November 7, 2019
AMC Theatres is digging deeper into home entertainment.
The world’s largest theatrical chain on Nov. 7 disclosed it plans to start selling AMC Networks movies on its digital platform, AMC Theatres On Demand.
Hailed as the first-ever cross platform marketing partnership between theatrical and home entertainment distributors, AMC said the movies (including RLJ Entertainment titles) can be purchased or rented through AMCTheatres.com, the AMC Theatres mobile app, Roku and SmartTVs with more services and devices to be added in the near future.
AMC Theatres and AMC Networks are not related companies.
“AMC Theatres On Demand is yet another benefit for AMC Stubs members, designed as a low-cost, ancillary service to add convenience and value for the guest, increase loyalty, augment our rich consumer database and generate additional earnings,” the company stated.
Earlier this year, AMC launched its branded transactional VOD platform featuring digital sale and rental access to 2,000 studio titles, including Lionsgate and Paramount feature films.
Separately, AMC said its A-List subscription ticket service has become profitable.
The service — launched as competition to now-shuttered MoviePass — has attracted more than 900,000 subscribers — exceeding initial internal expectations of 500,000 subscribers in the first year of operation. During the first quarter of 2019, AMC implemented a 10% membership price increase in 10 states and a 20% price increase in five states. Based on an average monthly frequency of 2.40 theatrical visits for A-List subs in the Q3, their associated full-price, bring-along guest attendance, food and beverage spend and the price increases in Q1, AMC believes the A-List program was profitable in the third quarter and nine-months ended Sept. 30.
“Our being in the midst of nothing less than a digital transformation in which we are increasingly and continuously engaging with our guests before, during and after their visits to our theaters … is enabling us to be vividly focused on generating additional free cash flow, deleveraging our balance sheet and driving shareholder value,” AMC CEO Adam Aron said in a statement.