There was a time not too long ago that you had only two choices to watch movies. Either you can out to any departmental store and buy a movie and watch or just go to your neighborhood video store to rent the movie and then watch with the added hassle that you had to return it within a certain time unless you want to get hit by late fees which was enormous amount at that time and that is how the video stores made money mostly on late fees. The videos or DVDs were expensive to rent and also to buy just to watch it one time and then add it to your collection. But sometimes it was just feasible to rent the movie and then save some money but then you had to make some time to watch the movie before the late fees kicked in.
In other case you could have waited for a year or so and test your patience and then watch it on pay cable or just on demand with more money but the added convenience that the whole family can watch it with one price. But with the introduction of Netflix, everything about the video rental business went out through the window. Now you could rent one, two or more movies at time, watch it at whatever speed you wanted to watch it and just pay one low monthly fees with no late fees incurring. This has started the demise of the neighborhood video store because they could not compete with Netflix with no late fees to earn extra money.