Carrefour to launch movie download service

France-based Carrefour Group will launch a movie download service, the world's second biggest retailer announced at the PEVE Digital Entertainment conference in Paris on Friday. The service will allow customers to buy movies or rent movies and rent TV programs. The Group already operates supermarkets, grocery stores and convenience stores that carry DVDs in Europe, and wants to expand its focus on entertainment, bringing it closer to customers.

Carrefour's international non-food chief, Christophe Geoffroy, said the shopping experience would be simple and fast, with downloads taking about 3 minutes, suggesting a possible streaming experience. He went on to say video-on-demand market in Europe isn't great, but is expected to grow. Some analysts predict Europe's movie download market will be worth over about 690 Euros (over $1 billion) by 2011.

Carrefour isn't the only or the first major retailer to seize the opportunity, as earlier this week, British retailer and grocer Tesco opened its own music and video site, with a larger focus on MP3 album and singles sales.

The group would continue to sell DVD videos at its current stores throughout France, Spain, Belgium and Italy, of which it has a 13.3% market share. Pricing for its downloads, nor a launch date, have yet been announced.

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