Red Changes Color: Blu-ray Coming to Your Nearby Kiosk

By · Wednesday, June 9th, 2010

Blu-ray Coming to RedboxBlue and red are coming together to make high-def rentals more accessible to customers at a low cost. According to Home Media Magazine, Blu-ray movies will be available in your nearby Redbox kiosk within the next few months for just a buck above the standard rental fee.

The announcement comes on the heels of Redbox’s deal with some Hollywood studios to put new releases, including Blu-ray, in their kiosks 28 days after the street date.

Redbox says they are testing two premium price points for their Blu-ray titles at $1.50 per night and $1.75 per night. Whatever the cost, they say the low price is right for the times when more than 70% of DVD and Blu-ray customers are cutting back on entertainment spending.

The little red kiosks are steadily inching toward rental giant status and have now cornered about 23% of the market at approximately 40 million DVD rentals a month. These figures are likely to increase once Redbox rolls out Blu-ray titles in its machines. More than 17% of their customer base owns a Blu-ray player, which could further help drive Blu-ray into the media mainstream.

The combination of high-def discs and low cost rentals begs the question: is this the litmus for Blu-ray’s future demand? Redbox’s president says that their renters buy 6% more new DVDs than non-Redbox renters and that their most frequent renters buy 42% more DVDs than non-Redbox renters. Whether this translates to Blu-ray sales remains to be seen.

In our increasingly digital world, one advantage of physical media sales like Blu-ray is content. A VP at Ascent Media notes that digital distribution is “inferior to what packaged media brings” because standards for those distributors are not as high. Therefore, the integrity of your media content remains intact. This high-def option is the next logical mainstream step in the evolution of media formats made more consumer-friendly with Redbox and Blu-ray duplication by the hundreds.

It’s the kind of media alliance that could greatly impact the Blu-ray duplication industry. What it reveals is a changing tide—an increasingly popular rental company adapting to the demands of consumers. As a result, duplication must adapt by providing comprehensive service and products. An upswing in demand will in turn make Blu-ray duplication and Blu-ray recordable media more affordable to you, the customer.

What is your take on the increase in demand for Blu-ray content? Comment below!

Comments are closed.