Unwilling to let rival Redbox corner the market on convenience store chains with lamentably spelled names, NCR has made a deal to place Blockbuster Express kiosks at nearly 500 Kwik Trip locations. The agreement will help NCR, who licenses the BB name for its DVD rental kiosks, to get closer to its goal of 10,000 installed blue boxes by the end of 2010.
NCR president Alex Camara has also confirmed that his company will begin selling DVDs at its kiosks in the coming months, though no official agreements with any studios have been inked yet. In addition, Camara has confirmed that NCR is considering doubling its new release rental fees to $2 per day, a move that would increase margins for both itself and the studios.
Would you pay per night to rent from BB Express, Insiders?
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If such a move happens with its chief kiosk rival, could a similar price hike from Redbox be far behind?
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(via CSNews)
Would you pay $2 per night to rent from BB Express, Insiders?
Doesn’t it depend on the title?
Maybe a two-tiered system could be introduced where some titles are premium priced and others are not.
Hmm… Direct-2-redbox™ [now Direct-2-bluebox™] titles could be lower priced.
No I would not go out of my way to pay twice as much because the color of the box was blue instead of red, but if there was a blue box close by (none yet), and if they had a big title like Avatar and Red Box was not going to have it for 28 days, then yes, I would consider it…if I can reserve it online.
So NCR continues to pick up the scraps left behind by Redbox? Well, good for them. Competition will benefit us.
But raising the rental cost to $2 a night is just stupid. The majority of us customers are looking for value and rent from the kiosks because they are only $1. Increasing that cost just so NCR can get in bed with the greedy movie studios is going to end up turning customers away. Most will wait just save a dollar. And seriously why are they even bothering selling new DVDs? Is this something else the studios want them to do? Years ago Redbox offered new movies for sale but they stopped after they apparently realized it wasn’t worth it and was taking up rental space.
Maybe NCR thinks that since they have licensed the Blockbuster name that they have to make poor business decisions.
‘Maybe NCR thinks that since they have licensed the Blockbuster name that they have to make poor business decisions.’
LOL on that.
The end game is variable pricing. No doubt about that. $2 for 1st 28 days and $1 after that sounds great. They should simultaneously lower some prices to $.50 a night to net out at just north of $1. That’ll do wonders for the P&L and make the shorts cry for mommy.
How about Blu-ray Disks? Maybe NCR could price BDs @ $2.00 per day and DVDs @$1.00.
I would pay 2 per day for the first 30 days thenit falls to 1.00 per night… But are the machines allowed to charged 2 prices?
I think its a all or nothing (meaning dvds cant be different prices) at least i dont think they can
They can charge different prices.
Lamentably spelled names lol
Why would RedBox charge 2 dollars for new releases when they get new releases a month late? I love RedBox…
Let’s see if we can compare our options as they now stand. Go to Redbox, wait behind 20 village idiots, get month old movie. Click mouse on Netflix site, get same month old movie for same or less price delivered to the door. Hmmm!, wonder what I will do?