How Cinemark Is Looking to Compete With Netflix

By Chris Lange Updated Jan 12, 5:45AM EST · Published Dec 5, 11:00AM EST

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How Cinemark Is Looking to Compete With Netflix — © Thinkstock

While most people get their content online in an increasingly digital world, we shouldn’t forget where most of it came from — the movie theater. While Netflix, Hulu and HBO are cleaning up with their streaming services and content, the newest content is consistently at the theater. Cinemark Holdings Inc. (NYSE: CNK) is looking to take advantage of this idea with its newest offering to its customers.

The company announced the launch of Movie Club, a unique monthly movie membership program. The first program of its kind, Movie Club offers ticket and concession discounts along with many other exclusive benefits.

For the $8.99 monthly fee, consumers are given one 2-D movie ticket each month with premium format ticket upgrades available. Unused tickets will roll over and never expire for active members.

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At the same time, members will be able to reserve seats and buy tickets in advance with no online fees.

Not to mention, members will also receive a 20% discount on concessions during every visit.

Mark Zoradi, Cinemark CEO, commented:

We are thrilled to launch our proprietary movie membership program that is completely consumer research-driven. Based on the feedback we received, we designed Movie Club with all of the features and benefits that moviegoers desire most in a membership program without any of the hassle, enabling our guests to enjoy the moviegoing experience with their friends and family.

With the rise in popularity of online streaming services, it seems that movie theaters will have to continue creating attractions like this to keep customers coming in the door instead of staying home on the couch.

Shares of Cinemark were last seen down about 0.6% at $36.19, with a consensus analyst price target of $42.11 and a 52-week range of $32.03 to $44.84.

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About the Author Chris Lange →

Chris Lange is a writer for 24/7 Wall St., based in Houston. He has covered financial markets over the past decade with an emphasis on healthcare, tech, and IPOs. During this time, he has published thousands of articles with insightful analysis across these complex fields. Currently, Lange's focus is on military and geopolitical topics.

Lange's work has been quoted or mentioned in Forbes, The New York Times, Business Insider, USA Today, MSN, Yahoo, The Verge, Vice, The Intelligencer, Quartz, Nasdaq, The Motley Fool, Fox Business, International Business Times, The Street, Seeking Alpha, Barron’s, Benzinga, and many other major publications.

A graduate of Southwestern University in Georgetown, Texas, Lange majored in business with a particular focus on investments. He has previous experience in the banking industry and startups.