MoviePass has been in some hot water these past few months and it now appears that nearly half of their subscribers are ready to cancel their accounts. MoviePass was once one of the most popular subscription-based services for going to see movies, but recent events have shown that the service is not only unprofitable but unreliable.
Even though the company was founded in 2011, the company didn't really start to make headlines until they dropped the price of their service to $9.95 a month. Many moviegoers jumped on this opportunity since the average ticket price for one movie is around $10, depending on the time of day they go to the theater. Getting to see one free movie a day for under $10 a month seemed too good to be true, but MoviePass added millions of subscribers because of this price drop. MoviePass dropped their price even lower back in March, to $6.95 a month for a limited time for annual subscribers. At the time, many people loved the service since it was making going to the movies more affordable, but many wondered how MoviePass was making a profit since they paid theaters the full price of the ticket. As it turns out, the company had not been anywhere close to profitable and MoviePass ran out of money, which caused the service to be temporarily unavailable. While the service was restored after the company borrowed $5 million, big changes followed, which most notably blocked users from seeing major releases and limited the number of movies seen to three a month. Adding this to MoviePass' previous attempt to implement high demand pricing, it seems as if subscribers have had enough.
As explained by THR, when the National Research Group (NRG) conducted a survey on user satisfaction with MoviePass, only 48 percent said they were more satisfied with MoviePass over other monthly subscription services. The survey also revealed that 47 percent of users are considering canceling their membership. This is quite the drop in customer satisfaction since the NRG conducted a similar survey this spring, which revealed that 83 percent of their subscribers were more satisfied with MoviePass than other subscription services.
At one time, MoviePass was considered a safe venture since their service had supposedly added millions of dollars to Oscar films and since MoviePass has plans to distribute and produce their own films. The first film Moviepass co-distributed was largely unknown American Animals, and its second was the much-maligned Gotti. Meanwhile, their first produced film called 10 Minutes Gone is said to be a crime mystery starring Bruce Willis as a bank robber who is suffering from memory loss. That being said, with MoviePass' continued issues, including massive quarterly losses and being sued by shareholders, nothing is certain for the company.
MoviePass subscribers may be ready to jump ship however, there are other subscription-based options which offer the same service as MoviePass including Sinemia and AMC's A-List. As if things weren't already bad enough for MoviePass, this blow to their customer service satisfaction could be a hint that the final nail in their coffin is nearing.