At a time when the DVD appears to be dying, Redbox has acquired NCR’s entertainment business for $100 million.
Redbox will bolster its movie-kiosk business by acquiring Blockbuster Express.
NCR is a company that specializes in automatic teller machines and retail kiosks. If you used one of those self-serve ticket machines at an airport, chances [...]
January 31, 2012 | 11:53am
Warner Bros.’ deal with Redbox has expired with the two companies still at odds over how long consumers should wait to rent DVDs for $1.20 a night.
As a result, kiosk rental company Redbox will have to buy Warner DVDs from retailers like Wal-Mart at a higher price but will no longer [...]
By Tim Carmody October 28, 2011 | 9:56 am
Warner Bros. wants the 28-day window between sales and rentals of new DVDs and Blu-ray discs it’s negotiated with Netflix and Redbox to be even longer — and it wants big retail chains like Blockbuster to submit to the [...]
17 Oct, 2011
With Warner Home Video likely to lengthen the 28-day embargo to 60 days for kiosks such as Redbox and Blockbuster Express beginning next month, independent kiosk operators welcome the news.
“Bring it on,” said Dan Kearney, who owns and operates two rental kiosks under the DBA “EnjoyNewReleases” with his wife, Mary, in Milford and [...]
“In our opinion, this price would still be more attractive than other rental options and could actually drive a margin boost to Redbox since the price increase would benefit all transactions, while the debit fee hike would only impact about half of all transactions,” Wold wrote in a Sept. 21 note.
Shares of coin-counting machines and DVD rental kiosk maker Coinstar (CSTR) are down $1.37, or 3%, at $42.53, double the market’s decline, despite an upgrade today by JP Morgan’s Paul Coster from Underweight to Neutral, based on valuation considerations.
Only days after reporting $363.9 million in quarterly revenue and $79 million in operating income, up 34% and 99% year-over-year, respectively, DVD kiosk company Redbox has released some more impressive figures. With more than 27,000 kiosks spread across the country, the Coinstar-owned service is now seeing an average of 55 million monthly rentals and up to 40 rentals per second.
Rental kiosks have surpassed traditional retail shops as the go-to option for film fanatics eager for convenience and low prices. Though Redbox and Blockbuster Express command the lion’s share of consumer interest in the novel service, retail company FYE is now eying up the relatively young industry with a run of new rental kiosks. Could a full-fledged service be in the cards?
Revenue for the DVD rental kiosk operator rose 33.8 percent for the latest period to nearly $364 million, at the lower end of company projections, as management says it is looking to attract Netflix users upset with a recent price hike.
On June 9 Redbox parent Coinstar announced it would install roughly 1,400 coin-counting kiosks in Safeway stores in the United States and Canada this year, and that could spell good news for Redbox kiosks as well, according to one analyst.
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