I’m often asked by investors why they should consider an outdoor vs an indoor location for their DVD business. They wonder specifically why the outdoor kiosk seems to be, by far, the standard choice for both RedBox and Blockbuster, the two leading operators in the country. There are plenty of good reasons why an outdoor DVD kiosk is a better solution; the most important one of course being that it is likely more profitable than an indoor unit. Outdoor kiosks add convenience, visibility and 24/7 operation, all factors that lead to more revenues.

Reason #1 Visibility and 24/7 Revenue Generation
An outdoor DVD Kiosk will generate revenue 7 days per week, 24 hours per day. So when your retail location closes at the end of the day, the DVD kiosk continues to generate revenue. Even for the retailer who is open 24 hours a day, an outdoor presence draws the attention of a much higher volume of clients. Indoors, a unit’s exposure is limited to the location’s customers. And, once customers enter a store, there is a great deal of competition for their attention. Unless a customer is entering the store with the express goal of renting or returning a DVD, a back-of-the-store Kiosk can risk going unnoticed. The outdoor unit with its digital screen cannot be easily ignored by visiting customers, pedestrians and even drive-by traffic.

Reason #2 Convenience
Customers today demand convenience. For DVD rentals, that means customers want the convenience of quick access to pick up and drop off a movie. Whether it’s the busy parent ferrying their children around in the car, or stopping by on the way home from work… there’s no need to park the car when the Outdoor DVD Kiosk is only a few feet away. When customers pre-order their movies via online reservation, the time in front of the kiosk is typically less than 10 seconds. Can’t beat that for convenience. A good experience for the customer will cause them to return, over and over again, generating more income. Speaking of convenience, unlike other DVD Kiosks, the Signifi kiosk does not even require a customer to touch the screen and wait for a prompt in order to return movies. One simply inserts the movie into the slot and the return is done in seconds. Our design team took customer behavior into consideration when engineering the kiosk – retail customers were used to just dropping movies off in a drop box… hassle-free.

Reason #3 More Revenues
Ever wonder why most RedBox kiosks are outdoors? Outdoor units are said to generate from 30 to 100 percent higher revenues. Signifi’s digital signage is an additional bonus and will be even more valuable when placed outdoors as the advertising opportunities are greater. Some retail operators may be concerned that having an outdoor kiosk could deter clients from walking into their location; the opposite in fact holds true. When a kiosk is conveniently situated close to the entrance of the store, clients wanting to purchase will of course come in. But market studies show that, as an added bonus, 20 percent of movie returns will result in an unplanned purchase. That’s in addition to the movie and game renters who may not have otherwise come into the store. A very convenient revenue-generating solution for the location owner.

Reason #4 Designed for the North American Outdoors
Outdoor kiosks from Signifi are designed to withstand the harsh elements in North America. Like a letter carrier, they operate in all weather conditions; they feature full heating and cooling systems. Signifi’s models are housed in a secure and robust enclosure, expertly designed to withstand dust, heat, cold, snow and condensation. The Signifi outdoor kiosks are rugged and secure, and for those interested, it would take thousands of pounds of pressure per inch to even try and budge the second screen! You can have peace of mind knowing your unit will remain secure and functional, rain or shine. I’ll be writing again about the value of Outdoor DVD Kiosks in the near future.

About the author
Shamira Jaffer is President of Signifi Solutions Inc. based in Toronto, Canada. She has been a leader and innovator in the kiosk industry for over a decade. Shamira is also a founding partner and current board member of Esprida, a kiosk monitoring and management company. Signifi Solutions designs, sells and supports DVD Kiosks: models including the outdoor Rainman (800-disc unit), Aero (500-disc unit) and the Lightning (1500-disc unit). www.Signifi.com/Kiosks