Skip Navigation

Frame by Frame

See All The Movies You Want For $10 A Month?

Under a new proposal, you could pay $10 a month, and see a new movie every day.

As Isabel Gottlieb reports in Bloomberg News, under a new scheme proposed by one of the co-founders of Netflix, you could go to the movies every day for a month for just $10. Sound impossible? Maybe it is – but “as movie theaters struggle with tepid sales, Mitch Lowe has an extreme proposal for how to get more people into seats: Let them come to all the showings they want for about the price of a single ticket each month.

Lowe, an early Netflix Inc. executive who now runs a startup called MoviePass, plans to drop the price of the company’s movie ticket subscriptions on Tuesday to $9.95. The fee will let customers get in to one showing every day at any theater in the U.S. that accepts debit cards. MoviePass will pay theaters the full price of each ticket used by subscribers, excluding 3D or Imax screens.

MoviePass could lose a lot of money subsidizing people’s movie habits. So the company also raised cash on Tuesday by selling a majority stake to Helios and Matheson Analytics Inc., a small, publicly traded data firm in New York. The companies declined to comment on terms of the financing but said MoviePass intends to hold an initial public offering by March. Helios and Metheson shares rose 5.7 percent to $2.95 at the close Tuesday in New York.

Ted Farnsworth, chief executive officer at Helios and Matheson, said the goal is to amass a large base of customers and collect data on viewing behaviors. That information could then be used to eventually target advertisements or other marketing materials to subscribers. ‘It’s no different than Facebook or Google,’ Farnsworth said. ‘The more we understand our fans, the more we can target them. . . .’

Lowe, a fixture of the home video business who helped get Netflix off the ground and served as president of rental-kiosk operator Redbox, was named CEO last year. The privately held company declined to disclose subscriber numbers or financial information. Lowe said the data-based business model is still ‘years in the future.’

With the new strategy, MoviePass hopes to resolve what Lowe sees as the biggest factor to blame for the theater industry’s decline. He said the high price of tickets, not competition from Netflix or Amazon.com Inc.’s Prime Video service, is a big part of what’s keeping people away.” Could it work? Well, I know that one of the factors impacting theater going is the price, and I think it’s true that –

“People really do want to go more often,” Lowe said. “They just don’t like the transaction.”

Tags: , , , , , , ,

Comments are closed.

About the Author

Headshot of Wheeler Winston Dixon Wheeler Winston Dixon, Ryan Professor of Film Studies at the University of Nebraska-Lincoln, is an internationally recognized scholar and writer of film history, theory and criticism. He is the author of thirty books and more than 100 articles on film, and appears regularly in national media outlets discussing film and culture trends. Frame by Frame is a collection of his thoughts on a number of those topics. All comments by Dixon on this blog are his own opinions.

In The National News

Wheeler Winston Dixon has been quoted by Fast Company, The New Yorker, The New York Times, the BBC, CNN, The Christian Science Monitor, US News and World Report, The Boston Globe, Entertainment Weekly, The Los Angeles Times, NPR, The PBS Newshour, USA Today and other national media outlets on digital cinema, film and related topics - see the UNL newsroom at http://news.unl.edu/news-releases/1/ for more details.

RSS Recent Frame by Frame Videos