MoviePass Limits Subscription Plan to 3 Movies Per Month

MoviePass Limits Subscription Plan to 3 Movies Per Month

MoviePass Limits Subscription Plan to 3 Movies Per Month

As that process has gone on, MoviePass has implemented - and sometimes subsequently removed - a number of policies in an attempt to cut its losses.

MoviePass, a discount service for movie tickets at theaters, is walking back a planned 50 percent price increase after a subscriber backlash. MoviePass says that existing customers will have the "opportunity" to transition to the new plan whenever their monthly subscription comes up for renewal, while people who have paid for an annual subscription will stay on the current (but rather limited) unlimited plan until their annual subscription runs out.

"We have heard our MoviePass community and we will not be raising prices to $14.95 a month", they added.

MoviePass has grown to 3 million subscribers, from about 20,000, since it slashed monthly rates almost a year ago to $10, from as high as $50. Lowe said in an interview with the Wall Street Journal that the move will reduce the company's cash burn rate by more than 60 percent and make it "more manageable" to become profitable.

Previously, subscribers could see up to one movie per day.

The company will keep the monthly subscription price at $9.95. In the press release announcing its new plan, the company said "the new plan will include many major studio first-run films".

As part of its new model, MoviePass is doing away with a bunch of other changes, too.

Monday's announcement does not specify limitations on titles, though it does confirm the new plan "will include many major studio first-run film" when changes take effect with renewals on or after August 15. Also eliminated are peak pricing and ticket verification. As word that the company was operating at a $45 million deficit and counting went public in June, the service began imposing surge pricing making subscribers pay an additional surcharge to see popular films at peak times.

The embattled MoviePass is taking out all the stops to survive.

The stock of MoviePass's parent company, Helios and Matheson, closed last Friday at just 7 cents.

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