In a recent interview, MoviePass CEO Ted Farnsworth said that a 20% MoviePass price drop is in the works. In addition, new MoviePass subscribers will get to use independent film service Fandor for no extra cost.
Farnsworth broke the news to Benzinga.
“We definitely have flipped Hollywood and they are definitely paying attention,” Farnsworth said.
Friends of Indies
An offer for new subscribers will include a full year’s access to Fandor.
Actor and director Jared Leto founded Fandor to give filmmakers more creative freedom and a better deal than they could get from the major streaming outlets. Fandor shares its revenues 50-50 with the filmmaker.
Fandor’s catalog of more than 5,000 titles includes popular movies like Hurt Locker and Punch-Drunk Love. You can also find lesser-known gems like Mood Indigo and The Way I Spent the End of the World.
How Does It Work?
MoviePass makes its money by selling their analysis of the data to movie theaters and movie studios.
With MoviePass, you get free passes to watch as many movies as you want at your local movie theater. In exchange, you give MoviePass more than just your monthly payment. You also give the company valuable data on your movie-going habits: what you watch, when you watch, what you buy at the concession stand and more.
Movie theaters haven’t been thrilled with the MoviePass approach. Farnsworth and his fellow investors, however, expect the industry’s resistance will be futile.