Founded in January 2011, Storymix Media is off to a great start. Initially, they received mentorship and a small amount of funding from the Capital Factory, an accelerator in Austin, Texas. They have customers in the U.S. and abroad and recently secured a partnership with the second-largest online wedding site. Currently, they are in talks with two Fortune 100 companies. They won the Chicago competition for Plug ‘n Play and pitched to over 100 VCs in Silicon Valley.
PRODUCT/SERVICE: Storymix Media lends multiple cameras to event organizers and their guests who shoot video of the event. Subsequently, their proprietary software allows clients to select scenes for footage, sequence them, shorten a clip if desired, and add a caption. The next iteration in the software will involve “videostitch” technology. It will build the product in the cloud.
VALUE PROPOSITION: A typical crew will charge between $5K and $20K and spend three to four months to shoot a professional video. A typical Storymix client pays $350 and the video is edited in two hours or less. In addition, the client has greater control generating and selecting desired content.
MARKET SIZE: In 2011, the following social/professional events occurred: 2.5MM weddings in the U.S. and Canada; and 500K corporate public events, 300K Jewish mitzvahs and 150K Latino quinces in the U.S.
REVENUE MODEL: Storymix Media charges between $100 and $650 per project. The average project sells for $350.
MANAGEMENT TEAM: Storymix Media has five full-time employees–3 founders (Mike Fisher–CEO, Ariane Fisher–COO, Marshall Stoker– CTO) and 2 contractors. Their first startup, Reeltime DVD, gave birth to Storymix Media. Mike Fisher leads products strategy and front end web development. Prior to Storymix Media, Mike was a co-founder of another startup, worked for eight years at an options trading firm, and began his professional career at Ford Motors in various sales and engineering roles.
COMPETITIVE ADVANTAGE: Storymix Media has the following competitive advantages: Price–A professional video can cost between $5K and $20K. The typical Storymix Media client only pays $350. Time–It may take a professional up to 3 or 4 months to edit and complete a video project. Storymix Media does it in 2 hours or less. Quality–The video is superior as the client has greater control over generating, selecting, and customizing content.
PROOF OF CONCEPT: Storymix Media has revenue and clients in the U.S. and abroad.
CUSTOMERS/USERS: Storymix Media has customers in the U.S., UK, Sweden, and Australia. In 2011, sales were $30K. In 2012, sales are on target to reach $120K.
STRATEGIC PARTNERS: Storymix Media was incubated by the Capital Factory, an accelerator in Austin, Texas. Recently, they partnered with the 2nd largest online wedding site. They’re in talks with 2 Fortune 100 companies. They’re also in talks with a well-known marketing firm to launch a 10-city tour.
FUNDING: The company is seeking $500K to build the next iteration in its software, “Videostitch,” and to maintain sufficient working capital to run the company for 6 months. To date, capital sources include $20K from the Capital Factory and $36K from the founders.
SUMMARY: Storymix Media has been growing nicely but needs to scale. Raising $500K and building the next iteration of the software is key to accelerating the growth of the company. The company will need a large number of customers to generate significant revenue as the average price of a video is $350. ❒
