The two fundamental ways to increase sales at grocery and C-stores are to increase existing customers’ store trip frequency and somehow pull in new, fresh customers.
Obvious, right? So, how to do it?
There are plenty of great ideas out there, but let’s look at a couple simple ones:
- Selling drugs- Hey, people are addicted to coffee. What better way to pull people in than to have a coffee kiosk in your store? Hopefully, they’ll make your store their daily fix.
- Hot foods- People are busy, on the go. Make their lunches and dinners for them.
But, these aren’t fool-proof because the cash-strapped and/or time-poor consumer can always save money and a trip by making her own coffee and dinner and packing a lunch. They have cheaper, and maybe easier, options.
One offering that is fool-proof is movie rental. And, a Movie Rental Kiosk is, without question, the easiest way to offer a movie rental service at a store. A closer look reveals:
- The consumer needs to return the movie after it’s been watched. Each rental trip generates another return trip. So, each movie rental may be responsible for two trips. But, even if the rental was coordinated with a store trip, it’s definitely generating one additional trip that otherwise would not be necessary.
This equates to store trip frequency increasing. It’s simple math, and store and consumer surveys have proven it.
- Every retailer has pretty much what every other retailer has. OK, try to differentiate here and there; try to focus on good customer service… That’s all well and good. But, how can a store really, truly, factually stand out?
Well, if Store A has a DVD Kiosk and Store B doesn’t have a Movie Rental Kiosk, that’s a glaring difference. All the consumers wanting America’s # 1 entertainment choice will make a trip to the store with the Movie Rental Kiosk.
And, they’ll make a second trip to return the movie. Now, that store has a great chance to win them as a loyal customer!
- Honestly think about it- How hard is it to pull a consumer away from their habitual travel patterns and stores they visit to try a new store that may not be convenient to their travel patterns? It’s extremely difficult to do. DVD Kiosks do it easily.
Outpost Retail Systems provides turnkey DVD Kiosk service packages to retailers who want Movie Rental Kiosks at their stores.
Store benefits include:
- Potentially dramatic increases in sales due to increased trip frequency and attracting new customers.
- In as quickly as a few months, a large percentage of an area’s population will become customer renters of the Movie Kiosks. We regularly see rates over 33%.
- Differentiate against competition and / or keep up with larger stores that have Redbox Kiosks.
- Fast ROI, payback. Not unusual to earn back total startup investment within one year.
- Annual profit per DVD Kiosk, based on industry average revenue per Redbox kiosk, would be in the $40,000 range.
- Easy, trouble-free operation.
- Along with food, the store will provide the # 1 entertainment staple: movies.
- Cross-marketing: “Buy a pizza and two-liter soda and get a free movie”. Earn shopping points good for free movies.
- Movie Kiosks also enable the retailer to capture customer emails. Typical opt-in rates for customers to provide their emails exceed 35%.