Looks like certain movie studios might be wrong – Redbox is not really killing their profits!
A recent research study by the NPD Group and Adams Media Research – as well as internal numbers from Redbox – show that Redbox users are just as likely to buy DVD movies as anyone. It also notes that 23 million of the projected 77 million DVD sales by Redbox customers this year will come after the customer rented the movie from Redbox first.
So, it looks like that $1 for Redbox is turning into profits of over $391 million for the movie studios. Not bad for a company that some studios are trying to kill.
Anything else you want to whine about now, Universal?