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Redbox Customers See Higher Prices in Five States

22 Jul, 2010 By: Erik Gruenwedel

Redbox customers in New York, Michigan, Pennsylvania, Colorado and Indiana this week inadvertently believed they were being charged 25% above the normal $1 per day DVD movie rental rate.

Oakbrook Terrace, Ill.-based Redbox, which introduced the $1 disc rental, said the pricing error appeared on email confirmations and at select kiosks, and was due to a technical glitch.

“Redbox identified and was able to quickly resolve this issue so that no customers were charged the incorrect amount,” the company said in a statement. “We apologize if this caused any confusion.”

A Redbox spokesperson said consumers are invited to contact customer service at 1-866-REDBOX-3 (733-2693) with questions.

The quick response from Redbox was not enough for some customers, who criticized the company on fan site www.insideredbox.com, voicing their displeasure.

Jon Engen with Video Buyers Group, a nationwide consortium of independent video stores, said he believed the “error” underscored efforts by Redbox to test prices in select markets.

“I think this further proves that the price will be $1.25 across the country, and that it’s coming sooner rather then later,” Engen said.

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