Convenience TV Inc. -- (CRPZ.OB)

Convenience TV Inc. is now part of a burgeoning sector of the digital signage industry called Out-of-Home (OOH) advertising. OOH is that which is seen away from one’s home, and is one of the fastest growing methods of advertising media sales today.

Convenience TV has contracted with groups of high-traffic convenience stores to create and implement in-location flat screen TV display systems, called Captive Audience Networks. These TV networks are an important vehicle for Advertisers as they deliver both entertaining content and targeted advertising to each retail location at the time of purchase.

The programming can be up-dated quickly and is tailored to meet the specific clients’ need for increased sales, customer enjoyment and brand reinforcement. In return, Convenience TV receives substantial revenues based on industry standards.

Advertisers began searching for newer, better and more measurable ways to get their message across to consumers. As the internet competes with television for the attention of consumers in their homes, there is increasing opportunity for out-of-home advertising. It has become an important battleground for advertisers. Not only can the results be accurately tracked, but this approach also gives the retailer control over the content that is displayed in their store.

In May 2008, the company began testing their operations with the launch of a 5 store pilot program in Pittsburgh.  They will begin their roll out in Los Angeles with a 30 store target.   Once the initial phase is completed, Convenience TV will move to expand the California market with additional locations in LA as well as San Francisco and San Diego.

 

“The Future of Advertising is ‘Out-Of-Home’ where Millions of Buyers Watch Daily”

Why target Convenience Stores?:

  • Overwhelming number of locations overall (165,000+)

  • Large In-Store traffic – national average 1500 people per day

  • Can establish a large viewership easily

  • Average store size 2000 sq. ft. – captive audience

  • Minimal deployment costs

  • Large “Male Audience” in the hard to reach 18-44 age group

  • Multiple Vendors as Advertising Prospects

  • Target Network Size – 7800 locations


What Convenientcast delivers to the Network users?:

  • Greater message impact by using full-motion, full-color video

  • The ability to change the message faster, more easily and less expensively than replacing printed signage and POS material

  • The ability to change the message based on time of day, day of week--even due to weather

  • The ability to efficiently and inexpensively provide regional, local and even site-specific versioning

  • Centralized monitoring & management improves compliance and frees site managers/staff to spend more time on their core functions

  • Significantly reduces the length of time required to deploy new promotional programs

  • Offer product partners a more relevant/cost-effective merchandising platform

  • Ability to reduce merchandising clutter by promoting multiple products and perishables in the store (at the right time)

  • Drives purchasing decisions

  • Increases Store profitability

 

CONVENIENCE TV IN ACTION

Advertisers

Convenience TV provides an advertiser access to millions of consumers where and when they are shopping.

Convenience TV programming allows the advertiser to pinpoint the exact demographic they wish to expose their products or services to, with complementary programming designed to attract the consumers' eyes to the screens.

Convenience TV can broadcast ads across their entire network, designate specific regions, cities or even deliver them to an individual location allowing advertisers the ability to launch very specific demographically targeted campaigns.


Explosive Advertising Market


C-Store creates private TV networks allowing clients to take advantage of the $3.7 billion a year “Out-of-Home” advertising market.

  • The Fastest Growing source of Ad Sales Revenue in the U.S. is Individual Captive Audience Networks (ICAN s).

  • The Lowest advertising cost per thousand for a targeted, captive audience with great demographics.

  • Engaging content captures and keeps attention for better advertising results.

  • 11% industry growth in 2008.

  • 15% projected industry growth in 2009.

  • $308,000,000 PROJECTED industry Revenue, by 2012.


C-Store Network offers attractive advertising values and demographic targeting.

  • C-Store Network Advertisers access millions of consumers per day, right where and when they shop.

  • Advertisers can carefully pinpoint their chosen demographic audience with accurate, effective consumer targeting.

  • Advertising can be demographically targeted to a precise individual location, a specific geographic region, or to the entire network.

  • C-Store Network offers a very attractive advertising value with the lowest CPM of any major advertising channel.

Clients Share the advertising revenues generated by the ICANs in each retail store. Clients can also use part of the airtime to promote their own products and services without additional investment costs.


Revenue Sources

• Ad Sales

• CD & DVD Product Sales

• Music, Game and Ring tone Downloads

• Outbound Text Messaging campaigns


Advertising Opportunities

• 15 & 30 second full-motion video

• Side-kick ads next to engaging content

• Targeted ads that vary by demographics, location or time of day

• Directional tags that point viewers to nearby retail locations

Retailer's

Convenience TV provides a networked platform connected to flat panel screens strategically placed within a customer’s store.

Convenience TV’s philosophy is based on content driven programming designed to create a new and unique consumer experience.

Convenience TV’s unique programming strategy provides demographically targeted content while at the same time interfacing the retailer’s marketing calendar to increase same store sales and allowing the retailer to communicate directly with the customer.

 

Captive Audience Networks

C-Store is positioned to take full advantage of this burgeoning new market by pairing retailers and advertisers with their own TV networks.

C-Store NETWORKS, A Nevada LLC, provides their corporate clients an in-location flat screen TV display system. These individual Individual Captive Audience Networks (ICANs) deliver both entertaining content and targeted advertising to each retail location via the Internet. The programming can be updated quickly, delivered in real time, and tailored to meet the specific client’s needs. Results include increased sales, customer enjoyment and brand reinforcement. If you shop, dine, or have your car washed, you will experience Out-of-Home (OOH) advertising.

Advertisers are anxious to be a part of this explosive in-store media program. Advertisers searching for better and more measurable ways to promote their message are increasingly turning to out-of-home advertising. Advertising results can be accurately tracked while the retailer retains control over the content displayed in their store.

 

Market Potential

Digital out-of-home screens in a retail environment have capabilities that simply cannot be achieved by static displays, including tripling the consumer’s attention at point-of-purchase.

The indoor-venue digital signage segment is expected to reach $3.8 billion by 2010. The unit growth rate for the indoor venue market looks even more bullish, with predicted increases to 1.7 million units in 2010. The continuing decline in network television viewership levels is prompting advertisers to look elsewhere for new vehicles to reach

consumers— most notably to digital signage and professional displays. The last new source of advertising inventory to reach Americans on this scale was the Internet. According to Arbitron’s 2004 national media usage survey the current reach of Out-of-Home (OOH) as a medium equals that of the Internet in 2004. Increasingly one of the biggest drivers for the digital signage and professional displays market is coming from advertisers’ adoption of out-of-home options to broadcast their message. The advertising-based digital signage network packs the greatest potential in terms of both volume and scale of investments. As of 2009, digital out-of-home video as a medium reaches more than two-thirds (67 percent) of American adults in an average month. That translates into more than 155 million unique U.S. residents aged 18 or older, according to a new survey published by broadcast media research firm Arbitron Inc.

Hotels and Retail Stores are successfully using this medium to portray an upscale, progressive image.


Market Example: Evian

Evian, is the latest innovative marketer to join the emerging OOH trend, advertising and merchandising programs within the store, just when a consumer is looking to make a planned or unplanned purchase. Evian has developed a unique ad campaign including OOH advertising using in-store digital screens in convenience stores and grocery chains.

OOH Advertising Results for Advertisers like Evian have included:

• Increased customer attention

• Increased sales

• Increased shopper experience

• Decrease in perceived wait time

The dynamic visual experience OOH screens create shows a high correlation with sales increases.


Market Example: Premier Retail Network (PRN)
In July 2005, PRN, “The biggest TV Network you’ve never hear of” was acquired by Thomson for a cash purchase price of $285,000,000 USD. PRN developed in-store-branded channel networks for stores including Wal-Mart, Sam’s Club, Costco, Albertsons, and Best Buy. PRN charges the same rates that cable channels charge for prime time. The PRN advertising rate card for Wal-Mart TV is between $137,000 and $239,000 per 4 week segment. They book approximately 140 advertisers per segment. In the U.S., these networks in 6,000 locations reached an estimated 200 million viewers a month, right at the point of sale where decisions are made.

 

Executive Marketing Team

President, General Manager— Norman Knowles
Mr. Knowles has spent the last 18 years developing location-based networks within the retail and hospitality industries. Mr. Knowles and his partners were the first company to contract with major record companies to license public performance music and music videos from hard drives within the hospitality industry. Mr. Knowles extended this expertise through a company he co-founded, Your Choice Networks,

which delivered an entertainment and advertising platform to the Quick Serve Restaurant (QSR) industry. For the past several years he has consulted and developed content and advertising strategies for many of the new emerging in-location networks. He has formed many relationships with leading Movie Studios and Record Companies such as Good Spot and One-K Studios, and content suppliers such as Wassermann Media, E-Vision, and Alliance Entertainment. E-Vision, and Alliance Entertainment.

 

Vice President, Controller— Shane Arsens
Mr. Arsens has been in the Hospitality Industry for over 30 years. He has been owner and operator of two major hotels in Victoria and three popular restaurants. His responsibilities included all management aspects: maintaining a staff of over 300 employees, acting as company controller, and bringing live entertainment to the lounges and night clubs. He has now moved into the world of NARROW -BAND T.V. with much anticipated excitement.


Corporate Communications and Public Relations— Greg Trevor
Mr. Trevor is an honors graduate from the University of Victoria. He has 15 years financial services experience with Canadian institutions. In addition, he has worked in the toy and game industry for 12 years as an agent and marketer for clients. His role encompassed all aspects of the production, distribution, marketing and sales process. As a consultant, a Canadian company in Lagos, Nigeria hired him in 2001. While administering an 80 member multinational staff, he acted as Corporate Liaison to senior business, financial and government leaders during the implementation of a property tax program for the State Government. During the last four years, he has assisted in raising capital for corporations wanting to expand their operations. He has been a director of both private and not-for-profit organizations.


Vice President, Recording Industry Liaison— George Balicky
Mr. Balicky is a music industry professional who has spent the majority of his career in distribution and retail. Mr. Balicky was Senior Vice President of Marketing and Merchandising for National Record Mart, the first music retail chain in the United States. NR M was based in Pittsburgh and had 182 stores throughout the country. Mr. Balicky was also the Executive Producer and Host (as George Blake) of Nuages/Jazz Café, a radio program that aired for eleven years in Western Pennsylvania and Eastern Ohio over seven different radio stations. Mr. Balicky moved to the West Coast to become Vice President of National Accounts for Sacramento, California based Valley Media, the

largest distributor of music and movies in the world. He returned to Pittsburgh as Vice President of National Accounts and Business Development for Galaxy Music Distributors and most recently has been Director of Sales for Alliance Entertainment, a Source Interlink

company, based in Florida. Mr. Balicky is a member of the Board of Directors of The Pittsburgh Music Hall of Fame.


Corporate Administration— Robert G. Smiley
Mr. Smiley attended College in Southern California and later transferred to the University of British Columbia where he earned BA and LLB degrees. He became senior Attorney, Land Department for Chevron Standard Limited, Calgary where he was later admitted to the Alberta Bar Association. Upon returning to Vancouver as a full-time resident, he became an associate and later a partner at the law firm of Barbeau, McKercher, Collingwood & Hanna, and later at Morton & Company. He was also admitted to the B.C. Bar Association. His preferred areas of practice have been mining, oil and gas law, securities and corporate law. He retired from the practice of law and currently he is a business consultant and is associated with a number of public companies in Canada and the U.S. as an officer and director.



Business Outlook
Industry success lies in securing 5-year corporate contracts for store locations.

Profitable 5-yr. Rental Term
C-Store is focused on establishing corporate contracts; setting up retail locations for a 5-year rental term with a 3 to 5 year renewal. C-Store supplies all of the equipment as a rental cost over the life of the contract.

 

Location Roll-out

The Phase One roll-out will include 135 locations. The initial build out will be in 3 of the top ten DMAs: Los Angeles, San Francisco, and Chicago; with 5 test market locations in Pittsburgh.

The Phase Two installation will include 43 locations in the first phase 3 areas as well as expanding to include the remainder of the top ten DMAs.

Phase Three will include over 800 locations with approximately 100 stores in each DMA. This phase will also add new DMAs such as New York, Miami, Washington D.C., Boston, Philadelphia, and San Diego with an end goal of 5,000 locations.

 

News

Jul 13, 2010 http://www.otcmarkets.com/stock/CRPZ/news

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Convenience TV Inc.

Last Trade: 0.15
Trade Time: "9/8/2010" - "11:13am"
Open: 0.14
High: 0.15
Ask: 0.16
Day's Range: 0.125 - 0.15
Volume: 23400
Change: +0.01
Low: 0.125
Bid: 0.01

Convenience TV Inc.


Contact CRPZ.OB

www.cstorenet.com/concast/
Address:
248 Main Street
Venice, CA 90219
Phone: 877-943-3210


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