Chalk up another victory for Redbox in the home entertainment rental business. According to a report by market research firm NPD Group, Redbox led the industry in physical media rentals in January, 2011, accounting for 35% of the market.
Netflix followed at 30%, with brick-and-mortar stores and independent video stores coming in at 30% and 5%, respectively.
Russ Crupnick, entertainment industry analyst for NPD, made the following observation on Redbox’s achievement:
“It’s a trend that is likely to continue with the pain Blockbuster is feeling and the strength of competitors . . . You know we thrive on food, water, sleep, convenience and value. Redbox has done an outstanding job of meeting consumer needs for a ‘blended’ shopping experience — it saves an extra trip when I’m at Walmart or McDonalds, and the research shows that they are perceived as delivering a high value experience price wise . . . So long as consumers can find something in the kiosk that they’d like to watch, they don’t need to choose from a massive library, and the kiosk experience works quite well.”
How much did you contribute to Redbox’s tally, Insiders? Will the company be able to do it again this month?
(via Home Media Magazine)