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.