moviepass

It’s not as good, but it’s still pretty good — that’s essentially the message being sent by MoviePass CEO Mitch Lowe as he makes the rounds to try to put an end to a runaway train of negative publicity careening into his brand.

After weeks of disastrous press and growing consumer discontent, MoviePass is working diligently to dig out of a deepening public relations hole. So far, those efforts are having mixed results. But fundamental economics have forced MoviePass into this situation. The company’s “movie-a-day” program was destroying the company’s cash flow. And, as a result, MoviePass had to stop honoring that offer.

Unfortunately, the company did not communicate these changes effectively with its customer base. That poor communication took a bad situation and made it much, much worse. As the company took a constant barrage of abuse on social media, MoviePass decision makers huddled up, looking for a solution. They came up with what Lowe is calling “the right business model.”

The new offer, three movies each month for ten bucks, is a far cry from a movie every day, but it’s still a very good deal for frequent moviegoers. And that’s the core of the new MoviePass pitch. Speaking to CNN, Lowe said the company grew too fast, while it was still trying to find its feet, and a working business model:

“It is really tough to launch a business that shoots up like a rocket ship, but hasn’t completely got the business model right… We now have the right model.”

That statement may be true, but jilted fans are going to want more. After all, this is not the first time MoviePass has tried to come up with a new offer that would help them manage the 15 percent of their customer base they say is “stressing the system.”

Of course, the customers who signed up for MoviePass aren’t interested in “why” the company is changing their deal as much as they are interested in knowing what the new – and presumably long-term – deal is. At that point, consumers can determine if the deal it worth is or not. At this point, they are left with more questions and worries than answers, and that’s a very precarious PR position.

If they want to make it through this ongoing PR problem, the decision-makers at MoviePass need to come up with a plan that is palatable to their customers and stick with it. People may not like the change, but at least they can respect it, if the company follows through on its new promises.

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Ronn Torossian is the Founder & Chairman of 5W Public Relations, one of the largest independently owned PR firms in the United States. Since founding 5WPR in 2003, he has led the company's growth and vision, with the agency earning accolades including being named a Top 50 Global PR Agency by PRovoke Media, a top three NYC PR agency by O'Dwyers, one of Inc. Magazine's Best Workplaces and being awarded multiple American Business Awards, including a Stevie Award for PR Agency of the Year. With over 25 years of experience crafting and executing powerful narratives, Torossian is one of America's most prolific and well-respected public relations executives. Throughout his career he has advised leading and high-growth businesses, organizations, leaders and boards across corporate, technology and consumer industries. Torossian is known as one of the country's foremost experts on crisis communications. He has lectured on crisis PR at Harvard Business School, appears regularly in the media and has authored two editions of his book, "For Immediate Release: Shape Minds, Build Brands, and Deliver Results With Game-Changing Public Relations," which is an industry best-seller. Torossian's strategic, resourceful approach has been recognized with numerous awards including being named the Stevie American Business Awards Entrepreneur of the Year, the American Business Awards PR Executive of the Year, twice over, an Ernst & Young Entrepreneur of the Year semi-finalist, a Top Crisis Communications Professional by Business Insider, Metropolitan Magazine's Most Influential New Yorker, and a recipient of Crain's New York Most Notable in Marketing & PR. Outside of 5W, Torossian serves as a business advisor to and investor in multiple early stage businesses across the media, B2B and B2C landscape. Torossian is the proud father of two daughters. He is an active member of the Young Presidents Organization (YPO) and a board member of multiple not for profit organizations.