AMC Theatres Launches Movie VOD Service

AMC Theatres CEO Adam Aron has long hinted getting into home entertainment.

Now, the world’s largest theatrical exhibitor has announced that beginning Oct. 15 the company’s 20 million AMC Stubs members in the United States can rent or buy approximately 2,000 digital movies from the top Hollywood studios at AMCTheatres.com, AMC Theatres On Demand, as well as on the AMC Theatres mobile, connected devices and SmartTV applications.

AMC Stubs members who use their first transaction to buy or rent a movie distributed by Lionsgate or Paramount Pictures can choose an additional three movies from a selection of that studio’s films.

Adam Aron

“The addition of AMC Theatres On Demand, which extends our movie offerings for AMC Stubs members into their homes, makes perfect sense for AMC Theatres, for our studio partners and for our millions of movie-loving guests,” Aron said in a statement.

Subscribe HERE to the FREE Media Play News Daily Newsletter!

AMC says it has agreements with every major Hollywood studio to make selections of their movies available for digital rental and purchase, including both new release and popular catalog movies.

New releases will become available on AMC Theatres On Demand the same time they are available digitally nationwide, following the traditional theatrical window set by each studio for each movie.

“We can reach movie lovers directly and make it easy for them to access films digitally,” Aron said.

As part of a first-ever cross-platform marketing partnership between AMC Theatres and AMC Networks, AMC Stubs members will also be able to find movies from AMC Networks’ IFC Films and RLJE Films catalogues on the AMC Theatres On Demand platform beginning in late 2019.

Through the partnership, AMC Theatres will also promote AMC Networks’ targeted streaming services Acorn TV, Shudder, Sundance Now and UMC directly to moviegoers, including more than 20 million AMC Stubs households.

“This is a great opportunity for us to both make our film titles available to movie customers and also increase awareness of our growing streaming services, which are all focused on specific genres and content categories fans are passionate about,” said Ed Carroll, chief operating officer of AMC Networks.

Movies 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 Stubs membership will be required for all digital transactions.

 

Former Home Entertainment Executive Draws AMC Theatres’ Ire

In early August, Tom Lesinski, a former president of Paramount Home Entertainment and, before that, one of Warren Lieberfarb’s top lieutenants at what was then Warner Home Video, was named CEO of National CineMedia, which sells advertising for in-theater movie trailers and previews.

With the theatrical business model under siege from over-the-top video (notably Netflix) and increasingly dependent upon blockbuster superhero movies to lure consumers, exhibitors are apparently upping the number of ads screening before and after a movie plays.

National CineMedia CEO Tom Lesinski

National CineMedia, which claims to deliver “integrated brand experiences” to more than 750 million moviegoers annually, has created a new so-called “platinum spot” that screens ads just before the main movie feature begins — and after.

In a Sept. 17 conference call and separate presentation at the 28th annual Goldman Sachs Communacopia confab in New York, Lesinski and other executives touted entering into amendments with Regal Cinemas and Cinemark to sell post-showtime advertising in their theaters.

Subscribe HERE to the FREE Media Play News Daily Newsletter!

Lesinski referenced “ongoing” and “continuous” discussions with AMC Theatres to bring similar ad-concepts to the world’s largest exhibitor.

That brought a quick rebuttal from AMC (i.e. CEO Adam Aron) — the latter long known for dissuading third-party commercial interests (i.e. MoviePass) in his theaters.

In a statement, Aron said Lesinski’s statement was erroneous.

“There are no discussions underway between NCM and AMC on this subject,” the executive said.

AMC Theatres CEO Adam Aron

Aron explained that in April National CineMedia proposed to AMC commencing a platinum advertising position during the end of trailer play, which he claims was “flatly rejected” at the time because of concerns U.S. moviegoers would react quite negatively to the concept.

“AMC has no plan to introduce commercial advertising close to the start of a movie’s commencement at its theaters in the United States, nor does AMC envision entering into such an arrangement with [National CineMedia] anytime in the foreseeable future,” read the statement.

That doesn’t mean the new ad-insertion concept is dead.

After rebuffing MoviePass, Aron launched AMC Stubs A-List, a ticket subscription service that is now approaching 1 million subscribers.

Should increased marketing before and after theatrical screenings not result in a backlash from consumers, expect AMC to roll out the concept in-house worldwide.

AMC Theatres Ticket Subscription Service Tops 900,000 Members

AMC Theatres — the world’s largest theatrical chain — announced that its branded AMC Stubs A-List ticket subscription program has more than 900,000 members since launching June 26, 2018.

The service, which is priced from $19.95 to $23.95 per month (based on minimum 90-day contract) depending on the subscriber’s location, enables users access to up to three movies per week, in every available AMC showtime and format, including opening night and opening weekend.

The service was rolled out to compete against MoviePass, the ticket service pioneer that has suspended service indefinitely.

Subscribe HERE to the FREE Media Play News Daily Newsletter!

“The AMC Stubs A-List program’s continued positive momentum makes it far and away the most popular movie theatre subscription program in the world,” CEO Adam Aron said in a statement.

The service enables subs to reserve tickets online or through the AMC Theatres mobile app. A-Listers also receive a $5 reward for every $50 spent at AMC, including tickets purchased for friends and family, and food & beverage spending.

This translates into a 10% discount that can be applied toward future AMC purchases.

A-List members also receive free upgrades on popcorn and soda, free refills on large popcorn and express service at the box office and concession stand.

Meanwhile, AMC said second-quarter attendance at its theaters increased 6.3% to 96.9 million compared to 91.2 million during the previous-year period.

Through the fiscal year, attendance is down 3% at 176.7 million from 182.2 million last year.

“Our [attendance] efforts in the United States have been greatly aided by the soaring popularity of our AMC Stubs loyalty program, which recently crossed 21 million member households,” Aron said.

AMC Theatres Subscription Ticket Service Tops 800K Members

AMC Theatres May 20 announced its branded Stubs A-List subscription ticket program now tops 800,000 moviegoers — an increase of 200,000 members in 2019.  The number make the service the No. 1 service in North America, and well ahead of its one-year target of 500,000 members by June 26.

“We believe we’ve cracked the code to make this concept successful for AMC, our shareholders, our studio partners and most importantly, our guests,” CEO Adam Aron said in a statement.

Subscribe HERE to the FREE Media Play News Daily Newsletter!

The milestone comes after the world’s largest theatrical exhibitor reported a net loss of $130.2 million compared to profit of $17.7 million in its most-recent fiscal period. Revenue dropped 13.2% to $1.2 billion.

Indeed, AMC contends the service contributing to the bottom line as A-List members bring friends and family with them to the movies.

Launched in 2018, $19.95 Stubs A-List affords subscribers up to three movies per week, in every available AMC showtime and format, including “Imax at AMC,” “Dolby Cinema at AMC,” RealD 3D and “Prime at AMC.”

Stubs A-List subs have the same privileges as AMC Stubs Premiere members, including free upgrades on popcorn and soda, free refills on large popcorn, express service at the box office and concession stand, no online ticketing fees and 100 points for every $1 spent on the monthly Stubs A-List fee, tickets purchased for friends and family, and food & beverage spending at AMC.

AMC Stubs Premiere and A-List uers receive a $5 reward for every 5,000 points earned, which translates to a 10% credit toward future AMC purchases.

 

AMC Theatres Q1 Loss Skyrockets, Revenue Falls

Marvel Studios’ Avengers: Endgame can’t come fast enough for AMC Theatres.

The world’s largest theatrical exhibitor, May 9 reported a first-quarter (ended March 31) net loss of $130.2 million compared to profit of $17.7 million in the previous-year period. Revenue dropped 13.2% to $1.2 billion from $1.38 billion last year.

Total attendance fell 12.2% to 79.8 million from nearly 91 million. In the U.S., attendance dropped 11.1% to 54.9 million from 61.8 million. Foreign attendance dropped 14.5% to 24.8 million from 29 million.

Subscribe HERE to the FREE Media Play News Daily Newsletter!

In the quarter, AMC owned, operated, or had interests in 636 theatres in the U.S. and 365 theatres internationally.

The chain attributed the metrics declines due to a weak box office and comparisons with the previous-year quarter’s release of Black Panther, which was the second-highest grossing Q1 movie in history.

While AMC has usurped the ticket subscription market from MoviePass through its branded Stubs A-List program, its 4.8% decline in total average ticket price (2.4% decline on a constant currency basis) reflected implementation of the program and other promotional pricing initiatives, as well as declines in Imax and 3D volumes primarily due to the mix of films during the period.

Stubs A-List ended the quarter with more than 785,000 subscribers.

AMC implemented a 10% membership price increase in 10 states and a 20% price increase in five states. Based on the average frequency of subscribers, their associated full-price bring-along guest attendance, their food and beverage spend and the price increases in the first quarter, AMC contends the A- List program resulted in incremental profitability in the first quarter compared to estimated results if the program had not existed.

“This is largely attributable to the power of the AMC platform: stemming from experiential initiatives and enhancements at our theatres; a frictionless use of technology to communicate, engage and sell to our guests,” CEO Adam Aron said in a statement.

 

AMC Theatres Ticket Service Tops 700,000 Subscribers

AMC Theatres said its Stubs A-List subscription ticket service added 100,000 subscribers in January and February to increase its membership base above 700,000.

Subscribe HERE to our FREE daily newsletter!

AMC Theatres launched A-List (priced from $19.95 monthly) on June 26, 2018 and was originally expected to hit 500,000 members 12 months after launch. Membership includes access up to three movies per week, in every available AMC showtime and format, including Imax at AMC, Dolby Cinema at AMC, RealD 3D and Prime at AMC.

AMC said its conventional Stubs A-List membership program has totaled 14 million attendees, including the purchase of traditionally-priced tickets for family and friends.

AMC Stubs Premiere and A-List members receive a $5 credits for every 5,000 points earned, which translates to a 10% credit toward future AMC purchases.

“With every passing milestone, Stubs A-List is proving to be a huge benefit to our guests, our studio partners and our shareholders,” CEO Adam Aron said in a statement. “Members are watching more movies than they did before A-List was created, and they’re bringing their friends and family members along, who are paying for their tickets at full price.”

 

AMC Theatres Stubs A-List Subscription Ticket Service Tops 600,000 Members

AMC Theatres Dec. 26 announced that its Stubs A-List subscription ticket service has surpassed 600,000 subs since launching six months ago. The nation’s largest theatrical chain had expected to reach 500,000 A-List members after 12 months.

The $19.95 monthly service (which increases to $23.95 on Jan. 9, 2019 at AMCtheatres.com and AMC Theatres app) bowed on June 26 in response to rival service MoviePass.

The service affords members upwards of three movies per week, in every available AMC showtime and format, including Imax at AMC, Dolby Cinema at AMC, RealD 3D and Prime at AMC.

A-List subs also get the discounts and benefits of AMC Stubs Premiere, including free upgrades on popcorn and soda, free refills on large popcorn, express service at the box office, concession stand, and 100 points for every $1 spent for the AMC Stubs A-List monthly fee, tickets purchased for friends and family, and food & beverage spending at AMC.

AMC Stubs Premiere and A-List members receive a $5 virtual reward for every 5,000 points earned, which translates to a 10% credit toward future AMC purchases.

CEO Adam Aron said the success of A-List contributed to Hollywood’s record $11.4 billion domestic 2018 box office.

“What an incredible 2018 for AMC Theatres and our AMC Stubs A-List members,” Aron said in a statement. “To exceed our one-year goal of 500,000 members in 4 ½ months, then add another 100,000 members in the last six weeks of the year is astounding. We remain extremely excited about what’s to come.”

 

 

AMC Theatres CEO Says A-List Subscription Ticket Service Will be Profitable a Year Early

Since launching Stubs A-List theatrical ticket subscription service less than five months ago as competition to MoviePass, AMC Theatres has generated 500,000 subs to the $19.95 monthly service.

As a result, CEO Adam Aron now says the service will be profitable in 2019 – a year ahead of projections.

Speaking Nov. 8 on the fiscal call, Aron said the service is generating $120 million in annual revenue that didn’t exist six months ago – excluding concessions. In addition, user data is tracking downward – with average subscriber screenings per month dropping from 3.4 to less than three.

The executive believes the ratio will drop to 2.5 screenings, which translates favorably on the bottom line. As subscribers attend fewer screenings, margins inch toward profitability.

“If this trend continues as other proprietary data in our possession often suggests that it will, we now believe … the program could be [fiscally] accretive,” Aron said.

“If we didn’t have A-List, some of those [subs] wouldn’t be buying tickets at all,” he said. “Some of those [subs] would still be buying tickets at AMC. But they’d be coming less frequently.”

Indeed, AMC plans to raise A-List pricing by 20% in California, New York, New Jersey, Connecticut, Massachusetts; and up 10% in other big markets.

Aron said feedback on social media to the planned hikes has been positive.

“You should read the Reddit message boards about A-List and our competitors. They’re fans of A-List because it offers them so much value,” he said.

Meanwhile, total AMC domestic Q3 revenue grew 5.9% to $895.6 million. The nation’s largest theatrical chain outperformed the industry, growing domestic attendance per screen by 9.1%, which was more than 4% better than the industry. The company, however, reported a net loss of $100.4 million, up 135% from a loss of $42.7 million during the previous-year period.

Wall Street wasn’t impressed, sending shares down 14% on Nov. 9.

AMC Stubs A-List Subscription Service Tops 500,000 Members; Monthly Fee Going Up

AMC Theatres Nov. 5 announced that its $19.95 ticket subscription service – AMC Stubs A-List – would soon cross more than 500,000 members, eclipsing the company’s membership expectations for the end of the first full year in just 4 1/2 months.

The overall AMC Stubs program has surpassed 17 million-member households, up from about 2.5 million member households only 2 1/2 years ago.

Beginning immediately, households can use a credit card as the payment method for separate, individual A-List accounts. AMC also extended the minimum age for AMC Stubs A-List from 18 years old currently to 16 years old with a valid photo ID.

AMC plans to roll out reserved seating in all AMC-branded theaters and AMC Dine-In theatres by next June. This increase in reserved seating locations will not apply to AMC Classic branded theaters.

AMC-branded theaters in the metropolitan areas of Boston, Denver, Houston, Los Angeles, New York, San Diego, and San Francisco will have access to AMC “mobile ordering,” which lets users purchase food and drinks online at the same time as they reserve their tickets.

AMC said it would increase A-List pricing in states where the program is most popular. Beginning Jan. 9, 2019, the monthly price will increase to $21.95 plus tax in Colorado, Delaware, Florida, Georgia, Illinois, Maryland, Minnesota, Pennsylvania, Virginia, Washington state and The District of Columbia. The price increases to $23.95 plus tax in California, Connecticut, Massachusetts, New Jersey and New York.

All current A-List subs as well as subs who sign up before Jan. 9, 2019, will continue at the $19.95 price guarantee for 12 months from the start of their membership.

“Increasing enrollments to 17 million AMC Stubs member households over the past 2 1/2 years, or achieving initial enrollments of a half million members in AMC Stubs A-List in just 4 1/2 months, are astounding numbers,” CEO Adam Aron said in a statement. “Our decision to keep the AMC Stubs A-List monthly price unchanged in 35 states, along with only a modest price adjustment in some key markets, will keep us in that sweet spot of successfully balancing profits and popularity

AMC Theatres Ticket Service Tops 400,000 Subs

AMC Theatres Stubs A-List subscription ticket service has topped 400,000 monthly members less than 100 days after launching service.

Adam Aron, CEO of the nation’s largest theatrical chain, disclosed the benchmark after the $19.95 monthly service achieved 80% of its first-year subscriber projections.

“While we do not plan to issue A-List enrollment statistics on a weekly basis, our hitting more than 400,000 enrolled members only three months and a week after launching the program is an enormous milestone,” Aron said in a statement.

Indeed, A-List was projected to reach 500,000 subs after 12 months; and 1 million in two years.

“This all bodes well for the future of increased moviegoing in America,” Aron said.

The success of A-List comes as MoviePass corporate parent Helios and Matheson Analytics remains defiant in the face mounting fiscal woes.

CEO Ted Farnsworth told an industry confab this week HMNY had secured an additional $65 million in funding – despite the company’s stock trading slightly above 1 cent per share.

HMNY is now planning a second reverse-stock split in an attempt to bring shares above the Nasdaq required minimum $1 per share price.