Redbox has a pretty cool model, renting out DVDs from vending kiosks outside of Wal Marts and other well trafficked retailers. As we’ve learned, renting the latest hit movie works better for our hectic lifestyles as an afterthought than it did as a primary destination when Blockbuster Video stores roamed the prairie. It’s a shame that the selection is so small, but that’s the sacrifice that we make for convenience and for those who want variety, there’s always digital streaming services like Netflix and Amazon.
Mindful of the turn toward streaming back in 2012, Redbox decided to dip their toe into the streaming wars, teaming up with Verizon to launch Redbox Instant. In hindsight, that wasn’t the best idea.
Redbox Instant, Verizon’s Netflix-battling streaming movie service and the companion to the automated DVD rental kiosk in your grocery store’s entryway, is shutting down on October 7th at 11:59PM.
According to the FAQ on the Redbox Instant site, the Redbox Kiosks are unaffected by this. If you’re a customer who paid for a full month’s Redbox Instant subscription, you’re in luck.
We will be providing a full month’s subscription fee refund to customers who paid for, but only received a partial month of service. For example, if you paid the monthly subscription fee after September 8, 2014, you will automatically receive a full one month subscription fee refund to your payment card.
If you purchased an on-demand movie, things are a little less concrete at the moment.
We’re exploring options for customers who purchased electronic versions of on-demand movies. You’ll receive an email from us shortly, or you can check back here for an update in about two weeks. We appreciate your patience.
It’s never a happy thing when a business venture fails. Good people doubtlessly put in hard hours trying to make Redbox Instant into a world beater, but the reality is that there is just too much competition in the digital stream marketplace with Hulu, Crackle, Epix, Netflix, and Amazon.
Usually, competition is good for consumers but digital streaming nirvana looks like total convenience and ample selection and that’s hard to achieve with several subscription services each taking their own slice of the pie when it come to available films and TV shows. Ultimately, this feels like the market policing itself.
Source: Gizmodo, Redbox Instant