Subba-Cultcha.com is a music and festival reviews platform with a difference… we don't have an editorial team; all our reviews are written by fans!
It started as a bedroom blog with a handful of music fans writing about the local music they loved and grew as more and more fans started submitting reviews of their favorite artists. While traditional music media publishers started to experience declines in circulation and revenues, the user generated content model continues to grow and engage much larger audiences.
There are a number of editorially led reviews sites available: sections of the mainstream press, Pitchfork, Vice, The NME to name but a few. Crucially though, none offer fans the opportunity to review music experiences themselves. Many of these publishers are also seeing huge declines in audiences as their content becomes less engaging and relevant.
With live music attendances at record highs in the US and UK (195.7m people went to live music events in the US & UK alone in 2016) fans now want to share their opinions on the experiences they love. Our aim is to become the primary platform for fan generated reviews globally.
Fans want to be involved, we let them in!
Crowd-sourcing and user generated content platforms have grown exponentially in recent years as users become active participants. It’s the desire driving young consumers who are habitually using fan generated content platforms like Yelp and TripAdvisor, the latter is now the biggest travel focused platform in the world, having recently celebrated publishing it’s 300,000,000th review. It also generates over $1b in revenue per year.
Brands are also turning to user generated content platforms to reach new customers as these platforms enable a higher frequency of engagement and better customer relationships.
On a global level, entertainment revenues are expected to rise 5.1% year on year over the course of the next 3 years, with consumers looking for “inspiring, personalised experiences.” (Global Entertainment and Media Outlook 2015-2019, PwC June 2015). See PwC’s full report
Subba Media also has extremely low operating costs as a constant stream of free content is created by users.
Success So Far
Does the user generated reviews model work for music? In short… yes!
In 12 months since the launch of Subba-Cultcha.com’s platform, fans posted over 6,500 reviews with no marketing support. All reviews are vetted before being published with the average review between 300-400 words in length. Users read more than 5 reviews per visit and 90% of fans share their reviews across their social media channels once they’ve been published.
Subba Media now works with a huge number of record labels (including the majors: Universal, Warner and Sony), artist management companies, artists directly, and more than 60 US, UK, European & Asian festivals. We're speaking to venues (local bars to regional stadiums) all with the aim of increasing their customer engagement and revenues through fan led reviewing.
To prove the advertising revenue model, Subba Media has successfully generated a total of $40k in revenue from Sonos, the wireless speaker company.
Revenue led by user generated content… it’s a successfully proven business model.
We’re not trying to reinvent the wheel; we’re taking the peer to peer reviewing model and launching it into music, one of the biggest passion points for people around the world. Our primary revenue sources will initially be a proprietary ticketing system allowing festivals, artists and promoters to sell tour and event tickets directly to relevant fans along with advertising.
The ticketing system will initially be geared towards artists at the start of their career and festivals. It will provide artists and festivals with a way of e-ticketing their events while building a valuable CRM data tool that can help grow their fanbase... and should the artist get signed, the CRM tool will provide the record label with a valuable data package of the artist’s fan base.
Subba Media’s ticketing system will take a 10% commission for every ticket sold.
Advertising, like the Sonos campaign, will also be sold across the platform to generate revenue. As the platform grows we will add additional revenue sources, such as providing artists with the ability to sell merchandise, music streaming, brand sponsorship of events and a B2B offering for record labels and venues based on managing and growing customer/fan data.
Mark Jennings set up Subba Media in September 2013 with the aim of taking what was a bedroom blog to the mainstream and disrupting the publishing market. It’s been a very steep learning curve, with a number of changes to the business model along the way, but the fundamentals have always remained the same… using content to drive music/festival discovery, enabling a much better user experience.
Mark originally met Jess Dawson and Luke Forshaw (the other part-time members of Subba Media) through Subba-Cultcha.com. Along with being huge music fans they were both active reviewers for the platform, and following detailed conversations about the possibility of transforming the market, it became evident that they all shared the same vision and ambition. Fan generated reviewing is the way forward!
Mark is currently the only full time employee of Subba Media, but post investment he will be joined by Jess and Luke.
Mark has worked in digital publishing and advertising his whole career. Having previously worked in the US and UK for the Financial Times, he most recently launched the digital portfolio for Last Word Media. He's witnessed the change in audience participation across digital media and pivoted Subba-Cultcha.com's business strategy accordingly. He believes firmly that audience engagement is king... long live audience engagement!
Jess is an award-winning content creator. Nationally recognized for her work, Jess was most recently a video production manager at ITN and prior to that part of the BBC Radio 1 Newsbeat team where she led the charge for creating films based around issues affecting young people.
When it comes to successfully marketing music and technology brands Luke's your guy! He previously led the European digital advertising for Apple Music's account at OMD International and he's most recently been responsible for Universal NBC’s digital marketing at Mediacom in London. Digital marketing and Luke go hand in hand.
Subba Media is incredibly proud to be supported by an incredible board and key advisers.
2018 Q1 - US/UK
- Fully responsive platform/app
- Ticketing system
2018 Q2/3 - Europe/Australia
- Fan CRM
- B2B Label/Festival/Venue offering
2019 Q1/2 - Asia/South America
- Music/Merchandise sales
2020 - Global
- Data led revenue/tools
- Launch into parallel markets (Film, Theatre, Sport)
Be A Part Of Subba Media
The music eco-system is evolving, and we’d like to invite you to help us shape the future…
Subba Media aims to put the music fan front and centre, redefining the relationship they have with artists and festivals. We need your help to do this. So whether you’re a music fan fed up with the Status Quo or a festival goer in search of your Nirvana, either way... “the times, they are a changin.”
Subba Media is offering 10,700 shares of common stock in order to raise $1.1M for the following purposes:
- C-level Executive
- Head of Marketing
- Head of Content
- Fully Responsive Site Development
- Ticketing System
- Fan CRM system
- Office Space
This is a side-by-side offering of Common Stock, under registration exemptions 4(a)(6) and 506(c), in Subba Media Inc. Up to $1,070,000.00 may be raised under the 4(a)(6) exemption. Netcapital will determine which exemption applies to your investment and notify you before you complete your investment.
The amount raised under the two exemptions must total at least $10,000 by October 9, 2018 at 11:59pm ET. If the total doesn’t reach its target, then your money will be refunded. Subba Media may issue additional securities to raise up to $1,070,000, the offering’s maximum.
If the side-by-side offering is successful at raising the maximum amount, then the company’s implied valuation after the offering (sometimes called its post-money valuation) will be:
36,700 shares × $100.00 per share = $3,670,000 implied valuation
Subba Media is a newly incorporated business founded by Mark Jennings.
The business acquired technology and industry advisors and needs investment dollars to take it to the next level by developing the technology, growing the team and scaling the user base.
These financial statements have been reviewed by an independent accounting firm.
Fans are the driving force behind everything that powers Subba Media. Along with producing the content, they are one of the most important customers and therefore the service and user experience we provide is crucial to the success of the business.
While at the Financial Times Mark was always reminded how important it is to treat customers as they would come to expect from such a prestigious brand. Although the product Subba Media provides differs significantly, the same values, philosophy and quality of service applies throughout everything Subba Media does.
So, in summary:
- User generated reviewing has a hugely successful track record proven by some of the biggest publishers globally.
- Subba Media is a fan driven business, specifically serving their needs.
- The market is big and more importantly it’s growing!
- The model has received huge praise from fans, artists, management and promoters, who continue to use it to encourage their fans to review their music and gigs.
Subba Media’s SEC Filings
The Offering Statement is a formal description of the company and this transaction. It’s filed with the SEC to comply with the requirements of exemptions 4(a)(6) and 506(c) of the Securities Act of 1933. Similar information is sometimes offered in a Private Placement Memorandum for 506(c) offerings.
We’re also required to share links to each of the SEC filings related to this side-by-side offering with investors.
Ask Subba Media a Question
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Understand the Risks
Be sure to understand the risks of this type of investment. No regulatory body (not the SEC, not any state regulator) has passed upon the merits of or given its approval to the securities, the terms of the offering, or the accuracy or completeness of any offering materials or information posted herein. That’s typical for Regulation CF offerings like this one.
Neither Netcapital nor any of its directors, officers, employees, representatives, affiliates, or agents shall have any liability whatsoever arising from any error or incompleteness of fact or opinion in, or lack of care in the preparation or publication of, the materials and communication herein or the terms or valuation of any securities offering.
The information contained herein includes forward-looking statements. These statements relate to future events or to future financial performance, and involve known and unknown risks, uncertainties, and other factors, that may cause actual results to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties, and other factors, which are, in some cases, beyond the company’s control and which could, and likely will, materially affect actual results, levels of activity, performance, or achievements. Any forward-looking statement reflects the current views with respect to future events and is subject to these and other risks, uncertainties, and assumptions relating to operations, results of operations, growth strategy, and liquidity. No obligation exists to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.