As an Update, MoviePass Basically Says “Stop Using the Service so Much” (Lol Wtf)
This MoviePass story just keeps getting more and more bizarre. It’s a veritable shit show to begin with, with the surge pricing and theater visit limits, but now, the head honcho is out in the streets talmbout, “quit using this service that you paid for so much!”
MoviePass Inc.’s Mitch Lowe is facing an unusual challenge for a tech CEO: getting customers to use the service less.
To break even, the embattled movie-subscription program is hoping the majority of its 3 million-plus users will see only one film a month, Lowe said on Bloomberg Television. The company also is looking to generate additional revenue through advertising, studio partnerships, and a night-at-the-movies concept that includes babysitting and dinner service, he said.
MoviePass was previously pitched as an “unlimited” service that let customers go to the movies every day for $9.95 a month. But the money-losing company adjusted its formula several times and this week limited customers to just three films per month.
Is it just me, or wasn’t the entire purpose of MoviePass to provide a convenient service and save folks some money? Like, how could they not see that people like “Nature Boy” Brandon Vick, who sees approximately 8,000 movies a month, were going to use this pretty frequently? It’s just mind-boggling.
This guy’s up here asking people to use the service once a fucking month?!!? That’s the hope?!?! People are supposed to get fired up to download an app for $9.95 a month and go see one movie that costs $11.50? That’s a lot of upkeep to save $1.50 a month (assuming you’re reading this in Nashville where that’s about what it costs to go see a movie these days). Three movies a month is a large step down from “unlimited,” but it’s still saving people quite a bit of money. Now, you’re sitting there crossing your fingers that people use
If that’s the case, just shut your fucking doors, dude. Call it a loss and maybe you can hop on when another company comes along and takes your idea and executes it the way it should be executed. I understand that it’s built on similar principles to Planet Fitness, where you charge people a low amount, sign up a billion people, and then just hope they never go to the gym (side note: I hate Planet Fitness). But, the point is that this isn’t how you do business.
I’m amazed that no one saw this coming.
Investors remain skeptical. Shares of MoviePass’s parent, Helios & Matheson Analytics Inc., have lost more than 99 percent of their value this year amid concerns that the subscription service will run out of money. Helios & Matheson was forced to obtain an emergency loan last month in order to pay its bills and continue providing service to customers.
I’m no expert, but I’m going to say losing 99% of your value is bad. And, I’m going to guess that’s why investors are a little skeptical….and if you don’t have investors, and you don’t have money….do you really have a business???
Is MoviePass cooked? Probably.
Stoney Keeley is the Editor in Chief of The SoBros Network. He is a strong supporter of Team GSD and #BeBetter. “Big Natural” covers the Tennessee Titans, Alabama Crimson Tide football, the WWE, and a whole wealth of nonsense. Follow on Twitter @StoneyKeeley