Rental shop
Encyclopedia
A rental shop, also known as a video library, is a business that allows a consumer
to temporarily obtain a reusable good or product
for a specified period of time in exchange for payment, a process known as renting
. Typically, a rental shop will conduct business with customers under conditions and terms agreed upon in a rental agreement or contract
, which may be implied, explicit, or written.
number. If items are returned late, the shop usually charges late fee
s, which typically accumulate day by day. Some shops now have policies where instead of late fees, they will treat overdue items as a sale after a certain date, and charge a price equivalent to a standard sale of that object (with appropriate deductions for the rental fee already paid and for its pre-opened condition).
The most common type of rental shop are video rental outlets, offering primarily movie
s. Many such rental shops also offer music
or computer games as well. Some video rental outlets use a kiosk or vending machine
to dispense and collect rentals. Other types of rental shops include car and truck rentals, construction and heavy equipment rentals, sporting goods and recreational rentals, television and domestic appliance rentals, and customer rentals.
In 2010, a report indicated that in the United States, public libraries
collectively loaned more videos than the online rental outlet Netflix
.
s or DVD
s to deter copyright infringement. In some cases, the rights of consumers in Europe and the US are in fact significantly broader than described in such warnings.
There would typically be a two- to three-month delay between the time a movie was available for rental, and when the movie could be purchased by the consumer. (In reality, the video was available, but priced for rental shops and film enthusiasts who wanted to own a copy of the film at the earliest opportunity. The pricing was between $70 and $130). This started changing with the advent of movie releases on DVD. Blockbuster
video refused to use the VHS strategy for DVD, so the studios began releasing DVDs at an initially lower price. During 1998, retailers would have the DVD version of a film available for sale the same day the VHS version was available for rent. This later changed, with release dates for VHS and DVD coinciding. In 2008, this also occurred when the Blu-ray Disc format was introduced as the successor to DVD. A movie will be available on Blu-ray and DVD on the same day.
In some rentals the boxes are on the shelves, but the actual media (Blu-ray Disc, DVD, or video game disc) is kept behind the desk, therefore reducing any risks of theft (since the most someone can steal from the shelves is the box). The media is put into the box at the same time that the rent is signed. Or the case may be locked and can only be unlocked with a special instrument kept behind the video shop counter.
In some countries, a vending machine
and a credit card
are employed by the user to rent the Blu-ray Disc or DVD.
Consumer
Consumer is a broad label for any individuals or households that use goods generated within the economy. The concept of a consumer occurs in different contexts, so that the usage and significance of the term may vary.-Economics and marketing:...
to temporarily obtain a reusable good or product
Product (business)
In general, the product is defined as a "thing produced by labor or effort" or the "result of an act or a process", and stems from the verb produce, from the Latin prōdūce ' lead or bring forth'. Since 1575, the word "product" has referred to anything produced...
for a specified period of time in exchange for payment, a process known as renting
Renting
Renting is an agreement where a payment is made for the temporary use of a good, service or property owned by another. A gross lease is when the tenant pays a flat rental amount and the landlord pays for all property charges regularly incurred by the ownership from landowners...
. Typically, a rental shop will conduct business with customers under conditions and terms agreed upon in a rental agreement or contract
Contract
A contract is an agreement entered into by two parties or more with the intention of creating a legal obligation, which may have elements in writing. Contracts can be made orally. The remedy for breach of contract can be "damages" or compensation of money. In equity, the remedy can be specific...
, which may be implied, explicit, or written.
Overview
Typically, a customer must sign up for an account with the shop and give billing information like a credit cardCredit card
A credit card is a small plastic card issued to users as a system of payment. It allows its holder to buy goods and services based on the holder's promise to pay for these goods and services...
number. If items are returned late, the shop usually charges late fee
Late fee
A late fee, also known as a late fine or a past due fee, is a charge levied against a client by a company or organization for not paying a bill or returning a rented or borrowed item by its due date. Its use is most commonly associated with businesses like creditors, video rental outlets and...
s, which typically accumulate day by day. Some shops now have policies where instead of late fees, they will treat overdue items as a sale after a certain date, and charge a price equivalent to a standard sale of that object (with appropriate deductions for the rental fee already paid and for its pre-opened condition).
The most common type of rental shop are video rental outlets, offering primarily movie
Film
A film, also called a movie or motion picture, is a series of still or moving images. It is produced by recording photographic images with cameras, or by creating images using animation techniques or visual effects...
s. Many such rental shops also offer music
Music
Music is an art form whose medium is sound and silence. Its common elements are pitch , rhythm , dynamics, and the sonic qualities of timbre and texture...
or computer games as well. Some video rental outlets use a kiosk or vending machine
Vending machine
A vending machine is a machine which dispenses items such as snacks, beverages, alcohol, cigarettes, lottery tickets, consumer products and even gold and gems to customers automatically, after the customer inserts currency or credit into the machine....
to dispense and collect rentals. Other types of rental shops include car and truck rentals, construction and heavy equipment rentals, sporting goods and recreational rentals, television and domestic appliance rentals, and customer rentals.
In 2010, a report indicated that in the United States, public libraries
Public library
A public library is a library that is accessible by the public and is generally funded from public sources and operated by civil servants. There are five fundamental characteristics shared by public libraries...
collectively loaned more videos than the online rental outlet Netflix
Netflix
Netflix, Inc., is an American provider of on-demand internet streaming media in the United States, Canada, and Latin America and flat rate DVD-by-mail in the United States. The company was established in 1997 and is headquartered in Los Gatos, California...
.
Rental and copyright
The rental of books, CDs and movies is covered by copyright law. Copyright owners sometimes put warning notices on the packaging of products such as Blu-ray DiscBlu-ray Disc
Blu-ray Disc is an optical disc storage medium designed to supersede the DVD format. The plastic disc is 120 mm in diameter and 1.2 mm thick, the same size as DVDs and CDs. Blu-ray Discs contain 25 GB per layer, with dual layer discs being the norm for feature-length video discs...
s or DVD
DVD
A DVD is an optical disc storage media format, invented and developed by Philips, Sony, Toshiba, and Panasonic in 1995. DVDs offer higher storage capacity than Compact Discs while having the same dimensions....
s to deter copyright infringement. In some cases, the rights of consumers in Europe and the US are in fact significantly broader than described in such warnings.
Blu-ray Disc, DVD, and VHS rental
Blockbuster (movie rental store)
Blockbuster LLC is an American-based provider of home video and video game rental services, originally through video rental shops , later adding DVD-by-mail, streaming video on demand, and kiosks. At its peak in 2009, Blockbuster had up to 60,000 employees. There are around 1700 Blockbuster...
video refused to use the VHS strategy for DVD, so the studios began releasing DVDs at an initially lower price. During 1998, retailers would have the DVD version of a film available for sale the same day the VHS version was available for rent. This later changed, with release dates for VHS and DVD coinciding. In 2008, this also occurred when the Blu-ray Disc format was introduced as the successor to DVD. A movie will be available on Blu-ray and DVD on the same day.
In some rentals the boxes are on the shelves, but the actual media (Blu-ray Disc, DVD, or video game disc) is kept behind the desk, therefore reducing any risks of theft (since the most someone can steal from the shelves is the box). The media is put into the box at the same time that the rent is signed. Or the case may be locked and can only be unlocked with a special instrument kept behind the video shop counter.
In some countries, a vending machine
Vending machine
A vending machine is a machine which dispenses items such as snacks, beverages, alcohol, cigarettes, lottery tickets, consumer products and even gold and gems to customers automatically, after the customer inserts currency or credit into the machine....
and a credit card
Credit card
A credit card is a small plastic card issued to users as a system of payment. It allows its holder to buy goods and services based on the holder's promise to pay for these goods and services...
are employed by the user to rent the Blu-ray Disc or DVD.
See also
- LeasingLeasingLeasing is a process by which a firm can obtain the use of a certain fixed assets for which it must pay a series of contractual, periodic, tax deductible payments....
- Online Blu-ray Disc and DVD rentalOnline DVD rentalDVD-by-mail services allow a person to rent DVDs, Blu-ray Discs, video games and VCDs, among other film media online; for delivery by mail. Generally, all interaction between the renter and the rental company takes place through the company's website....
- Blu-ray Disc formatBlu-ray DiscBlu-ray Disc is an optical disc storage medium designed to supersede the DVD format. The plastic disc is 120 mm in diameter and 1.2 mm thick, the same size as DVDs and CDs. Blu-ray Discs contain 25 GB per layer, with dual layer discs being the norm for feature-length video discs...
External links
- "Video stores still making a go at attracting business (answer poll)." Gaston Gazette. September 24, 2010.
- Dawson, Jennifer. "The incredible shrinking video stores!" Houston Business Journal. Friday April 21, 2006.