It appears there is a strong market in regards to film rentals in Canada. So much so that it appears that Zip.ca might be prioritizing their kiosks over online streaming.

In an article in the Ottawa Business Journal printed on March 13th, Rob Hall, the founder of Zip.ca, stated that he had delayed his company’s plans to offer rentals via streaming beyond this year, favouring the further expansion of kiosks.

Zip.ca‘s red coloured kiosks are currently expanding through Metro/Food Basic grocery stores in Ontario and offer rentals at $1 per older release per day and $2 per new release per day.

The kiosks were test marketed in the Ottawa area and Nova Scotia, the latter in Sobeys grocery stores, with great success. And sales remain strong with former Blockbuster Canada customers and people who use their internet sparingly.

In Canada it is still rather expensive to stream films online because of internet usage capping so many Canadians will continue to rent DVDs and Blu-Ray discs for years to come.

High Definition films in 720p are generally over 3 gigabytes in size while standard definition films are over 1.5 gigabytes in size. And many Canadians have had their internet usage capped dramatically recently.

Having rented from them in the past, I’m hoping to have one of their kiosks in my neighbourhood soon.