Geo, the largest rental company in Japan, has taken another bold step into the gaming market. Now, they rent out PlayStation 5 (PS5) consoles! The company’s product manager Yusuke Sakai just revealed one very exciting development. The program that went into effect only a few months ago has experienced incredible growth!
The PS5 rental program is a direct reaction to the severe increase of costs. The console increased worst from 66,980 yen (paying upfront) to 79,980 yen (paying on a plan). This massive increase in price has led countless gamers to look for cheaper alternatives. For an even cheaper option, Geo provides PS5 rentals starting from 980 yen (around $7 USD) per week. That comes out to less than a dollar a day!
Geo operates more than 1,000 retail locations across Japan. Over the years, it’s established itself as the go-to provider of entertainment rentals, specifically CDs, DVDs, and Blu-rays. The firm has made in-roads into video game hardware. This intentional shift is designed to win new customers and keep existing ones coming back again and again. At the moment, around 80% of Geo’s PS5 stock is on loan. What an amazing display of enthusiasm from the gaming community!
Sakai elaborated on the rationale behind the rental program, stating, “Rentals are originally meant to allow people to enjoy expensive items at a low price at home.” This goal dovetails nicely with the prevailing economic conditions, where consumers are wary to make a big jump for expensive gaming consoles.
This is why Geo’s new PS5 rental program has been inundated with demand. The American demand for console rentals is a great unknown. Others have continued the model of on-demand rental. Even that is dubious because we don’t know how their popularity compares to Geo’s success in Japan.