LogFAQs > #942707337

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Topicremember moviepass?
s0nicfan
07/28/20 7:51:58 PM
#6:


Son Of Spam posted...
I used the hell out of that service. How they thought that was going to ever be profitable I don't know.

They were selling their service at a loss because they were hoping to get a large enough user base that they could negotiate a discount with the major chains. You can imagine that, in a fictional future where a hundred million people use MoviePass, them pushing AMC for a discount or else they will only sell Regal Cinema tickets would be a pretty powerful motivator.

The issue is that it took too long to reach critical mass. It was a high-risk, high-reward strategy. Plus some of the cinema chains fought back by introducing their own monthly subscription service which cut them off at the knees.

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