MoviePass is bringing back an unlimited plan, but there's a catch
Hollis Johnson/Business Insider
- MoviePass will bring back a $9.95-per-month unlimited plan in the coming days, a source with knowledge of the decision told Business Insider.
- But the unlimited plan will have restrictions on those with "excessive individual usage."
- This comes on the heels of the company saying it would restructure its business model to work more closely with MoviePass Films.
MoviePass is bringing back an unlimited plan.Advertisement
Despite the recent exodus of executives and managers at the company, the movie-ticket subscription service has been working hard behind the scenes to bring back a plan similar to the one that got it so many subscribers two summers ago: a $9.95-a-month unlimited plan.
The launch has been delayed for weeks, according to a source with knowledge of the decision, who told Business Insider that it will likely be set live in the coming days. And there are other signs that MoviePass is on the cusp of bringing back the unlimited option.A staging URL showing details of the plan was posted on StockTwits over the weekend, and viewed by Business Insider. By Sunday afternoon, the link was brought down:
There it says that "MoviePass makes no guarantee on the availability to any particular theater, showtime, or title presented on the app." It also states that it may use its algorithms to restrict users "based on their location, day of movie, time of movie, title, and the individual user's historical usage."Advertisement
These restrictions are similar to ones MoviePass already has put into place, which remove some popular showtimes and movies from the app.
That's not the only catch in the new plan. MoviePass wants subscribers to pay the $9.95-a-month price on an annual basis through eCheck of ACH. With MoviePass' management turmoil and heavy losses, some subscribers might be wary of paying for a full year up front, especially before they know how much MoviePass will restrict the available showtimes and movies. The ACH option would also require subscribers to give out their bank accounts.
Currently, MoviePass offers a three-tier pricing plan ranging from $9.95 to $19.95, depending on where you live in the country. MoviePass abandoned the unlimited plan last August after gaining millions of subscribers, but burning through hundreds of millions of dollars to pay for their tickets.Advertisement
MoviePass has recently said it plans to "create a more closely connected relationship between our subscription service and original content production unit, MoviePass Films."So why go back to an unlimited plan?Advertisement
It's a move that has some inside the company baffled, and contributed to recent management turnover, a source close to MoviePass told Business Insider.
Last week, Business Insider reported that Khalid Itum, the executive vice president who was in charge of the day-to-day operations, had resigned along with three other management-level staff.MoviePass was not available to comment.Advertisement