Blockbuster Taps Accenture to Support New Online Subscription Service
NEW YORK and DALLAS; Aug. 12, 2004 – Blockbuster Inc. engaged Accenture to build and deploy Blockbuster’s new online subscription service, which was introduced earlier this week, the companies announced today. The new service, BLOCKBUSTER Online™, allows consumers to rent movies online and return them at their convenience with self-addressed return envelopes.
BLOCKBUSTER Online is available for a monthly fee of $19.99 and allows subscribers to have up to three DVD movies out at a time plus an additional two free in-store rentals per month. During the past nine months, Accenture worked closely with Blockbuster to build the infrastructure of the new online business, which complements Blockbuster’s network of more than 5,000 stores across the country. Accenture’s work included consulting with Blockbuster on building the systems and software necessary to support the service, defining and implementing the product allocation and inventory management functions, launching the distribution centers and designing the business operations needed to support the complex logistics involved in running an online DVD rental business.
“Blockbuster drew on Accenture’s knowledge and experience in technology systems integration, business processes and supply chain management as we built this new business unit,” said Shane Evangelist, Blockbuster vice president and general manager of BLOCKBUSTER Online. “With the launch of our online service, we are now delivering a high-quality and innovative subscription service to consumers nationally.”
Additionally, Accenture assisted Blockbuster with designing and building the website, where members keep their personal movie queue of top movie selections. BLOCKBUSTER Online monitors these selections and automatically sends members their first available choices. Subscribers return the movies in postage paid, self-addressed envelopes that can be mailed from anywhere in the United States. Once a movie is returned, Blockbuster ships members another DVD from their movie queue.
“We are very excited about the opportunity to have helped Blockbuster enter this dynamic business,” said John Romanow, a partner in Accenture’s Media & Entertainment group. “Accenture’s excellence in delivering high performance solutions is helping Blockbuster offer an exciting and convenient new service for customers.”
About Blockbuster Inc.
Blockbuster Inc. (NYSE: BBI) is a publicly traded subsidiary of Viacom Inc. (NYSE: VIA, VIA.B) and a leading global provider of in-home movies and game entertainment with approximately 9,000 stores throughout the Americas, Europe, Asia and Australia. The company may be accessed worldwide at blockbuster.com. Viacom is a leading global media company with preeminent positions in broadcast and cable television, radio, outdoor advertising and online.
Accenture is a global management consulting, technology services and outsourcing company. Committed to delivering innovation, Accenture collaborates with its clients to help them become high-performance businesses and governments. With deep industry and business process expertise, broad global resources and a proven track record, Accenture can mobilize the right people, skills, and technologies to help clients improve their performance. With approximately 95,000 people in 48 countries, the company generated net revenues of US$11.8 billion for the fiscal year ended Aug. 31, 2003. Its home page is www.accenture.com.
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