Redbox’s position in its battle with Hollywood and other interests has been made a little stronger with the results of a study conducted this month by Interpret. The study not only vindicates Redbox by demonstrating that it doesn’t cannibalize DVD sales, it also shows that Redbox customers buy MORE movies than non-customers. Here are the study’s findings, brought to us courtesy of Video Business:
“In the past six months, Redbox renters said they bought 3.3 new DVD or Blu-ray titles and 1.4 used DVD/Blu-ray discs. That compares to non-Redbox renters who say they purchased 3.1 new DVD/Blu-rays and 1.2 used DVD/Blu-rays. Additionally, the heaviest Redbox users, who rent at least one $1 title weekly, say they’ve bought 4.4 new DVD/Blu-rays and 1.9 used DVD/Blu-rays. This data is similar to results from a January NPD Group study showing heavy new DVD purchasing among Redbox renters.”
While the study’s results will likely be disputed by Redbox’s opponents and are certainly not the final word on the matter, Redbox supporters should be encouraged as another piece of evidence falls into place that refutes the studios’ claims.
Rebox plans to capitalize on these findings by expanding a test of sell-through machines that offer regular-priced DVDs under the brand Vidigo. The black-colored machines, currently being tested in Los Angeles, contain new releases and catalog tiles priced between $19.96 and $20.95. The machines are seen by the company as a complement to its red $1 per night rental kiosks and will soon be tested in locations such as convenience stores where Redbox machines have become quite common.
Does this new information go a long way towards justifying Redbox’s protestations of innocence, Insiders? What is the response going to be from the other side? Would you be interested in purchasing DVDs from the new “black box” machines? Take a minute and give us your thoughts.
[via Video Business]