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MoviePass Expands Revenue Source With Distributor Deal

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MoviePass Expands Revenue Source With Distributor Deal
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Helios and Matheson Analytics Inc (NASDAQ: HMNY) spiked mroe than 12 percent Monday after MoviePass announced a new revenue opportunity — a deal with an undisclosed independent movie distributor to promote a particular film for performance-based compensation.

“With studio-driven revenue, we have delivered on our promise to investors that our business model will continue to expand beyond subscription fees,” MoviePass CEO Mitch Lowe said in a press release.

The added revenue source and active effort to influence moviegoing behavior may abate Street skepticism of the MoviePass model.

MoviePass Proves Its Worth

MoviePass boasts of success in previous marketing campaigns, which corresponded with a 53.3-percent increase in ticket sales for Amazon.com, Inc. (NASDAQ: AMZN)’s “Last Flag Flying” and a 48.3-percent increase for Bleecker Street’s “The Man Who Invented Christmas” against non-targeted consumer control groups.

More broadly, it claims efficacy in bolstering releases and sustaining screening attendance beyond opening weekend.

Its representation among ticket sales for both “Justice League” and “Coco” marginally increased after opening weekend even as total attendance slipped. The firm also accounted for 13.21 percent of opening-weekend sales for “Roman J. Israel Esquire” and 10 percent for “Three Billboards Outside Ebbing, Missouri.”

“Our data shows that MoviePass has a demonstrable impact on revenue figures and percentage contributions to overall box office receipts for both major studio releases and independent films during Opening Weekend," Lowe said in the release.

Helios and Matheson traded recently at $9.44, up 11.4 percent.

Related Links:

Texas Theater Chain Studio Movie Grill Credits MoviePass For Keeping Attendance Up

MoviePass Has Little To Fear From Cinemark's Movie Club, Analyst Says

Posted-In: Mitch Lowe MoviePassNews Contracts Movers Best of Benzinga

 

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