While its movie rental rivals Netflix and Blockbuster have struggled for varying reasons recently, it seemed like Redbox could be just the ticket for thrifty renters. That may be tougher now that it has announced Monday we'll see a slight increase in pricing for DVD rentals, from $1 to $1.20, citing increased debit card fees. So far, nightly pricing for Blu-ray discs ($1.50) and videogames ($2) is staying the same, but with studios already pushing for longer rental delays, there's fewer safe ports or those pursuing cheap, current movies. On the conference call, executives floated the idea of using the first sale doctrine to buy and rent retail discs if necessary. Overall, as seen above Redbox's share of the disc rental market rose last quarter, while there's still no word on plans to jump into online streaming.
Check below for parent company Coinstar's full Q3 earnings report plus a FAQ that helpfully points out this is Redbox's first increase in eight years and that discs reserved online will still be just $1 for the first night through November. The actual email customers are receiving is included after the break.
[Thanks to everyone who sent this in]
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New Daily DVD Rental Price
Redbox is making an announcement about its prices today, and we want to make sure that you hear it from us first.
Starting on Monday, October 31, the daily rental charge for DVDs will change to $1.20 a day.* The price change is due to rising operating expenses, including new increases in debit card fees. Daily rental charges for Blu-ray™ Discs and video games won't change.** Additional-day charges for DVDs rented before 10/31 won't be affected, either.
In order to make the transition easier, Redbox will discount the first day of all online DVD rentals to $1.00 from 10/31 through 11/30. Additional rental days will be $1.20.***
If you have any questions, please visit redbox.com/pricechange. There, we've provided additional information.
This marks our first price change in more than eight years as we work hard to keep prices low for our customers.