Assignment 2 – Dealflicks

Dealflicks founded by Zachary Cancio, Kevin Hong and Sean Wycliffe is a recent startup that is targeting to become the next Priceline for movie tickets. Dealflicks helps movie theatres sell tickets and snacks for up to 60% off the price. This way movie theatres also increase their revenue without having to run movies with empty seats. It is an innovative, disruptive idea that offers a variable pricing model to consumers which creates value not only for consumers but also to movie theatres.

Dealflicks has collaborated with 500+ US theatre locations as well as US theatre chains. They have an iPhone app, Andriod and Google apps. Dealflicks has an online website through which consumers can purchase tickets and leave inquires. They also have an online presence on Facebook and Twitter to attract the younger demographics.

Their positioning in the market is to be as the next Priceline for movies. They want to deliver value to consumers and movie theatres by capturing a segment of the market who are price sensitive to fixed movie prices. By offering a discount on tickets and snacks, Dealflicks is able to adjust prices so that it can capture the price sensitive consumers.

Their value proposition is to address the problem of movie theatres not being to sell all their movie tickets and also address price sensitive consumers to buy movie tickets and snacks on discount. Currently consumers have to purchase movie tickets only at a fixed price and movie theatres run shows without getting full occupancy of halls. This problem is hard to solve because the movie industry is based off a fixed price model which leaves consumers with a binary choice. The variable pricing offered by Dealflicks breaks the norm of the movie industry. The potential market for this is huge since $40 billion dollars are spent every year on movie tickets, popcorn, and soda, but 88% of movie theater seats are empty (https://angel.co/dealflicks).

I believe that they will be successful in communicating with their target consumers because they have chosen the right online channels as well as partnered with movie theatres as well as movie theatre chains.

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