US: AMC Entertainment to enhance Stubs loyalty programme

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By: RickFerguson |

Posted on August 8, 2016

Hollywood's lackluster year at the box office, full of poorly-reviewed superhero epics and under-performing sequels, has hit hard the fortunes of theatre chains such as AMC Entertainment, which saw disappointing Q2 results. To turn around the chain's flagging performance, CEO Adam Aron plans to turn to the company's Stubs loyalty programme. reports that AMC's Q2 results were disappointing enough to send the company's stock down 5.5%. Rather than lick his wounds, however, Aron plans to reinvest in the customer experience by contuing to remodel existing theatres and doubling down on AMC's Stubs loyalty programme.

The revamped programme will move from offering a single paid tier to a paid $15 per month tier and a free tier. Existing paying Premiere Stubs members will see a host of new hard and soft benefits added to the programme, including a richer funding rate for points that can be redeemed for discounted tickets, Premiere-only lines, and reserved seating. Meanwhile, non-renewing Stubs members will be migrated to the free programme. Money quote from Aron courtesy of Deadline:

"'We were losing half of our Stubs members because they weren't renewing,' Aron says. Now those who don't pay will be moved to the free service.

As a result, 'we could very easily double the activity base of AMC Stubs over the next two to three years' to about 40% - closer to airlines and hotels where more than half of customers belong to loyalty programmes.

That will give AMC 'a much enlarged consumer database... to whom we can market.'"

The chain will also launch a new mobile app that will include such customer-friendly features as the ability to order concessions from your seat. Reinvesting in loyalty and the customer experience sounds to us like a formula for success.

Read the Deadline article here.



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