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Redbox Online Strategy Coming Soon?

Unwilling to concede the online video rental business to fellow Blockbuster-buster Netflix and other rivals, Redbox looks to be developing a web strategy to stay competitive. Bloomberg is reporting that during an interview with Mitch Lowe, the Redbox CEO revealed that his company “may use a Web service to expand its library beyond the 200 or so titles crammed into each of its 24,000 or so DVD dispensers.”

Lowe offered the following on the potential strategy, which may be unveiled as soon as October:

“The way we look at it is, How can it help us deliver to our customers things we can’t do in our kiosks? What role might [an online strategy] play in expanding our selection?”

Even with an online game plan in the offing, Redbox will not soon turn away from the physical media rentals that have gotten it to this point. Said Lowe:

“The disc business has a great future . . . Especially with Blu-ray coming out. It extends the life.”

With details on Redbox’s web strategy in short supply, it’s time to speculate. What can Redbox do to compete with and beat Netflix, an established player with a streaming library of more than 20,000 titles?
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What kind of program/subscription/etc.
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would Redbox need to offer for you to follow it online?

(via Bloomberg)

11 Responses to “Redbox Online Strategy Coming Soon?”

  1. Visitor [Join Now]
    Yakura [visitor]

    Unless they team up with Hulu in a joint effort to offer free one-day netflix and Hulu Plus for under $10/mo .. i cant see them differentiating themselves from Redbox

  2. Visitor [Join Now]
    Eric [visitor]

    Seems like a good move for Redbox, but what about a strategy for rolling out blu-ray or videogame rentals nationally?!

  3. Visitor [Join Now]
  4. Visitor [Join Now]
    Firstlawofnature [visitor]

    The only way it’ll be cheap is if the content is older. This works fine for Netflix. It’ll be more difficult for Redbox to do given customer demographics but it could work. Redbox would only be the 2nd company to meld physical product with a digital delivery service. It better be unique and cheap whatever it is. Meeting too PPV/rental would be a total waste of time.

  5. Visitor [Join Now]
    Michael (@TCRPMG) [visitor]

    I say go for it. I am very pleased with the streaming service from Netflix and I think another option would be great. Redbox has been a a great service for me so far, and I would love to see them continue to thrive. Good luck Mitch. I can’t wait to see what you have to offer.

  6. Visitor [Join Now]
    suzie [visitor]

    If I were a huge movie watcher I would go with Netflix but I only rent maybe 4 movie’s a month so I love Redbox

  7. Member [Join Now]

    Netflix isn’t an option if you go a month w/o watching anything. Why pay for a service if you don’t use it? Watching a movie on your computer and tv aren’t really the same. The Redbox kiosk system looks to be a hit, so I don’t see them going anywhere soon. Redbox doesn’t need online streaming really.

  8. Visitor [Join Now]
    Art [visitor]

    Try your local library. I use online requesting of all old movies and even some current ones DVD’s for free and they get them in about a week with a week for you to watch them before returning them. I get a stack at a time.