MoviePass states that it will not sell the user's data to third parties
The controversy arose from a talk in which Lowe participated, as part of the keynote address by MoviePass CEO at the Entertainment Finance Forum in Los Angeles at the end of last week. "We received a huge amount of information," Lowe told the crowd, according to a Media Play News report published on March 2. "We observe how you drive from your home to the cinema … [and] we observe where you are going next." The quotes caused alarm among tech journalists and MoviePass subscribers, some of whom took to Twitter to report the use of personal data by the service. .
MoviePass, in its statement, says that the data it wants to collect is intended to help inform the company of the general cinema experience, including how users arrive at the movie theater and where they can eat out before or after the movie . "We will use [the data] to better inform how to market possible benefits to customers, including discounts on transportation, coupons for nearby restaurants and other similar opportunities," the statement said.
Lowe himself mentioned it during his talk at the Entertainment Finance Forum, saying that one of MoviePass' long-term goals is to create a portfolio of discounts and other business partnerships that give the company a share of third-party revenue to offset the loss may be taking ticket tickets. MoviePass has already partnered with some independent theater chains to reduce ticket revenues and food and beverage sales, something the company allegedly wants from larger chains such as AMC.
MoviePass is trying to find revenue streams to offset the costs of ticket stubs
Last week, MoviePass mysteriously prevented users in certain markets from buying tickets to see Red Sparrow, while promoting the movie to subscribers in other markets. That suggests that MoviePass also seeks to use email and application-based marketing as a way to cut promotional offers with studios, and may have tried a Red Sparrow blackout to bolster their claims that it drives a significant amount of traffic to the movies that he actively promotes.
Here is the MoviePass statement in its entirety:
At MoviePass our vision is to build a full night at the cinema. We are exploring the use of location-based marketing as a way to help improve the overall experience by creating more opportunities for our subscribers to enjoy all the elements of a good movie night. We will not sell the data we collect. Rather, we will use it to better inform how to market possible benefits to customers, including transportation discounts, coupons for nearby restaurants and other similar opportunities. Our main goal is to offer a complete cinematic experience at a price that anyone can afford and that everyone can enjoy.