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Blockbuster Australia Essay

Blockbuster Australia is a subsidiary of Blockbuster Inc. that operates more than 400 stores in Australia. The company’s leadership in Australia is made possible through the acquisition of smaller video rental houses and the franchising of the company brand to other businesses. Blockbuster is noted for its commitment to provide the most convenient means for its customers to access movie and games using multiple channels of distribution, like its physical stores, by mail, and through the Internet.

Worldwide retail home video industry revenues for 2007 reaches more than $20 billion, half of the sales came from international locations, like Australia. The retail home video industry is an important market for movie studios as box office performances are not enough to provide studios with profits. Blockbuster Australia’s success in capturing a large portion of the multi-billion industry is largely due its number of stores, franchisees, and sources of information.

The company’s sources of information include: word of mouth, print advertisements, online data sources, and social networking sites. Word of Mouth Word of mouth happens when there is a verbal exchange of information, generally, of positive nature, like recommendations and referrals. Blockbuster takes care of its customers so that they’d tell their friends and acquaintances to obtain their home video needs from any of its outlets. Word of mouth can be made through face-to-face communication or through the phone, e-mail, and SMS.

Marketers expands the use of word of mouth as a promotional technique. Instead of waiting for the natural buzz to happen because of excellent products and services, the company creates its own buzz by engaging individuals to talk about the company and its products. In the Internet, word of mouth promotion can happen in blogs, forums and social networking sites. A person engaged by the company can offhandedly insert a good comment or begin a conversation that would have an underlying promotional intent. Print Advertisements

Promoting products and services in print is a classic marketing technique that remains highly effective. Blockbuster can buy spaces in newspapers or magazines to increase customer awareness and maintain visibility. The company can also create paper handouts that would lists their latest offerings and hand them to customers who visit their stores. Not only will the customers read about the company, others around that person would also learn about the company. Online Data Sources There are many online advertising and marketing services offered in the World Wide Web.

For instance, Blockbuster can go to Business for Sale Online to promote its products and services. It can also employ affiliate marketing to boost traffic to its site and increase sales. Social Networking Sites Social networking sites are highly popular places for all sorts of people from all age groups to gather and exchange information. Blockbuster can post an advertisement on any of this site to increase customer recall. The company can even engage marketers to talk about it in a manner that does not sound like a promotional pitch. BIBLIOGRAPHY

Business for Sale Online (September 11, 2000), http://www. businessonline. net. au/main. htm Sorce, Patricia, and Dewitz, Adam. “The Case for Print Media Advertising in the Internet Age. ” New York: Printing Industry Center at Rochester Institute of Technology, 2007. http://print. rit. edu/pubs/picrm200602. pdf United States Securities and Exchange Commission. “Blockbuster Inc. Form 10-K. ” http://sec. gov/Archives/edgar/data/1085734/000119312507044360/d10k. htm (accessed October 14, 2008). “Word of Mouth. ” Answers Corporation (2008), http://www. answers. com/topic/word-of-mouth

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