"Mini KTV" received millions of yuan in angel round financing or ushered in industry reshuffle

The scale of the offline mini KTV market in China is expected to reach 3.18 billion yuan in 2017, an increase of 92.7% compared with 2016, and the growth rate is relatively obvious. It is expected that the scale of the offline mini KTV market will continue to grow to 7.01 billion yuan in 2018, with a growth rate of 120.4%.

Original title: Offline self-service KTV reproduces new players."Mini KTV" won millions of yuan in angel round financing

. The "2017 China Offline Mini KTV Special Research Report" released by Ai Media Consulting shows that the scale of the offline mini KTV market in China is expected to reach 3.18 billion yuan in 2017, an increase of 92.7% compared with 2016, and the growth rate is relatively obvious. It is expected that the scale of the offline mini KTV market will continue to grow to 7.01 billion yuan in 2018, with a growth rate of 120.4%.

Some industry insiders said that offline self-service KTV in the air may usher in an industry reshuffle, and the market in first-tier cities is becoming saturated. In this context, new players are still emerging: "Mini KTV" recently announced that it has completed millions of yuan in angel round financing. This round of financing is led by Falcon Venture Capital, and the financing will be used for product production and marketing.

Jiang Zhiyong, the founder of "Mini KTV", is a serial entrepreneur. He once founded Shengming Media, incubated and co-founded the tourism UGC website Mafoubao, etc. Jiang Zhiyong chose to enter the self-service KTV industry at this time mainly based on two considerations. First, the emergence of mini KTV has eliminated people's singing needs under fragmented time, and the audience base is large; second, consumers 'need for entertainment consumption upgrades and the development of the sharing economy, mini KTV will be further developed as an offline entrance.

The current product appearance of "Mini KTV" is still being designed and proofed, and the core components of the product have been cooperated with mature domestic game console manufacturers."Currently, the cost of a single unit is about 20,000 - 25,000. It is estimated that mass production will be achieved in three months. The cost is expected to be controlled at around 10,000 per unit."

Just like shared bicycles, offline scenarios compete for location layout and launch volume. In terms of layout strategy, Jiang Zhiyong said,"The team has 13 years of offline outdoor media (OOH) operation experience and is familiar with what place is the right place; in addition, through years of outdoor media operations, the team has established a profound relationship with relevant channels. Cooperation relationship, you can start new business cooperation at any time." However, regarding specific strategies and ideas, Jiang Zhiyong said that it was not convenient to disclose them at the moment.

According to industry estimates, as of now, more than 20,000 KTV booths have been launched on the market, and there are a large number of players in the market. Including Yousing M-bar, Mida miniK, Lei Shi WOW House, Star Sugar miniKTV, Lingda miniK, etc. Ai Media Consulting Data shows that the top three ranked among the top three in the 2017 Q1 offline mini KTV brand influence rankings in China, with influence indices of 6.6, 6.2, and 5.8 respectively. Youchang and Mida miniK have all received financing. The newly joined Star Sugar miniKTV has also recently announced that it has completed three rounds of financing from Angel, A and A+ since its establishment three months ago, with a total financing amount of US$15 million.

Regarding competition in this market, Jiang Zhiyong believes that product homogenization is inevitable in the short term, with the focus on points and hardware quantity. In the short term, competition is nothing more than two points: point acquisition ability and financing ability, and channel ability. It is one of the competitive advantages of "mini KTV". "There are no leading brands for the market and consumers. The entire market is only about 5%, and everything is just beginning."

Recently, the Ministry of Culture issued a notice on guiding the healthy development of the mini singing booth market, requiring companies operating mini singing booth platforms to summarize relevant information on mini singing booths that their companies have already put into operation nationwide before August 31, 2017 and report them to the Ministry of Culture for filing. Will the industry pattern of offline self-service KTV be replicated into the next shared bicycle in the near future?

Editor: Mary