Investments in mass media of the future

Investments in mass media of the futureAccording to Federal Press and Mass Communications Agency, during the last 5 years editions of Russian print media at the average fell on 50%. Analogous trends have been observed all over the world (incl. on markets of developed countries). The largest publications started to close up their print versions: Newsweek, The News of the World. The main sales channel of periodicals to population – newsstands – quickly decreases.

According to Organization of printed output distributors, in 2012 quantity of such objects in the country decreased at the rate 10 newsstands per day. As a consequence, 43% of chief editors of municipal newspapers, taking part in questionnaire survey by Information policy development Fund noted, that share in total income from their newspaper publications at retail is less than 10%. Consumers in large scales go to use mobile devices.

According to experts` evaluation, during 2012 in Russia there have been realized 12,6 millions of Smartphones (J’son&PartnersConsulting) and about 3,3 millions of tablets (data by the company “Euroset”). According to forecasts of analytical center Gartner, in 2013 there will be sold about 1,2 billions of Smartphone and tablets all over the world.

Taking into consideration actual trends of the branch, and catching market`s demand on the product, which meets demands both editors and their readers, development team from Moscow and Novosibirsk for a short period of time created a simple and cheap solution on newspapers and magazines delivery on mobile devices. This product is named iPressPad. This publishing system is based on open technological standards and works on mobile devices on iOS and Android. During a short period of time the system received high evaluation of participants of International market Massmedia. In future it is planned to promote this system on international market. At the moment users base of readers of the platform iPressPad is more than 20 thousands subscribers from Russia and abroad, and continues to grow fast.

Rye, Man & Gor Securities (RMG) for a long time ezists on venture investments market and keeps a close eye on development of hi-tech projects, including IT-technologies. Great opportunities of the market and perspectives of a new company attracted attention of the RNG and it invested in the project own funds in partnership with Moscow Seed Fund (The Fund of development assistance to venture investments in small enterprises in scientific-technology sphere of Moscow city).

“We believe in team`s opportunities of the project iPressPad to change the world of Russian massmedia and make it available on mobile devices, give it second life”, - said Aleksey Goryachev, the president of Rye, Man & Gor Securities.

“It is great that such a product appeared, which fully meets today`s demands on massmedia market. We believe that the company will be able to find its own market and create a successfully developing business”, - comments Aleksey Kostrov, executive director of Moscow Seed Fund.

“We believe that our product significantly decreases cost on delivery and promotion of content, offering simultaneously new advertising opportunities. Solution of these two tasks will allow us restoring commerce effectiveness of the whole publishing business”, - said Roman Nikitin, co-founder and partner of the company iPressPad.