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AMC Theatres surges with subscriptions, profits as MoviePass flounders

Contributed by
Aug 1, 2018

AMC Theatres is in healthy shape while MoviePass faces hardships. And while MoviePass might be dying, it has changed things at one of the biggest movie theater chains.

Nearly six weeks after AMC announced its new enhanced frequent moviegoer program, AMC Stubs A-List, and just five weeks after the enrollment period began, the theater chain has revealed that the program has enrolled more than 175,000 fully-paid members.

This surge in membership is ahead of expectations. When the program launched on June 26, AMC expected to hit 500,000 members one year from launch at the end of June of 2019, and 1 million members two years from launch at the end of June of 2020. A-List, a new tier of the AMC Stubs loyalty program, has helped bring up the current membership of AMC Stubs to 15.8 million U.S. households as of July 31.

Following this news, the theater chain’s parent company, AMC Entertainment Holdings Inc., announced in its second-quarter earnings report released on Aug. 1 that AMC saw revenue grow across all categories (admissions, food and beverage and other) for the three months ended June 30.

While AMC continues to surge, MoviePass continues to flounder. Customers across the U.S. have reported service outages (some due to the company simply running out of money) — and this is after the company introduced surge pricing for some opening weekend films. 

Following the outages, MoviePass CEO Mitch Lowe issued a(nother) public apology to its users “for the inconsistencies and unreliability of [its] service” and announced additional modifications to the service. This includes “reduc[ing] availability for big new-release titles” and possibly limiting “access to immediate support.” The constant changes make it clear MoviePass in its original form may not be viable, but if nothing else, the service changed the game and forced existing industry forces to play ball.