DALLAS, Aug. 30 (UPI) -- Egged on by its online competitor, Netflix, Blockbuster is changing some of its pricing polices including its late fees.
Blockbuster, based in Dallas, began its own online DVD subscription service for a monthly fee and it has extended rental time for certain new releases and old movies from five days to seven.
Movie renters have long complained about Blockbuster's late fees, but 16 percent of its sales revenue in 2000 -- the last year it disclosed its late fees -- came from late fees, the Washington Post reported.
Industry-wide, late fees made up 12 percent, or $580 million, of total consumer rental spending in the first half of the year, according to Video Store Magazine.
Netflix allows DVD renters to compile a list of titles, rent as many as they'd like, but only three at a time, for a monthly fee of $19.95. There are no late fees, and when the renter mails back a DVD, the next one on the list is mailed.
