Zip.ca explained

Zip.ca
Type:Private[1]
Foundation:2004
Defunct:2014
Location:Ottawa, Ontario, Canada
Key People:Robert Hall, Founder and Chairman
Christina Beavis, CEO
Products:Online DVD rental
Movie rental kiosks
Industry:Electronic commerce
Revenue:Not disclosed
Num Employees:~50

Zip.ca was an online DVD rental and movie rental kiosk company operating in Canada. It had a database of over 82,000[2] unique titles.

Zip.ca was a member of the privately held Momentous Group of companies and was the owner of the Ottawa Rapidz baseball team until its first-season bankruptcy.[3] [4]

On August 17, 2014, Zip.ca announced on its website that it was closing its doors and was no longer shipping discs to its members.[5]

Corporate history

2000s: inception

Zip.ca began its rental operations in February 2004,[6] from its base of operations in Ottawa, Ontario. In July 2005 it arranged to provide the fulfillment services for Rogers Video Direct, a new online subsidiary of one of Canada's largest video store chains. By February 2006, Zip.ca had over 30,000[7] subscribers. In December 2006, Zip.ca announced passing the 6,000,000[8] disc rental milestone.

2010s: kiosk debut

Zip.ca's movie rental kiosks were introduced in 2010.

Abandoned digital service

In July 2009, Zip.ca announced it had partnered with Sonic Solutions as it prepared to offer a streaming video on demand (VOD) service similar to that introduced in the U.S. in 2007 by its largest American counterpart, Netflix.[9] In May 2011, after Netflix's 2010 Canadian launch as a streaming-only service, Zip.ca announced a further partnership with Samsung, and said its service would launch as a transactional VOD platform, not as a subscription service.[10] The service remained unlaunched at the time of the company's closure in 2014.

Rental plans

Monthly disc shipments Discs included Blu-ray
Up to 2 1 No
Unlimited 1 No
Unlimited 2 Yes
Unlimited 3 Yes
Up to 11 4 Yes
Up to 16 6 Yes
Up to 22 8 Yes

Zip.ca imposed a free shipping limit per month, unless the customer chose the special "Unlimited" plan. When the DVD shipment limit was reached, the customer had to pay for additional shipments ($2.49 per DVD) in the billing month or wait until the next billing month before Zip.ca would continue shipments. In November 2011, Zip.ca began charging a $1 rental fee for each Blu-ray disc.[11] The Blu-ray fee was removed in October 2012. Blu-ray was not available on either of the 1-DVD plans.

Canadian rental marketplace

On August 30, 2005, Zip.ca announced[12] that it was buying out the online operations of its then main Canadian rival, VHQonline.ca, and has also picked up assets from other companies going out of business.

References

45.3328°N -75.7047°W

Notes and References

  1. Web site: Federal Corporations Data Online . August 21, 2005 . https://web.archive.org/web/20070312015238/http://strategis.ic.gc.ca/cgi-bin/sc_mrksv/corpdir/dataOnline/corpns_re?company_select=4206924 . March 12, 2007 . live .
  2. Web site: Zip.ca and Canada Post Deliver Success . Zip.ca . August 18, 2006 . September 7, 2006 . https://web.archive.org/web/20061114132608/http://www.zip.ca/zipnews.aspx?newsID=2018 . November 14, 2006 . dead .
  3. News: New owner rename-z Ottawa Rapids baseball team. . August 17, 2008 . April 28, 2008 .
  4. News: Ottawa Rapidz go under . Canadian Broadcasting Corporation . November 16, 2008 . September 30, 2008 . https://web.archive.org/web/20130925225349/http://www.cbc.ca/news/canada/ottawa/ottawa-rapidz-go-under-1.733370 . September 25, 2013 . live .
  5. News: Zip.ca video rental service shuts down . Bagnall . James . . . 2014-08-18 . 2015-01-13 . https://web.archive.org/web/20181129130603/https://ottawacitizen.com/business/local-business/zip-ca-video-rental-service-shuts-down . November 29, 2018 . live .
  6. Web site: The Disks are in the Mail . Ottawa Citizen . February 24, 2004 . September 7, 2006 . https://web.archive.org/web/20070312044435/http://www.zip.ca/zipnews.aspx?newsID=988 . March 12, 2007 . dead .
  7. Web site: Forum posting from Zip.ca President . Zip.ca . February 2, 2006 . June 7, 2006 . https://web.archive.org/web/20071031161022/http://onlinedvdrentalguide.ca/forums/viewtopic.php?p=8278#8278 . October 31, 2007 . live .
  8. Web site: Canada's largest online video service ships 6 millionth rental DVD . Zip.ca . December 15, 2006 . December 16, 2006 . https://web.archive.org/web/20070220235432/http://www.zip.ca/zipnews.aspx?newsID=2299 . February 20, 2007 . dead .
  9. News: Canada's first online movie streaming service unveiled. Nestor. Arellano. ITBusiness.ca. July 7, 2009. August 18, 2021. August 18, 2021. https://web.archive.org/web/20210818191633/https://www.itbusiness.ca/news/canadas-first-online-movie-streaming-service-unveiled/13490. dead.
  10. News: Zip.ca to launch movie streaming with Samsung. CBC.ca. CBC News. May 6, 2011. August 18, 2021.
  11. Web site: Zip.ca to raise prices amid growing costs, competition. Jameson Berkow. October 18, 2011. Financial Post. October 20, 2011. https://web.archive.org/web/20111020151055/http://business.financialpost.com/2011/10/18/zip-ca-to-raise-prices-amid-growing-costs-competition/. October 20, 2011. live.
  12. Web site: Zip.ca and VHQ Online Enter into Purchase Agreement . Zip.ca . August 30, 2005 . September 7, 2006 . https://web.archive.org/web/20060909090209/http://www.zip.ca/zipnews.aspx?newsID=529 . September 9, 2006 . dead .