Holy hyperbole, Batman! Economic study claims that $1 DVD rentals have cost the entertainment industry over $1 billion.
They are a great idea, but don’t forget to turn in the movies like I did and ended up paying 10 bucks for a rental!
wow that report is really flawed and obliviously written for those big studios. It goes against basic principles of economics and scale. I’m sure McDonalds hurt the mom and pop diner industry when it emerged. Lower overhead means lower prices – get with it Hollywood! Every model that Hollywood tries to jam down peoples throats is higher prices: separate/higher prices for 3D, higher prices for blue ray, multiple subscription services, keeping antiquated distribution windows alive, FUCK!!!!
Exactly rus, lets not forget divix…I actually cheered when that one bit the dust. I can tell you that where I live they put in a video store open 24hrs fully automated, one of a few in the U.S (only the second at the time) and as soon as the redbox showed up they dropped their prices to a buck as well. I don’t use redbox because I have netflix and there isn’t anything I ever want to see in it. but for some soccer mom it is ideal. I would not be surprised if this trend forced the studios to go back to …well i forget what you call it? but there was “Priced to own” which is what the dvd’s were priced at when they were realeased. In other words in the VHS days new releases were like $80 bucks + for the video stores to buy that is how the studios got there piece of the home rental market. When DVD’s came out they were “Priced to Own” and came out under $20 a big savings to the mom and pop video stores. With redbox cleaning up I am sure the studios are trying to think of a way to put the genie back into the bottle.