MoviePass changed their pricing and business model recently, and in a way that made people upset. I wrote the other day that they deserved to lose customers and goodwill over this. Yesterday, MoviePass unveiled a new tiered-pricing system with plans starting at $15 in some markets. This news comes from Engadget, who spoke with new CEO Mitch Lowe. The new pricing model is already reflected on the MoviePass website.
The plans are listed below, with each tier priced for the location. For instance, Tier 3 pricing would be major markets like NYC and LA, while Tier 1 pricing would be for smaller towns.
- Tier 1 markets: $15 per month for 2 movies; $22 per month for 3 movies; and $40 per month for unlimited
- Tier 2 markets: $18 per month for 2 movies; $27 per month for 3 movies; and $45 per month unlimited
- Tier 3 markets: $21 per month for 2 movies; $31 per month for 3 movies; $50 per month for unlimited
While the savings are negligible in the 2-movie and 3-movie packages, the unlimited packages seem to be tailored to ravenous cinephiles. By “unlimited,” MoviePass apparently means truly unlimited, allowing users to see as many movies they want using MoviePass without 24-hour or daily restrictions. MoviePass is also getting rid of cancellation fees, and they are also getting rid of their $99 plan (aka the passive aggressive $100 plan).
Honestly, if they were set on changing their model, this should have been done in the first place. Yet there’s a problem, and it affects the same people that MoviePass upset over the last two weeks.
While new MoviePass users will be able to enjoy these tiered pricing plans right now, older members who received the “price change email of doom” won’t be able to participate in these new plans until September. If you signed up for the $50 six-and-only-six movies plan or the $99 unlimited plan, it appears that you are stuck with that plan until you’re allowed to switch over in the fall. For people who canceled their MoviePass over the $50/$99 debacle, it appears you will not be able to sign up for MoviePass again until September.
The September freeze, if officially in effect, is a pretty crummy thing to do to loyal customers that were forced to pay more or be phased out. Given how the company appears to be in flux right now, this may change in the coming weeks. Regardless, it’s still something that could leave these customers feeling pushed around and devalued, especially since they’d probably sign up for the new unlimited plan.
Again, MoviePass should have just done the current, publicly announced tired-pricing system in the first place, and allowed old members the option of picking a plan or canceling. That would have been much smoother. Of course, this is the luxury of being a Wednesday morning quarterback (who canceled his MoviePass membership). Let’s see how much goodwill the company can win back.[via Engadget]