MoviePass May Be Ditching All-You-Can-Eat Model
Value level dropping from "absurd" to "pretty good."
MoviePass, the membership service that offered daily theater visits for a too-good-to-be-true price, may be preparing to shift to a model that's less generous. Gizmodo reports that in a recent interview, CEO Mitch Lowe seemed to indicate that the ticket-per-day plan may be a thing of the past.
This month, MoviePass began offering a membership that limited new subscribers to four movies per month, while packing in a three-month trial of iHeartRadio All Access, for $10. Lowe told The Hollywood Reporter he didn't know if the old, unlimited plan would return, and that the company is always trying new things. "Every time we try a new promotion, we never put a deadline on it," he said.
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The previous membership model would allow one movie viewing per day for $10, which could be as many as 31 in a given month. Such a generous offer always seemed unsustainable, and the company has been bleeding money and losing stock value as it struggled to find its footing.
Lowe pointed out that 88% of MoviePass subscribers used it to watch two movies or less per month, which is still a fine value in most areas. This new model, which limits movie viewings to a more reasonable amount while rotating other membership perks, could be the roadmap for the company going forward.
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