MoviePass is back—Here’s what we know about the service’s relaunch

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It’s the Hollywood sequel that no one saw coming.

MoviePass, the movie subscription service that took the world by storm in 2017 before quickly racking up huge debts and finally closing its doors in September 2019, has announced it’s returning next month.

The company announced in an email that it will be returning on Labor Day and opening the waitlist to early sign-ups on August 25. Here’s what we know so far about MoviePass’s return.

What is MoviePass?

In its previous incarnation, MoviePass was a subscription service that charged users a fixed monthly fee in exchange for a certain number of movie tickets per month. The service exploded in popularity in 2017 when, under new management, it cut prices to $10 per month and allowed users to watch up to one movie per day.

Subscribers received a MoviePass-branded debit card onto which the cost of the ticket for the movie they wanted to see would be loaded, which they could then use to pay at their cinema.

Why did MoviePass originally fail?

After lowering prices, MoviePass saw its subscriber base skyrocket from 20,000 to over 3 million. But because the company didn’t partner with theater chains and instead paid full price for every ticket its subscribers bought, it quickly began to build up debt as its users took advantage of the generous terms.

In many of the country’s largest movie theater markets, such as New York and Los Angeles, the price of a one-way ticket was already higher than the MoviePass monthly fee. At the peak of its popularity, the service was losing over $20 million a month.

MoviePass did its best to lower its costs by raising prices, limiting selection, and preventing users from seeing new blockbuster movies like “Mission: Impossible” over its opening weekend, but the company was unable to address the fundamental flaws of its business model. to help.

How does the new MoviePass work?

When it relaunches, subscribers to the new MoviePass will have the option to sign up for different pricing tiers depending on where they live, Business Insider reports. Prices will range between $10, $20, and $30, although there’s no indication yet on how many movies users will be able to watch each month.

Users will still receive a MoviePass-branded debit card. In its new form, the debit card will be black instead of red, Business Insider reports.

CEO Stacy Spikes, who co-founded MoviePass in 2011, left the company after it was acquired by Helios & Matheson in 2017 and bought the company back last year, saying in an email that users who join the waiting list each will receive friend invites that they can use once they sign up for the service.

For now, only those on the waiting list or receiving an invite can join MoviePass.

It remains to be seen how popular the new MoviePass will become, but Spikes has ambitious plans for its service. In February, NBC News reported that Spikes said he wants MoviePass to account for 30% of all movie tickets in the United States by 2030.

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The Valley Voice
The Valley Voicehttp://thevalleyvoice.org
Christopher Brito is a social media producer and trending writer for The Valley Voice, with a focus on sports and stories related to race and culture.

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