Published: Sun, June 24, 2018
Finance | By Loren Pratt

AMC Theatres' $20 monthly subscription plan rivals MoviePass

AMC Theatres' $20 monthly subscription plan rivals MoviePass

That's something that can't be done with MoviePass, the independent subscription service whose main program offers a movie a day for $10 per month, but requires in-theater, day-of-show ticketing and prohibits more-than-once same-day usage and repeat viewings of the same film. Twice the price for ¼ the theater network and 60% fewer movies. AMC Stubs A-List can be used at the spur of the moment or also can make planning ahead days or weeks in advance possible, as securing tickets is made easy via reservations capabilities on the web site, or on the AMC Theatres smartphone app. The subscription service's parent company Helios and Matheson Analytics announced today that MoviePass' monthly losses have soared to $40 million in May. Bottom line: the app continues to make it a worse bargain for consumers to see popular movies when they come out. "I can imagine other subscribers writing off theaters until something similar to MoviePass pops up again - especially with so many other, cheaper entertainment options available". Personally, I hate being in a theater with strangers, which some would call "the movie theater experience".

Business Insider reported that MoviePass will soon introduce surge pricing, charging moviegoers additional money for films deemed in-demand. Also, for the movies I love, I generally want IMAX 3D. However, with MoviePass you get to see more movies per month at less of the cost, and you can go to nearly any theater in the U.S. to use the service (not just AMC theaters). It expects to post a cash deficit of $45 million for the month of June, because MoviePass's subscriber base has been growing faster than expected and the "strong box office results of recently released films".

"We are absolutely thrilled that AMC has finally stepped up to embrace a model that we've known all along will be the future of our industry", an email attributed to a MoviePass spokesperson said. This unconventional business model has hesitant users wondering how the company can flourish. MoviePass subscribers are limited to same-day tickets, which they usually have to buy in theaters (though there are some limited online ticketing options).

People originally thought AMC was turning away MoviePass.

The company is also planning to roll out two new features later in the summer: a bring-a-friend option, which the company has been toying with for some time, and a premium price option to see movies in Imax or Real 3D.

Like this: