Proprietary commendation system to cable providers
Licensing arrangement through which the company would offer Its proprietary commendation system to cable providers Pros: bypass the technology challenge of connecting computers Walt n I v / Low resources Investment to make ten translator / Access to the cable customers / Access to the infrastructures of the cable providers. Cons: Limitation and risk of partnering a competitor / Risks in contracts and relations with cable providers Option 2 Integrate a streaming online video feature into their core offering. Pros: increase penetration of the VOID market by continuing to grow its existing business /
Diversification in the distribution channel / generate new consumption opportunities Cons: High investment / Risks of entering new market with a different technology Option 3 Online video business Pros: Responds to the industry and the market trend / Allows personalization and bigger interaction with the customer / eliminates the logistic problems Cons: High transactional and change costs / Risk of implanting a new technology / Exit of its actual core business. To take Option 3: create an independent business model based on the online video. Implementation: .
Start with a hybrid model offering both services: DVD rent and VOID. Pick up a date to make the full transition (I. E. : 2012) 2. No more investment in physical DVD’s: reallocate those resources to acquire online reproduction rights.
3. Promoting VOID technology to their current customers through the web page: the transition must be very easy for the customer. 4. Offer to the customer a huge variety of content (movies, series, videotapes…
). Being able to offer the VOID service in different platforms according to the customer’s needs (tablets, smartness, laptop… ).