After drastically lowering its monthly retail price for its subscription theatrical movie service, MoviePass has witnessed soaring numbers of new subscribers.
Since December 12, the movie theater subscription service has added 500,000 new subscribers, now topping 1.5 million subscribers overall.
In August 2017, MoviePass drastically dropped its monthly subscription fee to $9.95 from $50 a month. MoviePass subscribers can see a movie every day of the month. On the first day of the price change, MoviePass’ website crashed. In a six-hour span, MoviePass drew 500,000 users.
Analysts believe the price change looks to compete with rising in-home subscription video-on-demand TV/movie content competitors, including Netflix and others. They are also priced at around $10 a month for its all-you-can-watch platforms.
advertisement
advertisement
Subscribers are issued a MasterCard debit card from MoviePass to be used in theaters. If a movie chain or theater honors the debit card, then by default, they honor MoviePass. Some 91% of U.S. movie theaters honor the debit cards.
One major U.S. movie chain, AMC Theaters, doesn’t like the change and has been looking for ways to opt out of the service, believing the price point is unsustainable.
Helios and Matheson Analytics, an information technology services providers, owns a majority interest in MoviePass.
where does this leave the entire Sinclair/Tribune negotiatin with Nielsen?