"Thanks Blockbuster," says Netflix

There are three categories of movies in my life. I'll see it in theaters, I don't even want to talk about it, and of course I'll rent it. But that used to mean a lot more than it does now. My system was developed during the ice age when you had to walk down the streets of Reynoldsville, PA to go to video store, pick it out and tote it home. Then you had to worry about taking it back.

Now-a-days we are accustomed to just adding a movie to our Netflix list and wait for it to show up at our door. That's how Good Luck Chuck made it onto my list of renters seeing that I wouldn't have to actually exert effort to see it.

But it is not just Netflix's system that caters to lazy couch potatoes that has boosted its stock to about $22. Blockbuster is helping out. Noticing the new trend to buy and rent movies online, blockbuster started its Total Access campaign to tap into the online market. This proved to not be profitable at all. The only thing that happened was it took away business from the walk in store buyers. Now enter the genius move. Blockbuster saw the non-value of advertising for its Total Access, and oops more online business goes to Netflix. The old bait and switch. Only not on purpose.

So if you are looking to invest in the movie renting industry, may I suggest the $22-a-share netflix as opposed to the $5 Blockbuster.