Redbox Testing Price Increases in Certain Markets
In the wake of the price increase from Netflix for its video rental and on-demand streaming service, another movie rental giant may be toying with its prices as well. Redbox has announced that it is testing price increases in certain markets.
The price increases may be meaningless in the end. The increasingly popular rental company, which accounts for an estimated 31% of the movie rental market, offers DVDs, BluRays, and even video games from stand-alone machines located around the country. The price increase affects only DVDs, which have long been pegged at just $1 for a night.
Redbox is testing the new price increases, ranging from 15 to 20%, in Austin, Texas and Portland, Oregon. The company has already tested price increases in cities such as Miami, Florida, San Diego and Modesto, California. Redbox insists this is not a sign of higher prices coming in the future.