Company Overview

DC Netcasting was conceived as a Direct Marketing company specializing in the development and deployment of interactive audio/video marketing tools delivered over the Internet. Streaming video - the process of delivering audio/video content from a central location to a distributed audience - is positioned to become the most important new marketing tool in the rapidly evolving Internet landscape.
Streaming video has the potential to deliver the creative impact of a television broadcast coupled with an unprecedented capability to target individual consumers. As an example, a pet food manufacturer will have the ability to target advertising for its dog food products to an audience comprised solely of dog owners - completely eliminating waste from the marketing process. Most significantly, it can achieve this in a more cost efficient manner than any other existing medium.

The Company founders have developed unique proprietary software that offers many important benefits to the Internet marketing community under the trade name Hyper@ctiveTM. Hyper@ctive features an 'instant-on' video streaming capability that requires no downloads, players or plug-ins. This is in contrast to all other existing commercial products currently on the market that require some kind of software to be installed at the user end in order to enable viewing. This significantly broadens the potential viewing audience, as many consumers are uncomfortable (either technically or from a security point of view) with the installation of such software.
Importantly, firewalls can often represent an insurmountable barrier between the viewer and the streaming video content to be viewed. However, Hyper@ctive software in unaffected by firewalls and can easily deliver streaming video within such environments.

Another key feature of Hyper@ctive is its ability to track actual viewership. The software tracks each individual who has viewed the video content as well as whether they watched the entire video stream to completion. For the first time, manufacturers and service providers will be able to precisely measure how many people have watched their message, how much of the message they viewed and track who they were.

The combination of delivering streaming video to anyone on the Internet, independent of hardware or software issues; the ability to precisely target content to specific individuals; and the ability to measure actual viewership of the content, represents a literal breakthrough for the marketing community. This powerful combination of features has the power to ultimately change the marketing landscape.

Pricing and profitability projections are exciting. Customers will pay for each message successfully delivered, while the cost of delivery of an individual message is negligible.

Company expenditures to enable the delivery of video content are primarily a step-fixed cost. Software development is essentially complete. Once the basic infrastructure (hardware costs to deploying content servers and related costs) is in place, there are few variable expenses related to the delivery of commercial messages. In essence, gross margins can be in the 50%+ range. The larger the audience, the more top line revenue is generated - without corresponding increases in variable costs.

Content creation is a one-time cost. Production and encoding costs are not anticipated to be expensive, and will be borne by the customer. Only the most ambitious commercial production specifically developed for Internet delivery will represent a significant expenditure - in line with creation of commercial content for television. In most cases, production costs will range from as low as a few thousand dollars to perhaps $25,000 to $50,000 US on the high side.