Direct Marketing and Distribution: The Case of Redbox

Abstract

Teaching concepts in direct marketing and distribution can be interesting and rewarding. Using a case that highlights advances in direct marketing technology and offers significant customer value can help overcome lack of currency and integration of direct marketing and distribution strategies in the introductory marketing curriculum. The Redbox case provides a contextual background for using direct marketing via kiosks, re-engineering of their functionality and advances in distribution to make the product offer attractive and profitable. Follow up class discussion questions (Teaching Note available from the authors) focus on analyzing growth and efficiency opportunities as well as competitive challenges possible in the future.