Redbox Increases Demand for DVDs
November, 05, 2009 1:47 pm | On #Blu-ray, DVDs, RedboxIn recent weeks, there has been a wave of hand-wringing and even finger-pointing over the decline in DVD sales.
Some have aimed their ire at DVD rental, especially Redbox, as having a negative impact on the market for purchasing DVDs. But the answer to what is causing the decline in DVD sales is much more complicated.
Without a doubt, the primary culprit in the decline of DVD sales is the poor economy, which is forcing consumers to reduce purchases of everything -- even essentials.
Secondarily, after 12 years of filling their shelves with billions of dollars of DVDs, consumers are feeling a natural saturation in a maturing market.
Third, many consumers are wondering what is next, whether Blu-ray, internet delivery or other advances in technology. This uncertainty is causing them to delay their purchases of the old standard-definition DVDs.
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Read MoreRedbox Chief: 'We Are an Engine for Industry Growth'
October, 02, 2009 3:44 pm | On #RedboxIn recent weeks, there’s been chatter attempting to explain the decline in DVD sales, linking this trend to a multitude of factors: consumer preferences, changing physical media, the economy and shrinking retail footprints.
Some have even promoted the idea that popular movie rental services like Redbox cannibalize the market for DVD sales. Others suggest that big studios are clinging to unsustainable business models. (For background, see Flurry of Lawsuits Puts Redbox in Spotlight)
Description
A veteran of the video and entertainment industry with more than 25 years experience, Mitch Lowe was named CEO of Redbox in 2005 and president in April 2009. Widely credited for the development of the $1 per night DVD rental, Lowe has played a central role in growing the Redbox network from 12 locations to more than 15,000 locations nationwide.
Prior to joining Redbox, Lowe consulted for McDonald’s business development group, heading the company’s DVD vending machine team – the team that ultimately created the Redbox concept. Before that, he helped to found Netflix, where he served as vice president of business development. In 2002, Lowe helped to bring Netflix public.
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