Redbox growth is bound to slow, analyst says

06/19/2014 | Home Media Magazine

Redbox's meteoric growth is certain to slow down as the company runs out of new kiosk locations and consumers download more digital videos, according to Eric Wold of B. Riley & Co. "While our belief in the near-term stability of physical rental demand remains intact, with competitive pressures diminished or eliminated, Redbox will be increasingly impacted by industry changes and shifts in consumer behavior," he wrote in a research note for clients, predicting that Redbox will see revenue growth in the "low-single digits (at best)."

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