Personally, I think the answer might be a hybrid situation. EG. Offer physical DVD rentals out of an existing establishment that's already successful on its own - like a gas station, bar or grocery store.
So Redbox machines, basically? I see quite a few of them around here.
I cannot conceive that anybody will require multiplications at the rate of 40,000 or even 4,000 per hour ... -- F. H. Wales (1936)