Redbox Case Study

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Through the viewer's lens

Redbox is a rental service that lends customers movie and game titles via automated kiosks in grocery stores, convenience stores, and restaurants. The company had reached an all time revenue high in 2013, but saw steady decline every subsequent year. The brand needed a marketing campaign to both win back previous customers and gain new ones. Therefore, our first priority was to figure out why sales had dropped since 2013. When we examined the competitive landscape that year, we found that from 2013 to 2018, Netflix and other streaming services more than doubled their subscribers. This was bad news for Redbox, because qualitative research determined that once users had a go-to streaming service, the amount of new release/big blockbuster movies they watched decreased. People were ok with watching less of the biggest, best movies if they could stay home in their pajamas. Despite being aware of Redbox's low cost rentals for coveted new releases and convenient kiosk locations, consumers simply found no good reason to use Redbox over their online streaming service. After all, time is money, and the inconvenience of driving to the kiosk negated any price difference that RedBox could offer. We therefore needed to find a differentiator of Redbox that consumers considered worth their while. What does Redbox offer that the streaming services don’t? Through this lens, we discovered our insight. 

We have so many choices that we don’t choose anything.

Paralyzed by choice

Turns out, people don’t want the infinite amount of choices that we have today. One psychological concept dictates that the more choices (of similar value) a person is presented with, the less able they are to decide on one of them. The indecision causes anxiety, which 60% of the time leads to inaction, or: choice paralysis. Consumers found themselves mindlessly scrolling through random Netflix content for 8-10 minutes per day, but would often end up re-watching old content, or nothing at all. In fact, data showed that consumers were unknowingly trying to solve the problem themselves by searching for 80% of their content only in the 'recommended for you' category. Examining this bleak situation, we determined that Netflix and other streaming services had killed movie night as we once knew it. But- Redbox could save it. While their competitors offered thousands of titles, Redbox offered a limited selection of only the best; hand picked, and never too many at once. We would show the choice paralyzed that Redbox won’t make you suffer through a night of aimlessly scrolling. Redbox would assuage people's F.O.M.D., or 'Fear of Making Decisions.'

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Creative Campaign