Retail Stories: How E-Commerce, Collector Culture and Creative Merchandising Are Reshaping the Home Entertainment Retail Business

Media Play News

June 15, 2026

The home entertainment retail landscape continues to evolve.

While traditional brick-and-mortar shelf space for DVDs, Blu-ray Discs and 4K Ultra HD titles continues to shrink, the business itself is far from disappearing. Instead, it is adapting — fueled by passionate collectors, expanding e-commerce platforms, inventive promotional campaigns and even the surprising return of DVD-by-mail rentals.

Online storefronts operated by retailers, distributors and studios are becoming increasingly important destinations for movie and TV fans searching for premium editions, deep catalog titles and exclusive merchandise. At the same time, traditional retailers, most notably Walmart, continue to find creative ways to use home entertainment brands to drive consumer engagement both in stores and online.

And for consumers frustrated by the limitations of streaming libraries, a company called DVDInbox is reviving the original Netflix business model of renting discs by mail, giving consumers cheap and easy access to movies that might not be available on the big streamers.

In the following pages, Media Play News examines three key trends redefining retail in the home entertainment business: the growth of online disc sales, the expanding merchandising opportunities surrounding movies and television brands, and the rebirth of rent-by-mail.

Jump to a section:

Part 1: Click to Collect
Part 2: Merchandising
Part 3: Netflix Revisited
Part 4: Top Retailers

THOMAS K. ARNOLD: Reshaping the Marketplace

Click to Collect: Online Retailers Are Stepping in Where Stores Stepped Back,  Turning E-Commerce Into the New Center of the Physical-Media Business

By Stephanie Prange

While brick-and-mortar retailers continue to cut back, or cut out, their DVDs, Blu-ray Discs and even 4K Ultra HD discs, the online market for physical media is flourishing — spurred by an escalating focus on collectors.

While Amazon has been selling discs since its early days as primarily a book seller, the marketplace has expanded and accelerated in recent years to the point where Amazon last year replaced mighty Walmart as the top retail disc seller.

Also gaining traction are a handful of other e-commerce retailers, including sites owned and operated by distributors Studio Distribution Services (SDS) and Alliance Entertainment.

And just recently Best Buy, which more than two years ago pulled discs from its stores, has re-entered the space online in a marketplace
setup, with third-party sellers.

It’s a resilient market led by avid collectors.

“Brick-and-mortar retail is still very important, but at the same time e-commerce channels have become essential to the physical media category, having grown their market share by 5% just since 2025,” says Eddie Cunningham, president of SDS, the joint venture between Universal Pictures Home Entertainment and Warner Bros. Home Entertainment formed to distribute discs.

“Today, all major home entertainment retailers maintain robust online storefronts,” he says.

SDS even has its own online outlet to sell discs — Gruv (pronounced “Groove”).

“Gruv is no different than any other retail partner at SDS; it has its own strategies and space in the online market,” Cunningham says.

The online space lends itself to discovery, says Jeff Walker, CEO of Alliance Entertainment, which aside from its distribution network and Mill Creek label owns and operates several online disc-sale outlets, including Movies Unlimited, DeepDiscount.com and Critics’ Choice Video.

“Online retail has become a primary discovery and purchase channel because it aligns naturally with how fans engage, explore and build their collections today,” Walker says.

“[E-commerce] enables deeper, more-intentional exploration: searching for specific editions, completing collections, or engaging with a director’s catalog. It supports a personal, passion-driven journey, not just convenience.”

At the same time, Walker adds, “physical retail remains essential. In-store delivers something digital cannot replicate — the immediacy and delight of discovery within a curated, trusted environment.”

But, he notes, “these channels work together. Online provides depth, access and precision; stores deliver visibility and serendipity.”

Longtime manufacture-on-demand disc distributor Allied Vaughn also is a player in online disc retail sales, having launched MovieZyng.com in 2016 as part of the company’s effort to better connect its studio content providers with consumers. Today, Movie Zyng serves customers throughout the United States and internationally.

“Online retailers have become increasingly important not just as transactional outlets, but as destinations for collectors and film fans,” says Blair Zykan, managing director of Allied Vaughn Entertainment and Movie Zyng. “Today’s physical media consumer is more engaged and passionate about ownership, presentation quality, bonus features, packaging and collecting culture.

“At Movie Zyng, we believe the role of online retail is to re-create some of the excitement and discovery that consumers once experienced walking through great video stores. Our mission is simple: We’re making physical media fun again. That means collector-focused store merchandising, product expertise, community engagement, curated promotions, and consistent five-star customer service.

“We view the customer relationship as more than simply processing orders. By creating fantastic shopping and ownership experiences, we’re working to help preserve and grow the physical media category for studios, distributors, and consumers alike.”

Many of the bigger e-commerce sites have emerged in recent years, filling the void left by brick-and-mortar stores.

“Gruv was introduced in late 2019 at Universal Studios as a direct-to-consumer (DTC) platform dedicated to physical media,” Cunningham says. “Its mission was clear: complement traditional retail channels while preserving and celebrating the depth of the physical home entertainment library.

“At the time of launch, the category was under pressure. Physical media sales were declining, and brick-and-mortar retailers were reducing shelf space. Gruv was designed to counteract that trend by offering an always-available online storefront where every title, new releases and deep catalog alike, could have visibility and commercial opportunity. Unlike traditional retail environments constrained by linear shelf space, Gruv operates without those limitations, enabling studios to showcase entire libraries, from blockbuster franchises to niche catalog titles, within a single shopping experience.”

In 2021, operational management of Gruv transitioned to the then-newly formed SDS, and the platform expanded into a multi-studio retailer representing Universal Studios and Warner Bros. Discovery.

In a further expansion in 2025, the company launched Gruv.ca, a dedicated standalone Canadian site tailored to Canadian consumers and supported in both English and French.

At the end of 2025 Gruv partnered with Shout! Studios, now part of Radial Entertainment, to be the online home for all Shout! home entertainment physical content.

Movies Unlimited — founded in 1978 as a mail-order catalog serving a dedicated audience of film collectors seeking rare, hard-to-find and specialty titles — got new life when Alliance Entertainment purchased it in 2015.

“Under Alliance, the brand continued serving a loyal catalog audience while adapting to a retail landscape increasingly shaped by digital commerce,” Walker says. “That shift ultimately led to [this year’s] relaunch. The relaunch reflects a strategic repositioning — transforming Movies Unlimited from a transactional retailer into a curated, collector-led platform designed to drive deeper engagement and long-term value.”
MoviesUnlimited.com also facilitates a better experience with Shopify.

“Moving to Shopify enables a more flexible, responsive experience — better showcasing the breadth of the catalog while supporting more-intuitive discovery and a streamlined path to purchase,” Walker says. “It also allows us to merchandise in ways that reflect how collectors browse — by fandom, filmmaker and format.

“At its core, the experience blends human-curated collections with data-informed personalization, creating a more engaging and relevant discovery journey across everything from niche titles to iconic films.”

In January 2026 Allied Vaughn’s Movie Zyng, too, announced a major relaunch focused on modernizing the platform, improving the customer experience, expanding collector engagement initiatives, and strengthening loyalty programs and community interaction, Zykan says.

“Today’s collector is more intentional and engaged,” Zykan says. “Consumers increasingly view physical media not simply as content delivery, but as collectible ownership. We’re seeing growing interest in premium packaging, limited editions, archival bonus content, and curated collections. There is also a growing awareness among consumers about the limitations of streaming availability, shifting licensing rights, compression quality, and the importance of permanent ownership.”

Alliance’s Walker agrees.

“Collectors today are more intentional than ever,” he says. “This is highly considered behavior, driven by passion and purpose. Fans are seeking releases with meaning, including limited editions, premium packaging, and titles tied to moments that matter, from anniversaries to fandom milestones. Steelbooks and 4K reflect that intent, but it extends beyond format; it is about owning something definitive.”

“One of the most defining trends in physical media today is the continued rise of the collector,” Cunningham adds. “Within Gruv’s ecosystem, the collectors are not only focused on the item, but also the condition in which it is received. Condition is critical; collectors place a high premium on receiving items in flawless, display-ready quality.

“Recognizing this, Gruv has invested in engineered packaging solutions specifically designed to prevent scratches and dents, protect against shipping damage, and preserve the integrity of each collectible item in transit. This commitment underscores a broader theme within the category: the value of physical media is no longer defined solely by the content itself, but increasingly by the ownership experience, where presentation, quality and condition are equally as important as the film or series inside.”

While the top-quality image provided by 4K Ultra HD Blu-ray makes the format a big draw for online buyers, the nearly three-decades-old DVD format still has its fans.

“DVD remains an important category, particularly for television, catalog and value-oriented consumers, but the collector side of the business continues to shift toward premium formats and collector-focused editions,” Zykan says.

“The more meaningful lens is why consumers choose each format,” Walker adds. “4K UHD and Steelbook buyers are highly intentional collectors. They value craftsmanship, presentation and owning the definitive version of a title. For them, it’s about pride, display and identity within fandom, where packaging and exclusivity matter as much as the content itself. There is real satisfaction in rediscovering overlooked titles and reconnecting with stories that still resonate.

“Blu-ray represents the balance, offering high-quality viewing with broad accessibility and appealing to consumers building lasting libraries without chasing every premium edition.

“And DVD remains essential for accessibility and catalog depth. It offers the widest selection, especially for TV and legacy titles, and serves consumers who want reliable, permanent access to the stories they care about.”

All three formats are important parts of Gruv’s business as well, Cunningham says. Last year, the breakdown of market share found DVD still grabbing a third of sales, Blu-ray Disc taking 26%, and 4K Ultra HD Blu-ray, 41%.

“Notably, 4K Ultra HD represents the largest share, and is aligned with the overall e-commerce trend,” Cunningham says. “Across the category, e-commerce is driving 4K format sales (and growth), with the e-commerce share estimated to be 21% higher than brick-and-mortar. This highlights the segment of consumers looking for a premium-quality, collector-focused format. Embedded within that 4K segment is one of the fastest-growing and passionate niches: collectible Steelbook packaging.”

Additional reporting by John Latchem

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Promotional Opportunities for Home Entertainment Abound Both in Stores and Online

By John Latchem

The continued migration of physical media sales to online retailers hasn’t limited merchandising opportunities for home entertainment brands.
Walmart, the last major national retailer still offering in-store sales of DVD, Blu-ray and 4K Ultra HD discs, continues to offer exclusives such as gift sets, unique slipcovers and Steelbook editions of hot titles — even though the quantity has gone down due to studio cutbacks.

Recent releases include a Blu-ray Steelbook for Paramount’s The SpongeBob Movie: Search for SquarePants, a 4K Steelbook of Universal’s Black Phone 2, a 4K Ultra HD + Blu-ray combo pack of Sony Pictures’ Karate Kid: Legends packed with a limited-edition skateboard deck, and a Blu-ray of Disney’s The Fantastic Four: First Steps in a fold-out slipcover with pop-up artwork of the characters in the Fantasticar.

While the premium exclusives tend to sell out quickly in stores, eager fans can usually purchase copies through Walmart’s website, which maintains a dedicated section listing the chain’s home entertainment exclusives at https://www.walmart.com/browse/walmart-exclusives/4096_1095777.
The site has most recently been taking orders for a 4K Ultra HD + Blu-ray combo pack of Universal’s The Super Mario Galaxy Movie in collectible tin egg packaging, and a Steelbook of Lionsgate’s 4K Ultra HD + Blu-ray combo pack of Michael, due July 14.

While some Walmart stores are reportedly scaling back their shelf space for DVD and Blu-ray product, many locations continue to supplement new-release displays with dedicated sections for an expanded inventory of Steelbook releases and seasonal themed promotions, the latter involving bargain-priced catalog discs paired with new, exclusive slipcovers. For instance, the lead-up to Valentine’s Day saw a “Love Hurts” promotion in which a selection of horror and sci-fi movies were given special red-and-black-styled slipcovers.

Online retailer Amazon also offers a healthy array of exclusive editions for new home entertainment physical-media releases — often not just packaging variants, but also formats not available anywhere else. For instance, in conjunction with last year’s Karate Kid: Legends release, Amazon offered a limited-edition Karate Kid Ultimate Collection with all six “Karate Kid” movies on both 4K Ultra HD and Blu-ray Disc, and bonus material unavailable anywhere else, including the complete 1989 “Karate Kid” animated television series. Amazon also had 4K Steelbook collections for franchises such as “Superman,” “The Dark Knight” and “Saw,” as well as a hefty collector’s gift set for Universal’s Wicked: For Good packed in a gold-tone keepsake box shaped like the Emerald City. Amazon is also selling its own Michael 4K Steelbook.

The rise of the proprietary studio stores has provided another avenue for distribution of exclusive variants, such as Lionsgate with its own exclusive Blu-ray Disc, Steelbook and gift set editions through its Lionsgate Limited store (LionsgateLimited.com), some under the “Vestron Video Collector’s Series” label. The Lionsgate Limited-exclusive 4K Blu-ray set of Michael will include a 50-page photo book.

But indie studio A24 has gone a step further with its online store (shop.a24films.com), offering both exclusive editions of its titles (which come with special slipcovers and collectible art cards) as well as tie-in merchandise.

Earlier this year, the A24 online store sold a special-edition Everything Everywhere All at Once-themed mahjong set for $320.

For Oscar-nominee Marty Supreme, the 4K and Blu-ray release was accompanied by a merchandise line that included branded sneakers, table tennis balls, a professional game table and a Wheaties box adorned with star Timothée Chalamet’s picture as the title character.

More recently, A24 unveiled a merchandise line built around Blu-ray and 4K Ultra HD disc releases of its dark romance film The Drama, starring Robert Pattinson and Zendaya. Products include the original soundtrack pressed on clear glitter vinyl with a custom wedding invitation jacket designed by Crystal Zapata; a film-inspired wedding cake; a card game; a cotton twill ball cap; and a hoodie made in collaboration with Praying.
A24 also offers a store membership program for $9.99 per month. Members receive a 10% discount on select Blu-ray releases and merchandise.

Target may have followed Best Buy in removing discs from its locations, but the lack of in-store physical media hasn’t pushed the chain completely out of the merchandising game. Late last year, Target stores set up a huge “Stranger Things” section in a cross-promotion with the finale of the series on Netflix. The “Stranger Things” merch hubs offered more than 150 items inspired by the show, including action figures, popcorn buckets, T-shirts, sweaters, hats, candles, a Walkman-themed power bank, 1980s retro-inspired décor for themed game nights, limited-edition snacks, and exclusive “Stranger Things”-branded offerings from brands such as Mattel, Gatorade and Squishmallows.

Target later set up similar displays celebrating the 30th anniversary of Warner’s Space Jam, and, more recently, a hub for “Pokémon” tie-in products.

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Netflix, Reborn? — Consumers Can Once Again Rent Discs by Mail

By Doug Desjardins

When Netflix shut down its DVD rental-by-mail business in September 2023, it was the end of a 25-year run that radically changed home entertainment. But a company called DVDInbox has taken up the rental-by-mail mantle with a business modeled closely after the one Netflix launched in 1998.

“I founded DVDInbox with the goal of picking up where Netflix DVD left off,” said DVDInbox owner and CEO Stephen Vetter, who launched the company the same month Netflix’s service ended. “As a physical-media collector and retailer myself, I was uniquely positioned to do that, having spent years building a substantial library of content well before the rental platform ever launched.”

Anyone who rented DVDs from Netflix in the past will find the DVDInbox experience familiar. New customers start out by creating a list of titles they want to rent and rank them by priority. Florida-based DVDInbox mails titles to subscribers based on those lists and, once a disc is returned, a new title is sent. Memberships are billed monthly and DVDInbox does not charge postage for DVD deliveries or returns. And there are no due dates or late fees for rentals.

DVDInbox offers subscribers four different plans priced from $9.99 per month to $29.99 per month. The Micro plan for $9.99 a month offers subscribers two discs per rental cycle, while the Basic plan for $14.99 a month offers an unlimited number of DVD rentals per month, with one disc out at a time. The Standard plan for $19.99 a month allows users to have two discs out a time, with unlimited rentals, while the Premium plan, at $29.99 a month, allows users to rent up to four DVDs at a time, also with unlimited rentals each month.

DVDInbox offers thousands of titles in a number of genres, including new releases, foreign films, classics, and hard-to-find independent and cult films. The service also bills itself as a destination for cinephiles frustrated with a streaming world where many older films are not available, a key selling point for DVDInbox.

A huge headline on the service’s home page screams, “Thousands of Movies not available on Streaming Services.”

“Streaming services promised so much but ultimately delivered so little,” Vetter said. “Their catalogs keep shrinking, prices continually increase, and subscribers find themselves juggling multiple services while still having to purchase films individually just to watch something worthwhile. DVDInbox gives movie fans the freedom to choose from a deep catalog spanning the entire history of cinema, rather than whatever a streaming service has decided to license this month.”

Vetter said DVDInbox plans to continue to expand its variety and inventory in the coming months in response to customer requests.

“We are currently working on adding TV series and shows to our offerings,” Vetter said. “Our existing subscribers have been requesting it consistently, and we already have a large stockpile ready to go. As with everything we do at DVDInbox, we want to make sure the user experience is right before we launch.”

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1. Amazon.com — 43% market share

The e-commerce pioneer is again the top disc seller in the country, having beat Walmart for the top spot last year — even though sales are exclusively online. Amazon’s market share over the past year has risen to 43%, from 39% last year, insiders say.

2. Walmart — 36% market share

Walmart remains the leading brick-and-mortar seller of DVDs, Blu-ray Discs and 4K Ultra HD discs, although its market share has dropped to 36%, from 45% last year. One reason for the drop is fewer Steelbook and other limited-edition exclusives being made available by the major studios. Walmart stores display new releases as well as seasonal titles (Halloween, Christmas, etc.) on endcaps in the electronics section, while catalog titles are displayed on shelves, sometimes behind locked glass doors. Walmart also sells discs online, through its Walmart.com website. As of Jan. 31, 2026, Walmart operates 5,212 U.S. stores under the Walmart and Sam’s Club brands.

3. (tie) Gruv — 9% market share

Gruv, the online seller of DVDs, Blu-ray Discs and 4K Ultra HD discs, has seen its market share tick up over the past year primarily due to boutique labels outsourcing their storefront operations. Most recently, Radial Entertainment last year shifted physical disc sales — including Shout! Studios and Scream Factory titles — to the Gruv platform. Gruv last year also opened a dedicated Canadian storefront, Gruv.ca. Gruv was launched by Universal Pictures but is now operated by Studio Distribution Services (SDS), the joint venture initially formed in April 2021 by Universal and what was then Warner Bros. Home Entertainment to distribute their physical-media releases in the North American market.

3. (tie) Movies Unlimited/DeepDiscount.com/Critics’ Choice Video — 9% market share

This triad of direct-to-consumer websites, owned by distributor Alliance Entertainment, accounts for a growing share of U.S. physical disc sales, particularly among independents. Movies Unlimited (MoviesUnlimited.com), the flagship site, was recently redesigned to focus even more on the higher-value collector market, with both human-curated, data-informed collections that span the breadth of film, and AI-enhanced discovery systems that make collecting more personal and intuitive. The deep catalog of DeepDiscount.com boasts thousands of DVDs, Blu-ray and 4K Ultra HD discs, CDs, and vinyl records spanning every genre and era, while Critics’ Choice Video (CCVideo.com) caters to classic film fans and collectors.

5. Barnes & Noble — 3%

This venerable bookstore chain sells a large breadth of DVD, Blu-ray Disc and 4K Ultra HD titles, both in-store and online. In stores, Barnes & Noble has branded Criterion Collection, A24 and Disney sections. The chain is well known for its twice-a-year sale offering 50% off Criterion titles. Barnes & Noble operates more than 700 stores across the United States and, bucking a national trend away from physical retailers, opened more than 60 new stores last year, with plans to open another 60 this year. Last December the chain in a press release said it is “experiencing strong sales in its existing stores and has been opening many new stores after more than 15 years of declining store numbers.”

6. Dollar General — 2%

The largest discount retailer in the United States, with more than 20,000 stores, sells a rotating selection of mostly catalog DVDs and Blu-ray Discs for $3 to $5 each. The company plans to open roughly 450 U.S. stores this year and remodel approximately 4,250 existing locations.

7. FYE — 1%

FYE stores focus on collectibles and vinyl music, with DVDs, Blu-ray Discs and 4K Ultra HD discs prominently featured in themed displays alongside such items as Funko Pop! figures, trading cards, and Chucky and other horror-character action figures. FYE stores also feature exclusive editions, including Blu-ray Disc Steelbooks. The FYE website also sells discs, with customers able to sort through the 66,000 available titles by price, release date and alphabetically.

8. Target — 1%

Target stores gave up on physical discs several years ago, but the chain’s website continues to sell discs under the “Movies, Music & Books” tab. The Target website has more than 22,000 titles available for sale, categorized by genre and in special sections such “Movie Deals,” “Movies Only at Target” (for exclusives), “Disney Movies” and “TV Shows.”

9. Fred Meyer — 1%

This supermarket chain has dedicated sections of DVDs, Blu-ray Discs and 4K Ultra HD discs in its supermarkets, which are concentrated in the Pacific Northwest — mostly in Oregon and Washington, with some stores in Idaho and Alaska. Fred Meyer’s physical-media business has grown significantly since May 2024, when a new distribution deal with Studio Distribution Services (SDS) saw the retailer bring in standing retail floor stand fixtures featuring recent releases, along with catalog, anime and seasonal titles.

10. Best Buy — 1%

Discs are back at Best Buy, but only online. The consumer electronics and appliance retailer, one of the early supporters of DVD, made headlines in the fall of 2023 when it announced it was phasing out disc sales to make room for health tech, smart home and other products. But while discs are now completely gone from the chain’s 1,000-plus U.S. stores, Best Buy recently began selling them again on its website, through a network of third-party “marketplace” sellers, including top seller Alliance Entertainment.

1. Prime Video*

Amazon’s Prime Video, in addition to its streaming service, has a robust e-commerce operation that also lets consumers rent and buy movies and shows digitally on an a la carte basis. Digital rentals typically have a limited viewing period of 48 hours from the time viewing starts, while viewers have 30 days to start watching the movie or show after they complete the rental transaction. Digital purchases are available under a “My Stuff” tab, and buyers are able to watch the film or show as many times as they want for an indefinite period. Some films and shows may also be downloaded for offline viewing on compatible devices, such as Fire tablets, Android and iOS devices.

2. Apple TV*

The Apple TV app, under the “Store” tab, offers digital purchases and rentals of movies and shows. For series, Apple also offers a “season pass” in which viewers can access all episodes in a season for a discounted price. For example, episodes of “Dutton Ranch” cost $2.99 each to watch, but a season pass, which gives viewers access to all nine episodes (once they are released), costs $24.99.

3. Fandango at Home

The transactional digital service from the Fandango movie-ticketing service has more than 200,000 titles to buy or rent digitally. The service offers various premium options, including 4K Ultra HD, Dolby Vision, HDR and Dolby Atmos Cinema Sound. Adding to the service’s significance is that Fandango at Home sits inside a moviegoing ecosystem that connects transactional home entertainment sales and rentals to theatrical ticketing, reviews, discovery and promotions.

4. Google Play/YouTube*

Google Play, under its “Movies & TV” tab, still offers digital sales and rentals of movies and TV shows. But the service has recently been merged with YouTube so consumers can now also buy and rent movies and shows under the “Movies & TV” tab on YouTube, where many programs are also available to watch for free with ads.

5. Xfinity

Comcast Corp.’s Xfinity service sells and rents digital movies and TV shows. Users need to access Browse > Movies within the Xfinity Stream app or portal, or on their Xfinity TV box. They then select a movie or show to rent or buy in either SD or HD. Purchased content is available to watch anytime in the “Purchases” folder.

Four other digital retailers are worth a mention, although their market share percentages are in the low single digits. These include:

• DirecTV Stream: DirecTV Stream offers subscribers digital sales and rentals from its library of 35,000 movies and TV shows. Content can be bought or rented directly from the exclusive DirecTV Gemini device.
• Dish Network: Dish offers its subscribers more than 60,000 titles for digital rental or purchase, with the requirement that they have an internet-connected Hopper, Joey or Wally receiver.
• Spectrum on Demand: Spectrum on Demand has a Video Store with thousands of movies and TV shows available to rent or buy. Spectrum on Demand can be accessed through the Spectrum Guide, a cable box, or the Spectrum TV app on various devices.
• Altice: The U.S. broadband communications and video service provider serves approximately 4.9 million residential and business customers across 21 states, offering on-demand titles via its Optimum TV.

*What makes Prime Video, Apple TV and YouTube/Google TV fundamentally interesting is that they are not just transactional retailers. They are broader ecosystems that combine some mix of TVOD, subscriptions, ad-supported viewing, live sports, device/platform distribution, identity, payments and content discovery.

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