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Family Video Movie Club Inc. is an American online video rental chain located in the United States and Canada. The family-owned company is headquartered in Glenview, Illinois.[1]
Charles Hoogland, CEO
Keith Hoogland, President
Eric Hoogland, Vice-President
In 1946, Clarence Hoogland founded Midstates Appliance and Supply Company. His son Charles Hoogland inherited the business in 1953. The company later became a distributor for Magnetic Video.[2] After getting stuck with a large inventory of excess video movies in the late 1970s, Charles had the idea to start the Video Movie Club in Springfield, Illinois in 1978. The club originally charged a $25 membership fee and $5 per rental and later evolved into Family Video.[3]
Because Blockbuster's main focus was larger cities, Family Video decided to establish itself mostly in rural areas, suburbs, and small-to-midsize cities instead.[4]
In 2003, Family Video relocated its headquarters from Springfield to Glenview, Illinois. By 2013, Blockbuster closed almost all of its remaining stores. By the end of 2016, Hastings Entertainment liquidated, making Family Video the sole-surviving video rental chain in the United States.[5][6]
In addition to the brick and mortar store front, Family Video has branched off into other markets such as real estate, 24-hour fitness centers, cell phones, and cable television.[7] The company also sells new and previously used items online.[8] Family Video expanded into the Canadian market in 2012.[9]
In 2013, following the continued decline of competing video rental stores, Family Video formed a partnership with Marco's Pizza providing space for the franchise in many of its stores. The company is using the partnership as a way to deliver video rentals with pizza orders. Family Video also leases space to other retailers such as hair salons and fitness centers.[10][11] Unlike much of its competition, Family Video owns the real estate housing their stores, helping them to avoid unsuccessful lease negotiations that led to the demise of Blockbuster, Movie Gallery, and Hollywood Video.[12] And rather than depending on the revenue-sharing model used by others in the business, the chain buys and owns its movies, allowing it to keep all the rental profit.[13] In addition, it owns a fiber-optic network in the Central Illinois region, called iTV-3, as well as a small chain of fitness centers named StayFit-24.[14]
In late 2019 it was reported the number of stores were almost 600,[15] but due to the impact of the COVID-19 pandemic, the chain was forced to close 200 stores in autumn 2020, with about 300 locations remaining.[16]
On January 5, 2021, the company announced all remaining stores would close.[17][18] The company operated about 800 stores at its peak, but closed the last 250 that year and is now an online company only.[19]
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