INMOTION PICTURES READIES EXPANSION
Inmotion Pictures landed in DVD business via kiosks and small stores at 18 airports nationwide, and now it’s hoping for similar takeoff of home delivery service. On Jan. 1, 3-year-old Jacksonville company will launch program packaging Panasonic portable DVD player with titles rentals for 4 ($15 per day), 7 ($14) and 11 ($13) days that will be delivered to home via 2-day UPS shipping, co-founder Barney Freedman said. Number of DVD titles included with player will range from 3 for 4-day to 7 with 11-day rentals.
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Inmotion’s new program represents significant expansion for company that operates 22 locations in U.S. airports and is new wrinkle in DVD home delivery business where companies such as Netflix focus on movie rentals. It also is significant shift for company that previously catered solely to airline travelers through 250 500-sq.-ft. kiosks carrying 200 DVD titles, portable players and accessories for sale or rental via one-way, round trip, in-airport and Jetback options, last including prepaid mailer for return. As part of new home delivery service, Inmotion also will supply package for motor vehicles that includes Panasonic player with 7” LCD screen, headphones and cigarette adapter that will be promoted via Automobile Assn. of America (AAA), Freedman said. AAA members will receive 15% discount on service, he said.
As it expands into new market, privately held company is planning to open another 36-45 airport locations in next 3 years including largest store -- 750 sq. ft. -- at Logan Airport in Boston in Jan., using internal funds, Freedman said. Slightly less than half space at Logan will be dedicated to retail as chain adds Panasonic 15W ($1,299) and 22W ($2,799) LCD TVs and 11” ($1,499) and 15” ($1,799) models with built-in DVD player, he said. Chain also carries Toshiba portable DVD player ($799) with 6.8” LCD. Logan location won’t cause company to shift focus to larger stores or retail, with rental forecast to continue to account for 65-70% of its revenue, Freedman said, declining to disclose annual sales. “We have a thing or 2 we're working on, but right now our main focus is on airports and getting the network built so that we can continue to provide the kind of customer service and entertainment options that the company was founded on.”
Also not likely to change will be Inmotion’s emphasis on largely carrying only Panasonic products, Freedman said. Panasonic’s portable DVD players have proved to be among most durable for damage-prone rental market, typically lasting 12-18 months before having to be replaced, Freedman said. Most frequent damage to players comes when laser is knocked out of alignment, he said. Toshiba portable was brought in because of its progressive scan technology, he said. Inmotion also carries Panasonic digital camcorders and cameras, LCD front projectors and Secure Digital memory cards for sale through its Web site and catalog. Freedman declined to break down amount of revenue generated by store, online and catalog operations.
While Inmotion’s selection of branded products remains narrow, its store locations vary widely, depending on space available at airports and whether they're positioned before or after security checkpoints, Freedman said. Inmotion also varies mix of titles that its stores carry, for example putting accent on independent films at airport in San Francisco, he said. Inmotion also employs price guarantees so that its retail products remain competitive with those at Best Buy, Circuit City and other CE dealers, he said. “We don’t want our customers to have the sense that they're overpaying for something just because they're in an airport,” Freedman said. “We're going to have the same, if not a better price, than other retailers.”