuetainment- The Best Channel for Entrepreneurs

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Comments

I really enjoy it when he says, "DAMN!"
Man, they really didn't pay attention. They could have started a streaming service and possibly killed Netflix.
Could you do something like case studies on entrepreneurs and CEOs, like the Koch brothers, or Carlos Slim. I always wonder how individuals make it to become millionaires and billionaires.
Great case study. Look at technology available and ways to make it easier for customers. Revisit ideas every year that may now be possible.
Lesson learned: Adapt and adjust or die.
Served them right, their prices were outrageous.
Can we make a law that all our Politicians have to wear shirts like this guys?So we can tell who they are actually working for.
Sounds like the titanic.Too big to go down
Wow, just good to see the negative side of business.Ty Keep us on our toes
I believe a Case Study about SEGA could be nice !
Never stop making these
Can you please do case studys on the likes of Facebook, Google and Intel!
Great information! πŸ‘
Still going- awesome video Tom. Very interesting story.
Blockbuster's market looks like a shoe.
Interesting
One of the best case study!! In my opinion the conclusion is to be FLEXIBLE. Adapt to the change. Great one.. Loved it..✌ Still 7 days more till next caseπŸ˜‚ study!!
I love these case studies!
This just gave me a really great idea. Thanks.
Great case study given the state of the media landscape. I thought it was interesting that you mentioned the Netflix meeting offering to partner with Blockbuster to drop off mail videos at the store. I worked at Kozmo.com from 99-2001 and people could rent videos from them and they would get delivered via bike currier and they could drop them off at Startbucks in Kozmo.com drop boxes. After Kozmo went out of business in 2001 I was able to keep one of the drop boxes and had it for about 10 years before I lost it in a move. Thinking back to that box though makes me think of how the physical media really changed the landscape when the majority of things transitioned from VHS to DVD, and today everything is bits moving across the network. Lots and lots of bits.
Thank you for the video Tom. I was surprised that you actually tried to close a deal with them. They would have probably been around if they took the mobile phone route. Wayne Huizenga made a giant return on his initial investment and knew when to exit. Knowing when to exit is so crucial in business. This is something that i've been seeing in all the case studies about failed companies.
Blockbuster? More like Blockhead amirite? Sorry Blockbuster.
It's a delight to watch a smart millionaire with humor to elaborate business stories that are valuable as hell. Thanks Tom, Patrick and Team!
The epic video picture compelled me to open the video even if I'm not interested in the content. Now, I'm interested. That looked good on you, Tom. :)
I think Viacom is the worst in term of its own operation and customer service. They control nearly every entertainment we watch but somehow they are just ignorant to adapt to digital age.
Tom keep up the great work I love your videos I've learned alot of business history πŸ‘πŸ‘Œ
Hi Valuetainment, watching your vids every day!!!
Learn to adapt
Like most videostores ; they didn't care about their core-business ; they didn't care about their product.
Perfect...
Check out my instagram for motovational quotes and tips of business and being an entrepreneur. Ig:Empire.of.hustlers
Looking for new case study suggestions? How about a story of relative success from a company who managed to compete with the big boys and is clearly driven by a central figure from the top, for example Horacio at Pagani or Christian at Koenigsegg? Cheers Tom
They had everything they needed to succeed. Instead they slid to a future death, because of their past decisions... ouch! Decisions might need to be undone, be fexible.
I watched all the case studies they are all good and i learned alot from them
Thank you for another great case study !! Love the shirts too you look like an entrepreneur F1 driver :D
This is poignant. Dec 2008 I was watching a DVD of the program "Heroes" rented from Blockbuster when I got the call from the rehab facility that my mother had passed.
Great case study!
An emotional connection between an organisation and a customer is one of the most valuable goals that a bussiness should have.
I love this case study series, keep going guys! You are killing it!
Could you do one of IBM? Going from the behemoth that it was to how it has had to pivot to survive? Thanks, love your content as always!
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Honestly thank you so much for the case study videos!! They're incredibly educational
It really shows how 'what got you here won't get you there'.
I'm just working on a Netflix strategy plan for university and this video is awesome!
Awesome case study. its amazing, i am 34 now and you'd never think blockbuster can go out of business. Also i like how you stressed the fact that resources like Viacom do not guarantee success. wow wow wow. theres hope for me. great presentation.
A problem wih many companies is their focus on the past. They want to continue with what they have always done instead of making room for improvements
What a great episode. That's how new innovative companies kill giants. Thanks Tom!
Case studies are one of the best additions to Valuetainment since Mario! haha
Blockbuster never died. They have retail stores left and own Sling Television - a very nice "not cable" TV provider. As for the movies-on-phones thing, I do like the idea, but there is also other means of doing that.. Eh.
Great case study ! Very helpful Tom. Maybe Target Canada Next! lol
Does anybody else think he sounds and talks a bit like Steve Jobs?
A case study on RBS would be nice, since its a intersting story and the logo is on Tom's shirt.
Hahahaha that part with the Matrix
"There's a word for that... DAMN!" Haha πŸ˜‚ Well done Tom πŸ‘
I miss Blockbuster. I liked browsing the isles looking for titles I haven't seen in a while.
Great presentation delivery and I like the exclamation jokes you have!DAAMN. Great to see you speak about your experience within these case studies as well having that inside view on the matter!Amazing segment addition to Valuetainment!Enjoyed every single one and learning a lot from them!
Great job. Loved this case study!
I love this CASE STUDY series !! can't wait 2 see more brands and companies.
Happy New Year Tom and thank you!!!
Thank you, I look forward to learning from these examples every single week so keep them coming.
Wow....... you really looks like neo !!!
Gr8 job Tom........#WizeCounselor
Lesson: Be open-minded, learn to adapt to your market, and be adept!
Tom another great content Patrick is soo lucky to have you as a mentor... one of my goals for 2017 is to fly you both lads in in dubai all at my cost soo i can spend a bitof time with you legends... Tom and pat you're going to beremembered forever... you're company PHP is really helping change lives even on youtube.!
Hiii dear sir can you do studys of pepsi take place of cocacola in some countries especially in medleast
I use to love Blockbuster, thank you for sharing, now I know what happened. Now I knowwhat to look for.
Mind Blowing!!......... Lesson here is "Keep learning and evolvingat every stage of your life and business" .. Once again I love the music in the end ;) ................... So thankful for this video Tom.
Sorry Patrick...Tom might just have the best video series on Valuetainment!Β Haha, but great stuff from both of you. Keep up the great work!
Tom, If you make your own channel, I will subscribe to it.
There's a very slight difference between this case and the case ofMarlboro and Winston discussed by Pat. My question is, are such slight differences sorted out by gut only or something else that I'm missing out? Focussing on the group of customers, makes both the case lot different, but in Blockbuster case they ignored out the current conditions, was that just due to poor management? or is it just two different cases of adaptation and customer focus?
So much contents and values in your videos Tom. Thx for all the works you put in and all your advise.
As always, excellent πŸ‘πŸΌ Thank you
Loved it.Frightening too :(
Again, awesome content!
Such good content. One of the best channels on youtube. Tom,Β keep 'em coming, please, this case studies series is great.
My second video for case studies is done
Fascinating... one of the phrases that just jumped put the video to me was "800 million of annoyed consumers". Money, even though it's a huge amount, made on a negative consumer experience is short-lasting!
Great! That outro song tho πŸ˜„
Awesome dissection of BlockBusters demise! However I am surprised you didn't mention the part that RedBox played in this as well.
Forward thinking!! Good information!
Case study for Kodak!!!!!!!!!!
Tom Ellsworth, I LOVE how informative and educative you are while doing a case study. If there's still a room for improvement, I would recommend case study video to have some kind of "Story Summary" or "Story Timeline" about that story fact and figure display on the screen while the story being told. Because sometimes the story becoming a bit complicate/mind twisting and viewer might miss the important fact & figure about the story. What happen to me is I will rewind over and over again on the fact and figure part so that I can memorize/take note because it will relate and make sense at the end. Hope this help. Thanks Biz Doc! peace from Malaysia.
The founder of Netfix sawa problem and created a solution. A Typical trait of an entrepreneur. He had " Vision" because he saw an innovative way to deal with renting movies. He also studied his customers movie habits to address a need, and created an MVP that skyrocketed. Despite of all its resources, contacts, financial advantage, Blockbuster did not react fast enough, and did not pivot properly to sustain its survival.
Loving these case studies! I feel like I'm getting a video MBA, without the huge time & money investment. Kudos to y'all for wanting to produce more entrepreneurs.
This is capitalism at its best . It was a progressive dissatisfaction that sparked the creation of Netflix . , that's the idea of entrepreneurship, building better services and making billions. I like the video and the presentation of Tom ellsworth
Great video
Keep up with the case studies, great job!
Tom I dig your shirt..
Tom you made me chuckle with the Morpheus cameo. Keep up the great work. Watched every one of these!
Hi tom and team ..... its that word , which you introduced a few weeks back .... HUBRIS !!!! NOT BEING PROACTIVE OR EVEN REACTIVE GOT THEME WHERE THEY WENT . FANTASTIC REMINDER . YOU BREAK THINGS DOWN AND DISTILL FOR US Β THANK YOU .
Loved this
This was a great case study Tom. Much appreciated!
Subscribed!
This case study has to be on of the most peculiar business stories ever told, this is another case of a Kodak moment.The captain literally fell asleep on the wheel.I done more reading and I learned Blockbuster chief John Antioco turned down $50M offer to buy Netflix.Great presentation thanks.
Great πŸ‘πŸ»
Great content. We need more insider to feel the story. When you explain how was your negotiation with them,it was really interesting. Thanks Love from Paris
Love it
Love the Williams F1 shirt!

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How Blockbuster Flopped - A Case Study for Entrepreneurs