ZIP and Rogers, shipping caps

[YKdvd]

Not to be an alarmist in any way, and this could possibly be a typographical error of some kind - but the following information is currently available in the Zip.ca Knowledge Base.

Rogers Video Direct ...

There are 3 FAQs that have "Rogers" in them. In addition to the one you found, there is one titled "What are the shipping thresholds on the Rogers Video Direct membership plans?", which reads:

A shipping and handling charge of $1.99/DVD will be applied to Rogers members in the month for any DVDs shipped above their monthly volume. A Free Trial does not contribute to the monthly volume.
The Shipping thresholds are:

a. $10.95 - 3/month
b. $18.95 - 6/month
c. $24.95 - 12/month
d. $34.95 - 16/month

There are two distinct things here - one is the concept of shipping thresholds, and the other that Rogers may be buying ZIP. I'm not sure that the second doesn't worry me more than the first!

[YKdvd]

I just checked the CIRA ".ca" registry, and "rogersvideodirectonline.ca" (and a number of variants) are registered, some as early as March 22, 2005. "Rogersvideonline.ca" is actually registered to ZIP. It does seem that they are at least strongly considering selling to Rogers. I am surprised they goofed badly enough to let this leak into the active FAQ info. Oh well, at least it isn't Bell.

[~~Darlyn~~]

Should be interesting if they do indeed sell to Rogers and then Blockbuster starts up their online business in Canada. Decisions, decisions...

Noticed that the pricing plan isn't nearly as attractive either:

4 plan = 12 per month - really only averages to 3 per week, not even 4

6 plan = 16 per month - even worse for our $, only averages 4 per week, not even close to 6

ZipRefill and ZipRewards will probably be history also. It looks like Zip really took into account our poll voting. It was so close that they may just up the motnhly membership cost (price stays the same, monthly max goes down) AND charge an additional shipping fee for DVD's over the maximum.

It's all speculation at this pint, but I don't really like what I'm seeing.

[mmason31]

I guess it would be a coup for Rick to be able to flip the company for a good profit but I can't say I'd be looking forward to a takeover from Rogers. I don't find that their stores are well organized (try finding a non-new release without spending ages trying to browse through unsorted shelves) and I guess I am just a bit prejudiced.

This is my experience in Ottawa, anyway, at two close-by stores. Also, big mega-corporations never seem to offer better service than mom-and-pop outfits. Granted, zip.ca is not exactly Moe's Movies in the neighbourhood, but it is a fairly small company that seems to care about what its clients wants and needs. Bigger corporations seem to care about getting more clients, even though it's known to be cheaper to maintain existing clients than to develop relationships with new ones.

I've been with zip.ca for about 12-13 months now and enjoy the service. If they sell to Rogers, I'll give them a chance but will start scouting out other options.....

At the same time, if this indeed does happen and Rick can make a big profit after starting this company up, my compliments and congrats!

[Bafflegab]

If this goes through with Rogers at the prices quoted I will definitely be an ex-customer of Zip. I don’t even consider myself a particularly ‘high volume renter’ although I am on the 6 DVD plan and have been for months. Canada Post ensures I can only rent about 20 discs on average, and it of course slows down at holiday time. I will miss Zip’s breadth of selection just as I missed VHQ’s excellent customer service when I stopped using them. But due to the poor delivery times I was experiencing, I cancelled VHQ nevertheless. Zip can expect the same treatment albeit for a different reason. No hard feelings, just a decision about how much money I’m willing to spend on a discretionary purchase of services.

I never entered into the thread about ‘hyper-volume’ renters that caused such a stir, but I found it amusing how many people were happily defending Zip’s proposed price increases in a way that I would expect of shareholders in the company! No doubt a part of the reason for Rick’s query was based on finding a way to increase profits and cash flow in order to make Zip a more desirable object for a potential suitor, viz. Rogers. Bully for him but I suspect it won’t be so good for us; time will tell.

I have been using Cinemail in Winnipeg for a few months now and, after some growing pains at the start, I have been very happy with their service. Mail delivery has been pretty quick, especially after I figured out that I should be returning the DVDs in the ‘local mail’ box instead of the ‘all other destinations’ box.** So I expect that’s who will be getting my custom if Rogers takes over Zip’s operations and implement the rental conditions as stated on the site.

** Only in Canada can you post a letter as a ‘local delivery’ when you live in a different (1) city, (2) province, (3) time zone than what the destination is (it is about 700 km from T.Bay to Winnipeg). That’s a hell of a walk!

[chrisyak]

A rogers take over would problay not be a very popular move for existing zip.ca customers.A slight bump in prices are common in any business but the speculated price increases will only result in customers looking for alternative options.Rogers taking over is in my mind going to be ruining a good thing.

Hopefully we can find out more info in regards to this..........

[fishhead]

Those prices and limits are awful!!!
If Zip considers anyone getting more than 3 movies/week to be a heavy user, and thus one to be heavily penalized ($2.00/movie), then clearly that's the end of Zip for me.

How many other people will leave?
I wonder.
Just the threat of being billed extra for getting a whole 4 movies one week is a serious issue I think..

And they'll have to change their name to
"Zip - Limited Entertainment."

Oh well, it would be the end of a good thing if this does indeed come to pass.

[clh78]

Very distressing news....I haven't even been a member for a full two months and the whole reason I joined was to AVOID Rogers. Now it appears that you can run but you can't hide. I'm upset to hear this news....I can understand the idea of caps but I don't think these ones are fair. If you are a member of the 4 plan, you should be able to get 4 a week without being penalized---same for if you are a 2, 3 or 6 out member.

I was very impressed with the selection, price and service of Zip but I'm not impressed with any of those when I walk into a Rogers Video store so I can't see how things would change with an online service run by the same company.

Congrats on the business coup to Rick....clearly this is a great financial gain for him.

However, Rogers will likely have to do some heavy duty advertising to pull in the customers that it will initially lose when a large group of users bail and head back to the M&P down the street or look for another online DVD service.

Can I get a BOO-URNS?

[~~Darlyn~~]

Am I the only one who now finds the poll that Rick introduced to be very backhanded? It was initiated as though they were looking out for the best interests of their customers and after all the debate, it appears they were only looking out for themselves which I suppose, shouldn't surprise me.

Still feels like a stab in the back.

I'll also be leaving if this develops. While I think the delivery times and service are great, I'm not willing to be price gouged in order to get that. I'll gladly take my business elsewhere in order to receive a fair price. This pricing plan is downright ridiculous. If I had seen these prices when I was first searching for an online company, I would've kept browsing.

[SoloMio]

Am I the only one who now finds the poll that Rick introduced to be very backhanded?

That's exactly what I was trying to tell you guys. They've probably had their plans made for quite some time; politics, backtalk...it all goes hand in hand. You are one of the smart ones that may have seen through it.

Well, vhq, here I come...

BTW, I searched the zip help file this morning just to verify the horrible news and I found the information but just now when I went to zip to show a friend that she should forget zip and go to vhq or another option, the rogers info is suspiciously missing.

Even if Rogers takes over, hopefully that was just a mistake and those won't be the final prices. I will stay on with them if they make it 4 per week for the four plan and 6 per week for the six plan. I don't mind the $2 per movie over that.

At the same time you have to wonder if that leak was just another ploy to get some attention and see what people would say.

Joe

[~~Darlyn~~]

Yep, they've definitely removed the search link. A little late for that, isn't it.

I have no problem with a 4 per week cap on the 4 plan or a 6 per week on the 6 plan also, but this cap is nuts. I'll also be heading back to VHQ unless they follow suit and up their prices.