MoviePass has recently announced a rise in its monthly prices to stay alive. How are you trying to keep your business alive? Do you have a reliable payment processor to work with? Just read this article to know more about MoviePass. Also, you’ll discover how to get the best merchant services, including a trial offer merchant account, with ease.
MoviePass Raising Its Monthly Subscription Price
When MoviePass Inc., an American subscription-based movie ticketing service, launched its $10 unlimited movie ticketing service about 1 year ago, people thought it was too good to be true. The company has lost money on almost every ticket bought by its customers on purpose.
Why? MoviePass hoped to acquire enough subscribers that theater chains and studios would have no choice but to partner with it. Mitch Lowe, CEO of MoviePass, was working on establishing relationships with theater-adjacent restaurants and bars. He aimed to create a type of subscription that would encompass a night on the town much like Netflix does a night on the couch.
However, today, MoviePass has obtained more than 3 million users. Such popularity has exceeded the company’s wildest expectations. The result is that MoviePass isn’t only faced with customer service problems but also issues caused by the inability to pay debts.
That’s the reason why in July 2018, MoviePass decided to raise its monthly subscription price from $9.95 to $14.95 within the next 30 days. This would refer to all current and future monthly subscribers and would allow 1 movie a day in the theaters.
MoviePass announced the rise in the subscription price and additional new measures in a statement. The latter said the moves would allow the beleaguered company to start accelerating the profitability plan. Stephanie Goldman, spokesperson for MoviePass’ parent company Helios and Matheson noted this wouldn’t refer to those subscribers who paid a flat annual fee.
MoviePass Price Changes: What About a Trial Offer Merchant Account?
Apart from what’s mentioned above, MoviePass has also announced new unspecified measures aimed at reducing abuse of its service. The company is slashing its monthly cash burn by 60%.
Ted Farnsworth, CEO of Helios and Matheson, MoviePass’ owner has mentioned they believe the measures will immediately cut cash burn by 60% and will go on generating lower funding needs in the years to come.
What about you? How are you going to grow your business? Are you using affordable merchant services? You can do this by turning to a reputable merchant services provider that offers the lowest rates and the best terms to both high and low risk merchants in your industry. No matter you need a trial offer merchant account or an adult merchant account, or another one, a true professional in the field can help you grow your business successfully.
In August 2018, MoviePass sent an email to members with annual subscriptions. The company is trying to force them onto the same terms as monthly subscribers. MoviePass offers them prorated refunds in case they want to cancel their membership instead.
During this period, annual subscribers have seen comparatively little change. MoviePass is now canceling all annual plans. The company is reinstating them as monthly plans that remain paid out until December.
Author Bio: Electronic payments expert Blair Thomas co-founded eMerchantBroker, serving both traditional and high-risk merchants by offering a trial offer merchant account and other merchant services. His passions include producing music, and traveling.