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MoviePass Hits 1 Million Subscribers to Its Theater Subscriptions

Image: MoviePass Hits 1 Million Subscribers to Its Theater Subscriptions

Mitch Lowe and Ted Farnsworth celebrate their momentous achievement with MoviePass in New York City. (Drew Osumi/MoviePass)

By    |   Wednesday, 20 December 2017 04:21 PM

MoviePass announced Wednesday it has topped 1 million paying subscribers after dropping its monthly fee to $9.95 in August. 

Prior to August, the cost had ranged from $15 to $50 per month in several tiers, and the company had struggled to get above the 20,000 subscriber mark, according to The Verge.

Just a week after dropping the price, MoviePass had surged to 150,000 subscribers.

A MoviePass news release noted the company had surpassed a million subscribers in less time than Netflix, Hulu, and Spotify had taken to do so.  

“We are excited and proud to have reached the one millionth subscriber level in such a short time while still early in the consumer adoption curve,” CEO Mitch Lowe said in the release. “We believe that growth will continue as we further develop our application, improve customer service, enhance exhibitor relations and fill movie theater seats for incredible films to be released in the future.” 

The $9.95 monthly fee entitles subscribers to one movie per day and can be used at most U.S. movie theaters with no blackout days. MoviePass then pays the movie theater for the cost of tickets, and is widely suspected to be losing money with the offer, particularly in urban areas where movie tickets may cost around $15 each, The Verge reported. 

A new option offers a subscription for around $7 a month, but must be paid upfront for the entire year.

MoviePass hopes to grow its subscriber base in rural areas where ticket costs are lower, as well as eventually being able to sell subscriber data to movie studios, The Verge reported.

Theater chains worry, however, that movies will become devalued as subscribers get used to paying much less to attend movies. AMC theaters has threatened to sue MoviePass and opt out of the service, but has not done so yet.

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MoviePass has topped 1 million paying subscribers after dropping its monthly fee to $9.95 in August, the company announced Wednesday.
moviepass, 1 million, subscribers
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2017-21-20
Wednesday, 20 December 2017 04:21 PM
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