For instance, AMC has invested heavily in growing its Stubs rewards program. But exhibitors have preferred to bolster their own loyalty programs instead of aligning themselves with the service. It claims it boosts attendance by 111% and that its customers buy more concessions. MoviePass re-sells the tickets to customers and purchases them at full price using a MasterCard debit card. It will now enable customers to see a movie a day in a theater for a $9.95 monthly fee, far less than the cost of a ticket in many major markets. MoviePass is using the capital injection from the sale to fund an overhaul to its pricing model. “What I’m worried about is it confusing customers and making them believe they can’t use this service at AMC theaters.” “I’m not worried about it killing the sale,” he said. In an interview with Variety, MoviePass CEO Mitch Lowe said the deal has yet to close, but expressed concern that AMC’s stance could hurt his business. Since it was founded in 2011, MoviePass has roiled exhibitors, who have engaged in legal action at various points to try to stop its development.
