×
You will be redirected back to your article in seconds

MoviePass Hits 1.5 Million Subscribers

Movie ticketing service MoviePass now has more than 1.5 million paid subscribers, adding 500,000 in less than a month.

The service, which made the announcement on Tuesday, allows subscribers to purchase a single movie ticket per day for a flat monthly subscription fee by using a mobile app. The company, which is majority-owned by Helios and Matheson Analytics, unveiled a pricing plan in August at $9.95 per month. It then offered a limited-time subscription in November of $6.95 a month.

MoviePass is attracting people back to the movie theaters by lowering their cost, which we believe is transformational for the industry,” said Ted Farnsworth, chairman and chief executive officer of Helios and Matheson. “We believe the data MoviePass collects from these million and a half moviegoers will become an important asset to our partners and the future of the movie industry.”

MoviePass pays theaters the full price for a ticket, so it is in essence subsidizing its users’ moviegoing and losing money each time they check out a film. The average movie ticket cost $8.60 through the first three quarters of 2017, but in major cities, such as Los Angeles and New York, tickets often cost more than $10.

AMC, the country’s largest chain, threatened legal action against MoviePass in August and predicted that the company would fail because its business model was not sustainable. There is anxiety among exhibitors that customers will get accustomed to paying a discounted rate for tickets, which will depress prices.

Cinemark launched a MoviePass competitor called Cinemark Movie Club in November that lets customers buy a movie ticket a month for a discount price of $8.99, in addition to 20% off on concessions.

The domestic box office revenues for 2017 trailed last year by 2.3%, thanks to disappointing movie performance in the summer and in October, according to comScore. MoviePass CEO Mitch Lowe suggested that MoviePass could be an antidote for the moviegoing slump.

“Based on the dramatic increase in the number of MoviePass subscribers over such a short period of time, we believe MoviePass will continue to grow its subscriber base significantly,” he said. “We’re giving people a reason to go back to the movie theaters and they’re going in droves. With awards season here, we hope we can make Hollywood and exhibitors very happy by filling seats with eager audiences.”

MoviePass made the announcement made the announcement before the NASDAQ market opening. Stock of Helios and Matheson Analytics rose 3.5% by 24 cents to $7.16 a share.

Popular on Variety

More Film

  • Brad Pitt Adam Sandler Variety Actors

    Brad Pitt and Adam Sandler Have an Unlikely Movie Bromance

    Brad Pitt (“Once Upon a Time in Hollywood,” “Ad Astra”) and Adam Sandler (“Uncut Gems”) sat down for a chat for “Variety Studio: Actors on Actors.” For more, click here.  As has become a tradition for Variety’s Actors on Actors conversations, two superstars realize they have even more in common than celebrity. The careers of [...]

  • Damien Chazelle

    Damien Chazelle's 'Babylon' Selected for California Tax Credit

    Damien Chazelle’s “Babylon” has received a $17.5 million tax credit allocation from the California Film Commission for shooting the period drama in the Golden State. Variety first reported Monday that Emma Stone and Brad Pitt are in talks to star for “Babylon” with Paramount landing worldwide rights and setting a Dec. 25, 2021 release date. [...]

  • Ricky Gervais Golden Globes 2016

    Golden Globes: Ricky Gervais Returning as Host For Fifth Time

    Ricky Gervais is back. The comedian is returning as host of the Golden Globes for the fifth time. The Hollywood Foreign Press Association made the announcement Tuesday morning. “Once again, they’ve made me an offer I can’t refuse. But this is the very last time I’m doing this, which could make for a fun evening,” [...]

  • Rugrats. Nickeoldeon Animation Studios

    Film News Roundup: 'Rugrats' Writer David N. Weiss Honored by Animation Writers

    In today’s film news roundup, David N. Weiss is honored, Rin Tin Tin is getting a modern movie and “The Shasta Triangle” finds a home. WEISS HONORED David N. Weiss will receive the animation writing award from the Animation Writers Caucus of the Writers Guild of America West. The award will be presented by Weiss’ [...]

  • Marrakech Chief on Selecting Arthouse Films

    Marrakech Chief on Selecting Arthouse Films With a Big Stress on the Word 'Art'

    The 18th edition of the Marrakech Film Festival (Nov. 29-Dec. 7) – one of the leading cultural events in the Africa and Middle East region – will screen 98 films from 34 countries. The fest is also reinforcing its industry presence this year through the second edition of the Atlas Workshops, sponsored by Netflix, which [...]

  • Emma Stone Brad Pitt Damien Chazelle

    Paramount Lands Damien Chazelle's 'Babylon,' Dates It for Christmas 2021

    Paramount Pictures has landed the worldwide rights to Damien Chazelle’s next feature film “Babylon,” sources tell Variety. Insiders add the studio has dated the film for a Dec. 25, 2021 limited release, with plans to go wide on Jan. 7. The release date puts in prime position for another awards season run for Chazelle, who [...]

More From Our Brands

Access exclusive content