Originally Posted by TowerGrove
Would this have an effect on disc sales since their purchases would be made through retail? Im not sure if this is correct or not?
Originally Posted by PSound
It should have a dual impact.
First, all discs at retail will be counted as sell through sales.
Second, all discs will hit the used market (likely at ~ $7) starting at 3 weeks after release (on average).
In the past, that flooding of the used market was a major concern for studios as it trained certain consumers that they could wait a few weeks and pick up discs at a fraction of their new cost. And the last thing the studios want is consumers trained to view their content at a lower value.
It would have some impact but the unit volumes involved are still relatively small compared to the normal volumes of the types of major releases that Redbox or Netflix carries in inventory.
Some lower priority titles would also just get ignored and not carried at all while some hotter titles would get more copies.
When Redbox used the workaround method before it carried less in inventory in each box than it did with studio agreements supplying the rental inventory.
Its still a noticeable amount of units though that would count as sell through sales if they were bought at retail plus they get resold as well.