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If the main business model works (see my other comment), then theaters' margins needn't be reduced. I guess MoviePass thinks they deserve a cut of concessions
by schizoidboy 9y ago
If the main business model works (see my other comment), then theaters' margins needn't be reduced.
I guess MoviePass thinks they deserve a cut of concessions since they're saving theaters - which might be true - but theaters control the end product, so I doubt they'd share revenue. They're more likely to compete against MoviePass if the plan works.
- libertine 9y agoI've seen your post - it does make sense to be that way indeed.
- lsc 9y ago>but theaters control the end product, so I doubt they'd share revenue. They're more likely to compete against MoviePass if the plan works. This seems the most likely to me; I mean, if I were to buy a ticket subscription, I'd want that at the theaters that I go to often; I am happy to pay full price when I go somewhere unusual. This means there's almost no network effect... my favorite theater could put up a subscription service that only worked at that one location, and it would instantly have more value than MoviePass that might or might not include access to that theater next month. Even better would be a regional service, but in this case, at least on the customer end, I don't think making the service national adds very much value at all.