The surge in popularity of renting a PS5 console in Japan can be attributed to a combination of factors, including console price hikes, the release of a highly anticipated game, and the strategic launch of a new service by a prominent retailer. In February, GEO Corporation, a chain with approximately 1,000 stores specializing in renting and selling movies, music, and games, introduced a PS5 rental service. This service offers rentals starting at an affordable 980 yen (approximately $7) for a week and 1,780 yen (approximately $12.50) for two weeks, achieving a remarkable 80% to 100% rental rate at the 400 participating stores.
The decision to rent PS5 consoles was influenced by a decline in GEO's DVD and CD rental business, driven by the increasing popularity of streaming services. According to Yusuke Sakai, the manager in charge of GEO's rental products, the concept of renting PS5 consoles emerged in the summer of 2024. At that time, although the supply of PS5 consoles had stabilized, rumors of impending price increases due to unfavorable exchange rates were circulating. On September 2, 2024, Sony confirmed these rumors by raising the price of the PS5 Digital Edition from 59,980 yen (approximately $427) to 72,980 yen (approximately $520), and the disc drive version from 66,980 yen (approximately $477) to 79,980 yen (approximately $569). This price hike was met with significant backlash from Japanese consumers, who found the new prices for the four-year-old console to be excessively high.
The Best PS5 Games
View 26 Images
GEO capitalized on its existing rental infrastructure and expertise in handling second-hand consoles to launch the PS5 rental service. This allowed them to offer competitive pricing, far below that of other Japanese rental services, which typically charged between 4,500 to 8,900 yen per month. The affordable rental options have made it easier for curious gamers to try out the PS5 for a short period.
The timing of GEO's service launch was impeccable, coinciding with the release of "Monster Hunter Wilds" on February 28. The Monster Hunter series, developed by Capcom, has a strong following in Japan. However, the limited platform availability of "Monster Hunter Wilds" and the high PC specifications required made the PS5 an appealing choice for many, despite its cost. Sakai noted that the anticipation surrounding "Monster Hunter Wilds" was a key factor in prioritizing the timely setup of the PS5 rental service.
GEO's approach aligns with its long-standing philosophy of providing affordable access to expensive products, a strategy that dates back to the 1980s when renting movies was a more budget-friendly option than purchasing them. Today, with the PS5 priced at nearly 80,000 yen, renting becomes an attractive option for those who cannot afford to buy, such as parents buying for their children or students saving up.
However, the cost-effectiveness of renting a PS5 can be nuanced. Additional expenses, such as renting or buying games and subscribing to PSN for online play, should be considered. Furthermore, GEO's current rental plans are limited to one or two weeks, with an additional charge of 500 yen per day for extensions.
