Rise of PS5 Rentals in Japan

Recently, a boom in PS5 console rentals has swept Japan, leaving many to wonder why gamers are choosing to rent instead of splurging on the pricey gaming hardware.

GEO Corporation's Game-Changing Service

In February, GEO Corporation—a major chain with approximately 1,000 locations focused on renting and selling movies, music, and games—launched an enticing PS5 rental service. With prices starting at just 980 yen (around $7) for a week, and 1780 yen (approximately $12.50) for two weeks, the service quickly gained traction. Remarkably, up to 100% of their PS5 units have been rented out at the 400 stores offering this option.

Timing Is Everything: The Perfect Storm

According to Yusuke Sakai, GEO's manager overseeing rental products, the idea to rent PS5 consoles emerged in summer 2024 when their traditional DVD and CD rentals began to dwindle due to the surge in streaming services.

As the Japanese market faced rumors of a price increase for the PS5 due to unfavorable exchange rates, Sony did just that on September 2, 2024, raising the prices significantly. The Digital Edition went from 59,980 yen to 72,980 yen, while the disc version jumped from 66,980 yen to 79,980 yen. This price hike sparked widespread dissatisfaction among Japanese consumers.

Leveraging Existing Resources for Effective Service

GEO's long-standing experience in selling and renting electronics, along with their ability to repair and reset consoles, positioned them perfectly to offer PS5 rentals at far lower prices than competitors who previously charged exorbitantly—between 4500 and 8900 yen per month. This made it much easier for curious gamers to try out the console.

Strategic Launch in Response to Demand

The timing of GEO's service introduction coincided with the release of "Monster Hunter Wilds," a game anticipated to be hugely popular in Japan. With limited platforms available for this title, many gamers were eager to play on PS5, further driving the demand for rentals.

Renting vs. Buying: The Cost Comparison

While renting appears affordable, potential hidden costs can add up. Renting games or subscribing to PSN for online features are additional expenses. GEO currently offers only one and two-week rental plans, with an added daily charge of 500 yen for extended periods.

Conclusion: A New Era for Gaming in Japan

GEO’s PS5 rental service reflects a growing trend in Japan, allowing gamers to enjoy the latest technology without breaking the bank. The combination of strategic timing, low prices, and a culturally embedded philosophy of making expensive products accessible ensures that this rental boom is not just a passing fad.