I think Netflix landed a solid punch with their mail DVD but it was Redbox that offered the final blow. Blockbuster had terrible customer service, long lines and 4-5 dollars a pop. You have to return to the same or get late fees.
Here comes redbox with no need for customer service, new movies, significantly cheaper, rent anytime and you can return it anywhere. For the people that wanted a dvd immediately, driving to a close Redbox over a Blockbuster was cheaper and easier.

Flashdiaz said:

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I think Netflix landed a solid punch with their mail DVD but it was Redbox that offered the final blow. Blockbuster had terrible customer service, long lines and 4-5 dollars a pop. You have to return to the same or get late fees.
Here comes redbox with no need for customer service, new movies, significantly cheaper, rent anytime and you can return it anywhere. For the people that wanted a dvd immediately, driving to a close Redbox over a Blockbuster was cheaper and easier.

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And they put redboxes at grocery stores, gas stations, etc eliminating the dedicated trip.