DVDNow Expands Kiosks to 15 Countries10 Jul, 2012 By: Chris Tribbey
Redbox has a near monopoly on DVD kiosks in the United States and has its eyes set on international areas next.
It'll have to contend with DVDNow when it gets there.
The Vancouver, Canada-based company has made its living selling kiosks directly to retailers and individuals, and July 8 expanded to its 15th country, Costa Rica, giving that country its first-ever DVD rental kiosk.
“Costa Rica is an untapped opportunity for our self-serve rental kiosks,” said Scott McInnes, DVDNow Kiosks founder and CEO. “Instead of going to a video store, Costa Ricans will now be able to rent movies at locations that are part of their everyday routine such as work, major electronics stores and, of course, convenience stores. Everyone appreciates convenience, and we are expecting that once Costa Ricans become familiar with the kiosks we'll have an adoption rate similar to what we have experienced in the United States."
First launching in 2006, DVDNow today has more than 3,000 kiosks in the United States, Mexico, Canada, South Africa, Ireland, England, Guam, New Zealand, Australia and other countries.
Costa Rican businessman Mauricio Altmann is testing his first DVDNow kiosk at a food court in the suburbs of San Jose. He plans on installing at least two more kiosks in the area. He first became interested in the concept after seeing Redbox kiosks during a trip to Las Vegas.
“We think we have a very good market for it,” he said. “Costa Ricans love their movies.”
Setting up a kiosk, with inventory, can run as much as $20,000 at the outset. The kiosks can fit 250 discs, which can be purchased via DVDNow's wholesalers or at retail.
DVDNow kiosks feature a glass front featuring inventory in original cases, and owners can also choose to rent Blu-ray Discs and video games.