RIP

To view this email in a browser, [click here](. INC. THIS MORNING RIP Good morning, MoviePass might be dead for good this time. Last month, the cinema subscription service went dark, claiming its app would be temporarily nonfunctional while the company worked on updates and improvements. It has yet to return, and faces deep-pocketed competition from AMC Entertainment’s Stubs A-List offering. Meanwhile, Deadline reported last week that [Regal Cinemas is launching its own MoviePass competitor]( called Regal Unlimited, before July ends. MoviePass was always going to struggle against AMC. Another leader entering the fray likely will seal MoviePass’s demise. A giant steps in to edge out a once-hot startup. You’ve read this story before. It’s the story of Amazon. Or Facebook. Or any of the countless Goliaths that either bankrupt or acquire smaller competitors with big momentum. Almost every smart idea eventually draws the attention of giants. Consider [Casper drawing the ire of Mattress Firm]( and [Allbirds preparing for its eventual fight with industry giants]( like Nike or Adidas (which could be on the horizon, as Allbirds investor Ben Lerer told Inc. in December). The question isn’t “How can I avoid such a confrontation?” Precious few companies do. Uber and Lyft became giants before the car industry could take notice. Rover and Wag are arguably on the same path, escaping competition from giant chains like PetSmart. These companies are rare. The better question is, “How do I prepare for it?” The answer is surprisingly simple: Create genuine connections with your customers. Give them a reason to care. MoviePass ran into financial problems and offered a product that was easily replicable. Low prices may earn short-term loyalty. They don’t help your long-term survival. [Companies with cult-like followings]( don’t happen accidentally: They’re transparent, they communicate well with customers, and they’re authentic. They genuinely provide consumers with something that nobody else in their industry could possibly replace. That is, of course, easier said than done. But if you can achieve it, you’ll secure a niche that no industry giant can take away. And if you get lucky enough to go unnoticed by the giants long enough to become one yourself, you get the best of both worlds. A true win-win. SPONSORED CONTENT [Win the all-new Sprinter from Mercedes-Benz Vans]( Enter [“The Van Built for Business Contest”]( for a chance to win the all-new Sprinter that could transform your business. HERE'S WHAT ELSE I'M READING TODAY: [The U.S. Department of Labor just made it easier for small businesses]( work together on 401(k) retirement plans. --The Wall Street Journal A software engineer in Seattle has been arrested and charged with the hack that [exposed the personal information of over 100 million Capital One customers.]( -- The New York Times The battle between Amazon-owned pharmacy startup [PillPack and one of its biggest competitors is escalating.]( --CNBC [Uber just laid off 400 marketing employees]( in its push for profitability. --Fast Company Facebook is warning investors that [Libra, its planned cryptocurrency, may never launch after all](. --CNBC These founders started out by feeding a few hungry doctors. [Now they run a billion-dollar online catering business.]( --Inc. [The Google Pixel 4 will unlock using a face scan]( just like Apple’s Face ID. --The Verge Here are nine things [emotionally intelligent people never say.]( --Inc. --Cameron Albert-Deitch Reporter, Inc. Story ideas and feedback actively solicited. Find me at [calbertdeitch@inc.com](mailto:calbertdeitch@inc.com?subject=) or on [Twitter](. [Click here]( to forward to a friend. This email was sent by: Mansueto Ventures 7 World Trade Center, 29th Floor New York, NY, 10007, [Update Profile]( [Advertisement]