Zip.ca explained

Zip.ca
Type:Private company[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 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.

They also bought out rival Mississauga based Moviesforme

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.
  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 .