Blockbuster Express Kiosks See Price Hikes, Too

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News Posted: Mon, Nov 7 2011 2:10 AM
Bad news for those who love movies and love saving money. In the wake of both Netflix and Redbox raising rates, even Blockbuster can't resist. At this point, it's hard to ignore that the root cause has to be the studios -- Blockbuster is in no position to hike up rates at a time when it could use every ounce of market share it could muster. Blockbuster has just announced that their rental kiosks will soon slip out hot new movies for $3, a 3x price increase from before. "Recent" releases will rent for $2/night, while all other (i.e. older) movies will rent for $1/night. The silver lining is that even the more expensive options are $1/night following the initial night.


Has anyone told you lately that Hollywood hates these kiosk things?
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rapid1 replied on Mon, Nov 7 2011 8:49 AM

Why not? When your competitor or competitors initiate a larger fee the object business wise is to raise yours as well, just not quite as much as said competitor. One of the big things here much like I am sure we will see many other places in the near future is in price matching. I imagine this will happen in an automated way where the company or provider sets a minimum on the computers and the price displays are actual displays rather than post boards, or price tags. Think of it this way instead of a gas station having physical numbers all of them will be digital displays. Then all prices will be automatic through the network based on nearby competitors.

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rapid1 replied on Mon, Nov 7 2011 8:52 AM

Where we seem to be now in the world is on a who loses less per transaction in many cases not to a negative point, at least in all cases, but in a we loss less of the profit margin than our competitor. One of the major factors is that a person can now set up a business at home and compete on the same field as pretty much anyone else relatively inexpensively compared to 10 years ago.

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The problem is that for movies in the first 28 days, they can't buy from the studio like they were in the past. So they have to spend more money on the movie through a reseller. Sucks, but when your cost go up massively, you have to charge more money. This is the same thing that happen to Netflix and their streaming.

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