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StereoType Des Moines

“StereoType, the one-stop- shop for live recording. ”. StereoType Des Moines. Owner@StereoTypeDesMoines.com. Why Do Artists Skip Iowa?. Iowa Colleges. Problem Is Ticket Price Doesn’t Equal Value. How do we offer the consumer low ticket prices?

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StereoType Des Moines

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  1. “StereoType, the one-stop-shop for live recording.” StereoType Des Moines Owner@StereoTypeDesMoines.com

  2. Why Do Artists Skip Iowa?

  3. Iowa Colleges

  4. Problem Is Ticket Price Doesn’t Equal Value • How do we offer the consumer low ticket prices? • How do the Artists, Labels, Promoters still make a profit with low ticket prices? • How do we make a profit?

  5. We partner with the Artists, Labels, Promoters

  6. Provide the Resources to Record • Most bands can’t afford them • We have all resources in house • Record in hi-def Audio / Video • Create entire product lines • Each product can yield revenue for decades • Each a StereoType exclusive • Yields massive amounts of revenue • Subsidize ticket prices • High energy yields a spectacular recording

  7. Business Model • Record/produce/broadcast • Increases profit margin • Three main products • Audio downloads • Video downloads • Live streams • Physical attendance is not required to enjoy the show • Distribute digitally • No manufacturing expense • Minimal warehousing expenses • Establishes brand name status

  8. Additional Revenue Options • Lease the recordings • Video games • Commercials • Television / Movies • Use facilities to • Stream our events to other venues • Stream live to awards shows • Lease our equipment to other venues • Host: Tradeshows , Weddings, Sporting events, Gaming Tournaments, Proms

  9. Why will they let us record?

  10. Artists want two things… Money + Exposure

  11. Profit sharing model • 40% gross to the artist • Artists own the recordings • We retain exclusive distribution rights • We cover ALL expenses • Marketing / Distribution / Manufacturing • Artists choose • What products are created • Formats used • What distribution channels to use

  12. Partnership = Profit *Oct 24th,2011 iTunes sold its 16 Billionth songSell an average 11 Million songs per day

  13. One-of-a-kind venue • 6 venue spaces, capacities from 200 – 10K • Each has a top of the line • Audio / Video systems • Full recording capabilities • Complete entertainment facilities • Green rooms, retail spaces, work/live lofts • Restaurant, nightclub • Accommodate 10 semis/tour buses • 3/4 acre of solar panels • Offset massive energy consumption/expense • Rooftop garden • Marketing • Paid Internships + Iowa-based marketing

  14. Marketing and Sales • Perpetual social media campaign • Street team (marketing interns) • Directly engage our consumer base • Cost effective two-way communication • Create viral ads • More unique = more media attention • Free to upload – YouTube, social media, etc. • Hire marketing firm • Specialized campaigns

  15. Market • How many of you • Own a smart phone? • Use an online music service like iTunes? • How many connected devices do you own? • DVD/Blu-Ray player, gaming consoles, tablets, etc. • You are our potential consumer

  16. Online Market • Google, iTunes, Amazon, etc. • Proven online distribution model • Massive consumer base • Sell the same products • Seek differentiation • Pay for exclusive products • We only produce exclusive products • Gives leverage with negotiation

  17. Create an App • 4+ billion connected to Internet • No.1 device: smart phones • Syncs communication channels • Consumers and social media profiles • Each new multimedia device • Increases revenue potential • Customer engagement • Links to our website

  18. Why hasn’t our competitiondone this? • Napster • Artists want control of their music • Lack of facilities • Most venues are converted buildings • Recording based on acoustics • Revenue based on recordings • Cost is only barrier to enter market • Expensive retrofitting • Build from the ground up

  19. Startup Phases / Expenses

  20. Our Cash Flow Projections

  21. Management Team • Ryan Lebo – Owner • 7 years of research • Model development • Product development • Visionary who created StereoType • Pat Williams – C.O.O. • Seasoned playback / recording engineer • Over 10 years experience • Worked more than 3,000 concerts • On 5 continents

  22. Management Team cont. • Channing Swanson – Architect • Neumann Monson Architectural Firm • Highly skilled • Award winning • Scott Leighter – President of Public Relations • 20+ years combined experience • Public and private sectors • City of Altoona • Proven business and community leader

  23. The City of Altoona, Iowa

  24. Potential Investor Offerings* • Structured as an LLC • Leaves options for franchising • Offer two classes of shares • Class A (voting rights) • 30 shares available • Full share $500K • Worth 1% of profits • Class B (non-voting rights) • 200 shares available • Full share $50K • Worth .1% of profits *Not an offering of securities

  25. Current Status • Build our team • C.F.O. or Financial Firm • Establish solid offerings package • Market our model to promoters • Seek initial funding • 40% equity, 60% debt financing • Purchase land • Begin construction

  26. Altoona, Iowa

  27. Shoppes At Prairie Crossing

  28. We Have • A solid business model • An ever growing market • Established distribution channels • A skilled team • A community that wants us • Funding

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