MoviePass has been having some money problems recently which led to a suspension in its services last week. It actually ran out of money which is why the service went out. It only came back online after borrowing an emergency $5 million. In a bid to keep the business afloat, MoviePass has decided to take some important steps, one of which is to increase the price of its standard plan.
The standard subscription plan of MoviePass provides subscribers with one movie per day. It previously cost $9.99 per month but the price has now been raised to $14.95, MoviePass says the price change will go into effect “within the next 30 days.”
In addition to the price increase, MoviePass will also be limiting tickets to first run movies opening on at least 1,000 screens for the first two weeks, unless they are made available on a promotional basis. Ticket availability for blockbuster movies will also be limited going forward. It already started doing this over the weekend for the latest Mission Impossible movie.
“This is a strategic move by the company to both limit cash burn and stay loyal to its mission to empower the smaller artistic film communities,” the company said in a press release. MoviePass CEO Mitch Lowe added that while these changes may not be appreciated by all, they are meant to protect the longevity of the company and to prevent abuse of the service.
Filed in . Read more about MoviePass. Source: businesswire