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ID: 111875


Date: 2018-12-06

MoviePass announces new pricing plans for 2019

Its been a rocky year for MoviePass, something that CEO Mitch Lowe acknowledged in an interview this week with Variety. We have a lot to prove to all our constituents, Lowe said. We dont just have to prove ourselves to our members, we also have to prove ourselves to the investment community, our employees, and our partners. We believe were doing everything that we possibly can to deliver a great service and were in the process of fixing all the things that went wrong. To that end, the company is launching a new pricing structure that will take effect in January. If you like paying $9.95, dont worry: Youll still be able to do that (at least in some geographies). If, on the other hand, youre willing to pay a little more, youll no longer be limited by the ever-changing list of movies that MoviePass is supporting on a given day. So there are now three tiers, each of them offering three movie tickets each month. Theres Select, which will cost between $9.95 and $14.95 per month (depending on geography), and will only allow viewers to watch certain movies on certain days; All Access, which costs between $14.95 and $19.95 and allows you to go to any standard screening; and Red Carpet, which costs between $19.95 and $24.95 and includes one IMAX, 3D or other large-format screening each month. The company says that this new structure will allow it to break even on the tickets its selling — a key step to making the business model work. MoviePass fans will likely remember that the company appeared to be running out of money over the summer, leading it to announce a price increase, only to back away from the price hike in favor of adding limitations on how many movies and which movies subscribers could see. Meanwhile, the New York attorney generals office said it was investigating MoviePass for possible securities fraud, and parent company Helios and Matheson said it would spin off MoviePass into a separate company. (TechCrunchs parent company has a stake in MoviePass.) The competition is growing. And app store intelligence company Sensor Tower says MoviePass only added 12,000 new users to its mobile app last month, down 97 percent from the growth it was seeing at its high point in January. In addition to rethinking its pricing, MoviePass is also making organizational changes.  The company told The New York Times that although Lowe will remain CEO, hell be handing over responsibility for day-to-day operations to Executive Vice President Khalid Itum. MoviePass parent company to spin off MoviePass