Redbox released plans to expand the company’s offering of PlayStation 4 and Xbox One games at their kiosks throughout the US. Currently, they only have about 5,000 out of their 42,000 kiosks offering these titles.
Redbox hopes to capitalize on the growth of the video game industry by offering game rentals at $3 for 24 hours as opposed to a $60 purchase at retail. Mark Horak, president of Redbox explains, “We feel that the time is right and the consumers are shifting rapidly to the new generation. By stepping into new generation, we’re also going to get consumers to play more games — by making these games available to them at a price point that doesn’t require the full purchase of the game.”
Pushing this value campaign, Redbox hopes to increase their game rentals which only account for 2% of their total rentals. Redbox points to the third holiday season of a console’s life as the peak growth point for software distribution. Unsurprisingly, this shift towards video games does not include Wii U titles due to low demand.