Digital Brand Media and Marketing Group Inc (DBMM)

[davidam]

This is a good time to re read the shareholder letter that kicked off the campaign. Yes the campaign temporarily stalled but could get back on track very soon. I look forward to hearing an update from the company which may define or give a hint when things get rolling again

Letter to Shareholders

RTG Ventures Launches from Development Laboratory to Commercial Exploitation Through Partnerships

RTG Ventures is one of very few start-up digital technology companies in the public sector

Dear RTGV Shareholder,

Today, we are writing to you to announce a new phase for the company. With Audigist already soft-launched and our major product, CloudChannel, due for beta launch very shortly, we’re shifting from being a company with products in development to one with products to sell. We’re focusing our activities on the opportunities that offer the greatest return on investment and we’re bringing our products to the US market. We’re engaging in a number of new partnerships to speed our route to market, bring additional benefits to our customers and reduce costs of market entry.

Today, we launch a major marketing campaign to raise awareness of the company, our products and our partners. The program has been created collaboratively using the proven expertise of Digital Clarity, the experience and reach of our partners and the guidance of authoritative external resource and it will be co-ordinated and controlled by a professional investor relations manager. We will support the campaign using an integrated multimedia campaign incorporating newswire distribution, blogs, website updates, interviews and more.

The right place, the right time

Companies engaged in the same space as RTG Ventures are achieving sky-high valuations both in private funding rounds and when entering the public markets. Pandora has only just entered the public markets and opened at a valuation of $3.2 billion. Spotify is valued at $1 billion as a private company after raising $100 million in venture capital. CloudChannel has been designed as the engine of online live-music video and enables rights holders to monetize content in ways that simply have not been possible before. Our business is different from both Pandora and Spotify, but is part of the same $120 billion market forecasted by industry financial gurus.

Digital Music News recently reported that in 2011, over $400m has been invested in digital media businesses with a total valuation of the sector in the multi-billions. Most digital media companies start out privately owned, meaning investors outside the closed world of private equity funds and venture capital don’t get an opportunity to participate in cutting-edge technology from the ground floor up. RTG Ventures is one of the only digital media companies already trading publicly and as such presents an opportunity to engage with leading-edge technology before the company is valued in the hundreds of millions or even billions.

How we’re going to get there

Partners play a very important part in our business model and over the next few weeks, we’ll be announcing several strategic partnerships, updating you on how we’re maximizing value from our existing partnership with Aderra and explaining in more detail how partnerships will accelerate adoption of our technologies. Working with partners enables us to enter markets faster, cheaper and leverage existing relationships for mutual benefit.

As an example, we are already working with Aderra to identify joint projects where the unique approach of CloudChannel can add value to their offering, provide turnkey monetization solutions to existing artists and where their unique solution can enhance our offering too. We have proposals in review at the moment for CloudChannel Suite’s first two product offerings and, once CloudChannel’s website is live, we expect this number to mushroom.

We’re also working with Aderra to identify a Billboard artist to endorse our products bringing an established fan base, other artists and the wider creative community into RTG’s suite of products. Artists like 50 Cent have already demonstrated the power of endorsements and we intend to emulate this success for all of our benefit.

An appendix to the Board’s letter is attached describing RTG’s achievements and milestones to date. We will be adding to this document so that investors can share in the Business Plan execution.

Focusing on return on investment, not just revenues

Since the blueprint for RTG’s development was first created in March 2010, much has changed and in order to operate at the same standard and level as companies like Pandora, we’ve engaged in a process of streamlining and focus. The digital media market represents this company’s greatest opportunity for exponential growth because it is in this market that our product is most clearly differentiated, furthest ahead of the market and most disruptive.

As a result, we’ve reduced investment into areas of the business that have linear growth potential in favor of those that truly can be exponential. This is why we made the choice to close BMC. The market in which the company operated was stagnating and forecasted growth was therefore not forthcoming. Given the choice between investing in a truly exciting future, or shoring up the present in a non-core market for the sake of top-line revenue, we chose the future and be assured, we will continue to do so.

How we’re differentiated

RTG’s strategy holds firm and is as compelling, meaningful and relevant now as it ever has been. Our products are clearly differentiated in the marketplace and our early observations about the needs of rights holders have now been vindicated by complementary product offerings from others in the same space as us. No one company’s offering, however, is as comprehensive as that of RTG.

CloudChannel maps the rights related to live performance video enabling each and every rights holder to be paid every time the content is monetized. Live entertainment video rights are especially complicated and CloudChannel supports very tight rules relating to territories, identified rights holders, unidentified rights holders, exceptions and collection societies.

CloudChannel enables content to be syndicated by fans with monetization methods built right into the stream. This opens up huge potential new markets because content is being placed at the heart of social interaction and it creates a direct monetizing role between artists and their most influential fans.

Now is a good time to be with RTG

After a long period of research and development, we’re now ready to market and over the next few weeks and months, you’ll be able to learn a great deal more about why we think the future is so bright for RTG.

The Board of RTG Ventures encourages existing investors to stay the course and welcomes new investors on an exciting journey. RTG expects to grow, prosper and be stronger together with each of you.

Click here for Milestones Appendix

Investor Relations Contact:
David Marioni
First State Internet Services
Wilmington, DE 19804
302 983 8196 begin_of_the_skype_highlighting 302 983 8196