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ELO Media Expands its DVD Rental Kiosks Presence in Hawaii



E-Z Movie Rental, head quartered in Utah, used to have an established video rental service in Foodland grocery store chain in Hawaii and in other states across the continental U.S. In an attempt to streamline its business and reduce costs, E-Z Rental is slowly phasing out the shelf rack rental model within a grocery store and replacing it with ELO'ss automated DVD rental Kiosks.



When you consider the costs of purchasing the titles, the labor involved in stocking the shelves and the fees paid to the store, the movie rental business has become less attractive as we have seen returns diminish overtime. Now, with these kiosks, we provide our customers the same great service but we increase our profit margins substantially says Don Smart, CEO of E-Z Movie Rental. Smart also says we have managed to squeeze a 200-300 square foot space into the DVmatic 550 that has a foot print of only 9 square feet. It is really unbelievable! Smart has been successfully operating the DVmatic kiosks at a few Foodland prime and is contemplating replacing his shelf space with ELO'ss kiosks at all his locations. These kiosks are web-based and allow customers to reserve movies on-line and then go pick them up at the machine. It essentially provides the ultimate convenience. Foodland (www.foodland.com) is one of the islands's main grocery store chains with over 30 stores across all islands.



The Westin Ka'sanapali Ocean Resort Villas (Maui, Hawaii) has also adopted one of ELO'ss DVD rental kiosks to provide the rental service to vacationers who are staying at the resort. Jeff Swanson, owner of the machine comments Resorts must compete for vacationers by differentiating themselves. By providing this DVD rental service we accomplish two things - 1) Make the resort more attractive to vacationers and hopefully sell more time shares, and 2) eliminate the hassle of dealing with patrons renting and returning movies while allowing the machine to do all the work. The rental price at the resort is a whopping $6.00 per day. Jeff says that due to the fact that resorts have a captive audience, customers are willing to pay a high premium for convenience; he adds also, since there is not much foot traffic, we must charge a high price to make this a profitable business.



Pronto, established in late 2005 has also been operating DVmatic kiosks on the island at the Marriott resort, Hawaii Pacific University and a convenience stores in downtown Honolulu.



Oren Hon, CEO of ELO Media says We are witnessing an industry shift as customers are becoming more familiar with the concept of renting from automated kiosks. During the next few years, movie lovers will be either renting DVDs on-line or from some sort of automated DVD rental kiosk. Video rental stores will become a thing of the past and our product, DVmatic, is here to provide customers with the ultimate convenience in DVD rentals.



For additional information please visit www.elomedia.com.






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