In letter: MoviePass, the ill-fated movie ticket subscription service that went bankrupt after launching a subscription program that proved unsustainable, is planning a comeback. With the right strategy and business model, could MoviePass be successful the second time around?
The startup was founded in 2011 but didn’t make a sensation until mid-2017, when it reduced the monthly subscription rate to $ 9.95 per month. The plan allowed members to watch one movie a day at any movie theater in the United States that accepted debit cards, which was virtually all of them. 3D and IMAX projections were banned, but other than that, it was a fair game, with no blackout dates to speak of.
It was an exceptionally good deal – too good, indeed. The company’s business model was simply not sustainable and despite efforts to renovate Other stay afloat, MoviePass and its parent company ultimately filed for Chapter 7 bankruptcy.
Now, almost two years later, the outfit is making a comeback.
insider relationships that co-founder Stacy Spikes recently obtained ownership of the company from a New York City South District bankruptcy court judge. Spikes told the publication that he was thrilled to get the asset back and is exploring the possibility of a relaunch soon. In particular, previous customer data and email addresses were not part of the sale.
Financial terms of the acquisition out of bankruptcy were not shared, although the new owner said his offer was below the $ 250,000 minimum set by a trustee overseeing the bankruptcy.
Spikes created a new website for MoviePass where interested parties can register their email address to be notified when the service will be launched, perhaps as early as next year.