Outerwall Inc (OUTR) Targets New Vertical

That’s certainly something that we’re testing out. We have a very good food supplier. We tested and surveyed, I think, seven different companies and selected one for right now. We have a couple others as we begin to go more regional, if we decide to move the business at a faster pace.

That’s one of the things that we’re working, and what we put in the model, is having the correct inventory control, and how many times do you have to visit the kiosk to fulfill the kiosk because it’s going to be on a different pattern than a Redbox machine or a coin machine, or even a Rubi machine from that perspective.

That’s all the stuff that we’re testing out right now. We feel confident in the overall business model, and I’m sure we’ll learn a lot; as we put three, four, five, 10, 15 of these kiosks into different offices we’ll learn a lot more.

The article Outerwall Targets New Vertical originally appeared on Fool.com.

Eric Bleeker, CFA, has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

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