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VSDA - Home Entertainment 2005 Convention at the Balagio in Vegas
When: July 25-28, 2005
Where: Ballagio Resot, Las Vegas, Nevada
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Link: VSDA Home Entertainment Conventions

Articles and Press Release

February 04, 2004: DVD rental vending machine show up outside Student Center (Article)
June 10, 2004:
DVD vending machines revolutionize the rental experience (Press Release)
October 14, 2004: ELO Media and Price Chopper Supermarkets sing an agreement to Apply Automated-Based
DVD rental machines in Supermarkets (Press Release)
November 01, 2004: Price Chopper tests DVD Rental Venting Machines (Article)
January 2005: Chicago Press release (Press Release)
June 10, 2005: The Next Generation of DVD rental? (Article)
September 14, 2005:ELO Media Introduces Two New State-Of-The-Art Automated DVD Rental Kiosks (Article)
September 30, 2005:First DVD Rental Kiosk at Sea! (Press Release)
November 22, 2005:DVmatic is in the Top 5 NACS SHOW 2005 Cool New Products Preview Room (Article)
December 7, 2005:Touch Screen DVDs to Install DVmatic machines in Salt Lake City (Press Release)
February 02, 2006The Zone Video Stores to Install DVmatic Automated Kiosks on Marine Corps Base (Article)
March 27, 2006: Cinebank and The Movie Case To Use ELO Media’s Kiosk (Press Release)
June 20, 2006:ELO Media Helps Independent Video Stores Prolong Their Business (Press Release)

Industry Links

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VSDA
Home Media Retailing

DVD Rental Vending Machine Shows up Outside Student Center
February 04, 2004
By Kelly Fitzgerald, Staff Writer

Jeff Humbert / Outlook
The DVMATIC features new hits like Pirates of the Caribbean, Seabiscuit, S.W.A.T., and X2, and old favorites like Office Space, Shrek, Fight Club, Swingers, Rocky IV, The Shawshank Redemption, Reservoir Dogs, American Pie, Road Trip, Super Troopers, Scary Movie, Chasing Amy, My Cousin Vinnie and many more.
Why go to your local blockbuster when you can walk across campus and rent or purchase a DVD from the new automated DVD Rental Machine called the DVMATIC which is located in front of the Stafford Student Center. There is a large variety of DVD's to choose from, including new releases and old classics. Movies like Zoolander, Scarface, Legally Blonde, and Sex and the City are all available to anyone on campus. was surprised by how many DVD's I had to choose from, said Danielle Sammarone, a student at Monmouth University.

Renting a DVD is very simple. Pick a movie of your choice from the display panels and remember the code (a blinking light will indicate if the movie is in stock). Follow the simple instructions and in less then a minute you can have the movie of your choice. Whether the rental is a 24 hour rental or a 72 hour rental, the cost is only $3.99. It is as easy as using an ATM вЂ" with just a few seconds and any major credit card you are all set.

Returning a DVD is just as easy as renting one. Swipe the same credit card to begin. Then choose the DVD that you rented on the screen, insert the DVD as instructed and take your receipt. Unfortunately, for all of you that can never seem to return a movie on time there is a late fee. For new releases the fee is $1.99 each day, and the fee for all other movies is $0.99 each day late.

The new machine makes renting a movie very convenient,said Fabrice Saint Elme, a student at Monmouth University.

DVMATIC is currently holding a special offer for members of the University, up until February 9th movie rentals are 50% off. The next time you are going to jump in your car to rent a movie stop and think about how quick and easy it is to rent a DVD across campus. For more information visit www.dvmatic.com

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DVD Vending Machines Revolutionize the Rental Experience
June 10, 2004

ELO Media, NY, NY (June 1, 2004) - ELO Media LLC., a leading provider of DVMATIC, an Automated DVD Rental Machine, announced the launching of DVMATIC on student campuses in the East Coast. Currently operating in Rutgers Newark University and Monmouth University campuses, DVMATIC serves as an additional entertainment medium for students, enabling them to both rent and purchase DVD movies and video games. Due to its low overhead and operating costs, it offers students an inexpensive alternative to the already existing activities on campus.

According to ELO Media, novel marketing opportunities are increasingly sought after as an added competitive edge to increase foot traffic at retail locations. Considering that DVD players will soon penetrate over 80% of US households (Digital Entertainment Group), ELO predicts that by year end 2005 there will be more than 2,000 DVD vending machines in the U.S., as supermarkets, restaurants and shopping centers compete to enhance foot traffic. McDonalds, which has recently tested such machines, is now installing 105 DVD vending machines in its Denver stores. According to Mats Lederhausen, managing director of McDonald's Ventures, they expect these DVD machines to increase foot traffic and lure more business (USA Today).

Located in supermarkets or restaurants, DVMATIC provides customers with the convenience of renting a movie while grabbing dinner or shopping for groceries. DVMATIC holds over 700 DVD slots and 180 different titles in one machine. Its simple user interface and movie display panels make finding a movie easier than walking through an entire video store and offer the instant rental or purchase of a movie with the swipe of a credit card. Following the increase popularity of ATM's and ticket vending machines, you can soon expect to find a DVMATIC rental machine at a location near you.

About ELO Media LLC Our company, ELO Media, is one of the leaders in the Automated DVD Vending Machines industry. In addition to owning and operating these machines, ELO media offers both individuals and retail business the opportunity to purchase and operate these machines at their locations in order to increase income and add value to their business. ELO Media's goal is to provide movie lovers with the ease and comfort of renting movies 24-hours per day, 7 days per week at DVMATIC locations. For more information on ELO Media and DVMATIC please visit www.dvmatic.com or call us at (866) ELO-DVDS.

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Elo Media and Price Chopper Supermarkets Reach an Adreement to Deploy Automated-Based DVD Rental Machines in Supermarkets
October 14, 2004

ELO Media offers Price Chopper a solution for DVD rental services at supermarket locations throughout New York
New York, U.S.A. October 11, 2004 - ELO Media ("ELO"), owner and operator of DVMATIC, an innovative and automated DVD Vending Machine, signed an agreement with the supermarket chain Price Chopper, to offer the most comprehensive DVD rental machine for the delivery of fast and convenient rental services to Price Chopper customers.

Under the terms of the agreement, ELO will install machines at various Price Chopper locations in the Albany, New York area. According to Mona Golub, Price Chopper's director of public relations and consumer services, "I believe this will be an extremely valuable addition to our stores. These machines will increase foot traffic at our locations and provide our customers with an additional complementary service at a low price"

According to ELO Media, they will work closely with Price Chopper to implement various promotions to quickly build a customer base and provide a competitive service. "We are pleased that Price Chopper has chosen DVMATIC to offer automated-based DVD rental services to its customers and are confident in the success of this venture" said Oren Hon, president of ELO.

As a result of the cooperation with ELO, Price Chopper customers will be able to rent and purchase new movies as they shop for groceries. DVMATIC contains roughly 700 movies with over 180 different titles and accepts both credit and debit cards for customer convenience.

About ELO Media LLC. ELO Media LLC is one of the leaders in the Automated DVD Vending Machines industry. In addition to owning and operating machines, ELO offers both individuals and retail business the opportunity to purchase and operate these machines at their locations in order to increase income and add value to their business. ELO's goal is to provide movie lovers with the ease and comfort of renting movies 24-hours per day, 7 days per week at DVMATIC locations. For more information on ELO Media and DVMATIC please visit www.dvmatic.com or contact ELO at (866) ELO-DVDS.

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DVD Vending Machines Revolutionize the Rental Experience
November 01, 2004

Price Chopper Tests DVD Rental Vending Machines
By DAN ALAIMO


SCHENECTADY, N. Y. - Price Chopper Supermarkets here began testing DVD rental vending machines in three Albany, N. Y. area stores last month, confirmed Mona Golub, spokeswoman for the chain. "We have high hopes for the program, and if it is as successful as we expect it to be, there will be more stores on board soon" she told SN. When asked about the chain's existing video rental program, Golub said the company was focused on the test. "DVD vending appears to be an exciting, cutting-edge technology that will be very attractive to, and convenient for, our customers" she said.

The DVMATIC machines are from ELO Media, New York. The machines hold 180 different titles, including video games and a total of 700 inventory units, although 150 are designated for future sell through use, possibly of previously viewed movies, said Oren Hon, president of ELO. The machines do not offer new DVD's for sale because Price Chopper's presence in the category, he said. The machines are located in the front ends of three stores, he said. Two are before the checkouts in the traffic pattern and one is after. None are in the vestibule, he said. "Price Chopper really wanted to bring people into the store. If it's in the vestibule, people returning the movies don't have to go into the store. This way, they are creating more foot traffic" he said. New releases are about 50% of the machine's inventory. 5% or less is in games, and the rest is comprised of titles from the past six months, Hon said. The rental rate for all titles is $2.99 for 48 hours, with payment by credit or debit card. Transactions involve swiping the card and punching in a code for the title selected, and the movie comes out in less than 50 seconds, he said. Returns are accomplished by swiping the card, pressing "return" and sliding the movie back into the machine. "It's one machine that does the work of a video store" Hon said.
Price Chopper has been noted for its video promotions, and Hon noted there will be promotions for the DVMATIC machines as well. "The promotional programs we are exploring with DVMATIC increase its value, and make the product more attractive to customers" Golub added.

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The Next Generation of DVD Rental?
June 10, 2005

By any account, the DVD format has been one of the most successful rollouts in technology history. According to the Digital Entertainment Group, DVD players can be found in more than 73 million U.S. households вЂ” and 46 percent of those families own more than one player. The group estimates that 80 percent of U.S. households will have at least one DVD player by the end of 2005.
Given the small size and durability of the discs, not to mention their staggering storage capacity and the ability to offer extras unimaginable in the era of VHS tape, they'v become the darling of the movie rental business. DEG estimates that DVD rental revenues totaled $5.7 billion in 2004, up more than $1 billion from the year before.
That's a lot of entertainment dollars being spent, and several kiosk companies are aiming at making an inroad into the rental business.

The automated rental shop
While a kiosk might not be able to offer its customers the sprawling title selection of a 10,000-square-foot retail store, it can offer convenience and lower prices. According to ELO Media's Oren Hon, those are both key factors driving the company's rental unit.
"The time it takes to find a movie and rent it in a conventional store can range from 5 minutes to 15-20 minutes if there is a line at the cashier, as there generally is on a Friday night," he said. "At the machine, it would take about 60 seconds, depending on how much time you spend browsing for movies."
Hon said that his machines should ideally be placed in high-traffic areas that are conducive to impulse buys, such as gas stations, supermarkets, shopping centers and mass transit stations. Rented films are delivered in special packaging that expedites the return process; the unit also allows purchase of new DVD's in their original retail boxes.
According to Donald Blust, chief executive officer of Touch Automation, rental kiosks have an additional boon over the traditional rental stores: You can rent a movie from one kiosk and return it to a different one (provided both machines are run by the same operator).
"RFID makes all of that possible and frankly, with the right systems in place, it's easy," he said. "I don't think any of the video store chains today are even thinking of permitting that kind of inventory cross-pollination in their traditional environments."
Both companies have emulated the "all you can watch" model pioneered by online services like Netflix, in which a monthly membership fee lets consumers check out two or three movies at a time, and keep them for as long as they want. According to Hon, ELO is working on a queuing system, also reminiscent of the online services, that will allow members to reserve titles for up to two hours at the kiosk.
ELO Media's DVMATIC kiosk, which dispenses both rental discs and new movies for sale"Most movie renters are impulse customers who do not plan to watch a movie two or three days in advance," he said. "Our goal for them is to come to our machine while they shop for groceries, fill up on gas, or go to the local Laundromat."
Both men said their products compete with the traditional rental stores on price, too: Hon said most locations start with a daily rental rate of 99 cents, while Blust said his company's prices average 25 percent lower than large chains.
If DVD rental kiosks find their niche, they represent an attractive business opportunity for entrepreneurs well versed in traditional vending. New titles are generally released to retail on Tuesdays, which means the machines need to be restocked just once per week. Both companies said that when a disc is returned to a machine, it is automatically put back into the inventory and is immediately available for the next renter.
And if all that isn't enough, consider the Golden Arches. McDonald's, hot on the heels of its successful DVD rental kiosk pilot, announced that it will expand the program from 100 locations to more than 1,200 by the end of the year.

The dissenting voice
Geoffrey Kleinman, editor of industry watchdog Web site DVD Talk, isn't so sure that DVD rental kiosks will live up to their expectations. He said that choosing a movie inherently involves too many choices to make it work at such a console.
When someone goes to an ATM, there is very little choosing that they have to do," he said. "They're there for generally one purpose and that is to get money. Also, banks make it very easy (to not have to make choices) by only dispensing select monetary amounts. Imagine how much more time we'd spend (at the ATM) if we had to designate exactly what denominations we'd like our money to be in."
This is the rub for most skeptics of the DVD rental kiosk - with the hundreds of thousands of movies available, most consumers view a trip to the rental store as a browsing experience. Even if they have one title in mind when they walk in the door, they often emerge with one or two more, films that caught their eye while they were leisurely browsing the aisles.
"With packaged media, and especially with DVD, there's a physical browse experience that goes on with the consumer that very few are looking to replace," he said.
Kleinman said that he sees the kiosks becoming more valuable in the sale of new DVD's than rental - particularly if they are placed in high-traffic locations and are stocked full of new releases at low prices. "For many, they'd save a trip to a big box retailer like Best Buy or Costco for purchasing popular DVD's, enable more spontaneous buying and provide a high opportunity for the �nag factor' from kids," he said.
Kiosks might not put Blockbuster or Netflix out of business, in other words, but they don't have to. Given the size of the DVD rental and sale pie, even a thin slice represents a windfall for the newly emerging segment.

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ELO Media Introduces Two New State-Of-The-Art Automated DVD Rental Kiosks
September 14, 2005

To further pursue its goal of becoming the leading provider of automated DVD Rental Kiosks, ELO Media has added two new machines to its product line - The DVmatic 550 and the DVmatic 330.

Introduced first in July, at the VSDA 2005 Home Entertainment convention in Las Vegas , these two fully automated DVD kiosks allow customers to rent and purchase DVDs and video games at a touch of a button.

"We were extremely happy with the results at the trade show. We proved to the industry that both our products and services are superior to the competition and that our machines are the most suitable for the North American consumer”, said Oren Hon, president of ELO Media.

Both DVmatic 330 and 550 utilize a touch-screen 17" user interface. The kiosks operate on a web-based online management system designed to consolidate transaction information from various DVmatic machines in the field which enable operators to manage inventory, produce reports and operate machines remotely.

Hon says "We have found that in order to succeed in the DVD vending market, machines must provide special marketing features that will attract customers initially and retain a strong and loyal customer base over a period of time”. To that end, ELO has designed both products with some of the most unique features in the industry:

 

  1. Integrated Machine Network - allows customers to rent from one machine and return to another.
  2. On-line Reservation System - Customers would be able to go on-line and reserve their movies from home before going to pick them up at the machine.
  3. Subscriptions – Available at the machine directly on a customer's credit or debit card.
  4. Marketing Tools - Machines will allow customers to accumulate points on every rental to be redeemed for additional purchases.
  5. E-mail campaigns – Customers will enter their e-mail address which will later be used for receipts, direct marketing and special promotions.
  6. Advertising - The 17" monitor can display trailers and integrated ads while the machine is idle. An additional monitor on top will be introduced soon.

While a kiosk might not be able to offer its customers a comprehensive selection of a 5,000-square-foot retail store, it can offer ease, convenience, lower prices and all the new releases, which according to Hon, those are the key factors driving the company's rental unit.

"Automated kiosks will eventually become the primary way for renters to obtain the latest new releases. These machines provide ease and convenience for the customers and an inexpensive solution for the owners to run the business, manage inventory, reduce shrinkage and increase the diminishing profit margins that rental industry has experienced in the past few years.” Hon also says that placed in high-traffic areas that are conducive to impulse purchases, such as gas stations, supermarkets, shopping centers and mass transit stations, DVmatic can be cross-marketed with other products on the shelf and potentially increase store profits and foot traffic.

Founded in 2003, ELO Media is one of the leaders in the Automated DVD Vending Machines industry. In addition to owning and operating these machines, ELO media offers both individuals and retail business the opportunity to purchase and operate these machines at their locations in order to increase income and add value to their business. ELO Media's goal is to provide movie lovers with the ease and comfort of renting movies 24-hours per day, 7 days per week at DVmatic locations. For more information on ELO Media and the DVmatic please visit www.dvmatic.com.



 
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First DVD Rental Kiosk at Sea!
September 30, 2005

Passengers and employees at sea can now enjoy renting movies as if they had a video store on board.

Hollywood at Sea Inc., in conjunction with ELO Media, LLC has placed the first automated DVD rental kiosk on a cruise line. Vacationers traveling on the Norwegian Cruise line can rent and return movies from DVmatic, as if they were on land.

Hollywood at Sea is a company that was formed for the sole purposes of operating automated DVD kiosks to enable customers on cruise-lines to rent and purchase the latest new releases directly from a machine.

"We have been serving the cruise line industry for years providing photography and other entertainment mediums and noticed an existing demand for movie rentals.” Says Kemal Arin , president of Hollywood at Sea. "While the ship has many different entertainment venues, vacationers are always looking for something to do while they relax in their cabins, and what better way to unwind than watching a movie”, Kemal adds.

Hollywood at Sea installed DVD players in every cabin to induce passengers to rent movies from his newly installed automated kiosk. Using membership cards, for only $20 for the duration of the voyage, a customer would be able to rent one move at a time, for an unlimited number of times from the kiosk. The concept is similar to Netflix accept it's from a machine.

Kemal also says "We have decided to work with ELO Media machines because their machines seemed to be the most reliable product in the market and ELO was able to provide us with the specific software solution to work in our unique environment”

The kiosk placed on board is the DVmatic 550, which utilizes a touch-screen 17" user interface and holds 550 movies. While ELO Media machines work on a web-based environment where people can reserve movies on-line and pick them up at the machine, ELO Media tailored its product to work as a stand-alone machine on board the ship.

"We thought of constructing a small video store on board, but ELO's machines provide us with the perfect solution, which offers minimal labor, inventory management, and a hassle free business. If things work out as anticipated, we will be installing at least one machine on board every cruise-line” Kemal predicts.

 
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DVmatic is in the Top 5 NACS SHOW 2005 Cool New Products Preview Room
November 22, 2005

Las Vegas , Nevada - ELO Media, owner, operator and distributor of automated DVD rental machines has featured its machines at the National Association Convenience Store ("NACS”) tradeshow in Las Vegas last week.

"The NACS show is one of the largest and most visited shows for convenience stores across the nation and we are thrilled that out of over 20,000 votes and 300 products featured in the ‘Cool New Products Room', DVmatic was in the top 5 products that were scanned through.” says Oren Hon, CEO of ELO Media.

ELO displayed both the DVmatic 330 and DVmatic 550 models at the show, allowing convenience store owners to get an in-depth look of the product and understand the operations behind it. Hon says, "The awareness of automated DVD vending machines is increasing significantly as more and more store owners realize the benefit these machines bring to their stores. Aside from the fact that revenue is generated from the rental and sales of DVDs, this is the only product in the market that forces customers to come back to the store to return the movie. It essentially generates additional foot traffic in the store and increases the likelihood of customers spending more money in the store purchasing other products”

ELO Media is continuing its expansion by partnering with local convenience store chains and video store chains. "We have found that it is very important to be familiar with the demographics and characteristics of a local market and we believe that local businesses have a higher chance of success in their own familiar area” says, Hon.

 

In the upcoming months ELO has plans to install machines in New York , Texas , California , Hawaii and even Puerto Rico . At the same time, ELO is in talks with several national chains that are considering implementing the DVmatic rental machines.

Founded in 2003, ELO Media is one of the leaders in the Automated DVD Vending Machines industry. In addition to owning and operating these machines, ELO media offers both individuals and retail business the opportunity to purchase and operate these machines at their locations in order to increase income and add value to their business. ELO Media's goal is to provide movie lovers with the ease and comfort of renting movies 24-hours per day, 7 days per week at DVmatic locations. For more information on ELO Media and the DVmatic please visit www.dvmatic.com.

 
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Touch Screen DVDs to Install DVmatic machines in Salt Lake City
December 7, 2005

Salt Lake City , Utah - Touch Screen DVD has installed 10 automated DVD rental kiosks manufactured by ELO Media in the Utah State University and Salt Lake City .

In its recent initiatives to expand its business, ELO Media has formed a relationship with Touch Screen DVDs to provide their kiosks in the Salt Lake City area. Touch Screen DVDs has installed over 10 machines in Salt Lake City and the surrounding suburbs including Utah State University . With plans to install an additional 10 machines in the upcoming weeks, Nate Larsen , owner of Touch Screen DVDs is very content with the initial results. "We have searched and tested several other products and decided to work with ELO Media's automated kiosk since we believe that they provide the best product and service out there” Larsen says. Touch Screen DVDs offers $1.00-day rentals that compete with the RedBox kiosks installed at McDonalds' restaurants in the area. Larsen also says "Touch Screen is the preferred vendor for over 700 grocery store locations in Utah and the surrounding states. Based on the initial performance results we will be installing additional machines in the near future.”

ELO Media is continuing its expansion by partnering with local convenience store chains and video store chains. "We have found that it is very important to be familiar with the demographics and characteristics of a local market and that already established businesses have a higher chance of success. We are very satisfied with our relationship with Touch Screen DVD.” says, Oren Hon, CEO of the company.

"Once all our machines are installed, we plan on rolling out our on-line reservation system which will provide our customers with the ultimate convenience” Larsen adds. The DVmatic kiosks enable customers to go on-line and reserve their movies at home before going to pick them up at the machine. "This puts an end to the disappointment many customers experience when they show up to rent a movie at a rental store, only to find out that their movie isn't there” says Hon.

 

The machines offer subscriptions and promotions allowing customers to either rent single titles or join as members for additional benefits and discounts. Everything is done at the machine level on the customer's credit or debit card which eliminates the need to fill out lengthy forms or carry another membership card

ELO Media's network allows Larsen to monitor his machines remotely and essentially eliminate almost all labor costs associated with running a video store. "We have basically opened a video store chain with 20 location at the same cost of opening 2 video stores. The business makes sense.” Larsen comments.

Touch Screen DVDs – [Nate, please fill out this part]

ELO Media, founded in 2003, is one of the leaders in the Automated DVD Vending Machines industry. In addition to owning and operating these machines, ELO media offers both individuals and retail business the opportunity to purchase and operate these machines at their locations in order to increase income and add value to their business. ELO Media's goal is to provide movie lovers with the ease and comfort of renting movies 24-hours per day, 7 days per week at DVmatic locations. For more information on ELO Media and the DVmatic please visit www.dvmatic.com.

 
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The Zone Video Stores to Install DVmatic Automated Kiosks on Marine Corps Base

February 02, 2006

Camp Pendleton , California – Marine Corps Community Services (MCCS) has installed 2 fully automated DVD rental kiosks manufactured by ELO Media at Marine Corps Base, Camp Pendleton , California .

ELO Media has formed a relationship with MCCS to provide rental kiosks to the thousands of Marines, Sailors, and family members living on base. Currently, 2 machines are in operation on the base, with plans to install additional machines at other locations if expectations are met. Lane Jones, Director of MCCS Services Division was the spearhead of the initiative. "MCCS currently operates three video rental stores aboard the base and we added the rental kiosks as both a convenience for our customers as well as additional profit generators”.


ELO Media is continuing its expansion by partnering with local convenience store chains and video store chains. "We have found that it is very important to be familiar with the demographics and characteristics of a local market and that already established businesses have higher chances of succeeding. We are very satisfied with our relationship with MCCS.” says, Oren Hon, CEO of the company.

MCCS, operating video rental stores under the name of The Zone is charging $1.99 per day. Results thus far have been very impressive in the short time that the machines have been in operation. Michael Haylett, Manager of the Zone says, "Customers seem to have adapted very quickly to the automated rental process. The rental and return processes are simple and usage is similar to that of an ATM machine, a technology that all our customers are familiar with. Also, it allows for 24/7 access since the machines are located outdoors”.

The DVmatic kiosks have the ability to allow customers to go on-line and reserve their movies at home before going to pick them up at the machine. "This puts an end to the disappointment many customers experience when they show up to rent a movie at a rental store, only to find out that the movie isn't available” says Hon.

The machines offer subscriptions and promotions allowing customers to either rent single titles or join as members for additional benefits and discounts. Everything is done at the machine level on the customer's credit or debit card which eliminates the need to fill out lengthy forms or carry another membership card.

ELO Media's network and machines allows The Zone to monitor their machines remotely and essentially eliminate almost all labor costs associated with running their video stores. "We're supplementing our store business with the convenience of 24/7 automated rental, which we believe will lead to profitability and will provide a better service to our customers” Jones comments.

ELO Media, founded in 2003, is one of the leaders in the Automated DVD Vending Machines industry. In addition to owning and operating these machines, ELO media offers both individuals and retail business the opportunity to purchase and operate these machines at their locations in order to increase income and add value to their business. ELO Media's goal is to provide movie lovers with the ease and comfort of renting movies 24-hours per day, 7 days per week at DVmatic locations. For more information on ELO Media and the DVmatic please visit www.dvmatic.com.
.

 
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Cinebank and The Movie Case To Use ELO Media’s Kiosk
March 27, 2006

Two new companies, Cinebank and The Movie Case have adopted ELO Media's DVmatic machines to enter the automated DVD kiosks market.

Cinebank , based in San Jose , Puerto Rico ( www.cinebank.pr ), has installed 4 machines on the island with the idea to spread quickly and capture a large and loyal customer base. Pedro Cid, CEO of the company has expressed great content with the machines and is overwhelmed with the preliminary results. "We are very excited to be the first company to do this in Puerto Rico , and we are pleased to see that this new technology is being embraced by local users utilizing the Spanish/English interface” Pedro says.

The Movie Case , based in Herndon Virginia, has begun placing machine in local grocery stores, convenience stores and cafes that experience high foot traffic. Mark Doyle, president of The Movie Case comments "We are testing several different types of locations as an initial stage of the business and will proceed to grow as we analyze the data in the next few months”. The Movie Case machines also offer online reservation capabilities and charge $1.99 per day for rentals.


The machines offer subscriptions and promotions allowing customers to either rent single titles or join as members for additional benefits and discounts. Everything is done at the machine level on the customer's credit or debit card which eliminates the need to fill out lengthy forms or carry another membership card.

ELO Media's network and machines allows both Cinebank and The Movie Case to operate individually of each other and each monitor their machines remotely in order to essentially eliminate almost all labor costs associated with running video stores. "It's a no brainer” Pedro says. "We contemplated opening up a video store chain in Puerto Rico , but once we became aware of the automated kiosk, it was obvious that this was the route to take. When asked why he decided to work with ELO Media as opposed to other automated DVD kiosk providers Pedro said "That choice was very easy. I met with Moviebank USA , Vendvision, ELO Media and the rest of the manufacturers, but it was clear that ELO Media's DVmatic were the best machines, provided the superior network and excellent service. We are happy with our decision and glad to have ELO Media as our formidable partner.”

For additional information on the companies, please visit their websites.

ELO Media: www.elomedia.com
The Movie case: http://themoviecase.dvmatic.com
Cine Bank: www.cinebank.pr
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ELO Media Helps Independent Video Stores Prolong Their Business
June 20, 2006, Two new companies, Fast Flick DVD Rentals and Valley Home Video, have recently adopted ELO Media’s DVmatic machines to enter the automated DVD kiosk market.

Valley Home Video, a California based business established in 1981, one of the oldest independent video rental store around - now turned automated. In an attempt to streamline its business and reduce costs, Valley Home Video has closed its store and installed one of ELO’s automated kiosks in its grocery store – Valley Food Super Center. "We used to have our video and grocery stores right next to each other, but when we moved the grocery store, we lost most of the foot traffic which impacted our video rental business significantly. Once we realized that it would be wise to combine the two, switching to an automated kiosk was a simple decision to make” says Gary Yep, partner of Valley Home Video and Valley Food Super Center. Yep also says "Although we don’t have the depth of titles as we would at the store, we have the ability to fit 550 movies in one kiosk, which still gives my customers a nice mix of new and old titles to choose from. In addition, we now offer online reservations that provide our customers with the ultimate convenience.” Yep believes that he can capitalize on the already established brand name Valley Home Video has in the local community. He charges $1.00 per day and looks to build the business quickly as he watches his customers get comfortable with using the machine.
   

FastFlick DVD Rentals , based in Tucson AZ , has placed the kiosk inside its convenience store at FastLane Chevron gas station. "We are thrilled to be the first Tucson business to install a fully automated DVD kiosk and to provide our customers with this convenient entertainment option.” Said Lee Jestings, one of the owner's of the FastLane Chevron. "Fast, convenient, inexpensive and easy, FastFlick DVD fits our customers busy lifestyles.” According to Lee, The FastFlick DVD kiosk is the first of many that will be installed at convenient locations throughout Tucson . "We are currently assessing both the revenue potential of the kiosk and the impact on store traffic” says Jestings and adds "I particularly like the fact that every customer has to return the movie at my store, thus increasing the chances of them purchasing another item or filling up on gas. We are looking forward to seeing the impact on store sales attributed to the kiosk.”

Oren Hon, CEO of ELO Media, which provides the kiosks and the software to run them, says "The machines are slowly replacing the mom-and-pop video stores and will eventually have an impact on chains such as Blockbuster Video (NYSE: BBI ) . Offering lower operating costs, ease and convenience of use and occupying only a minimal footprint, they provide the ultimate solution for DVD rental distribution.” When asked about Netflix (NASDAQ: NFLX ) and Video-on-demand, Hon says "Netfilx provides a great service, but their clients are different. Kiosks serve a more spontaneous audience who wish to watch a specific movie at a specific time. Most renters don't want to wait 3 days for their movies and hope to get the ones that are at the top of their list. Furthermore, our kiosks have a similar subscription service to Netflix and Blockbuster for those avid renters who rent frequently. Companied with grocery stores and convenience stores, you are no longer forcing the renters to make a special trip to the video stores. As for VOD, there is still a long time before it gains substantial usage, and DVDs are here to stay for at least another 5-10 years”

The kiosk rental business has grown substantially in the past 12 months, with Redbox leading the market with over 1,000 machines deployed. Movie Gallery (NASDAQ: MOVI ) and Hollywood are following suit and testing their own machines at some locations. It seems to be only a matter of time before we see this type of automated DVD rental kiosk at every corner.

For additional information on the companies, please visit their websites.

ELO Media: www.elomedia.com

Valley Home Video: www.valleyhomevideo.com

FastFlick DVD Rentals: http://fastflick.dvmatic.com/

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