Daily Digest Sees Market Gap for Psonar PAYG Musico
All of this speculation led me back to thinking about Psonar (disclosure: a previous Motive Unknown client). They were in the press last week as they’re seeking further funding, this time from Crowdcube. Funding aside though, I still feel that whole area of pay-per-stream remains under-exploited – mainly, it would seem, because at least 2 majors are currently not too keen to adopt it. Think about it though: if the price point is the issue here, then alternative models such as the Psonar one (where you’re paying about 1p per listen, with billing coming off your mobile contract) might yet be the future. I still feel there is a gap below Spotify where someone could sweep up a lot of users, all delivering solid revenue back to the rightsholders (because this isn’t free after all: payouts are much the same as far as I’m aware). Will the majors make that move to get involved? I’m curious to find out…
Psonar Launches Crowdcube Fundingo
6 May 2015 – Psonar has launched a crowdfunding campaign on Crowdcube to raise at least £250,000 as part of its current round of up to £1,000,000. This follows a successful first close of just over £300,000 last autumn, which was Psonar’s second successful crowd funding.
Psonar is delighted that the London Co-investment Fund has committed to invest up to £100,000 as a match against investments from individual investors on Crowdcube.
This is the final angel round planned by Psonar which anticipates raising an A round of c£3.3M ($5M) in early 2016 based on the roll-out of mobile operator partnerships currently in the pipeline – two in the UK and one in SE Asia. The latter MNO is part of an international telecoms group with mobile operator subsidiaries in half-a-dozen Asian countries. The group sees the excellent fit between Psonar’s PAYG music service and the purchasing habits of its predominantly PAYG users and is looking to roll out Psonar PAYG music across all its subsidiaries.
Click here to find out more about our Crowdcube campaign.
Psonar at Mobile World Congress 2015o
Mobile World Congress is the largest global gathering of business people involved in the mobile industry taking place annually in Barcelona, Spain.
This year Psonar is making two contributions to the conference:
1110-1140 on Wed 4 Mar – Psonar presentation in the UKTI showcase in Hall 7 (7C40)
1655-1735 on Wed 4 Mar – Martin Rigby, Co Founder & CEO, is a panellist on ‘Mobile Muse: The Innovator’s View’ in HALL 8, FIRA MONTJUIC
Psonar App Now Available in Amazon Appstore for Androido
Android users can now download the free Psonar app in the Amazon Appstore to get Psonar music on the move. It is the latest (and greatest) Android version of the mobile app featuring:
- Large Catalogue of Music
- Pay Per Play
- Credits Never Expire
- Pay in App on your Mobile Phone Bill or with Credit/Debit Card
- No Commercials
- No Monthly Subscription Fee
- No Commitment
- Gift Music to Friends to play for freeTo download Psonar for Android in the Amazon Appstore, click here.
15 Things Every Entrepreneur Needs to Knowo
Our CEO, Martin Rigby, was asked by award-winning UK job search service, Jobsite, to share some “hard won advice” for aspiring entrepreneurs - His top tips are below. Click through to read the whole article on Jobsite.co.uk.
Alongside software developer Richard Urwin, Martin Rigby helped create the highly successful pay-per-play music service Psonar in 2008. The Cambridge-based entrepreneur is also MD of ET Capital, a VC firm specialising in technology investments, and a recognised expert in corporate finance, business planning, strategic marketing and venture investment management.
“Keep going but keep iterating (if you get a winning proposition first time – like Twitter – it’s luck, most great businesses have to work at it over a sustained period of market engagement).”
2. BUILD YOUR TEAM
“The team is critical to success – keep widening and enhancing the team until you’ve got the very best people available – and then trust and encourage them to use their initiative and creativity in their areas of expertise.”
3. KISS AS MANY FROGS AS POSSIBLE
“Meet potential customers, suppliers, trade partners and investors and get them to feed back on the business idea, how you’re presenting it and what’s needed for success. Nobody gets it right first time and the more people you talk to, the more likely you are to identify the right market opportunity and the right model to exploit it.”
4. BE DECISIVE, EVEN RUTHLESS
“You do need to be hard on yourself and other people – if something isn’t working, put it right or terminate it immediately. It’s too easy to waste time and money hoping it’s going to get better (it won’t, unless you actively change it).”
5. DON’T FOLLOW THE CROWD
“Work out what you think you should do and be unafraid to follow your plan even if other people seem to be heading in the opposite direction (but keep checking whether they’ve seen something you’ve missed). Most great businesses have periods when other people don’t see why they are going to succeed.”
Psonar in the News: 20 Shades of Startupso
Psonar was recently interviewed by innovation charity, Nesta, for their 20 Shades of Startups project.
Ephemeral Is Better!o
This year’s South By South West (the digital media, film and music festival in Austin Texas) clearly pointed to the move to a more ephemeral (things that don’t last) internet as described Danah Boyd (pictured below).
First, panelists referred to the growth of streaming as the fastest, possibly only, growing way to consume recorded music. Secondly, everyone continues to talk about Snapchat, the picture based messaging app where the sender chooses how long the recipient can see a picture and message they’ve shared.
Put these two ideas together – ephemeral and sharing and substitute music for pictures and what have you got? Well, Psonar, duh! It’s the only way to share (as in gift) music to someone else where the recipient doesn’t even need to install an app – let alone subscribe to a streaming music service.
More to come from Psonar@SXSW
Martin Rigby, Psonar CEO, Speaks on Midem Panelo
Last week our CEO, Martin Rigby, joined a team of industry experts on the opening panel of the Openmic strand at Midem 2014. Looking at the way artists can exploit streaming services to access new fans, Rigby pointed out that, while Spotify and Psonar have gone to considerable lengths to encourage new artists on their services, on-demand streaming is about mass access – the main benefit being that its allows artists to monetize demand from fans who already want to listen to their music.
BBC Top of The Pops Magazine Features Psonar Christmas Playlisto
BBC Top of The Pops magazine gave away a Psonar playlist of 50 tracks by top Universal Music artists including Taylor Swift, The Vamps. Jessie J and The Wanted as its 2013 Christmas special promotion.
Midem 2014 – Has Streaming’s Time Come?o
At the beginning of 2014, Digital Music News published a chart illustrating the seismic shift in progress in the way people access digital music. Data for the US market in 2013 showed 103% growth in audio streaming and, for the first time ever, an absolute decline in the number of individual songs downloaded.
The Psonar team saw this trend first hand at Midem last week. As the music industry gathered to do business in Cannes, the future of digital music consumption was a recurrent theme in the conference sessions. Whilst streaming has shown impressive growth, it hasn’t been fast enough to offset the decline in CD sales. Most observers would agree that the decline in individual track downloads makes the growth of successful new access models essential for the industry.
New models are emerging such as Bloom.fm, offering music rental from $2 per month, and Psonar Pay Per Play, as we revolutionise access to music streaming in the same way that Pay As You Go SIMs transformed access to mobile phones in the 1990s.
For the hundreds of millions of people worldwide who can’t afford to pay $120 pa for subscription streaming, Psonar Pay Per Play makes on-demand streaming accessible and affordable. When tracks can be streamed for as little as 1c and credit can be bought via mobile phone in amounts as small as 50c, music suddenly becomes more accessible to the masses.
Psonar adds BlackBerry 10 appo
Psonar’s new app for BlackBerry 10 devices will be available in BlackBerry World from the beginning of December 2013. The app was custom developed with support from BlackBerry to make best use of the phone maker’s powerful new operating system, BlackBerry 10, released with the launch of the Z10 handset in March 2013.
The Psonar BB10 app gives BlackBerry users access to Psonar’s extensive popular music catalogue on a Pay Per Play basis, with no commitment to expensive contracts and credit available in amounts as small as 50p (which can be paid for via mobile or card).
3 December 2013