- Is renting/selling DVDs still a viable option for retailers?

Absolutely, we’ve found that in the recession movie lovers have liked having the lower cost option of renting a movie as opposed to having to buy it. For retailers looking to burst their traffic, having a DVD kiosk in store is highly beneficial. A majority of customers will buy products from the store when they rent their movie, and they’ll then shop at the store again when returning their disc to the kiosk. Studies we’ve performed also showed that retail stores where we’d installed movie kiosks saw some big increases in spending on items associated with watching a film – snacks, confectionary and drinks.

- How much space should they allocate to it (average, it obviously depends on the store)

Each kiosk can hold over 600 discs, but intelligent design of the unit means that all these discs are held in a unit which takes up the same amount of room as a single door Coca-Cola fridge so the kiosk can fit in just about any retail store.

- What factors should a retailer take into account when deciding if they want to install a DVD offering?

As the DVD kiosk solution is fully automated, the retailer doesn’t need to worry about setting aside any time or resources to the management of the machine. We’d consider the local target audience for the retail store, and if we found that the retailer had a suitable target audience there really are very few barriers which would stop a kiosk being placed within their store. From the retailer, if they’re enthusiastic about the concept and want to up sell the service to their customers they’d benefit from having a DVD kiosk in-store.

- What returns should a retailer expect to see to ensure it is worthwhile?

Most retailers will receive a healthy share of profits generated from the kiosk on a monthly basis, dependent on the level of usages the kiosk receives whilst in-store. Perhaps of even greater benefit to the retailer than the direct financial return from the kiosk is the added footfall and secondary spending the kiosk can bring, as well as the buzz generated from having a highly-unique concept inside their store.

- Given the rise in downloading, is it still a lucrative option for store owners?

Physical rental of movies in the UK remains the primary choice for most movie-lovers. Whilst the online market is developing, most people still prefer the benefits offered by physical rental solutions – a wide range of titles, low prices and instant access. The impulse factor is also important, the presence of a kiosk in retail store means people can decide to have a movie night on a whim.

- How can a retailer make the most of his DVD offering?

The key thing a retailer needs to make the kiosk a success in their store is enthusiasm for the concept. If they can get staff involved with telling people how the kiosk works more customers are likely to give it a go. The Movie Booth also regularly updated in-store POS to make sure customers are aware of all of the latest movies available, so in having the latest movie-merchandising up in store the retailer can ensure customers are aware that the kiosk is stocking the latest releases.

- Why should a retailer have a kiosk rather than a shelf offering? Which works better?

The major benefit of a DVD kiosk for a retailer is the fact its fully automated – no customer registration, no updating new titles every week, no hassle of retrieving movies for the customers – The Movie Booth’s intelligent software controls all of these aspects and with a Movie Booth Field Crew member visiting the kiosk on a weekly basis the retailer can give regular feedback on the service. DVD rental can add a wide range of benefits to any retail store, and The Movie Booth solution maximises this benefit by making the addition of this service to any store completely hassle-free.

- Are games/blu-ray worth stocking in a store?

Interest in Blu-ray is rapidly expanding, and The Movie Booth now offer Blu-ray rentals across a select range of their DVD kiosks. The Movie Booth’s live inventory reporting system allows them to see peaks in demand, and weekly customer-correspondence allows us to speak with our users to determine whether they want new additions such as Blu-ray movies. As this demand grows, you can be sure Blu-ray will be available at all Movie Booth kiosks where it is demanded.

With forty two DVD kiosks now in operation, The Movie Booth is gaining a foothold in the UK and Irish DVD rental market. The company installs their DVD machines into retail stores and base their business model on offering price and convenience to consumers.

Individual kiosks are managed by a number of operators across the UK and Ireland. The operators have full control over the kiosk and make all decisions on pricing, stock and marketing. The easy to manage business opportunity has proved attractive to investors, and The Movie Booth is looking to grow their base of operators nationwide.

The central success of The Movie Booth concept has been the response to the concept from customers who are tired of waiting for their movies to arrive in the post or can’t afford to spend £4 per night on renting a movie from a traditional store. Offering the ultimate in convenience – customers can get everything they need for a night in from one place – has been a huge incentive to busy consumers of the 21^st Century.

The company has had some extremely positive feedback from users in recent weeks:

“The movie booth is brilliant and I no longer rent from Blockbuster. It would be great to see them in other shops. I think it is a fab idea, and lots of my friends have started using it too!”

Katherine Thorne, Portsmouth

The movie booth is located in the Co-Op across the road. I absolutely love it. It is cheap, convenient….. And so far not many people are aware of it, so most of the movies are available. I love the fact that the movies are constantly updated, as I m a cinema addict!!!  It is very easy to use, and very quick. Emails sending updates are great, it just remind me it is around the corner.
…. so all good!

Nathalie Vieira, Southsea

For me to get to my local Movie Booth takes about 10 minutes value for money is excellent when you compare it to a lot of other outlets such as Blockbusters I have had no problem with any of the films all have worked perfectly, some of the weekend deals you do are great and I always take advantage of them I have recommended this service to my mates and most all ready use it.

Keven Gevouax-Ross, Edinburgh

As the number of traditional DVD rental stores decreases, the demand for local cost effective services has increased and The Movie Booth are poised to take advantage of this gap in the market with their revolutionary DVD kiosks.

For further information on how the DVD kiosk works you can call 0044(0) 8701436769, email enquiries@themoviebooth.com or visit www.themoviebooth.com.

Since launching in the 80’s, Blockbuster has been synonymous with renting movies.  However, the company now finds itself on the brink of bankruptcy and may be forced to close stores across the globe as a result.  With debts of £635 and a share price that has dropped to 32 cents per share, the company is struggling to cope with changes in technology.  So what has caused Blockbuster’s demise?

DVD kiosks

A newcomer to the market, DVD kiosks are quickly eating into Blockbusters share of the rental market.  Placed within existing retail stores the automated kiosks minimise premises and staffing costs, enabling these savings to be passed on to consumers, undercutting rental prices of traditional high street chains including Blockbuster.  In the USA, Redbox have set the pace with DVD kiosks and now have more than 22,000 kiosks in operation giving them a market share of 13% in 2009.  The kiosks offer rentals for $1 a night from many of the largest grocery stores in America.

In the UK, Blockbusters 630 stores are coming under threat from Movie Booth (www.themoviebooth.com) DVD kiosks.  The company has 50 kiosks in operation spread throughout many of the country’s most well known retail groups, with 5 new locations opening each month.  Offering movie rental for £1.50 per night, the company model is based on convenience and price of renting from kiosks leading to UK consumers embrace renting movies from DVD kiosks in the same way the US public has.

Blockbuster themselves have noted the increasing popularity of kiosks and have begun installing their own machines in the USA. However, the question on everybody’s lips is whether it’s a case of too little, too late for the retail giant.

For details of DVD kiosk business opportunities available call 0870 1436769 or email contact@themoviebooth.com.

A revolutionary new DVD vending service which has recently launched in Southern Co-Operative and Scotmid stores in Portsmouth and Edinburgh is set to allow the people of the cities to use the latest technology to watch their favourite films.

The Movie Booth are the UK’s leading distributor of DVD vending kiosks and have recently launched two of their automated rental kiosks in Co-Op stores in Portsmouth and four kiosks in shops in Edinburgh.  The machines offer rental of a range of movies from new releases to classics for £1.50 per night, and the company are also giving customers the chance to rent their first movie for free.

In the USA, consumers have increasingly turned to DVD rental kiosks as a cheap way to get access to movies.  Some of America’s giant corporations have invested in this technology and kiosks now account for 13% of the DVD rental market.  There are now over 30,000 of these units across the States, and The Movie Booth have plans to emulate the popularity of US DVD kiosks here in the UK.

Demand from consumers for the most cost efficient way to access movies is being met by online rental by post services and traditional stores at present, but it is expected that a dramatic growth in DVD rental kiosks will commence in 2010.  The Movie Booth is pioneering this technology in the UK and now has 30 units in operation.

The company recently commenced trial partnerships with both Southern Co-Operative and ScotMid to deploy kiosks as a trial across the group.  Machines were recently launched in Co-Op stores on Rowner Road, Gosport and Elm Grove in Portmouth and Bath Street, Easter Road, Leven Street and Raeburn Place in Edinburgh.  The machines stock the latest movies including titles such as Michael Jackson’s This Is It and Up.  Users simply touch the screen to choose their film, and the machine uses technology to ensure that customer’s cards are safe when used to rent a movie.

Paul Dugdale, Business Development Manager at The Movie Booth said “These kiosks have been massively successful in America. We’re delighted to be putting our kiosks into Co-Operative stores and we hope that the people of both Portsmouth and Edinburgh will enjoy the benefits of renting movies from our kiosks”.

A spokesperson for the Southern Co-Op said “At The Southern Co-operative we continually strive to find new and innovative ways of improving our customer service and we are pleased, once again, to be the leaders in supporting a new concept, on this occasion through DVD rental in our local stores on Elm grove, Portsmouth and Rowner Road, Gosport.”

Visit www.themoviebooth.com for further information.

Today’s postal strikes are set to cause misery for many British businesses.  However, few operations will be as affected by the strikes as the hugely popular Lovefilm, who offer a rental-by-post movie DVD rental service.  The company are set to face postal misery due to their reliance on the Royal Mail network, and some of Lovefilms emerging competitors are hoping to take advantage of this issue.

With the Royal Mail failing to come to an agreement with the CWU, national strikes are due to commence on Thursday and Friday, crippling the national mail network.  Many postal order businesses are going to be heavily affected by the strikes, and all business have been warned to expect severe delays when sending and receiving post.

One of the businesses that will be most heavily affected by the strikes is Lovefilm, the UK’s leading rental by post operator.  With over 1million members, the company rely on the Royal Mail for all outbound and inbound deliveries.  The strikes are expected to affect customers receiving movies, and also cause delays in titles being returned to the company.  This could cause particular trouble for new users who have taken up Lovefilm’s ‘free trial’ offer.  This entitles users to rent movies for 14 days for free, but if a customer fails to return a disc after 14 days they are automatically subscribed to a monthly direct debit.  So far, there has been no official comment from Lovefilm on contingency plans they have in place to deal with postal delays.

LOVEFiLM relies on Royal Mail’s standard tariff letter First Class and Second Class services for outbound mail, and its Packetpost service for bulk mailings.  For returns it uses Royal Mail’s Returns Management Services. LOVEFiLM sends and receives hundreds of thousands of items of post each week; making three million despatches a month, with packages having up to four disks each.

In the same vein of delivery companies trying to take advantage of the Royal Mail’s problems, Lovefilm’s competitors are trying to seize this opportunity to offer alternative methods of renting movies.  The Movie Booth, leading supplier of DVD vending kiosks in the UK and Ireland’ are running promotions over the weekend to try and give movie lovers access to films which may usually be supplied by Lovefilm.  Carlos Marco Rider, Movie Booth Managing Director said “Lovefilm are the industry leaders, and will have a massive number of customers expecting to receive films this weekend.  Their reliance on the Royal Mail will affect their distribution, and with The Movie Booth’s growing network of national kiosks we hope to be able to ensure people have access to their favourite movies this weekend”.

Simon Morris, Lovefilm’s Chief Marketing Officer, recently said “‘We must be one of the largest users of Royal Mail’s First Class services.  Since we began we have seen steady growth, which has been managed in partnership with Royal Mail, and we are grateful for that.  Royal Mail is the best of breed in terms of its services. To a large extent we live or die by our service”.  Whilst the Royal Mail strikes wont signal the death of companies such as Lovefilm, any further strikes could severely affect these postal-reliant business.

For information on The Movie Booth business opportunity call 0870 1436769.

- END –

The credit crunch has forced retailers to use every business opportunity available to maximise revenue streams.  This has led to retailers streamlining operations and tightening budgets.  However, opportunities have also arisen for retailers to diversify products and services to generate new income sources.

A notable example of this appeared recently with news that Tesco are set to announce revenue figures from DVD and games sales that is higher than HMV’s revenue for the same products.

The home entertainment sector has been one area which retailers have focused on in the credit crunch.  A survey from Halifax Home Insurers showed that nearly 60% of people now prefer to spend Saturday nights with friends and family at each other’s homes as opposed to spending money at bars, clubs and restaurants.

The DVD rental kiosk concept is one example of a service that has been of benefit to retailers in the UK and Ireland since demand for home entertainment increased.  The Movie Booth currently operates DVD kiosks in stores including Spar, Nisa, Budgens and Tesco.

The company recently surveyed users from one of their kiosks in Tesco, Wexford.   Of the 224 customers surveyed, 100% of these said that they purchased additional related products in store when renting a movie from the kiosk.  89% said they also bought products in-store when returning their movies.  Offering additional services such as DVD rental kiosks have proven to be a lucrative example of product diversification through direct and indirect sales.

This comes on the back of a Screen Digest report shows that spending on ‘home entertainment’ has jumped £65million in the last year.  This increased demand for movies coupled with the closure of many traditional DVD rental stores – Choices UK and Apollo are two of the biggest victims – has given retailers a unique opportunity to exploit the gap in this market.

Jane Hinton, a store manager at a Spar store in Shrewsbury which houses a Movie Booth kiosk said “The Movie Booth is doing really well in my Spar shop. It has had a lot of interest from our existing customers and has also brought in a lot of new customers. It is easy to use and as a shop manager is completely hassle free. We have also had an increase in sales of convenience foods.  I look forward to the next few months, as I’m sure business will continue to grow”

DVD kiosks are beginning to join pay-points, photo kiosks and ATM’s as services which customers would expect to see in their local stores.  As the internet gives people an ever-growing choice to purchase everything they need online, retailers are finding ever-inventive ways to remain competitive.

For further information visit www.themoviebooth.com or call 0870 1436769.

- END -

What you MUST know about the DVD rental industry…

We’ve recently spent a considerable amount of time compiling an in-depth report on the DVD rental market. You can get a copy of the full report by calling us on 0800 0434723 (UK) or 1800 932903 (Ire.).

The  report  gives  you a complete insight into market growth and also highlights the main emerging markets.  Here we’ll break down some of the key research findings for you…

Home Entertainment Market Value Growth

- The total home entertainment market value grew from £3.64billion in 2007 to £3.71billion in 2008.

- There has been continual growth in the demand for home entertainment product and services from consumers.

The massive potential of the DVD rental market

- There were 390 DVD rental stores closed in 2007 and 2008.
- Despite this, the movie rental market was still valued at £345million.

- The closure of traditional DVD rental stores has created a large gap in consumer demand which has yet to be filled.

Technology isn’t all it’s cracked up to be

- The delivery of broadband in the UK and Ireland is still far below that which would be required to provide a reliable, modern online movie rental service.

- Pay-per-view movie costs remain very high, and access to to new release titles is virtually non-existent.

-  Only  16million  UK  homes  have  access to broadband - this leaves approximately half the population with no facility for movie downloads or streaming.

DVD rental kiosks have been a huge success in the USA

- Redbox have grown their DVD kiosk network from 1,600 in 2006 to 22,000 in 2009.

-  The  Redbox share of the entire DVD rental market is 13%, valued at $780million.

This comes despite the fact there are still 5,000 Blockbuster stores operating in Amercia, the US has far greater broadband capabilities than the UK and Ireland AND Netflix (the UK equivalent of Lovefilm) has been in operation for over 12 years.

We have a huge amount of interesting data like that above, and we’d be happy to provide you with this.  We hope this will make a better, more informed decision on whether you proceed with The Movie Booth.

Want a copy of the report?

If you’d like a full copy of the report  then simply email contact@themoviebooth.com or call 0800 0434723 (UK) or 1800 932903 (IRE) and we’d be happy to send this to you.  You can also contact us for further details on our business opportunities.

We look forward to hearing from you.

The Movie Booth

P.S. The report is sold by leading industry bodies for thousands of pounds. However, if you’d like this for free email contact@themoviebooth.com or visit www.themoviebooth.com and complete our contact form.

Answer - 21,000+

DVD rental kiosk growth in the United States has been nothing short of phenomenal in the past 18 months and the company leading the market – Redbox – are the most talked about company in the worldwide home entertainment sector at present.  In the USA, the concept has grown to the extent that there are more DVD kiosks operating in America than there are Blockbuster stores.

But isn’t the DVD rental market in decline?

When comparing the USA to the UK and Ireland, this growth of kiosks in America comes despite the fact that:

- Average broadband speeds in the USA are DOUBLE  the average broadband speed supplied in the UK and Ireland.

- Online rental facilities such as i-tunes offer far more movie titles and lower prices than services in the UK.

- On-demand movies are far more accessible and affordable in America.

These points prove that the pricing and convenience offered by DVD kiosks have made this the most popular way to rent movies in America, and that the supposed decline in demand for DVD’s is premature . We expect the DVD kiosk to similarly explode in the UK and Ireland, and here’s why…

·         The market leader in the USA are Redbox, who now have over 18,000 DVD kiosks in operation.

·         When launching in 2002, Redbox began life with only 20 DVD kiosks in operation.

·         Retailers in America realised that DVD kiosks offered a completely new service for their customers, which led to retail giants such as Wal-Mart to install kiosks in their stores.

·         Blockbuster - pioneers in the DVD rental industry - have agreed to install 3,000 kiosks in America after seeing the success that has been achieved in this new market.

What’s this got to do with people like me in the UK and Ireland?

In the UK and Ireland, the market is in early stages of growth - The Movie Booth  currently  have thirty DVD kiosks in operation.  However, as in America, UK and Irish retail groups have now realised the potential of DVD kiosks.  The Movie Booth have been able to gain access to a majority of the largest supermarkets and convenience stores in both countries.  This has resulted in a flurry of new kiosk launches taking place of late including installations in several new regions including Glasgow, Shropshire, the West Midlands and London.  Despite this, there are still huge opportunities for growth in many regions of the UK and Ireland.

What this means for you is that you have the opportunity to become involved in a market that is fully primed for explosion.  The Movie Booth offers you the full facility to own and operate a network of profitable DVD kiosks. You

can become a DVD kiosk operator:

·         Without owning a retail store.

·         With no prior knowledge or experience of the home entertainment industry.

·         Without having to pay one lump sum to take ownership of the kiosk.

How can I find out more about this business opportunity?

We’d love the chance to discuss your individual options – you can get a general overview of The Movie Booth’s key operational benefits by watching a recent interview with The Movie Booth’s UK and Irish Sales Manager, Paul Dugdale    .  To watch this short interview, simply click here.

If you’d like to have a personalised one-to-one chat with Paul about how The Movie Booth can benefit you, you can call us freephone on 0800 2922032 from the UK or 1800 932903 from Ireland.

We look forward to speaking with you.

The Movie Booth

P.S. The Movie Booth have recently launched new kiosks in Glasgow x3, Shrewsbury. Wolverhampton, Tooting and Lancaster. Despite this, there are still business opportunities available in your area, so email enquiries@themoviebooth.com or call 0800 2922032 to find out how you can profit from becoming a DVD kiosk operator.

In a further display of the growing strength of the DVD rental kiosk industry and the general benefit of this business opportunity, Sony have announced a deal to partner with US DVD kiosk leadert Redbox.  Full details of the news are below…

Sony Pictures Home Entertainment has signed a multiyear distribution agreement with Redbox Automated Retail that will put Sony’s DVDs, direct-to-video movies and catalog titles into Redbox’s 17,000 self-service kiosks, where movies rent for $1 a night.

Other studios have eyed the growing network of Redbox kiosks warily, concerned that bargain DVD rentals will further erode DVD sales. Redbox even is battling Universal in court, claiming the studio is trying to limit third-party distributors’ dealings with Redbox.

Sony, in contrast, has decided not only to embrace Redbox but also to deal directly with the Illinois-based company. Sony refused to comment on the terms of the deal, but the Wall Street Journal reported that the company is selling Redbox its DVDs at a lower price than Redbox would pay a wholesaler. Redbox, in turn, has agreed not to sell used Sony DVDs.

“Our consumers have always been the best barometer of where our business needs to go, and clearly Redbox has become an important distribution option,” SPHE president David Bishop said, explaining that the deal will increase availability of Sony titles and eliminate a source of used titles.

Redbox, a subsidiary of Coinstar, has built a nationwide network of kiosks in such locations as McDonald’s restaurants, Wal-Mart, Walgreens and grocery and convenience stores.

For further information on how to become involved in the growing DVD rental kiosk market in the UK and Ireland call 0870 1436769 or email contact@themoviebooth.com