• Inexpensive, convenient, and low involvement business module that appeals to a large target segment Weakness • Rarely uses TV, Print, and other innovative in-store advertisement outlets as marketing communication channels • Behind in alternative innovative means of delivering movies to its customers • Internet marketing could be more proactive in sending message of its new movie releases available for rent • Lack of or inadequate web content manager. Several You Tube videos are available on ‘how to hack into a Redbox kiosk’ or the lack of credit card security at kiosk without a response from Redbox. Opportunities • Use in-store displays to increase new movie releases awareness • Increase ‘word-of-mouth’ referral through proactive use of social media optimization • Innovative internet marketing to create awareness of the availability of newly released movies with strong titles • Close the 28 day gap of renting newly released movies between Redbox and some of its
Redbox Case Analysis Key elements of redbox strategy Redbox started its business in 2004 with the idea of providing a variety of movie DVDs at a very low price. Instead of paying around $4.50 in a blockbuster store, for example, customers could rent movies for one dollar per day, making Redbox a much more viable option. What enables the organization to offer such a low price is the fact that instead of physical stores the company has touch screen kiosks which customers pick movies from, not having so many of the costs associated with the stores (store employers, higher rent, etc.). Other than low price, Redbox attracts customers as its kiosks are located on high traffic areas which are convenient for them, like groceries store, retail stores, and so forth. The idea is that people will rent movies in places they would have to go to anyways, or rent movies after walking past one of the kiosks even if they were not considering to in the first place.
Keeping a movie rented from Redbox for a good period will add up to the tab. Netflix allows the subscriber to keep any movie in the account as long as the monthly fee is paid. In additon, using Netflix allows movies streaming without the hassle of returning any material; on the other hand, Redbox can be cheaper if returning the DVD by the next day is not a problem. In order to achieve video streaming or watching a DVD requires additional equipment. Video streaming devices include computers, SMART TV, SMART Blu-ray, Wii, Playstation, Xbox 360, tablets, and smartphones.
The part that sells me is that the company sends customers five pairs of eyeglasses to their house free at charge, and all they have to do is choose the one the like, hold on to it, and send the rest back free at charge. This is a no hassle environment set up by the company. It’s also convenient because most people don’t have the time to search for the perfect pair, while this company sends the right ones to your house. 4. How did they try to increase
SWOT Analysis Strengths: • PRICE – low everyday price of $1 rental movie. • CONVIENCE – Kiosks are strategically placed where usually everyone goes • EASE OF USE – You can drop the rental movie at any Redbox kiosk, quick and fast no waiting for a cashier • SELECTION – good DVD variety • RESERVATION – facility of reserving the DVD you want online. • LOW OPERATIONAL EXPENSE –The highest expense a company has is compensation and benefit, and rental expense. These expenses are relatively low in comparison to the movie rental locations. Weaknesses: • SELECTION - limited DVD selection in comparison to the movie rental locations • QUANTITIES – limited DVD quantities in comparison to the movie rental locations • MOVIE STUDIO REFUSAL – inability to secure ample copies of certain titles.
No One! thats why ps3 provides free online.Where you can make a free playstation account and play multi player with your friends or other people all over the world.This is some of the reasons why ps3 is prefered more. Just like the ps3 the xbox 360 is a high seller.Xbox has sold over 60 million Xbox 360s even though its alittle low then the ps3 it is prefered by many.Like the ps3 the xbox doesnt have a blue ray player so gamers cant play movies on it but xbox does have something that the ps3 cant do.On the xbox 360 you can play your music while playing games.Unlike the ps3 the xbox only has 1:2 hdmi. But that doesnt matter because even if it doesnt have as much rich colors as the ps3 it has more games that gamers enjoy such as gears of war which is only available for xbox 360 and one of the best selling games thats made millions.Xbox can cost you quite alot because you have to pay to play online unlike the ps3.1 month of online is 20 dollars and the best deal is a year for 50 bucks! The best reason to buy online is
1. Chief elements of the Redbox strategy is the generally low price that stimulates customers to buy, certain partnerships that contribute to the overall volume of rentals and also the convenience they offer. Redbox has managed to make their company rival those of the traditional “brick and mortar” style by employing the use of a simple touch screen kiosk. This has allowed them to cut costs by having a fraction of the overhead and upkeep costs lowering the overall initial capital investment. The kiosk allows people to rent movies for just over a dollar a night and return them whenever you want.
Also, Netflix has sponsored an exclusive window on some pretty good shows, including its big hit, "House of Cards." •DVD margins- yes, some people still rent DVD’s, which also helps make-up for some of the content unavailable via streaming. While HBO won’t be allowing the Sopranos to streamed via Netflix anytime soon, you can still get the series from Netflix via DVD. To boot, the service boasts strong contribution margins of around 50%. •Price- $7.99 for all you can watch is cheaper than one night out at the movies.
Vacations have been the most popular form of entertainment in the past but the recent alternative is the staycation. No wonder: staycations are safer, cheaper, and easier. So, many may say that staycations are the better choice for the middle class Americans. With so many out of work an outing in the backyard or poolside seems to make more sense.First of all, staycations are safer than traveling on the highways or in planes. Sixteen percent of most fetal deaths in 2008 were because of accidents on the highway.
People today like movies and musicals that are “in touch with reality.” Another reason is because in Hollywood today the number of musical movies filmed compared to action or mystery films has dwindled. People are just no longer very interested in musical numbers and the people that do still enjoy that form of entertainment are very few. Going back to my first reason, what do I mean by “in touch with reality?” Well for starters audiences today tend to like to see the imperfections in situations just like how life is, imperfect. By creating newer movies that are becoming more and more like things that could happen to us on any given day or movies that involve thrill, action, and special effects because this is what attracts viewers. Movies such as the avengers, divergent, hunger games, etc.