Entertainment Redbox Rentals Drop 24% - Streaming & Selection Causing Issues

Discussion in 'The Howard Stern Show' started by Rupert Pupkin, Feb 4, 2016.

  1. Rupert Pupkin

    Rupert Pupkin That Ass is Attached to Daniela Lopez Gold

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    The kiosks seem somewhat busy when I visit the supermarket. Then again there are 40,000 kiosks all over the place.

    Redbox Movie Rentals Plunge 24%


    BY Dow Jones & Company, Inc.
    6:45 PM ET 02/04/2016


    Outwerall Inc.'s Redbox reported a 24% plunge in movie rentals last quarter, signaling that even budget-conscious consumers are abandoning Hollywood's once-lucrative DVD business.

    The drop contributed to a 17% decline in Redbox revenue during the three months ended Dec. 31, to $407 million, and a 50% decline in its operating income, to $62.6 million. Outerwall ( OUTR ) shares were down 24% in after-hours trading, to $25.00.

    Redbox rented 135.8 million DVD, Blu-ray and videogame discs in the quarter, compared with 179.5 million in the same period a year earlier.

    The company attributed the drop to "an accelerated decline in the physical market," as well as fewer titles available to rent and lower demand after a recent price increase.

    Redbox's decline is substantially larger than the 8% drop in DVD and Blu-ray disc rentals and 12% drop in sales that the Digital Entertainment Group, an industry trade group, reported for 2015. Overall home entertainment revenue fell 6% in the U.S. last year, as digital sales only partially made up for declines in physical media and online rentals.

    Not long ago, Redbox was seen as a dire threat in Hollywood, drawing consumers to its inexpensive $1-a-night DVD rentals at kiosks that proliferated at grocery stores and other retail locations. But as more people switch to digital streaming and download options, Redbox has struggled to find a way into that business.

    Chief Executive Erik Prusch is serving as interim president of Redbox. In a statement, Mr. Prusch said Outerwall ( OUTR ) will manage Redbox "for profitability and cash flow, and we will continue our focus on expense management, operational efficiencies and network optimization."

    The company plans to remove between 1,000 and 2,000 Redbox kiosks this year. It had 40,480 at the end of last year.
     
    Last edited: Feb 4, 2016
  2. Dave Jones

    Dave Jones Well-Known Member

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    Redbox pulled out of Canada a couple of years ago. They never had anything worth renting anyway.
     
  3. hidden dragon

    hidden dragon the princess of darkness Staff Member

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    I hate that Redbox has shitty horror selections.
     
  4. HowieStearn

    HowieStearn HateClub

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    red box killed the video store. streaming killed RB. Physical media has been mort. for years
     
  5. Anyonenow

    Anyonenow Well-Known Member

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    They have a limited selection that is at many times outdated.
    With the Price increase It's just easier to rent online as the cost difference is minimal when you factor in gas/time..
     
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  6. chrisfromvegas

    chrisfromvegas HOOLIGAN VIP

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    People are becoming obsolete.

    How long before animation gets to the point where actors and actresses, camera's and key grips aren't needed?
     
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  7. Shortwave98

    Shortwave98 A-Number 1 Banned User

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    I use Redbox. :(
     
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  8. TeeDonkey

    TeeDonkey Well-Known Member VIP

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    Me too... I can't keep up with the millennials... :shitfit:
     
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  9. hidden dragon

    hidden dragon the princess of darkness Staff Member

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    I say it's pretty close. This is from Diablo III, and looks pretty realistic IMO

    [​IMG]
     
  10. chrisfromvegas

    chrisfromvegas HOOLIGAN VIP

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    Yep.

    I'm a horror movie person.
    I wish they'd quit the shaky camera shit though.
     
  11. hidden dragon

    hidden dragon the princess of darkness Staff Member

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    Oh I hate the shaky cam too. It's so annoying
     
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  12. Murcielago

    Murcielago Smoke me a kipper, I'll be back for breakfast

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    I'm just glad I went straight from DVDs to digital media players and never got suckered into building a BluRay library.
     
  13. StRyDeRxX

    StRyDeRxX Bling Bling Gold

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    The Matrix is almost here!!! :ohnoes:

     
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  14. Rupert Pupkin

    Rupert Pupkin That Ass is Attached to Daniela Lopez Gold

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    The lack of New Release blockbusters is not helping.

    Now that the large film studios are only releasing 12 or so films a year, there is a lack of selection.

    Cartoons, superheros and teen franchises are the driver of box-office revenues these days. Maybe they are not that compelling to rent?
     
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  15. Eclipse754

    Eclipse754 Well-Known Member

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    I check out the Redbox at my grocery from time to time. Even if they have something I want to watch, they never have a VHS copy available. Just them DVD's or something called a "Blu-Ray".
     
  16. topcatclr

    topcatclr Active Member

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    They already have those types of shows.They're called cartoons!
     
  17. hidden dragon

    hidden dragon the princess of darkness Staff Member

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    has to be better than whiny actors who are overpaid.
     
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  18. Tranquil

    Tranquil Well-Known Member

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    I've never used redbox before, but then again I do have the internet, where any movie is available for download.
     
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  19. funnymoney

    funnymoney Well-Known Member

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    I do, too. I rent Blu Ray from Redbox for new releases. It's always cheaper than on demand through cable or Amazon. Audio and video quality are usually much better with the Blu Ray disc, too.
     
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  20. Mr Pink

    Mr Pink Well-Known Member

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    Exactly. And for many of us who can't steam during their normal watching time (like on a plane or in a foreign country) a hard copy is a necessity.

    If redbox got with the times and made the hi Def version available for download (they could even put digital rights on it to make it self destruct after a couple viewings or whatever) I would happily rent from them. On demand is not a viable option for me.

    They have to keep evolVing their service with times or they'll go the way of blockbuster