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Cheap movie tickets: Choovie app uses dynamic pricing | news.com.au

AN AUSSIE app which uses Uber-style dynamic pricing to offer movie tickets for as cheap as $6.25 has attracted more than 10,000 subscribers in just a few months.

Choovie, a Melbourne-based start-up which launched in March after two-and-a-half years of development, has been trialling in 20 independent cinemas and will soon have 11 more on board.

The app integrates with existing ticketing systems to fill up largely empty cinemas, using pricing algorithms based on forecast demand to sell tickets that would otherwise go unsold.

According to co-founder Shane Thatcher, an economist by training, the idea came when he and his partner Sonya Stephen realised more than 80 per cent of cinema seats go unfilled.

To combat stagnating ticket sales — which have been falling on a per capita basis — cinema chains have been trying to maximise revenue per customer through higher standard ticket prices, 3D glasses, beverage and snack sales and premium services like gold class.

According to Screen Australia, while the average ticket price has risen just 33 per cent in the past decade from $10.37 to $13.80, the top ticket price has risen by more than 61 per cent from $15.50 to $25.

“Essentially the cinemas are saying, we’re not getting as many people in, but we want to get more from them,” Mr Thatcher said. “Ticket prices have gone up, the offering is better, but it does go out of reach of the average person.”

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Cheap movie tickets: Choovie app uses dynamic pricing.