NZ Angels

Voeveo.com is an online marketplace for mobile content - ringtones, games, music etc for your mobile phone. Traditionally, this market has been dominated by telcos pushing their own bandwidth, charges, devices, and content … but voeveo have opened a significant crack in the telco stranglehold by building a community of over 10,000 users and content providers. They’ve proved their concept and developed a loyal following, and they say that conditions are right for expansion. Voeveo’s principals were interviewed in an audio podcast which you’ll find below.

The Pitch:

The mobile content industry is forecast to exceed $24 billion in 2008/09. While the majority of this revenue is generated by major carriers, at least 20% is created by off-deck services.

This off-deck market continues to grow as customers turn away from carriers, while digital makers of mobile content look for new channels. Originally independent developers were forced to comply to strict content requirements and sell their IP to carriers, if they wanted to tap into the mobile space. Game developers are forced to supply thousands of versions to match the carriers list of handsets.

Developers spent more time developing versions for handsets, rather than being able to target specific handsets and create an exciting game. Content creators were looking for a new model that gave them flexibility and control. And they found voeveo.
 Etsy and Threadless, voeveo was built to empower sellers and buyers to connect, collaborate and create.

voeveo makes money through seller sales’ commissions (between 30-40%), content delivery fees to buyers and onsite advertising.

voeveo is also pursuing other revenue channels like, ad-supported downloads and strategic partnerships.

Accomplishments to date:

• Over 10,000 members and growing
• Received three New Zealand Government Grants from the Foundation of Research, Science & Technology and New Zealand Trade & Enterprise.
• Spent nine months in Beta to improve site functionality and scalability.
• Servers were co-located in North America to speed Northern hemisphere transactions and site response times.
• Completed a site usability and design review with award winning web design agency Shift. From this review a new site design and landing pages were implemented to improve organic search engine
  traffic, promote featured sellers and highlight content niches.
• Buyer payment options were extended from Paypal with the introduction of ‘voeveo PrePay’, Google Checkout and UK carrier billing (MIGPAY).
• Refinement of Google analytics ensured we could measure conversion rates for sales as well as member (buyer and seller) activity and participation.
• Trialled different marketing campaign approaches including: Google Adwords, print and electronic advertising, viral, sponsorship and buyer rewards.
• Received a further New Zealand government grant for the development of the mobile interface.
• Received “Green light status” from UK T and I Global Entrepreneur programme as a “Technology Company of Exceptional Potential”.

Development plans:

• Release a seller checkout widget to perform and complete the transaction on the seller’s website.
• Release the mobile interface
• Appoint a CEO
• Release ad-supported downloads
• Put a full-time voeveo presence in the UK and the US
• Continue to recruit sellers, market and develop strategic business partnerships
• Grow our member base, transactions and revenue

Key Challenges:

• Becoming a recognized brand
• Staying ahead of the competition
• Making the right strategic partnerships
• Money to grow the business

Principals & Previous Experience:

The management team has a depth of experience in web based business models, successful on-line services, search engine optimisation, marketing communications and operational management. Jeff Mitchell (CTO) and Annabel Youens (Community Developer) have over 20 years of expertise in scoping, developing and growing online communities. Jane Pollitt (COO) and Jen Porter (Director, Investor and Business Relations) have vast experience working in communications, people strategies and public relations.

What they want from an investor:

• Funding (c. NZD 500k) to achieve key business objectives within the next 6-12 months
• Experience and commitment to help structure and lead voeveo into the next stage of commercial development

Dave’s Commentary:

Annabel and Jeff are certainly passionate about their company, and have built a demonstrable and successful track record in their target market. In addition to expansion cash, they’re looking for a battle-scarred international deal-closer to round out their team. They make a convincing case that the market is just at the point of really taking off, so there is considerable upside potential. Of course there are big risks as well, but securing the right investor will help voeveo minimise those risks.

Contact details:

Jeff Mitchell
jeff@voeveo.com
Mob: +64 21 783 349

Listen to (or download) the podcast

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This entry was posted on July 23, 2008 at 2:18 am and is filed under Uncategorized. Tagged: audio, games, internet, marketplace, mobile, music, ringtones, voeveo, web2, wellington. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.