1015 N. Murray Blvd. Colorado Springs, Co p. 951/219/1244 MelodyEarth.com

Transcription

1 1015 N. Murray Blvd. Colorado Springs, Co p. 951/219/1244 MelodyEarth.com

2 Table of Contents I. Executive Summary 3 Objectives Mission Statement Keys to Success II. Description of Business 3 Company Ownership/Legal Entity Location Interior Hours of Operation Products and Services Manufacturing Management Financial Management III. Marketing 5 Market Analysis Market Segmentation Competition Pricing IV. Advertising 7 Featured Page Video Chat Messaging: V. Notes 8

3 Executive Summary MelodyEarth is a one stop shop application for artists on the road and users alike. It is the first social networking site that brings you closer than ever to your favorite big artists and stars that you would not normally be able to achieve in your daily life. With social networking taking over the form of communication by storm, it is time for a change, and we are that change, we are MelodyEarth. With both the possibility to ask your favorite artist and stars a personal message/question, and get a personal response (at a cost of X amount of coins) and have a live video chat (at a cost of X amount of coins) it gives the user the feeling that they have never had before, and gives the artist and star an extra income. It s a win-win for everyone, and once again it has not yet been implemented until now. Objectives Getting into 2016, our main objectives are going to be Promoting and getting as much traffic through the door as possible. As our main revenue will be based on the amount of users that are on the site, it is crucial that we advertise and promote nonstop. As we grow we will be also building our web based side for desktop and for our mobile web users, alongside with branching out to out Android users. As we build the platforms on those networks it broadens our horizon on users that we are not able to connect with since MelodyEarth is just on the ios platform. As MelodyEarth s user base grows so will the company, hiring employees for coding, research and development, customer service, accounting and billing, production, designing, marketing and promoting. Mission Statement To provide a bridge over essential lost space between artists, stars and fans, bringing them once again, back together. Keys to Success MelodyEarth is not an everyday normal business. We thrive to be different, so we feel our key to success is to stand out. We want to bring back personal backgrounds that no one has any more in the social network world. For the first time ever there is a Music Social Network that ties in Fans and Artists. Fans can post updates, videos and photos and fellow friends and followers can see what they are posting. Along with an all in one stop artist profile that the artist can share tour dates, sell merchandise, sell tickets, post updates, post videos, post photos, answer personal response messages, and live video chat. To add on top of the personal responses and video chats, that artists and fans have a chance to make some extra revenue by charging coins for the items. The coins are very affordable, but add up very quickly. Which is very different, and very appealing compared to other social networks in the app world today. We are here to help thriving artists get noticed and fans get noticed by their favorite artists. We all need each other. Description of Business MelodyEarth is a one stop all in one social networking application for music. Everyone can follow each other, post updates, photos and videos from the application, and keep up to date with their favorite artists. Everyone has their own personal profile that they can choose a background and header photo to show their uniqueness and to be different from one another. Artists have a major tool in the palm of their hand by being able to post updates, videos and photos from the road to keep their fans updated on their current lives and a huge profit is being able to have all of this, and their merchandise and being able to sell concert tickets all in the same place. There is a live video chat and messaging system that gives everyone the opportunity to make money as well. The user is able to choose whether they would like to charge for these features or not. The user can set a price on what they feel is right and agreeable in their settings page and charge an (X) amount of

4 coins for the service. As the user accumulates coins they can turn it in for money. Which makes MelodyEarth like nothing before, one of a kind and different. Company Ownership/Legal Entity ME Enterprises, Inc. is an S-Corporation owned and run by one entity, Christopher Raymond Elmhorst. Location ME Enterprises, Inc. is currently located at the CEO s home in Colorado Springs, Co. We are a virtual business so there is no need for a storefront/office space as of right this moment but as the application grows. As the year 2016 goes on we will be needing an office space for employees. Interior The interior of the office once obtained and dressed should be at least 1,500 Sq. Ft. to start off as our first location. This amount of square footage should give us the space needed for the different departments, along with a conference room for official business meetings. Walls shall be painted bright colors to keep the mood positive in the workplace and to put off a warming welcome to our guests to our office. Since our hours of operation are a bit abnormal, a proper security system shall be put in place with card access at the entrance and security cameras within the office for security purposes. Products and Services Our services will be a top notch/revolutionary application in the palm of our user s hands giving them everything that they need all in one place. Our products will be the application itself, Along with the In-App purchases of coins that are traded for messages or time spent on live video chats on the application. Which in turn gets turned around and paid to the artists and users who host live video chats and answer personal responses. Hours of Operation Since MelodyEarth is an online application our business is always open. But the office main hours will be a normal 9-5. Manufacturing The application is coded by a team of very professional coders working for a company called Get Your Solutions in India. The application will then be hosted on Amazon s servers for all ios (and soon Android) users to download and enjoy. Management Christopher Elmhorst has always been a go getter and never stop until the project is finished and perfect, and is doing the same when it comes to MelodyEarth. But there will never be a finish line there is always something to improve and make better for the users and music industry. And with this attitude is why he is the best fit to manage this business right now as CEO. He has managed businesses in the past and knows what it takes to tackle projects and get them done right, and in a timely fashion. Deadlines are key and there are no excuses to a poor performance.

5 Financial Management With the unique functions that MelodyEarth has to offer will make this application and business Profitable. Once big acts sign up and become a part of the application they will draw fans that will spend money to purchase coins to talk and interact with them. Through the live video chat and personal messaging system will be a huge part of the revenue. Other revenue will be coming from advertising companies in posting them on everyone s feed through CPM (Cost Per Mille), and artists and other big acts will be able to purchase a featured ad to be on the featured page that every user will be able to access from their drop down navigational bar. There are a few one-time purchases of equipment and supplies such as office desks, conference room desk and chairs, office chairs, ipads for promotional events, television for the conference room for business skype calls and presentations, an office printer and the BlueWave card access and video cameras for the security system. We will have to start on the web browser and Android side of the app as soon as possible with will be $10,000 for both developments. The cost for the apple development is $99 along with the yearly Domain renewal which is $ Since Advertising is key in this industry that we should focus on spending anywhere from $5-10,000 a month to get us out there to the traffic and bring them to the site, signup and start purchasing coins. Once the web and android side of the application is complete we will need to start paying for server usage and space. There are so many different places to host it so the price will vary upon when we get it going. but Amazon is the number one choice to go to. Once the office doors are open the first six months will not be profitable. So we need coverage for things such as rent, utilities, business insurance, payroll, travel, advertising, promotion and marketing Advertising and marketing will play a major role in the industry that we are in. So advertising is key to get foot traffic in through the doors. So MelodyEarth needs to be at every Music Convention in the nation to get the word out. We also need to advertise on all existing social media sites to share that we are the missing link in the social media world amongst for example; Facebook, Twitter, Instagram, Myspace, Spotify and SnapChat. We will also be at SXSW, Warped Tour, and many other tours. Along with Sponsoring bands and events. Marketing Market Analysis Our targeting marked is anyone and everyone. Music is the one thing that touches everyone soul one way or another, young or old. It is a universal language that gets across to any nation, ethnicity/race, or age. Depending on Genre of music is always a base on who we are trying to reach, for Instance if we were trying to promote Blues music we wouldn t be pursuing all 13 year olds, we would be pursuing the older generation. As if we were looking for a target audience for Hard-Core music we would be going for a demographic of kids from 13 to 25 years old. But none the less there are users that fit within that range of genre but not the age group so we need to be mindful of who our audience is. The market we are trying to reach is always growing and is not going anywhere besides limited by the users reached. Which is why Marketing is so crucial in our industry. We need to focus on Advertising and marketing, and bettering our app in any which way or form. We are able to reach 100% of the market as long as users come on board, there is absolutely no limit, and the more users we have, the more revenue that is possible to come in.

6 Competition We have a few competitors out there in our industry that have already made a very large foundation for themselves, but none are like MelodyEarth or offer what we offer. A few of our competitors are: Facebook: 1 Hacker Way, Menlo Park, Ca They have 1.19 Billion monthly active users. Facebook may be the biggest Social Network out there known to date, but it is dying. They are slowly turning to just caring about money rather than the user's experience which is ruining it for everyone. We tend to have no lost posts. If a user posts it, their followers will see it in a timely order. There is no hit or miss. Instagram: 164 South Park St, San Francisco, Ca They have 300 Million monthly active users. Instagram is cool when it comes to posting pictures and videos with some cool filters, but there is not too much interaction. They do have the feel of if you post it you see it as long as the user is following another user, but there isn t enough personal feel to it. Twitter: 1355 Market St, San Francisco, CA They have 236 Million monthly active users. Twitter is pretty hard to Navigate and is not very user friendly. Myspace: 407 N Maple Dr Beverly Hills, CA They have 50.6 Million monthly active users. Myspace is pretty dead as of Myspace was the #1 music site back in They have gone under new ownership but they still have never been able to make a comeback. It is very hard to navigate and is much like Facebook and Google+. Pricing The application is free to download. When you download the application you get access to everything free. View profiles, See artists tour dates, buy tickets, view and buy merchandise, view artists biography, ask questions as long as the receiving user doesn t charge coins to write them, and view live video chat as long as the user does not charge coins for the viewing. Otherwise if the user charges coins, the giving user needs to purchase coins through the app. Each coin is worth $ , so in turn would be 400 coins for $.99 USD. The user gets to choose how much they would like to charge for their services per message or per minute viewing the live video chat. Advertising and Promotion Advertising and Promotion is key in this industry. There is nothing tangible to sell since it is all done on an application on a user s phone. To get out there to the world we need to advertise and promote in places that they look otherwise. Such as magazines, Tour Posters (Sponsor Tours), live interaction at events such as Warped Tour, Radio Plug-Ins, and Hand out free merchandise. Any Advertising and Promotion is key and is very simple.

7 Advertising: $5 CPM. On average say a single user clicks on one page per day = $.005 per view. But the table above is based off of an average of 50 ads seen per day. (750,000 active daily users at 50 ads seen per day. 750,000 X 50 = 37,500,000 / 1,000 CPM = 37,500 X $5 CPM = $187,500 a day ) Featured Page: The featured page will work off of users paying to be on the featured page for a certain amount of time. (Hours, Days, Weeks, Months) $$$$ Video Chat: An artist goes live for one hour (Sixty Minutes) and charge 5 coins a minute. And the viewer purchase a bundle of coins through MelodyEarth of 400 for.99 cents. Now say that they had an average of 500,000 users on this chat at any given point, give and take. for a single user to be on their chat for one hour it would cost them 300 coins. Less than.99 cents. Now for them in that one hour video chat session they generated 150,000,000 coins. That would come to 375,000 bundles (400 coins). Times that by the cost per bundle (.99 cents). That would leave $371,250 dollars for that one hour. After Apple takes their share for being on their platform, that would leave MelodyEarth with $248, As of right now the user/host of the chat would get (33% of the total) $122, of the cut. and MelodyEarth (34% of the cut) would receive the remaining $126,225. Messaging: The way that Messaging works is based on how much the user wants to charge per message, And how often he/she/they answer them. Say the A certain user gets one hundred 140-character messages a day and responds to every single one of them. And is large enough to charge 4,000 coins per message response. The user has acquired 400,000 coins. That would come to 1,000 bundles (400 coins). Times that by the cost per bundle (.99 cents). That would leave $990 dollars for that one hour. After Apple takes their share for being on their platform, that would leave MelodyEarth with $ As of right now the user/host of the chat would get (33% of the total) $ of the cut. and MelodyEarth (34% of the cut) would receive the remaining $ (All of these numbers are based off of a single user, not talking about thousands of users doing this all day/every day)

8 Notes