Investments in digital media – What opportunities are considered?
Are you currently running a digital media or digital media technology company or other media related companies and considering raising capital? It is one of the most sought after industries by angel investors, venture capitalists, and other investors. However, as technology and industry evolves, the definition of “new media” or “digital media” or “Internet media” becomes increasingly broad. For capital seekers, this is a big trend because it means that more and more companies are now expanding their mandate to include “media” assets. they will be looking in 2010.
What are they looking for ?
In essence, the term Media / Digital Media generally applies to companies whose business activities are engaged in the following areas:
1. Internet media
In general terms this means “website” activity, one fund manager suggested he would look at companies similar to eBay, Amazon and other online retailers; another fund manager suggested informational websites that have unique and selective target audiences; such as a Hispanic news portal or Internet television in particular as investment opportunities.
2. Digital media technologies
In general terms, the technologies that can deliver media such as video clips, video streaming. Particular examples are digital technologies which can enhance images for sporting events, or the digital remote control, or specific digital technologies used on iPhone or for real estate agents for example.
3. Social media websites
More and more fund managers have separated it as an investment class in its own right. This is an area of special interest and likely to attract a lot of investor attention, the premise being that if you are able to run a large social media website, you essentially have a very large database. data, and you can use this database for marketing and other purposes, this is a very powerful yet low cost business that is able to grab the attention of venture capitalists .
4. Digital market research and digital marketing
Investors are struggling to find a universal term for this industry. Ultimately, this applies to businesses that use a digital / online platform for services, including market research. A really good example is my friend’s business which has over 400,000 members, and it’s a perfect platform for doing market research, it has attracted $ 10 million from venture capitalists.
One area many have not realized the potential of is market research and digital marketing agencies; this has been a booming area for venture capital firms to invest; because they are low cost and scalable businesses; and generally fast growing companies due to new technologies and new concepts introduced around online media.