Expensive Investment Research On The DVD Kiosk

 

Dedication is going to be required; this is not a get rich overnight scheme. Your kiosks will need to be in place for a couple of months before you will start to see results. The most expensive investment other then the DVD kiosk themselves are going to be the DVDs. Some people will suggest you purchase your DVDs from the “largest DVD supplier in the country” located in California. That is great if you want to sign up with them created an account, give them your Tax ID number and then wait for them to process your information to then supply you with a list of DVDs that you can purchase at Wal-Mart or Target for the same price and sometimes cheaper.

The one advantage if you consider it an advantage is that you get the DVDs the weekend before they are released to the general public. This may be a benefit but small at that. Regardless you are going to be spending approximately $2,000 for each machine to be fully stocked it with the latest new releases. Here is another invaluable piece of advice; you don’t necessarily need all new releases. One of the major complaints I always here from people about renting from Redbox is, they stop renting there frequently because they have seen all the movies in the machine. Sometimes having a couple of oldies but goodies in the machine is a good thing, just be prepared for a major investment in DVDs.

Stocking the DVDs with popular titles is a real challenge and you will have to except the fact that some are just not going to rent out. Do not put more than 2 copies of each title in the machine unless you notice the two are always rented from the kiosk. Then go buy another copy of the DVD and stick it in there. The DVDs will also require a small sticker that will need to be placed around the inside of the DVD and a sticker on the outside of the DVD case. Expect to pay $1.00 for the inside sticker and .15 cents for the case sticker.

You are also going to need a merchant account; most DVD franchises will set this up for you, but expect a fee of approximately $25 monthly total for these services. This does not include the per transaction fee that you will be charged for each transaction. This fee will be approximately .15-.30 cents each transaction.