PDA

View Full Version : Rogers Video to buy ZIP.ca?



Exmortis
07-05-2005, 01:26 PM
I've been a member of ZIP.ca for over a year and have enjoyed it a lot. But it looks like Rogers Video is about to take over...

http://www.rogersvideodirect.ca/

Powered by ZIP and both sites share a whole lot together. From shipping center to inventory. Except for packages and pricing. So for ZIP members here.... Beware....

Lee Anne
07-05-2005, 01:36 PM
Why not? they practically own everything else .. glad I know this before I joined, thanks for the heads up

Just Doug1
07-05-2005, 01:53 PM
I think they plan to use that address for their online Internet tech support domain. :D

Digiital
07-05-2005, 02:38 PM
No they are not buying ZIP. Just they are using them for this new Rogers Service, but who is to say they won't in the future. They are current just using the ZIP backend.

Exmortis
07-05-2005, 02:44 PM
I say they're dipping their feet into this market with little investment in terms of expertise and technology. However, they are also setting themselves up real nice for a buy out. I mean, why would ZIP help a competitor if not to get married in the longer term and melt into the Rogers pool to become their online rental department?

Now it's up to Blockbuster to do the same in Canada (they're only in the US righ tnow).

SkinnyBoySlim
07-12-2005, 01:29 AM
It could be a joint partnership, where Zip runs Rogers Online Video Rental, where Rogers get a share of the profit and Rogers help advertise the service.

Exmortis
07-12-2005, 08:45 AM
It could be a joint partnership, where Zip runs Rogers Online Video Rental, where Rogers get a share of the profit and Rogers help advertise the service.

Of course it's a joint partnership... for now.

If Zip was only a provider of the service, it'd make sense. But Zip also runs their own rental service that is seperate from Rogers' and hence helping a competitor. From Zip's point of view, Rogers has to be paying them enough to compensate for the loss of potential growth and potential loss of subscriptions for the bigger company. From Rogers' point of view, the money spent has to be less than what'd it cost to build their own system. However, over time, that money spent monthly or yearly will reach a threshold where buying Zip would make more sense. I think Rogers, as I said before, is testing the water with little risks and if it works (I'd say in a year from now), they'll buy Zip.