Company Overview –
ComicBlitz is focused on streaming digital comic books. It provides tools that enable readers to organize, zoom, rate and review the comic books.
|Name: ComicBlitz||Minimum Raise: $50K|
|CEO: Jordan Plosky||Maximum Raise: $1M|
|Company Founded: 2014||Structure of Raise: SAFE|
|Location: Los Angeles, CA||Valuation: $5M Valuation Cap|
|Crowdfunding Portal: Wefunder||Minimum Investment: $100|
|Crowdfunding Link: https://wefunder.com/comicblitz|
|Positives||Risks and Reservations|
|There is a large and steadily growing market for comic books.||Marvel has their own digital subscription service, a partnership to offer their content, which currently about 43% unit share, could prove to be difficult|
|Negative reviews of competitive products signal room for an improved service||It is concerning that ComicsFix, a very similar offering is ‘taking a short pause’|
|CEO has direct experience in the industry||Scribd, which had a digital comics component, has very recently canceled its comics service|
|Competitor Comixology is Amazon-owned|
|Not an attractive service to comic book collectors who still prefer hard copies they can collect and have signed|
|The valuation seems high compared to revenue and other comparable startups at this stage|
The comic book industry is behind the tech curve. People still have to go to a physical store to purchase their comic book for $3.99 a piece. Each time a new issue comes out, customers are forced to pay $3.99. If they are interested in multiple series that cost can add up quickly.
ComicBlitz has created an all-you-can-read subscription for digital comics. For the cost of two comic issues per month, customers can get unlimited access to a variety of comics. Customers are able to read the comics from their laptop, iPad, iPhone, and soon Android.
Their focus will be to broaden the user platforms and partner with more publishers to give customers and even greater selection.
ComicBlitz currently has a subscription model where they charge $3.99/month for 10 issues or $7.99/month for unlimited issues.
- Over 5,500 registered users
- Signed 29 licensing deals with content providers
- Over 200% growth rate in current subscribers for 2016
- 177% increase in monthly page reads for 2016
- 240,000+ impressions in Apple App store
- Users in over 133 countries
- TechWeek LA Finalist in Startup Competition
*Source: Company provided on crowdfunding campaign website
Senior Management Team
|Jordan Plosky||Gregory Weiss|
- Mark Coleman – SVP Global Sales at DoubleClick
- Samantha Saturn – Former CMO of Comixology
- Dinesh Shamdasani – CEO & CCO of Valiant Entertainment
- Michael Kim – Global HR Business Partner for Spotify
The CEO has experience in the comic book sector, but neither the CEO nor CTO appear to have experience running a company. The company does not appear to have a board of directors, however, there is a strong list of advisors.
Industry: Comic Book, Digital Media
TAM (Total Addressable Market): $1.03B (North American market size, 2015)
The comic book industry is large and has shown steady growth over previous years. With 74%* of unit share in 2017, two major companies dominate the industry.
ComicBlitz has developed a low cost all-you-can-read online subscription service for comics that is available on several different electronic devices.
* Includes 1.05M of known debt
**On their website: “TAKING A SHORT PAUSE WHILE WE ARE WORKING ON RELAUNCHING OUR SERVICE WITH MORE EXCITING FEATURES AND AMAZING PARTNERS.”
Revenue to date: $985
Revenue Last Fiscal Year: $985 (2015)
Previous Funds Raised: 15 separate convertible notes totaling $166,500 from 12/2014-8/2016
Use of Funds
- License premier content
- Online customer acquisition
- Outsource further technology development
- Pay salaries
- Hire additional team members
- Rent office space
Potential exits in this space include DC, which has yet to provide an online subscription service, as well as tech giants and other entertainment companies.
Recent Acquisitions in the Field
|Date||Company Acquired||Acquired By||Amount|
|April 10, 2014||Comixology||Amazon||Unknown|
|Sept. 21, 2015||Oyster||$30M|
Expert Opinion Summary
While fans in forums have shown an interest in digital comic books and seem to appreciate the cost savings over print copies, the success of this service likely depends on being able to provide quality content. The industry is dominated by two major companies, Marvel and DC. Marvel owns 43%* of unit market share and already has their own digital subscription service, a partnership is likely to prove difficult. To his credit, the CEO has already been talking to them and is confident that ComicBlitz will eventually be able to help them expand their reader base. The valuation for this offering seems high given the current revenue and traction shown to date.
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