Redbox continues fast paced expansion

Rich Fiscus
29 Jan 2008 23:01

Redbox, the number one DVD rental kiosk operator, is expanding their operation into a pair of supermarket chains in the Midwest. Hy-Vee stores in Iowa, Illinois, Missouri, Nebraska, Minnesota, and Kansas, as well as Buehler locations in Ohio have all gotten the kiosks this year.
Last year a massive shift from traditional brick and mortar video rental operations to kiosks seems to have begun. With McDonald's, owner of a substantial stake in Redbox, making them a common sight outside their fast food restaraunts and Blockbuster shifting from a focus on their Total Access "Netflix killer" to a plan that includes putting branded kiosks in a number of retailers' establishments, taking advantage of their established name.
Less than a month into 2008, Redbox has added more than 400 kiosks around the country, apparently continuing the meteoric rise they experienced last year.
Meanwhile Movie Gallery, the number two brick and mortar DVD rental operation, was forced to file for bankruptcy and close more than 500 stores last year, with more closings expected within the next few months.

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