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MoviePass launches one-year theater subscription plan

By Shawn Knight · 8 replies
Nov 17, 2017
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  1. MoviePass, the controversial start-up that grants access to movies in theaters for a flat monthly fee, is now offering what may be an even more attractive offer.

    For a limited time, movie buffs can purchase an annual subscription for $89.95. That works out to $6.95 per month over 12 months (plus a $6.55 processing fee) which is significantly cheaper than the company’s standard $9.95 a month plan and even less than the industry average ticket price of $8.93.

    MoviePass says the offer is “valid until it’s not” and has imposed a limited of two subscriptions per household. With no way to know how many units will be available, it’d probably be wise to go ahead and sign up ASAP if you’re interested.

    MoviePass generated a tremendous amount of buzz over the summer when it slashed the price of its monthly subscription pass to $9.95. The interest translated into lots of sales for the company – so much so that it led to some delays. It also rubbed lots of movie industry players the wrong way including AMC Theatres which said it was considering legal action.

    The company is clearly looking to cash in on holiday spending but the timing could put the business model at risk. The holidays typically generate loads of traffic for theaters. Between December 16, 2016, and January 5, 2017, for example, the industry grossed $1.1 billion from domestic ticket sales. With some big hits lined up, there's no reason to think things will differ this year.

    As was the case with the monthly subscription, you’ll likely come out ahead on your investment even if you only use it once per month.

    Permalink to story.

  2. OutlawCecil

    OutlawCecil TS Guru Posts: 679   +495

    Can somebody explain to me how MoviePass is so cheap for what you are getting? How are they able to even do this?
  3. Teko03

    Teko03 TS Evangelist Posts: 575   +297

    One word, data. Essentially their long run plan is to eventually offer targeted advertising to movie studios as MoviePass is tracking what movies you "check in" to watch and building a profile of each "user". These cheap price points is what's allowing them to create a massive user base which could potentially turn into $$$$ when sold off to movie studios.

    ...but at the moment, they're probably taking a loss and depending on subscribers who rarely see a movie, but will continue paying because it's "only $9.95".
  4. Phr3d

    Phr3d TS Guru Posts: 404   +86

    Worked for two, not for gifts (need sep email/phone for each membership - entered at purchase).
  5. Hexic

    Hexic TS Evangelist Posts: 505   +334

    Economy of Scale. With enough users, it'll pay off in a heartbeat.
  6. MUMMZ

    MUMMZ TS Enthusiast Posts: 43   +8

    This is an interesting concept. Are you able to watch as many movies you want a month or are you allowed just one movie ticket/month? User data is sometimes "worth" more than the actual product you are selling in some instances, and depending on the user data obtained, this could be the case here as well. They could be subsidizing the cost of the product price with profit they will garner from the sale of user data.
  7. EClyde

    EClyde TS Evangelist Posts: 1,833   +678

    The problem for me is...I don't want to go to the movies to see the crap spewed in my face which is what I would have to do to make this worthwhile. I am on 2 per month at Netflix and I have a difficult time finding something...my wife doesn't have problems cause she like British drama. Fast and Furious anyone?
  8. lostinlodos

    lostinlodos TS Booster Posts: 142   +26

    Exactly. I get 4 dvds per month Netflix. I’ve probably streamed 3 or 4 movies from them myself, ever! Oh, I’ve been with them since 97 or 98 when it was per rental, not monthly. I used to get 8 dvds. Then they cut me to 4, added 6, back do n to three and back to 4.
    There’s very little for me to stream. I don’t like hollycrap. But there’s a deep enough back catalogue to keep me with Netflix on dvds.
    Being on the outskirts of a metro area I may be able to justify this if it covers all theatres. There’s enough “art house” theatres here with imports from India, Japan, Russia, France. Etc.
    But if I’m stuck with the big chains I’ll use it once or twice a year!
    Anyone use it know how wide a theatre net this covers?
  9. Phr3d

    Phr3d TS Guru Posts: 404   +86

    Pretty easy to check which theatres on their site.
    For me, it -might- help me to support the local-owned theatres in my market - they are all on the list.
    See a movie from those theatres that isn't the latest budget-buster marvel-mania, I got a spare $20 for popcorn and soda, yeah, I -think- I'll go more often as movies are best in a decent theatre, and the crowds attending lesser known films tend to be socially educated.
    Bladerunner and Van Gogh's was the last that I saw, and it will necessarily suffer on a home screen.
    obviously, YMMV
    lostinlodos likes this.

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