It looks like 2008 was a good year for Redbox. According to Coinstar’s most recent earnings report, Redbox revenue doubled (to about $400 million) and earnings nearly quadrupled (to $72 million) from 2007 to 2008.
At the end of 2007, Redbox had 6,550 kiosks. When 2008 came to an end, they had 12,900. By the end of 2009 Redbox expects to have about 20,000 kiosks in operation.
Another interesting statistic is Redbox’s overall market share for the DVD rental market. In 2007 they had about 2.3% of the market. Now, at the end of 2008, they jumped to 9%. Company projections show they will have 13% of the market at the end of 2009.
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It looks like Redbox is leaving smaller operators TNR/Moviecube and DVDPlay in the dust. They had only 2,300 and 1,400 kiosks in operation at the end of 2008, respectively. Blockbuster is still planning on entering the market, though, with an initial surge of 10,000 kiosks. We’ll see if they actually go through with it.
With Coinstar to have 100% ownership at the end of the month, will Redbox remain the market leader? And, the real question is, when will they file for that IPO, and how many of you will buy their stock?