The APPLEBOX storefront/webfront is one thing - but the actual APPLEBOX bricks and mortar is where all the trading happens. Customers select and reserve online - but they still pickup their DVDs from my store. The rub - the store where they pick up from is COOL! No more acres of space, bad lighting, thousands of covers staring out at you. No more forgetting what you wanted to watch, aimlessly wandering isles, picking something you're not really happy with. The response on the ground has been fantastic - everyone loves the idea and it all just makes perfect sense. Checkout these photos:

You can see some hi-res versions here:

http://applebox.com.au/press/APPLEBOX_inside_1.jpg

http://applebox.com.au/press/APPLEBOX_inside_2.jpg

http://applebox.com.au/press/APPLEBOX_inside_3.jpg

http://applebox.com.au/press/APPLEBOX_outside.jpg

Oh my! That looks brilliant!!

Congratulations Simon!

I didn't think you'd be opening an actual bricks and mortar branch!

Thanks Dek - yep, I aim to open quite a few of these small stores!

That store is stocked with 3800 DVDs, and has capacity for a comfortable 15,000. So long tail here I come! The model drops floor space *massively* and so not only re-invents the store physically, but completely re-jigs the economics of the local store by significantly dropping its fixed operating costs ...

Oh!

I was under the impression that Applebox would be working in tandem with existing video stores

Nup - I'm starting fresh. I do want to bring on independents, but they would rebrand and remodel their space.

For the franchise chains - Blockbuster, Video Ezy, Civic Video ... they're really tied into a model that isn't easy to change. Head Office can't force a new model onto their franchises, or setup a new style of ministores as all their regions are locked off to the franchisee. The franchisee themselves are often locked into a 10 year lease and placed as an 'anchor business' for the local retail strip - which means its not that easy for them to alter their model anyway.

And my model - whilst I think its great (and all responses so far are in the 'wow' category) is unproven. In the conservative video rental industry, I didn't want the hard slog to convince others mine is the one true path!

So what's the option - start a new chain myself! Lean and agile (ra ra ra) I've decided to give it a shot ...
 

Excellent!

If I were in Melb, I'd be there!

...at your stores I mean

If I were in Australia I would be there

Nice!! warms the cockles of me heart