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Digital and cryptocurrency payments adoption is booming, even if that might not seem immediately obvious. However, businesses that have started accepting cryptocurrency payments have already started reporting great interest in these new payment methods.
One example is AMC Theatres, whose CEO, Adam Aron, recently revealed just how much the company’s customers started relying on digital payments.
AMC Theaters notes a major rise in digital payments
According to Aron, as much as 35% of online payments are currently being made using cryptocurrencies, as well as several other digital payment methods. This popular cinema chain has been adding different crypto adoption plays after adding support for several digital coins in November 2021.
For now, supported cryptos include Bitcoin, Ethereum, Bitcoin Cash, Litecoin, Dogecoin, and Shiba Inu. The first four cryptos were supported in November, while the two memecoins were added in April 2022.
Payments using cryptocurrencies can be made very easily by using AMC Theatres’ mobile application, and, based on the CEO’s report, users did not pass the opportunity to try it out.
Yesterday, May 9th, Aron spoke about the company’s 2022 Q1 performance during an earnings call, and he emphasized that the company’s decision to move into the crypto industry has been met with a lot of “fanfare,” as he called it. In addition to that, it opened up multiple payment rails that were previously explored.
Thanks to the company’s decision to adopt cryptocurrencies, it needed to integrate certain IT programming that also allowed AMC Theaters to open its doors to PayPal, Bitpay, Apple Pay, Google Pay, and even Venmo, among other payment methods. The company’s customers immediately started adopting these methods for their speed, ease of use, and other benefits, including lower transaction cost, when it comes to crypto coins. As a result, one-third of all recent payments ended up coming through these payment methods.
AMC moves into the NFT sector
Aron also commented on the company’s NFT initiatives, noting that there are eight different programs planned for the time being. Some have already been launched, while others are still in the works, and expected to arrive later this year. He noted that this technology already made an impact when it comes to helping AMC stimulate the sales of movie tickets.
For example, when Sony Pictures’ Spider-Man: No Way Home came out in November, the company included as many as 86,000 non-fungible token-based tickets for the members of its AMC Stubs Premiere & A-List, as well as AMC Investor Connect subscribers.
AMC Theatres’ performance in Q1 2022
Finally, when it comes to the Q1 report itself. AMC reported that there was a very strong year-over-year improvement, meaning that Q1 has seen noticeably greater earnings for the firm than the same quarter in 2021. The reason behind this is that the impact of the global COVID-19 pandemic on the world has finally started to drop.
As lockdowns are ending and things are slowly returning back to normal, AMC recorded a 429.8% revenue growth, which led it to $785.7 million in Q1, as opposed to $148.3 million during the same period last year.
Lastly, the company recorded a decreased net loss, which went down by as much as 40%, roughly, compared to the first quarter of 2021. Back then, the net loss was $567.2 million, while this year, it dropped to $337.4 million.