Not satisfied with only announcing a streaming service yesterday, Redbox has also said it’s gobbling up its kiosk competition, Blockbuster Express.
When DISH Network bought up Blockbuster, one thing it did not include was the 10,000 Blockbuster Express rental kiosks. Those were the result of a licensing deal with NCR, a company that makes all sorts of various stand-alone kiosk machines such as self-ticketing stations in airports. Like the company they were named for, the kiosks under performed, and NCR reported a $13 million dollar loss in the third quarter off of $42 million in sales.
Redbox to the rescue!
The leading DVD kiosk brand has said it will pay NCR $100 million for the 10,000 kiosks, specific retailer contacts and the remaining DVD inventory. The deal is said to be completed by the third quarter of this year and will also include a strategic arrangement between the two companies that will see Coinstar, the parent company of Redbox, purchase products and services from NCR.
This new deal will essentially give Redbox a monopoly on the DVD rental kiosk business, and should the company keep all of the Blockbuster Express locations going – which is doubtful due to inevitable overlap – it would put the company at close to 40,000 locations around the nation.
As many reports have said DVD and Blu-ray rentals are tapering off, it’s intrigiuing to see Redbox looking to increase it’s hold on the market that much more. Perhaps they know something other companies don’t?
You’re at home on a week night, done eating dinner, what do you do? We’ll that was the situation I was in the other night. So, the decision was made to watch a movie. Didn’t find anything we wanted to stream on Netflix or in our movie collection so we went to the next option, rent a movie.
Redbox is a great option, but you have to leave the couch. Normally this isn’t a problem, but this night it is. So, we decided to download or stream something, not something we do on a regular basis. First, Cox On Demand. large selection, new choices, but $5?!!?! Sorry, you are out. When I can get a Redbox movie for about a dollar that is ridiculous, especially when there are other $2 or $3 options available.
Next, XBOX 360, same selection, cost is much less. Plus the Microsoft points were already there! Easy choice, we’re going with Green Lantern, haven’t seen it yet. So, XBOX has a whole new home screen, which I have mixed feelings about. So, I choose the movie and then I have a series of choices. To stream or not to stream…… One time the streaming wasn’t great so I chose to download. I know, I know, big mistake. I also sprung for the HD quality video, so what happened??? Well, from the time the choice was made to the time the movie was downloaded was 4 hours! Our internet is not basic, it’s fairly quick, but this movie was over 8GBs!
So, the conclusion is this. XBOX 360 or iTunes seems to be the best choices for price & selection for at home renting, but be sure to stream!! Learn from my mistake. My first overall choice though would be to go grab a Redbox if you don’t mind a short trip to your nearest kiosk.
As new technology comes about I’m sure it will get better and easier to get movies at home fast and lower priced.