By Allan Klepfisz, Co-Founder FENIX
My view is that an ICO is simply one way that a business may raise money. An ICO is not the business itself and it is the business that requires total focus on an ongoing basis.
In China, ICO’s are banned and in most cases with good reason – The public cannot and should not be exposed to the many scams and half-baked propositions that often parade around as ICO’s.
SO WHAT IS FENIX DOING IN CHINA?
In a completely extraordinary way, we are spending time building the BUSINESS, with:
- extraordinary and leading strategic partners.
- extraordinary and leading musicians, and
- extraordinary and leading marketers.
These efforts have required seven trips into China in seven weeks and will require more – Because there has simply been an exploding, ever-expanding number of VERY serious opportunities.
We are not novices in China – Indeed, among the three of us, we have been doing business in China for very many years. We have experienced both good things and the not so good, and go into deals with our eyes open and with a toolkit that allows us to assess potential deals and partnerships with, to the use the phrase adopted by the Stock Exchange of Hong Kong, an air of professional scepticism.
Notwithstanding that, we are genuinely excited by how FENIX has been received here in China and the quality of partners with whom we have engaged. While some of the astonishing opportunities that we are currently working on must remain discretely away from public view at the moment, we intend to continue to try to expose you, at the appropriate time, to EVERYTHING we are doing in building this global business (through videos and blogs).
We firmly believe that we will be able to disclose to you enough in the coming days to get a clear impression about the enormity of the opportunity here and how FENIX and China are a clear and natural fit – exciting in its own right, but importantly critical in growing the global business and driving usage of FENIX Tokens.
In terms of some of my first impressions from our time spent in China (and strongly endorsed by Lance, who has joined me on this current trip), we note the following:
THERE IS SIMPLY NOTHING ELSE LIKE FENIX
The natural Chinese prejudice to any foreign proposition is invariably expressed by a variation of: “We have 50 of them in China. And generally the Chinese versions are better quality than the West”.
And perhaps surprisingly, that claim would be true about a lot of digital / internet ventures.
I begin my presentations in China with a slide headed “Why is FENIX different to all Chinese and other music services”. I will not take you through all the points I make but suffice it to say that:
- No other service allows musicians, or gives them the tools to create their OWN app in just minutes (or in any amount of time).
The consequence of musicians (from the 98.5% NOT signed to a label) being able to build and distribute their own app is that you create tens of thousands and perhaps soon hundreds of thousands of ENTHUSIASTIC MARKETERS of FENIX, all of whom have already converted their users – their fans.
Even the largest marketing department of a centralized app might only amount to 200 people. So the sheer MARKETING FORCE promoting FENIX will SWAMP all competitors.
- We create a MUCH MORE MASSIVE universe made up of a myriad of building blocks, each of which is a mini-universe created through the exceptional bond between an artist and their fans.
Each building block is a VERY ROBUST one indeed and therefore the universe we create is much less susceptible to loss of popularity than other centralized music services – Myspace was big one day, almost gone the next.
The fact is that FENIX, as the first TRULY DECENTRALIZED music service, will have great advantages in terms of marketing, size, longevity and VERY IMPORTANTLY, it’s TRULY MEANINGFUL enhancement of artists’ income.
All our numerous & enthusiastic associates in China recognize the uniqueness of FENIX and its ability to change the face of digital music forever. In fact, on more than one occasion, I have been told that FENIX could be be the ALIBABA of music!
WE HAVE FORMED A PARTNERSHIP WITH THE LEADING MARKETING SPECIALIST IN CHINA
China has a lot of EVERYTHING including marketing gurus – It also has a lot of smoke & mirrors and people promising things that in the long run turn out to be not as valuable as they initially sounded.
To REALLY be confirmed as the LEADING MARKETING PRESENCE in a market of the size of China (or No. 2 as he was voted by marketing professionals surveyed by the newspaper, China Daily) is an extraordinary achievement. Particularly for a man that built his business himself – from scratch and indeed from poverty, selling apples in the street!
Our partner, Master Lu Chang Quan, is a Professor at three quite prestigious Chinese universities, sits on a number of boards, is regularly invited to lecture overseas and has published a number of books in his specialist field. His company, Zanbo Marketing, is a leader in the field of building and developing brands in China and through his longstanding track record, Master Lu has built a following of over a million entrepreneurs.
But most importantly Master Lu is a very decent, ethical guy who absolutely loves FENIX – it’s unique concept, the fact that its central tenet is looking after artists because it is right to do so and its massive potential. He is enormously respectful of us as creators of this concept.
Master Lu is committed to making FENIX a household brand in China, something that he is credited with doing so for 300 brands. In the early hours of this morning, we executed a Cooperation Agreement, pursuant to which he will do exactly that.
The partnership with Master Lu gives us enormous credibility in China and I believe will be a key factor in producing a great FENIX success story in China.
Our cooperation agreement with Master Lu is the FIRST OF A NUMBER OF TRANSFORMATIVE PARTNERSHIPS that we are hoping to conclude in China in the coming days. Rest assured, we will announce, as part of this ongoing collection of updates, each deal as we get it across the line.
IN THEIR EMBRACE OF OUR UNIQUE BUSINESS MODEL, PARTIES IN CHINA AND INTERNATIONALLY ARE COMING UP WITH THEIR OWN VALUABLE VARIANTS
In every market we go to and particularly here in China, we are overwhelmed by the depth of opportunities that partners are seeing to expand FENIX into new industry verticals:
- Indeed Master Lu has suggested a speaker/audience version.
- A well-known Chinese movie producer believes that we should end up as a dominant ARTS App in China – not only music, but also art and movies. This is consistent with similar discussions in both Japan and Australia, with key market participants, all of whom understand the potential of the ecosystem underpinning FENIX.
- A funding partner is an investor in a music school of 800 students – He believes that kids would love the freedom to develop their own app to share with family and friends and including the music they create. I THINK HE IS CORRECT.
And into new markets in Asia and beyond:
- We are literally being offered investment opportunities from a multitude of countries, all of which are based on GENUINE CLOSE CONNECTIONS.
- Coupled with our efforts in Japan, Korea, Singapore, Australia and Europe, this undoubtedly has the potential to be the beginning of an investment / partnership / opportunity EXPLOSION.
Ideas should not be underestimated. They are NOT as concrete as our many other accomplishments in China, but they could be very powerful when implemented.
Of course one cannot be everywhere simultaneously and one must stay incredibly focused and must continue to prioritize ruthlessly, with a view to getting FENIX launched and rolled out aggressively to both bands and their fans.
But every time we meet someone who gets what we are trying to do with FENIX and who immediately sees opportunities in new countries or in new industry verticals, we feel validated in our belief that we are building something special.
YES CHINA IS SPECIAL BUT I AM CONVINCED THAT THE SORT OF MASSIVE EFFORT WE HAVE MADE IN CHINA CAN PRODUCE SIMILAR RESULTS ELSEWHERE
Make no mistake, the China effort has been all-consuming. I get my first chance to call, write and read only as I (infrequently) leave China. It is 24/7 with little time between major meetings.
And I am convinced, that the same sort of dedicated effort in other places will similarly produce:
- Plenty of money
- Powerful partnerships
- Extensive ICO support
- Exciting new variations on FENIX
- Invaluable government support
And this is one of the reasons that while we apologize for delays – and understand that they cause frustration – they are not causing us undue anguish. Because every day that goes by, the opportunities and underpinnings of FENIX increase DRAMATICALLY. We really are building a NEW PARADIGM, and I don’t say that lightly.
And likewise I observe very seriously, that our model could dominate the industry in time – and certainly could create the largest music service, if not label. It’s potential is widely recognized by marketers, music industry leaders and investors as ENORMOUS and that for us is tremendously exciting.