MoviePass completely died off this weekend on Saturday and not many people noticed the service came to its official end…
Turns out, it’s not actually financially viable to sell something at a deep discount after buying it at a retail price. MoviePass officially came to an end over the weekend but chances are excellent, few people, even one-time customers, noticed.
MoviePass Officially Shut Down
The subscription service sent out a press release on Friday to announce its closure on Saturday. The company stated its “efforts to recapitalize MoviePass have not been successful to date.”
Although, its demise isn’t much of a surprise. The company has struggled for some time now.
In its best performance, the subscription plan boasted 3 million paying customers. But, as of April of this year, that figure dwindled to just 225,000. In fact, the company lost so much money, it changed customers’ passwords to prevent them from ordering tickets.
In August, the service suffered a data breach, exposing customers’ credit card information. By the end of July 2018, the company lost approximately $40 million per month.
On July 26th, the service ran out of money to put on MoviePass cards. The company suspended its operations thereafter.