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Think about it.
He is probably selling because Redbox is way too competitive in this market (Salt Lake City), and he has had no luck on getting good placements.
A some other comments have mentioned, I think if you could get the right location this would be profitable (like a university).
Another point is- vending kiosks come in MANY flavors of software and hardware- All of them have glitches aplenty. these could be dated out prototypes, or re-purposed from another use. older kiosk vending is horrid, and lots of people got stuck with $10k boat anchors (See agfa Imagebox- now belly up, and noone will service them.
It's a Bad move.
What do you set your price point at? Lessee . . . How about $1 like Redbox? Take about $.05 from that for the credit card processor. Looks like you're making $.95 per rental to me. Of course you're going to be as successful as Redbox with their 8000 kiosks and average about 400 rentals a week, so that makes about $380 from your one kiosk. So maybe you won't be that successful and do a whopping 200/week for $190. Are you SURE that many people will rent from a "me too" kiosk at Lois and Fred's Family Market?
So maybe they will. You've spent a MINIMUM of $1500 stocking that kiosk with titles that might not rent more than 5 or 6 times. Then next week and every week after that you have to go out and buy maybe 5 to 10 each of 5 to 8 new releases to keep things fresh every week. Lessee, 5*5*$5(minimum, and some of the more popular titles will cost you $18-20) is something like $125. How much did you make on those 200 rentals? or was it more like 16 rentals? How much of the revenue are you sharing with Lois & Fred?
Then the kiosk goes down. Surely you have the technical expertise to get it running, right? And the time to go out to the kiosk every week to stock it and clear the inevitable jams caused by kids putting foreign objects in the rental slot?
Yessir, this looks like a REAL money maker!
if they keep giving out promo codes. When the machine goes down you have to give refunds to everyone or you lose business. A tech told me in some areas people jam the machine then claim it was out of order when they tried to return the DVD so they pulled the machine from that location. Who has time to go out to fix it at about $50/hr or is your time free.
http://www.evobox.com/
Also, here is a mirror site of the same thing:
http://www.youhavechosenwisely.com/evobox/
He is also selling the domain name:
http://www.who.is/whois-com/ip-address/evobox.com/
Here is the active trademark (also selling):
http://tmportal.uspto.gov/external/portal/tow?S...
He also has both EVOBOX (trademark) and Evolution Entertainment, LLC registered in Utah.
Here is his current contact information:
Robert Heward
2250 N UNIV PKWY #48
PMB4888
PROVO, UT 84604-7575
Mobile: 801.319.2033
Fax: 801.421.2073
I spoke with him at he is selling for $7,500 each unit; however if someone purchases all units he'll sell the whole business for $60,000. He'll finance with $20,000 down.