Online Music Streaming Company Guvera expands to LatAm
The Latin American Music and Online Entertainment space is getting a new major player: Guvera, the Australian online music streaming service founded in 2008, is planning a full-fledged expansion into Latin America, including Brazil. Guvera's business model is mostly advertising based. An interview with Carlos Rojas Girao, Commercial Director Latin America at Guvera.
Guvera, the Australia headquartered online music streaming and entertainment company is activating a full-fledged expansion into Latin America. The company, which last year got a US $50 million funding round led by AMMA Private Investment, last year established a presence in Peru and Chile and this year is completing a full-fledged expansion including Brazil and the rest of Spanish-speaking Latin America. Guvera was founded in 2008 under the premise that 95% of consumers choose to access their music for free, resulting in a mass consumption of illegal music online. The company claims to "have created a new music experience by developing a revolutionary commercially funded streaming platform.:
Portada interviewed, Lima Peru based Carlos Rojas Girao, Commercial Director Latin America at Guvera, to talk about his company's plans for the region.
When and how did you arrive to Latin America, in what markets? Who are your major Team members?
Carlos Rojas Girao - Commercial Director, Latin America (photo).: "Guvera has grown from 2 to 20 markets in less than 12 months including Latin America where we arrived in early Q2 of 2014. We launched our first markets in July 2014 in Peru and Chile, followed by Argentina, Colombia and Mexico, and then Venezuela in October. This year, as part of our global expansion program, we plan to launch Brazil as the 7th Guvera LATAM market. The Latin American team is part of a greater Guvera initiative that is changing the way users interact with music, and how brands connect with fans. The team is composed of experts in the LatAm digital space and recently we added Lorena Hure as the Sales Director for the South of Latin America."
In the UK you bought music streaming company Blinkbox from supermarket giant Tesco, do you plan to do similar acquisitions in LatAm?
C.R.G.: "While acquisitions are not a priority for Guvera, the company is always open to considering further opportunities and partnerships including Latin America."
In-Stream Audio Ads is only one part of our product portfolio, which is heavily oriented to native advertising.
How will your partnership with Lenovo benefit you in Latin America?
C.R.G.: "Guvera is Lenovo’s global music partner. Our app is hard-coded on Lenovo smart-phones and tablet devices sold in the markets where Guvera is operating, which increases our reach and strengthens our brand footprint. The Lenovo partnership will aid in the rapid growth of the business. Lenovo operates in 160 markets globally, providing enormous scope for Guvera to grow."
We understand your business model is 100% Ad supported. Please explain all types of ads you sell and which ones you see particularly fitting for Latin America?
C.R.G.: "We have 2 different products for consumers. Platinum which is a subscription based product with 100% of features. And we have Play, our star product that allows people to access music which is subsidized by brand advertiser partnerships. Play is based on an Ad Supported model under Guvera's vision: Connecting Brands with Fans Like never Before.Our portfolio has 4 major pillars: (1) Standard Ads with Video, Audio and Display. (2) Sponsored and Personalized Playlists curated by Guvera in different Sponsorship bundles for the most popular Guvera's Playlists. (3) Branded Channels, which is a unique branding solution in the industry, capable to take your brand to the next level in terms of engagement, amplification and in-platform transactions. (4) And House of Guvera, the ultimate and unique set of opportunities to create brand identity through music entertainment for our clients based in a holistic and 360 degrees solution including online and offline."
In-Stream Audio Ads are relatively new in LatAm how do you plan to make this form of advertising more popular in LatAm?
C.R.G.: "Streaming as a general concept is still new in Latin America, therefore digital advertising other than Banners and Video are going to be extremely new in some markets, not too new in some others. In-Stream Audio Ads is only one part of our product portfolio, which is heavily oriented to native advertising. We believe in our capacity to deliver an amazing user experience while connecting brands with fans. Audio Ads, are part of our standard offering that can be bundled with personalized playlists, branded channels or even House of Guvera original or branded content in order to create a unique experience for brands and its fans. We firmly believe that all our product offerings are fit for a diverse range of purposes depending on the maturity and development of the markets and advertisers. All our products have the flexibility to fit different needs, scales and objectives and we have a team that work closely with clients to ensure they are getting the best of our platform not only in terms on return but also in terms of experience."
We understand you have partnerships with major Music Content Providers, are these also valid for LatAm? Which ones are they?
C.R.G.: "Guvera works closely with labels to ensure that the most relevant content is ingested for each market in which we operate. We work with both major international labels and local labels to ensure that our philosophy of programmed globally, tuned locally is delivered upon, and our aim to help users discover the best in local and international content is achieved."