No new releases for RedboxCompany Town [LA Times]: "Many studios are wary of Redbox, whose business has doubled in the last year, because its kiosks rent out DVDs for just $1 per night. That undercuts stores with higher rental prices, Netflix and disc sales. All three carry significantly higher margins than studios can get even through a revenue-sharing agreement with Redbox." - Wow. In some ways Hollywood, more like the entertainment industry, can't deal with the ever changing world. Since Redbox rents movies for $1 a night they can't have new releases now. Wow.
First we have VHS, the studio's go crazy; pirates, we're all going to go bankrupt, blah, blah, blah. They survive.
Then we have places that rent movies. Hollywood is concerned. They survive.
The big brick and mortar stores, like Blockbuster, give way to Netflix. Things seem to be ok still?
Enter iTunes movie rentals. Concern again. Apple can't rent new releases right away.
Yet another twist on movie rentals, kiosks via Redbox. I'd bet Hollywood thought they'd fail miserably, so they did a deal with them think "Oh, these fly-by-night, small peanuts, companies will just go away." Wrong again fellas. They seem to be doing just fine, and are quite popular. Every time I walk into our local grocery store, Save Mart, I see someone standing at the Redbox kiosk renting a movie. I LOVE the idea, I think it's quite brilliant, and for $1 a night, how can you go wrong?
About this entry
You’re currently reading “No new releases for Redbox,” an entry on Rob Fahrni
- 8:16 AM
- by Rob