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Family Video

From Alfawiki
Family Video Movie Club, Inc.
Company typePrivate
IndustryVideo rental
Founded1978; 48 years ago (1978)
DefunctTemplate:End date and age
HeadquartersGlenview, Illinois, U.S.
Number of locations
750+ (pre-2021)
Online Web-store only (2021–2022)
Area served
United States, Canada
Key people
Charles Hoogland, CEO
Keith Hoogland, President
Eric Hoogland, Vice-President
OwnerHighland Ventures
Number of employees
~7,000

Family Video Movie Club Inc. was a prominent American chain specializing in physical video rentals across the United States and Canada. It served as the primary enterprise of the privately held Highland Ventures, which is based in Glenview, Illinois.

History

Originating from Midstates Appliance and Supply Company founded by Clarence Hoogland in 1946, the company shifted focus to video distribution under Charles Hoogland’s leadership in 1953. During the late 1970s, after accumulating surplus video stock, Charles initiated the Video Movie Club in Springfield, Illinois in 1978. The original business model involved a $25 membership fee alongside a $5 charge per rental. By the 1980s, the brand evolved into Video Movies Inc., eventually adopting the Family Video name.Cite error: The opening <ref> tag is malformed or has a bad name

Family Video strategically concentrated on serving rural communities, suburban neighborhoods, and small to mid-sized urban areas that were largely neglected by competitors such as Blockbuster. This approach allowed it to establish a distinct market presence.Cite error: The opening <ref> tag is malformed or has a bad name</ref>

In 2003, the company relocated its headquarters from Springfield to Glenview. With Blockbuster’s collapse and Hastings Entertainment’s closure by 2016, Family Video stood as the final major video rental chain operating within the United States.[1][2]

Expanding beyond traditional storefront rentals, Family Video diversified into various sectors including real estate holdings, fitness facilities, cellular services, cable television provision, and e-commerce for both new and used merchandise.[3]Cite error: The opening <ref> tag is malformed or has a bad name The firm also extended its footprint into Canada starting in 2012.[4]

Later years

Facing the overall decline of physical rental outlets in 2013, Family Video collaborated with Marco's Pizza, incorporating pizza franchises into numerous stores as a strategy to enhance rental traffic. Additionally, it leased portions of its retail spaces to businesses such as hair salons and fitness centers. Unlike many rivals that leased their locations, Family Video owned its real estate assets outright—an advantage that helped avoid lease-related difficulties contributing to other chains’ failures. Moreover, the company purchased its movie inventory directly rather than relying on revenue-sharing agreements, thereby retaining full rental income. Family Video also managed a fiber-optic internet service called i3 Broadband in Central Illinois and operated a modest fitness center brand named StayFit-24.

By late 2019, the chain operated close to 600 outlets—a decrease from its peak of approximately 800 stores. The COVID-19 pandemic precipitated closures of around 200 locations during 2020, leaving roughly 300 stores remaining. On January 5, 2021, Family Video announced plans to shutter all remaining 250 physical stores and shift operations entirely online through a web-based store offering new and pre-owned videos alongside branded merchandise including apparel and accessories. This online platform ceased operations at the close of March 2022, marking the conclusion of Family Video’s four-decade presence in the market.

References

  1. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named Los Angeles Times
  2. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named Blockbuster
  3. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named TMC News
  4. ↑ Cite error: Invalid <ref> tag; no text was provided for refs named Ontario