AMC and other theaters have been pretty outspoken about their distaste for MoviePass. For those who don’t know, MoviePass is a subscription service where, for $10 a month, users can see one movie a day, every day of the month.
The way it works is that MoviePass is used as a credit card. The ticket is purchased at its market value by said credit card, and it then passes the ticket onto the consumer. This way, studios and theaters both get the cash, theaters get more butts in seats, and everyone wins, right (never mind how MoviePass makes a profit)? Not so fast.
Some theaters have expressed their concerns that the business model is unsustainable, and when it collapses, users will then have a warped perspective of how much they should value movies (perhaps they refuse to pay anything more than $2 a movie). However, because MoviePass is pretty much a credit card, there isn’t much they can do.
However, it looks like there are some users that are unable to use MoviePass at certain AMC locations. Is it because AMC is finding some way to block MoviePass credit cards? It turns out no. The real culprit may be ballooning ticket prices. At certain theater locations, including AMC, Arclight, etc., the ticket price is so high, that it exceeds the threshold at which MoviePass is able to cover the ticket.
So as it stands, if you live next to a theater that sells massively expensive tickets, or if you’re in the middle of a metropolitan area, I wouldn’t be surprised if rising ticket prices become the reason why your MoviePass subscription doesn’t work.
Will this be a problem for long? We’ll have to wait and see. All in all, MoviePass is still a damn good deal — assuming you’re by a theater that isn’t too expensive to begin with.
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