Wal-Mart Cuts 2-Title Rental Fee 16 Percent10 Jan, 2005 By: Erik Gruenwedel
Wal-Mart's nascent online subscription service has cut its “Double Feature” monthly fee for two rentals at a time from $15.54 to $12.97.
Described as the mass retailer's most popular rental plan, the 16 percent price cut comes two months after the company reduced its standard three-title subscription plan from $18.76 to $17.36 — 63 cents below a similar plan from online rental pioneer Netflix.
No. 1 video rental company Blockbuster currently charges the lowest monthly rate for three titles at $14.99.
Wal-Mart also offers a four-title plan for $21.94 a month.
The industrywide price cuts for online rentals are seen by some as a response to scuttlebutt that Amazon will enter the market — as it has in England.
“As a retailer, we continue to review the changing competitive landscape and maintain our focus on providing customers a great value,” said Amy Colella, a Walmart.com spokesperson. “The recent price adjustment to our DVD rentals' ‘two-disc' plan is a business decision to uphold this commitment.”