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Wal-Mart kills video download service

Posted Dec 28 2007, 02:15 PM by Kim Peterson
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Wal-Mart has canceled its online video download service, blaming HP for discontinuing the technology behind it. What a lame excuse. If the Wal-Mart video store was doing well, do you think HP would yank the engine powering it?

The reality is that few people used it. Those who did were not impressed. On paper, the service sounded great. All the major movie studios participated. New releases cost up to $20, and older films sold for as much as $10. TV shows were available the day after they aired for $2. Wal-Mart claimed it would only take 45 minutes to download a "near-DVD" video using a high-speed connection.

So why didn't it work? According to HP, the market for paid video downloads didn't perform as well as it had expected. I think Wal-Mart is having a tough time figuring out its online strategy. Does anyone remember "The Hub," the retailer's attempt at social networking? Shut down after 10 weeks, the site was supposed to be a place where teens could upload photos and videos and talk about Wal-Mart products.

Give the company kudos for at least trying to experiment. But Wal-Mart's brick-and-mortar brand simply overpowers its online identity. I think of Wal-Mart's site as the place to buy the same inexpensive items its stores sell. You go in, find what you need and get out -- just like you would in an actual Wal-Mart. It's not a place to linger, download videos or chat with your friends. 

As I look at the site today, I see that Wal-Mart is promoting price rollbacks, low-calorie water and products to help you quit smoking. That's the kind of stuff people visit the site for -- not near-DVD video downloading.

Comments

 

Corporate America is in business of squeezing every dollar they can from American workers and taxpayers  while they either squeeze out ever minute of cheap labor or they import illegal immigrants.  

If you are a mere US worker,  Wal-Mart is never on your side.

Wal-Mart has actually helped keep inflation in check.  Unfortunately the money saved by shopping there burns a hole in the avg American's pocket if it isn't spent on some other unneeded garbage good or service.  How about take the money you saved by shopping at Wal-Mart and putting it into a ROTH IRA.  I hate when people bash Wal-Mart and other discount retailers.  If they didn't exist the sloppy American consumer would just find some other place to spend themselves into bankruptcy.  Oh, and Wal-Mart doesn't have any more of an obligation to pay a highschool dropout a 'living wage' than a local mom and pop store does.  I just don't get the mentality that because they can supposedly afford it they should pay more.  They are a retail based business and their margins arent wonderful.  Force higher wages on them and you will just end up paying more for their products.

Complain complain complain I bet you will be shopping in Wal-mart tomorrow. Where is the credit for what Wal-mart does for the communities. Wal-mart has never imported illegal immigrants, stop reading every other word of a story and get the facts straight before you assume. I am a "mere" worker and I appreciate what Wal-mart is about.

Wal-Mart's failure can be explained in one acronym; DRM.  The  downloads were so tied up by digital rights management software as to be totally useless & the DRM software so mucked up the their customer's computers that no one wanted it.  This is not totally7 Wal-Mart's fault.  The studios beleive they cannot publish anything without oppressive DRM software.  Hence, the slow uptake on HD-DVD & Blue Ray.

Abe's first line is a fairly good defination of capitalizm as it is practiced in the USA. But I don't think Walmart imports illegal imigrants.  Abe could you please tell me how Nordstroms, Saks, and other high end retailers are on the side of the average American worker? And further more, if they aren't then please tell the rest of us smucks where we can get a better deal.  

If a business wasn't trying to earn your money, it wouldn't be a business.  If people don't like Corporate America, farm your own land and make your own products.  That's how it was done before Corporate America.  Not too many people are doing that today.  Wal-Mart does offer low prices on many things.  They gambled with something and it didn't pan out.  Such is life.  You can call it a win for those against Corporate America, or you can chalk it up on the board of learning experience.  It's what I call fine tuning.  But there are still people out there that choose to use square qheels and let life wear them into the round shape I cut mine into long ago from what I've learned.

Abe the man-

Posting his tears on a Chinese made computer

Abe--- you should be in business just once 4 yourself everyone including u working to make a living thats the way it is. WALLY is big but so what they make other stores hold the line on prices, better 4 u and me

I go to Walmart almost every other day and I work in the IT industry and I did not know Walmart was providing this service. So it most likely failed because of poor marketing. Sounds like a great idea though and maybe someone else will try this service again with a better plan to let the consumers know.

I love wal-mart.  Their pricing is consistently lower.  I for one, will always pay less for my goods if I can.

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