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Redbox expands into video games

Written by Andre Yoskowitz (Google+) @ 01 Jun 2009 3:12 User comments (6)

Redbox expands into video games Redbox, the automated DVD rental kiosk company, has announced that they have hired their first "senior level videogames executive," and plan to expand into video game rentals this summer.
“Our customers and retail partners have been really clamoring for video games, and Redbox is responding,” added Mark Achler, Redbox's new VP of video games. “We are very actively engaged in putting out a video game offering. There are changing demographics, where we see the casual market continuing to open as more women become involved.”

The tricky part now is pricing. Redbox currently offers $1-a-night pricing for its video rentals, but it is almost a guarantee that the same pricing will not be given to video games, which retail for much more than DVDs and Blu-rays.

Achler added that Redbox will offer two types of kiosks; one with only video games and another with both games and movies. There will be titles for the PS3, Xbox 360 and Wii available.

“We think rental really has an opportunity to grow and lift the whole video game sector,”
noted Achler.

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6 user comments

11.6.2009 16:09

Quote:
Redbox currently offers $1-a-night pricing for its video rentals, but it is almost a guarantee that the same pricing will not be given to video games, which retail for much more than DVDs and Blu-rays.
I don't see how they could go much higher than $1 a night and remain competitive. Currently Hollywood and Blockbuster are $6-7 for 5 nights, so that's just a $1.20 to $1.40 a day.

21.6.2009 18:18

this is a good idea but the prices would have to be a dollar or else they would not be able to remain competative

31.6.2009 18:52

Yeah I thought their plan was to rent out the games, and then sell them off when nobody rents them anymore.

42.6.2009 23:46

With Blockbuster in WI, you can keep the games an extra 5 days beyond the due date and then they convert to a sale. Return the game before 30 days is up from the date of the sale and only pay a $1.25 restocking fee. So for about $8.50, you can rent the game from Blockbuster for about 40 days. That's what I do and finish most of them before the due date. I don't see how they can compete with that. Games take much longer to finish than a movie. Of course if the game sucks, you'll know that pretty quickly and would only be out $1.

53.6.2009 0:11
mark789
Inactive

SPAM removed

This message has been edited since its posting. Latest edit was made on 03 Jun 2009 @ 17:17

67.6.2009 3:28
Venom1987
Inactive

In North Texas, Hollywood charges video games that are 5 day rentals for $8.90. While Blockbuster charges for seven days for $10.95 and five days for around $7.95 to 8.40 they change the price about every month.

I'm think they will probably charge around 1.25 to 1.50 any more or less can become a profit loss.


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