EzyDVD


EzyDVD

EzyDVD, founded in 1999 by Jim Zavos, is Australia's largest online and off-line specialist DVD retailer. As of 2007 EzyDVD has 59 retail stores across Australia, around half being franchise stores. The main headquarters and online distribution warehouse for the chain is located in Adelaide, South Australia.

Business History

In 2005 Brazin Limited, at the time a company listed on the Australian Stock Exchange, acquired 50% of EzyDVD. During 2006 Brazin's majority shareholder Brett Blundy purchased all outstanding shares in Brazin and folded Brazin into his private company BB Retail Capital. An indepent expert's report prepared by Deloitte and dated 1 December 2006 valued Brazin's 50% share of EzyDVD at between A$1.4M and A$1.9M, indicating that the value of 100% of EzyDVD at that time was in the range A$2.8M to A$3.6M.

The current health of the relationship between Mr Zavos and Mr Blundy is unclear. However, on 27 Feb 2007 a change in the owners' shareholdings of EzyDVD was registered, suggesting that Mr Zavos may have resumed full control of EzyDVD.

On 12 July 2007 the entrepreneurs' website smartcompany.com.au published an extensive interview with Mr Zavos. This interview highlighted Mr Zavos' plans for a very substantial expansion of the 'bricks and mortar' outlets commencing in 2H2007. The expansion will be delivered by converting existing independent video rental stores into franchised EzyDVD stores. These stores will combine both rental and DVD sales sections and be decked out in EzyDVD livery. No mention was made of Brazin, BB Retail Capital or Mr Blundy in the smartcompany article, suggesting that Mr Zavos is now very much in the driver's seat at EzyDVD.

In late September 2007, EzyDVD acquired a stake in ASX listed video on demand company ReelTime Media Ltd

In March 2008, Ezydvd announced it had appointed a new CEO, Mr Taylor. Mr Zavos would remain involved in the business in a business development capacity. In July 2008, it was announced Mr Taylor had resigned and that a new CEO has been appointed.

Franchised Stores

EzyDVD, as stated on its website, has now franchised many of its stores to the public for sale. Some stores have done well being franchised but from certain franchisee meetings it has come apparent that most franchised stores are not making the sales they expected. Unforturnately the franchisors weren't selective enough with their choice of some franchisees who were not committed to their business, some of these stores have now been converted back to company stores.

Although some of the franchisees chosen were no doubt not committed to their business, it can also be argued that the chains continued strategy of low margins due to large retailers entering the once niche market with a vengence, driving DVD prices lower and putting pressure on an already minuscule margins cause financial pain to franchisees. Many mainstream new releases were sold at or below cost, with little relief provided through rebates. Many franchisees could not continue to sustain the drain on cash flow whilst supporting the chains pricing strategies.

EzyDVD Online

EzyDVD Online "(see external links)" claims to be Australia's Largest Online DVD Store. It has a large library of all genres of DVD/Blu-ray Disc. The website originally sold DVDs from other regions (mostly Region 1), but was forced to stop this practice as it is against federal law. The logo on the website changes according to a particular holiday or event (this originated on the Google website), such as in the example on the right for Easter.

EzyGames

In 2007 EzyDVD started and launched its new online store, EzyGames. The site specializes in Console games including Sony Playstation PSP, PS2 & PS3, XBOX 360, Nintendo Wii, Nintendo DS and PC games. They also sell Playstation, XBOX and Nintendo consoles or hardware and accessories. The site is owned, operated by EzyDVD and is compatible with EzyDVD in that user accounts are the same for both sites. It has been rumored the EzyGames business will see its own retail stores in competition with EB Games and GAME, but there are no official plans or documentation at this time. "See external links for web address."

tore Types

EzyDVD

The original retail stores that are almost always in shopping malls such as Westfield Chatswood.

Exclusive Packaging

In an effort to entice buyers to shop with them, EzyDVD carries a large number of packaging exclusives, such as backpacks and hinged boxes for large volume boxsets and tin cases for smaller sets and movies. Excluding this packaging, the DVDs themselves are the standard versions available at other retailers.

Ultimate

EzyDVD Ultimate outlets are larger stores that have more room for more specialist movies, such as those of the Arthouse or Foreign genre and new technology, including Blu-ray Disc.

ee also

* DVD
* Blu-ray Disc

Competitors

* JB Hi Fi
* HMV
* Sanity
* Virgin Megastores
* Blockbuster
* Video Ezy

References

External links

* [http://www.ezydvd.com.au/ Official Website: EzyDVD]
* [http://www.ezygames.com.au/ Official Website: EzyGames]
* [http://www.in-business.com.au/magazine/issue-12/ezyDVD+vs+Online+Trend/555 "ezyDVD vs Online Trend"] in-business.com, Issue No. 12 - September/October 2003


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