AMC Theaters Potentially Just Changed the Movie Business
Drastic times call for drastic measures.
Taking a lesson from Netflix and Spotify, AMC Theaters has decided to throw their hat in the ring with monthly subscription packages for movie going audiences, The New York Times reports. Responding to the sharp decline in young ticket buyers, come January, AMC Theaters in Boston and Denver will partner with MoviePass to launch a pilot program aimed at offering one-time payment options for movies.
Monthly membership costs run about $30 to $35, depending on the location (which essentially covers a movie a day) and there is also a $45 option where subscribers can choose to see films in any format, including Imax and 3-D. On first glance, this may signal the death of movie theater chains around the country, but under the present MoviePass business model, theaters receive full compensation for every admission. As Stacy Spikes, the current CEO of MoviePass, states, “Some overuse; a lot underuse.”
No one knows if this experimental program will increase ticket sales, but with more and more home entertainment options *cough* Netflix *cough* movie theaters are willing to try anything. Only time will tell if subscription based theatergoing is the future of the industry.
Text by Davis Richardson