New Video Chain Opens First Store20 Apr, 2010 By: Erik Gruenwedel
A Los Angeles media-production company has launched the first of what it hopes will be a chain of automated stores selling and renting DVD/Blu-ray Disc movies and video games.
Point.360 earlier this month officially opened Movie>Q (www.movieq.com) in Westminster, Calif., featuring 55-foot long “automated inventory management” (AIM) systems that hold up to 15,000 discs and are accessible via eight terminals. Movies and games can be rented for $1 per day and retail from $19.99 with a credit card and no membership.
With a $2 million investment, Point.360 said additional Movie>Q locations are opening in Costa Mesa (May 1) and La Mirada, both in Southern California. A typical Movie>Q store is 1,000 to 1,500 square feet in size and designed to offer the same retail experience as a video store, but at a fraction of the personnel and space cost, according to Haig Bagerdjian, CEO of Point.360.
Bagerdjian said the concept was conceived to test the viability of the market being created by the closure of thousands of Blockbuster and Hollywood Video stores.
“The number of transactions and revenue has exceeded our expectations for this stage of the store's development,” Bagerdjian said, adding that an update on the stores would be given May 13 in a conference call with investors.