We've stopped going to the movies since this service came out, and bought a bigger TV. We don't want to pay the movie food tax, movies are now
packed with people and unpleasant to watch in our area, and it's just not an enjoyable experience.
Location-based tracking is totally common, and a serious business these days. This dataset will provide MoviePass with a huge and unique database, and they will prosper.
What nobody is talking about in this thread is that once they combine it with all of the other databases (profile, interest, etc), they will be able to track every single movie consumer from cradle to grave, from home to work, and on to the theater. They will know how your friends are, who you go to the movies with, where they live, who they know... this is all stuff that companies have been doing now since the early 2000s.
My point is that not only is this not illegal, it's relatively common. It might feel creepy, but this is the new normal. It's just not talked about very much. Google has a ton of this data, so does every cell provider, and of course someone mentioned foursquare, who realize that the location business was a better business than anything else they can build.
Also, the more we allow social media into our lives the richer these profiles become, because the qualitative data from social networks is the foundation of location networks. Where meets who meet when = datapoint.
In case you were wondering where all the mobile advertising revenue transitioned, start reading the T&Cs on the apps you download friends. :)