What To Look For When Investing In a DVD Vending Machine
The recent trend in the vending industry is the DVD vending machine. As a matter of fact, they are so successful that giant retailers like Wal-Mart are rushing to acquire them for their stores. Made in Japan, this is the latest contribution to the world of retail. This should be no surprise because it is very common to see vending machines selling a wide variety of products in Japan. When compared to purchases made in the US, however, vending machines are still seen as a novelty. Even so, they show exceptional growth potential.
As the name suggests, customers can use this particular machine to buy or rent a DVD of their choice. The machine stores DVDs placed in columns that can be observed through a Plexiglas front. The consumer then rotates the racks to check out the collection. Once they choose a DVD, they simply insert their payment and the disc is dispensed.
So successful are these machines that manufacturers are boasting that these machines can easily make a profit of $100 per day. Profit is heavily dependent on the movie selections being provided. Stocking popular movies increases one’s chances of increasing the amount of generated revenue. Purchasing a DVD vending machine from a reputable manufactuer can also affect how much money you make.
Take Redbox, for instance. Their vending machines are meant for renting movies. Consumers like this innovative idea because they can eliminate the hassle of competing with the other renters at a DVD rental store over the weekend. But as the market becomes more saturated with the DVD vending machine, this advantage will be reduced. The machines are frequently more conveniently located than the traditional video rental stores. The very affordable rental rate of $1 per night ensures that you will not run out of consumers interested in renting a movie.
There are DVD vending machine manufacturers like MovieMate, DVmatic, Pluton Video, and others that sell fully-automated versions of the machine. Unfortunately, even though this concept is hot, it is still in its infancy, so finding a used machine for a lower cost can be difficult. A new machine may set you back anywhere from $12,000 by as much as $30,000, depending on its features. Doing the proper research will help minimize your investment while maximizing your profit.