MoviePass has officially crossed the 3 million subscriber mark. The company made the announcement today and they expect to hit 5 million subscribers before the end of the year. There have been concerns that the service, which is owned by Helios and Matheson, may be in trouble as they're bleeding cash and their stock price has continued to drop. Despite this, they seem confident the service is here to stay. At least for now.
When Helios and Matheson purchased MoviePass last year, they lowered the price of the service to $9.95 a month. For that money, users can see a movie a day if they so choose. They just can't see the same movie twice and, in most cases, tickets have to be purchased on the day of the showing at the theater. Still, it represents a great value, given that the average cost of a single movie ticket is nearly the cost of a monthly subscription. That's how they've attracted so many subscribers so quickly. Here's what Helios chairman and CEO Ted Farnsworth had to say.
"With MoviePass Films and MoviePass Ventures under the Helios umbrella, we are continuously adding more perks and services for our MoviePass subscribers. Consistent growth in MoviePass subscribers means we can utilize our media companies in ways no one has seen before. With its considerable market share of moviegoers, MoviePass expects to influence its subscribers to engage with our other revenue channels throughout the entire film industry ecosystem."
The company has branched out into distributing movies and they're using their subscriber base to help make those movies a success at the box office. They are currently involved with American Animals, which has been a relative success so far. Those who have been concerned that the service may be going by the wayside, at least for now, can rest easy and continue to enjoy going to the movies on the cheap. MoviePass CEO Mitch Lowe had this to say.
"MoviePass is moving quickly and decisively on a course to continue innovating the film industry from the ground up and delivering audiences for films and films for audiences. This is the eve of a transformative time in the movie industry. We are witnessing the dawn of a new Golden Age, where audiences, studios, and exhibitors are all connected, from top to bottom, all in the interest of diversifying the movie-going palate and demonstrating the success of smaller, independent titles."
It also recently came to light that MoviePass is looking to offer a family plan and a bring-a-friend plan in the near future. So, even though they're business model, for now, is one that results in them bleeding cash, they're confident they can manage to stick around and become profitable before the losses catch up with them. Enjoy it while you can, movie lovers, this may not last forever, despite their confidence. This news comes to us courtesy of Variety.