NATIONWIDE -- MoviePass is raising its subscription fee, the company announced Tuesday.
- MoviePass to raise subscription fee to $14.95
- It will also limit tickets to blockbuster films
- The changes comes as the company tries to stay afloat
Rates for the standard plan would increase from $9.95 to $14.95.
In addition to the price change, MoviePass will also limit the availability of tickets to bigger movies (those opening on 1,000-plus screens) during the first two weeks of the movie's release.
Under the standard plan, moviegoers are allowed to see up to one movie a day.
"These changes are meant to protect the longevity of our company and prevent abuse of the service," CEO Mitch Lowe said in a statement. "While no one likes change, these are essential steps to continue providing the most attractive subscription service in the industry."
The price increase will take effect "within the next 30 days," the company said in a news release.
The changes come as the cash-strapped company tries to stay afloat.
On Thursday, MoviePass ran out of money, which prevented subscribers from purchasing tickets. Helios and Matheson Analytics, its parent company, then borrowed $5 million in cash to meet financial obligations, according to a regulatory filing.
After the app was operational again, subscribers couldn't select tickets for "Mission: Impossible - Fallout."
The app experienced more technical issues over the weekend, with subscribers unable to "check-in" to certain movies.
By Monday afternoon, screenings were unavailable for most theaters.
The subscription service, which touts more than three million subscribers, recently faced backlash after it introduced "peak pricing." Subscribers would have to pay a surcharge of up to $8 for popular, high-demand movies.
MoviePass is also facing competition from AMC Theatres, which has introduced its own subscription service called AMC Stubs A-List. The service has added over 175,000 new members since its launch five weeks ago, according to MarketWatch.