Red Room DVD has launched vending sites for its automated DVD delivery system. There are five company owned stand alone kiosks near supermarkets in Brisbane, Sydney and Melbourne offering 70 to 100 latest release titles for overnight rental at $2.95.

Customers select a DVD, swipe a credit card and the DVD is dispensed. Kiosks are linked to web reservation and the DVDs can be returned to any kiosk; late fees are automatically charged to the credit card.

Franchisees in the system can buy machines to place near their stores to create a hub and spoke system, explained chief executive officer Dan Joyce. The Red Room rental stores are open 24 hours, seven days a week and use a similar vending system but with membership and up to 2,500 titles available.