MusicHype – creating the new music industry

MusicHype is a platform for bands and their fans to interact directly with each other and build valuable relationships. It takes a novel approach that integrates existing music and social networks into a cohesive, interactive, and fun online experience for music fans.

Disclosure: I’m a significant investor in MusicHype, and Chairman of its board – [Dave]

The Pitch:
The music industry is changing rapidly: Bands find it hard to engage with fans and make money online, fans find it hard to access the music they love in a sea of visual and aural noise, and labels find it hard to maintain relevance.

MusicHy.pe is an efficient and entertaining promotional distribution platform that enables major bands to connect directly with their fans and make money online. MusicHype is creating the new music industry bringing bands and fans together online and offline.

For fans, we aggregate relevant music and news in a curated experience that spans existing social networks and music services. Fans can take part in competitions, listen to and watch live and recorded gigs, buy gig tickets, merchandise and digital music, collaborate with bands to help create album artwork, videos and songs, and increase social status and music cred with through our loyalty points system.

MusicHype delivers direct sales revenue and increases audiences for bands using our integrated social media promotion and sales platform. Bands working with MusicHype use our platform to implement album and tour promotions while reaching across Twitter, Facebook, YouTube and the wider web.

MusicHype is a game-changing model, built on globally and scalable technology, backed by a dedicated and internationally experienced team.

Accomplishments to date:

We’ve validated the business model albeit on a small scale in New Zealand.  After our first outing with the iconic NZ band The Mint Chicks, we’ve produced some brilliant metrics.  In our first three months, working with one band, we achieved:

• 24,902 site visits
• 11,183 unique visitors
• 5:04 minutes average time on site
• 1740 members (15.5% conversion rate)
• Excellent montisation per member at significant gross margins.

We have been approached by numerous bands and labels in New Zealand and overseas who want to work with us.

Development plans:

• We plan on launching in North America as soon as possible
• We will be seeking a US-based CEO for that operation
• Rapid scale

Key Challenges:

• Deploying on-the-ground resources in North America
• Speed to market
• Selecting the optimal growth rate

Principals & Previous Experience:

Jeff Mitchell – MD & Solutions Architect – Jeff has over 10 years of experience in web application development and management. Jeff’s expertise lies in platform development and strategy, social network integration and mobile technology.

Annabel Youens – Digital Strategist – Annabel has been working with e-commerce sites and online social communities before they were buzz words. Annabel’s expertise lies in communications, community management and business development.

Dave Moskovitz – Chairman – Dave has founded and funded numerous online startups, and is passionate about rebuilding a sustainable music industry. As Chairman of WebFund, Dave brings extensive experience, capability, and networks into the mix.

What they want from an investor:

MusicHype is seeking NZD 400K in equity to enable a North American launch.  The ideal investor will have some music industry experience and contacts, and be want investment exposure to creative / collaborative communities and social media.

Who the offer is open to:

The offer is open to eligible persons as defined in Section 5 (2CC) of the Securities Act 1978 who invest either directly or syndicated through AngelHQ / AngelLink.

Contact details:

Marie-Claire Andrews, AngelHQ
Email: Marie-Claire.Andrews@growwellington.co.nz
Tel: +64 21 81 4224

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