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Entertainment

Why Movie Theaters Should Applaud MoviePass

MoviePass’ effort to make a Netflix-like subscription service out of movie theater tickets has bled the company of cash in recent months. But while its future may be in doubt, the movie-ticket subscription concept it pioneered looks like it is here to stay.

Several theater chains, including AMC and Cinemark, in recent months have introduced subscriptions that give you access to multiple movies for a monthly fee, and each say they have drawn hundreds of thousands of subscribers. These subscriptions seem likely to hurt the chains’ profit margins, but that may be the price the chains have to pay to keep people coming in the door.

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Cinemark CEO Mark Zoradi credited MoviePass with helping to “create awareness of subscription moviegoing.”