Replies to post #7452 on VNUE Inc (VNUE)

[Executive Order]

This is a part (among many!) that I really liked:

And eventually ....the large PROS (ASCAP, BMI and SESAC) will NEED the data from Soundstr so they can renegotiate licensing in order to keep market share, and so they can use it to sign up more venues (only 20-25% of venues are complying).

Only 20 - 25% ARE COMPLYING?!?

Huge HUGE POTENTIAL HERE!!!

You KNOW that ASCAP, BMI & SESAC will want to be fully compliant in doing this!

This part ALONE (and others...) spells HUGE REVENUE for VNUE!

HUGE MONEY COMING HERE! $$$$$$$$$$$$$$$

ExOr

[PENNIEStoSTACKS]

Nice DD, thanks for that.

[tedpeele]

Price of .06 based on only $5m in revenues -- that's a gain of nearly 20 times the current .003! Just think if the revenues are $50m - that isn't at all out of the question, as shown below.

How to get .06?

Only $5m in high margin revenues with VNUE's cost structure could very well yield $3.3m in net income, which is about .003 per share. At a CONSERVATIVE PE of 20 (very conservative for software disrupting an industry), 20 x .003 = .06

The largest note-holder YLimit terms won't allow a conversion below .035. They know the potential here IMO.


Is $5m doable?

According to the last PR, up to $1.7 Billion is collected from radio stations. John Madison said: "Royalties paid to the PROs are one of the largest expenses that a given radio station has," said Madison. "For example, one radio group had annual payments of $300mm alone.".

Then what he said is VERY IMPORTANT: "The detailed data that Soundstr will provide will help reduce these costs anywhere from five to 25%."

Then, what Zach Bair said is also VERY IMPORTANT: "We are initially deploying Soundstr to radio during the beta testing phase at no cost, and anticipate doing the same for the full rollout. This of course creates an easy path for adoption and makes the decision a no-brainer even for the smallest stations. And, as we begin to charge for the service, our cost will not be any type of a barrier."


Being VERY CONSERVATIVE, let's assume only 20% of the stations are willing to pay, and they will pay an avg of 5%, in order to save anywhere between 5 and 25%.

$1.7b x 20% x 5% = $17m in revenues for Soundstr. Remember too that VNUE said SetFM revenues in the first year could be $20-30m And remember that there are several other LUCRATIVE revenue streams for that data -- artists, over 100k venues, labels, partnering PROs -- that aren't even being counted here. And what if half or nearly all of the radio stations are willing to pay in order to save money?

Is $5m in revenues really that much of a stretch?

Doesn't $20-$50m seems more reasonable in time? OR at least $10m?

[Jisep]

Great DD Ted!

[tedpeele]

another repost, for DD seekers:

it comes down to money. Soundstr full deployment beginning in Q4 in radio stations may see a sea change come faster than one might expect. VNUE could make $500,000, $5m, or $50m annually in short order depending on how the biz model plays out. I like their odds personally. They aim to FIX what is wrong, and there are lots of people and dollars who will want that to happen.

9/14 interview: 32:17: "all these individual restaurants and bars, and what-not, I mean there's no tracking mechanism, and that's what Soundstr is going to do. We're going to identify music played in there, whether it's recorded, whether it's live, whether it's a really poorly done cover song, whether it's karaoke. We're going to make sure that everybody get's paid right."

There's a reason dollar volume is high - $1m several days on the news.

start listening at 29:15

Artists will want Soundstr to be used because they can get more royalties and their songs can become recognized and promoted faster/better.
Proof? Artists have signed up with PRM - some big names too (Snoop Dog, for example). Artists speakinng up can make a huge tidal shift happen here: http://www.insideradio.com/free/songwriter-says-he-was-shortchanged-by-ascap-for-radio-hits/article_0d7f8cb8-2812-11e8-9322-9bcd81f217ff.html

Venues, radio stations, retailers, etc. will want Soundstr because they will want to pay less in licensing fees. Non-radio venues using Soundster will also be able to recoup costs by using their location based advertising via wifi beacons inside the product.
Radio is in Beta stage now.

Smaller PROs will want Soundstr because the artists they represent want it which allows them to take market share away from the big boys. Also, because venues will be able to pay less - making it more likely they can sign up the venues. Proof? PRM has partnered with VNUE.

Global Music Rights (GMR) is another PRO of interest: Soundstr had early conversations with GMR prior to VNUE's involvement. They have very few licensed venues due to lack of resources, yet Zach thinks they have one of the most compelling catalogs -- Eagles, Def Leppard, etc. The Soundstr tech and data should be valuable to GMR as it should help them to be able to offer licenses to venues for less than the general licenses the big boys require.

Imagine if the 3rd largest - SESAC were to partner with VNUE in order to gain more market share against the top 2 ... this is not a pipe dream IMO, it's the direction that technology will take the industry and the big boys WILL resist initially, of course, but eventually they too will adapt because smaller PRO's will start to take away their business. That's why this is very much still a GROUND FLOOR opportunity




Labels will want Soundstr to be deployed everywhere because what is ACTUALLY being played is what tells them them is SELLING. They will pay big bucks for that data on behalf of their artists and their own pocketbooks.

Music recognition apps will want the technology so they can offer their users the ability to identify LIVE music.

And eventually .... the large PROS (ASCAP, BMI and SESAC) will NEED the data from Soundstr so they can renegotiate licensing in order to keep market share, and so they can use it to sign up more venues (only 20-25% of venues are complying).

The recurring high margin revenue sources are many and potentially very lucrative. This is going to be fun.