Company profile Advertisement Overview of our promotion Our last
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Company profile Advertisement Overview of our promotion Our last
Wholesale · Company profile · Advertisement · Overview of our promotion · Our last catalogues Distribution Mail order service E-shop CURE PINK DISTRIBUTION s.r.o. TURN-OVER 1.1.2008-31.12.2008 CUSTOMER QUANTITY / PIECES PRICE CZK PRICE EUR Curepink e-shop/mailorder 32 071 6 706 229 Kč 253 065 € A retail chains in Czech republic 18 472 3 972 713 Kč 149 914 € Sale to retail shops partners 19 151 3 540 006 Kč 133 585 € Sale to mailorder companies 13 963 1 883 850 Kč 71 089 € Sale to whoselers companies 9 296 1 908 242 Kč 72 009 € Sale to hypermarkets 8 056 564 530 Kč 21 303 € Sale to book whosalers 5 734 640 220 Kč 24 159 € Export to Slovakia 4 215 1 011 549 Kč 38 172 € Sale to other e-shop partners 2 797 546 732 Kč 20 631 € 113 755 20 774 071 Kč 783 927 € QUANTITY / PIECES PRICE CZK PRICE EUR Sale CD 75 393 13 906 880 Kč 524 788 € Sale DVD 18 978 4 904 104 Kč 185 061 € Calendars 19 384 1 963 087 Kč 74 079 € 113 755 20 774 071 Kč 783 927 € Total turn over in year 2008 CATEGORY Total Dear Business Partners, We would like to draw your attention to the structure of Curepink distribution s.r.o. activities as well as introduce in detail our individual activities and work in general. Since we care for better business relationship with your company or would like to establish new business partner-ship for the future. I would like to shed some light on the current situation in the Czech market. I would also like to describe our business activities and marketing problems in more detail, as well as suggest some new perspective solutions and ways to increase our trade and business. The same applies in case we address your company for the first time. We would like to make a short introduction of our company. Furthermore, we wish to supply you with comprehensive and objective information in order for you to decide that we really are the true partner for future co-operation. I. THE HISTORY OF CURE PINK DISTRIBUCE S.R.O./DISTRIBUTION Our company has existed since 1992, when it began to run traditional music shops. In 1997 we transformed into distributive / wholesale company and since 1999 we have also run our own mail-order business and an e-shop. Each of the mentioned methods of sale has certain rules and limitations as far as the choice of goods is considered. It is according to individual ways of sale that the suitable products from individual labels, firms and suppliers are chosen and the below mentioned marketing means are applied. Constantly growing number of activities have driven our company forward again last year and we are going to move to a new site. We believe that this will allow us better logistic conditions for storing and the goods expedition, next to the enlargement of the regular staff. These benefits should help to provide better service to the suppliers and higher turnovers. Our new address: Curepink distribuce s.r.o. Bajgarova 693 725 26 Ostrava – Krásné Pole Czech Republic VAT number: CZ25874560 As soon as we move to our our warehouse, we will inform you promptly, we expect that the move will be finished in March 2009. II. COMMERCIAL REFERENCES The list of our business partners in 2008: You can get the references about our company, responsibility and solvency at any of the above listed companies. 1,1 Exclusive distribution, sole selling right: Delta Music Germany, Eagle Vision, Black Hole, Music Club. 2,2 We provide distribution for the listed companies: ZYX Music, Music Products, Galaxy Music, Indigo Music. 3,3 We co-operate with the wholesalers: Hart, Bertus, Sounds Export-Rigu Sound, Intrasound. 1 4 Regarding calendar assortment we co-operate with the companies: Danilo, Pyramid Posters, Slow Dazzle, Imagicom, Zone International. 5 We co-operate with all multinational majors in the Czech Republic. 6 Finally yet importantly, we actively support the bellow-listed labels in our catalogue: Nuclear Blast, Voiceprint, 4AD, Beggars Group, Play It Again Sam, Immortal, Edel, Frontiers, Disky, In-akustik, Metal Mind, Rertro Gold, Roadrunner Records, Repertoire and many others. III. EVALUATION OF THE MARKET The Czech Republic has a population of 10 million and the average pay is ranging between EUR 600 and 1.000 per month (EUR 1 = CZK 26,5 - 27,00). Although, the turnovers have been continuously falling down for the last few years, we managed to stop it and increase the turnover in spite of the decreasing prices of the music media and consolidate our position in the Czech market among other independent distributors. In 2006 we sold 94.000 media amounting to the total price of EUR 660.000 In 2007 we sold 97.000 media amounting to the total price of EUR 700.000 In 2008 we sold 113.755 media amounting to the total price of EUR 783.927 IV. THE OFFER TO OUR SUPPLIERS, MARKETING AND METHODS OF SALE We use several methods of selling goods. Our company has developed independent business and marketing strategies for the following methods of sale: 1, Sale to Retail Shop Partners and Retail Chains - At present, we are in a direct business contact with more than 100 shops. We also co-operate with all significant Czech and Slovak distributors. We directly supply the megastores in Prague and Brno - We are proud to be a supplier of the biggest chain of music shops counting to 20 retail shops all around the Czech Republic. We inform our wholesale customers on the offer of goods regularly, using the below-specified channels: E-mail service Phone marketing Advertisements and reviews in periodicals For the sale campaigns agreed in advance we offer the right to return unsold goods. 2 3344 Infodistribuce V DISTRIBUCI CUREPINK U.D.O. - MASTERCUTOR ALIVE éíslo nabídky Newsweek W9 02 AKTUALITY U.D.O. MASTERCUTOR ALIVE ‘2008 (2CD) CORSTEN FERRY Dvacet let na heavy-metalové scén÷, dvacet let na vrcholu. Již od dob prvních nahrávek skupiny Accept se zp÷vák U.D.O. zaąadil k nepąehlédnutelným osobnostem rockové scény. V záąí 2008 vydané koncertní 2CD se 26 zp÷vákovu kariéru bilancujícími písniékami napąíé albovou diskografií. Nechyb÷jí ani nahrávky z playlistu slavných Accpet. Album bylo vydáno také ve verzi 2CD s DVD. CD1:Mastercutor; 24/7; They Wan´t War; The Bullet And The Bomb; Midnight Mover; Vendeta; Mission No. X; Midnight Highway; The Wrong Side Of Midnight; Breaker; Guitar Solo; Princess Of The Dawn; One Lone Voice; Winterdreams. Celkový éas: 68:00 minut EAN KÓD CENA 2CD 090204819782 241017 270,- NOSIè: 1CD KÓD: EAN: 5413356388220 240992 CENA: MASTERCUTOR ALIVE ‘2008 (2CD+DVD) Dvacet let na heavy-metalové scén÷, dvacet let na vrcholu. Již od dob prvních nahrávek skupiny Accept se zp÷vák U.D.O. zaąadil k nepąehlédnutelným osobnostem rockové scény. V záąí 2008 vydané koncertní 2CD se 26 zp÷vákovu kariéru bilancujícími písniékami napąíé albovou diskografií. Nechyb÷jí ani nahrávky z playlistu slavných Accpet. Vydání s koncertním DVD z vystoupení v n÷meckém Tuttlingenu. NOSIè: 2CD KÓD: CD1:Mastercutor; 24/7; They Wan´t War; The Bullet And The Bomb; Midnight Mover; Vendeta; Mission No. X; Midnight Highway; The Wrong Side Of Midnight; Breaker; Guitar Solo; Princess Of The Dawn; One Lone Voice; Winterdreams. Celkový éas: 68:00 minut CD2: Living For Tonite; Thunderball; Drum Solo; Man And Machine; Animal House; Metal Heart; Holy; Balls To The Wall; Fast As A Shark; Burning; Outro; I´m A Rebel. Celkový éas: 72:00 minut DVD: CONCERT TUTTLINGEN Mastercutor; 24/7; They Want War ; The Bullet And The Bomb; Midnight Mover; Vendetta; Mission No. X; Midnight Highway; The Wrong Side Of Midnight; Breaker; Guitar Solo; Princess Of the Dawn; One Lone Voice; Winterdreams; Living For Tonite; Thunderball; Drum Solo; Man And machine; Animal House; Metal Heart; Holy; Balls To The Wall; Fast As A Shark; Burning; Outro; I´m A Rebel. Obraz: 16:9,Zvuk: Dolby Digital 2.0 Stereo,Celkový éas: 2 hodiny 22:25 minut EAN KÓD CENA 2CD+1DVD 5907785033849 241883 378,- EAN: 7798097198085 238982 NOSIè: 1CD U.D.O. KÓD: CENA: 268,- EAN: 8594036005624 233844 CENA: NOSIè: 2CD+ 318,- U.D.O. NOSIè COLLECTION ‘2008 (CD+DVD) The Closest Thing To Crazy; Nine Million Bicycles; What A Wonderful World; If You Were A Sailboat; Piece By Piece; Call Off The Search; On The Road Again; Mary Pickford; Spider‘s Web; Thank You, Stars; I Cried For You; Crawling Up A Hill; Tiger In The Night; When You Taught Me How To Dance. Celkový éas: neuveden Shelter Me; Black velvet; We Belong; gabriella´s Sky; Made Of Love; radio Crash; Twice In A Blue Moon; Feel You; Life; Brain Box; Shanti; Visions Of Blue.00:00 Celkový éas: neuveden CD2: Living For Tonite; Thunderball; Drum Solo; Man And Machine; Animal House; Metal Heart; Holy; Balls To The Wall; Fast As A Shark; Burning; Outro; I´m A Rebel. Celkový éas: 72:00 minut NOSIè MELUA KATIE TWICE IN A BLUE MOON ‘2008 V listopadu 2008 vydané album autorských studiových trackč populárního dýdžeje trance hudby. Twince In A Blue Moon navazuje na úsp÷šné album L.E.F. a obsahuje také singl Radio Crash. 98,- KÓD: EAN: 802987011723 241403 CENA: 293,- NEW SONGS: Toy Collection; Somewhere In The Same Hotel; Two Bare Feet DVD: KATIE MELUA LIVE IN ROTTERDAM 90 MINUTES LIVE CONCERT Obraz: neuveden Zvuk: neuveden Celkový éas: neuveden BENASSI BENNY RČZNÍ INTERPRETI/TANEèNÍ HUDBA ROCK’N’RAVE ‘2008 (2CD) DANCE 4 LIFE ‘2008 V srpnu 2008 vydané 2CD album nahrávek uznávaného a úsp÷šného dýdžeje a producenta elektro-house taneéní hudby. Verze alba s bonusovým CD, které obsahuje 5 remixč Benny Benassiho písniéek Public Enemy, Black Box, Iggy Popa a spoleéný track s Davidem Guettou Who´s Your Daddy i s videoklipem. Prčvodce taneéní klubovou trance and dance scénou podzimu roku 2008 na albu, kterému propčjéil název úsp÷šný singl sv÷tové trance jedniéky Tiësta. Nechyb÷jí reprezentativní bestsellery od ATB, Tiësta, Jes nebo George Acosty. Celkem 19 trackč z povedené taneéní párty. CD1: Finger Food; My Body ( Feat. MIA J.); Shocking Silence ( Feat. DINO); U Move U Rock Me; Who´s Your Daddy? ( Pumpkin Remix Vocals BY NAAN); Here & Now; Rock´N´rave; I Am Not Drunk; Free Your Mind ( On The Floor)(Feat. FARENHEIT); Love And Motion( Feat. CHRISTIAN BURNS); Come Fly Away ( Feat. CHANNING). Celkový éas: 64:00 minut NOSIè: 1CD KÓD: EAN: 8715576111020 241582 CENA: 250,- ATB pres. TAYLOR AND GALLAHAN - Resistence; TIËSTO ft. MAXI JAZZ - Dance4Life (freedom mix); DON DIABLO vs. GRAND JACKSON - Streets Of Fire; JUDGE JULES - Electronic Snare; JOHN O´BIR - Ways And Means (Paul Van Dyk Remix); GEORGE ACOSTA - Dance4Revolution; DARUDE ft. BLAKE LEWIS - Selfless; JES - Lost In The Sound; JOOP - Life Is A Dance; MARK NORMAN - Nibiru; JESSE VOORN ft. ZOE XENIA - See Me; FILO AND PERI feat. ERIC LIUMIERE - We Are a další. RČZNÍ INTERPRETI/MUZIKÁLOVÁ VANGELIS HITY Z MUZIKÁLČ edice ‘2005 DRAGON/HYPOTHESIS edice ‘2004 V roce 2005 vydaná kompilace 18 pąezpívaných písniéek ze známých éeských muzikálč. V roce 2004 vydané raritní CD, které zachycuje prvotní nahrávky slavného multiinstrumentalisty z roku 1971. KLEOPATRA - Teò královnou jsem já; TĄI MUŠKETÝĄI Jediná; JOHANKA Z ARCU - Most pąes minulost; DRACULA Vím že jsi se mnou; POMÁDA - Jsme parta správná; JOHANKA Z ARCU - Spáso duše mé; VLASY - Aquarius Kéž slunce svítí; JESUS CHRIST SUPERSTAR - Vše psáno od prvních ąádkč; POPELKA - Kéž pán Bčh nás má rád; REBELOVÉ - Tenhle kluk; BÍDNÍCI - Má knížko snč; CHICAGO - Míąím výš; HAMLET - Na vteąin pár se vznést; STARCI NA CHMELU - Starci na chmelu - sm÷s 2004; CIKÁNI JDOU DO NEBE - Nane Cocha; KRYSAĄ - Krysaąova zpov÷ò; MISS SAIGON - Song hrál nám ten òábel saxofon; MONTE CRISTO - Mčj Monte Cristo. THE DRAGON: The Dragon; Stuffed Aubergine; Stuffed Tomato. HYPOTHESIS: Hypothesis, Part One; Hypothesis, Part Two. NOSIè: 1CD Celkový éas: 57:44 minut KÓD: Celkový éas: 68:00 minut EAN: 241787 CENA: 350,- MASTERCUTOR ALIVE ‘2008 EAGLE VISION Dvacet let na heavy-metalové scén÷, dvacet let na vrcholu. Již od dob prvních nahrávek skupiny Accept se zp÷vák U.D.O. zaąadil k nepąehlédnutelným osobnostem rockové scény. V záąí 2008 vydané koncertní 2CD se 26 zp÷vákovu kariéru bilancujícími písniékami napąíé albovou diskografií. Nechyb÷jí ani nahrávky z playlistu slavných Accpet. Album bylo vydáno také ve verzi 2CD s DVD a 2CD. DVD: CONCERT TUTTLINGEN Mastercutor; 24/7; They Want War ; The Bullet And The Bomb; Midnight Mover; Vendetta; Mission No. X; Midnight Highway; The Wrong Side Of Midnight; Breaker; Guitar Solo; Princess Of the Dawn; One Lone Voice; Winterdreams; Living For Tonite; Thunderball; Drum Solo; Man And machine; Animal House; Metal Heart; Holy; Balls To The Wall; Fast As A Shark; Burning; Outro; I´m A Rebel. Obraz: 16:9 Zvuk: Dolby Digital 2.0 Stereo Celkový éas: 2 hodiny 22:25 minut NOSIè: 1BR NOSIè EAN KÓD CENA 2DVD 5907785033832 241882 448,- KÓD: EAN: 5051300501273 239192 CENA: 418,- CLAPTON ERIC & RČZNÍ/BLUES JETHRO TULL LEGENDS LIVE AT MONTREUX edice ‘08 LIVE AT MONTREUX ‘2003 edice ‘2008 Zcela unikátní jam seassion koncert z prestižního festivalu ve francouzském Montreux v roce 1997. Na pódiu se pąíležitostn÷ sešla ojedin÷ná hudební p÷tice rockových, jazzových a bluesových superstars: Eric Clapton (kytara, zp÷v), Steve Gadd (bycí), Marcus Miller (baskytara), Joe Sample (piano) a David Sanborn (saxofon). Vynikající um÷lecký zážitek ve spoleénosti skv÷lýh hudebníkč a jejich velice poslechová a pąíjemná hudba. Some Day The Sun Won´t Shine For You; Life Is A Long song; Bourée; With You There To Help Me; Pavane; Empty Cafe; Hunting Girl; Eurology; Dot Com; God Rest Ye Merry Gentlemen; Fat Man; Living In The Past; Nothing Is Easy; Beside Myself; My God; Budapest; New Jig; Aqualung; locomotive Breath. Obraz: 16:6 Zvuk: LPCM Stereo, Dolby Digital 5.1 Surround Sound, DTS HD Master Audio Celkový éas: 117:00 minut Full House; Groovin´; Ruthie; Snakes; Going Down Slow; The Peeper; In Case You Hadn´t Noticed; Thord Degree; First Song / Tango Blues; Put It Where You Want It; Shreveport Stomp; In A Sentimental Mood / Layla; Every Day I Have The Blues. NOSIè: 1BR Obraz: 16:9 Zvuk: Dolby Digital 5.1 Surround Sound Celkový éas: 107:00 minut KÓD: EAN: 5051300501372 236879 CENA: 418,- 1 1 The goods being presently sold in a campaign is automatically made more visible in our web shop. Distributed daily. Distributed weekly. 2, Curepink Mail-order and E-shop - We run our own mail order service, print our own catalogue and distribute it for free to the active number of our customers. Our own mail-order service database registers 20,000 customers who are sent catalogues and other materials regularly four times a year. Within the last five years we sold goods to the total of 50,000 customers at least once. PRINTED CATALOGUES DISTRIBUTED FOR FREE TO OUR CUSTOMERS IN THE ISSUE OF 15.000-20.000. Informaéní BULLETIN. Pro zákazníky firmy CurePINK !ZDARMA! 2009 PLATNOST BULLETINU CELOROèNÍ K A T A L O G H U D B Y Vyhrazujeme si právo na zm÷nu ceny, nebo vyąazení zboží z nabídky b÷hem platnosti katalogu, pokud takto uéiní náš dodavatel. Informaéní BULLETIN. Pro zákazníky firmy CurePINK !ZDARMA! 2009 KATALOG ZAHRANIČNÍ HUDBY DALŠÍ KATALOG VÁM BUDE V ROCE 2009 ZASLÁN POUZE V PĄÍPADö, ŽE PROVEDETE OBJEDNÁVKU Z KATALOGU I/2009 PLATNOST BULLETINU CELOROèNÍ K A T A L O G H U D B Y Vyhrazujeme si právo na zm÷nu ceny, nebo vyąazení zboží z nabídky b÷hem platnosti katalogu, pokud takto uéiní náš dodavatel. KATALOG HARD & HEAVY HUDBY DALŠÍ KATALOG VÁM BUDE V ROCE 2009 ZASLÁN POUZE V PĄÍPADö, ŽE PROVEDETE OBJEDNÁVKU Z KATALOGU I/2009 Madonna Hard Candy na stran÷ 17. 199,KISS 297x420mm 233014 Metallica - Death Magnetic ADRESA: CUREPINK distribuce, Slavíkova 6142 708 00 Ostrava-Poruba, èeská republika KONTAKT: [email protected] [email protected], [email protected] tel./fax/zazn.: 596 940 993, tel: 596 940 994 mob.: 603 483 755 BULETIN A.indd 1 Zásilková slubža pro volný éas a zábavu. 199,- na stran÷ 15H. 12 16M 199,- MADONNA 199,- DOGS 297x420mm 305x305mm 232888 241253 16M 199,- 199,- TEAM FERRARI / F1 HIGH SCHOOL MUSICAL TV SERIÁL SEX VE MöSTö 232942 240939 233317 305x305mm 305x305mm 305x305mm WWW.CUREPINK.CZ ADRESA: CUREPINK distribuce, Slavíkova 6142 708 00 Ostrava-Poruba, èeská republika 10.11.2008 7:45:32 KONTAKT: [email protected] [email protected], [email protected] tel./fax/zazn.: 596 940 993, tel: 596 940 994 mob.: 603 483 755 Zásilková slubža pro volný éas a zábavu. WWW.CUREPINK.CZ 199,- 16M 199,- 11 METALLICA VALENTINO ROSSI 232884 233292 297x420mm BULETIN B.indd 1 12 297x420mm 16M 199,- 11 BRITAIN‘S HOTTEST BABES 297x420mm Z FILMU - HIGH SCHOOL MUSICAL 199,AKTY/UK‘S HOTTEST BABES 297x420mm 233294 199,ZAC EFRON 297x420mm 233232 241072 10.11.2008 8:46:22 w w w. c u r e p i n k . c z kal-2009.indd 1 ADRESA: TELEFON: E-MAIL: CUREPINK distribuce s.r.o. Slavíkova 6142, 708 00, Ostrava-Poruba tel.: 596 940 994 tel./fax/zazn./: 596 940 993 mob.: 603 483 755 [email protected] [email protected] 22.10.2008 11:31:35 3 - Our own web shop to be found on www.curepink.cz is proud to admit that the number of visitors per day is reaching to 3.500 visitors. THE NUMBER OF VISITORS HAS GROWN UP TO 3.500 PER DAY. OUR SUPPLIERS CATALOGUE PRESENTATION. 4 WEEK EMAILS INFORMATION FOR 10 000 E-SHOPS CUSTOMERS. PUBLISHER´S AND LABEL´S CAMPAIGN PRESENTATION. The web shop serves to our wholesale customers from the article 4 as well and by means of it we advertise many of the wholesale campaigns and priorities next to the single company’s catalogue presentations. • One of the significant conditions to sell the goods on internet is having the goods in the warehouse all the time and guarantee quick delivery. • We prefer goods to be stored in our warehouse with the maturity of 60-90 days and at least partial return right on the unsold goods (30%-100%). 3, Sale to Other E-shop Partners In September 2008, we established another fantastic sale and marketing service to support increasing of our sales. Our system automatically sends and displays information about our offers to other partner’s e-shops we are in agreement of it. The agreement is concerning OUR EXCLUSIVE INTERPRET´S ADVERTISING exclusively music media and calendars. Currently we supply more than 10 e-shops; couple of others is being negotiated. Within surprisingly a short period, we recorded very interesting turnovers and we expect bigger increase in the future. • For enlisting the goods into this offer, the conditions stated in the article 2 must be fulfilled. www.shopnet.cz www.superstarshop.cz www.musicpolis.cz 4, Sale to Other Wholesale Companies Through EMI-Monitor, our distribution major partner, we offer carefully selected products (about 50 new titles per month) and this way we are able to cover another 100 retail shops all over the Czech and Slovak Republics. We co-operate with other national distributors too. 5 • • To enlist a title in the EMI-Monitor catalogue it is necessary to ensure the goods with the margin high enough and especially the exclusivity for the Czech and Slovak Republics. We prefer goods to be stored in our warehouse with the maturity of 60-90 days and at least partial return right on the unsold goods (30%-100%). 5, Sale to Two Significant Mail-order Companies We supply two most important mail-order companies in the Czech Republic. They enlist next to books and other assortment music as well in their catalogues. These customers usually order hundreds or thousands pieces per a single title. They print about 6 catalogues per year, the validity of which is 2 months. • The main condition to sell the goods through this partner is the allowance to return 100% of the unsold goods and 60 days maturity. 6, Sale to Book Whosalers THE ISSUE OF THE CATALOGUE IS AROUND 300 000 -500 000 PIECES We supply book wholesalers and stores with calendars and music media as well. Our business partners publish 2 million copies of a catalogue every two months and such is distributed directly to the final consumers to their homes. Positions in this catalogue are paid. • • The main condition to sell the goods through this partner is the allowance to return 100% of the unsold goods and 60 days maturity. We offer 60-90 days of maturity to the Book wholesalers and this we have to deserve from our suppliers as well. 7, Sale to Hypermarkets A limited number of goods is sold in hypermarkets. This sale is usually realized by the medium of single sale campaigns organized with the help of a single partner who becomes the guarantee of the campaign success. • • 6 The main condition to sell the goods through this partner is the allowance to return 100% of the unsold goods. Usually, only 20-35% is returned. For campaigns at this customer, we strictly deserve the maturity of 90 days. THE ISSUE OF A CATALOGUE – IN MILLIONS 8, Export to Slovakia Very tight relations between the Czech and Slovak economy led to the fact that we directly supply several outlets in Slovakia. Our goods are sold at the hand of the distribution company EMI-Monitor (see the article 4) to Slovakia. 9, Other Marketing Services offered to our Partners and Suppliers We arrange reviews in music periodicals/magazines on condition you supply us with particular samples. We also do other marketing activities to support the sale of new titles and interprets. All is directed by the estimated commercial result of sale. We mediate licenses from our partner companies to the publishers of music periodicals/magazines to publish promotional and free presentation CDs and DVDs which are enclosed to magazines or used as presents to business partners. This is in fact another powerful means of promotion of your products. Currently we have started to concentrate on providing licenses for CD producing, which are later sold for a reasonable price as magazine and newspaper enclosures V. CRITERIA DECISIVE FOR CHOOSING GOODS AND BUSINESS PARTNERS / SUPPLIERS The respective paragraphs present a description of the major problems and limitations to be met by the product so that it may be marketed by us in the manner concerned with the maximum efficiency. This should apply to goods available on a long-term basis, with guaranteed prices and delivery terms. Due dates to our customer: the due dates are usually extended to 30-60 days in selling campaigns in the CR, 90 days with budget products (mainly hypermarkets). The right of return of unsold goods by our customer: has a psychological effect on our customers eliminating their fear and distrust arising from the risk of unsold goods and illiquid/frozen stock reserves. At the same time it stands for a convenient marketing tool to support sales of goods of new firms and/or interprets and the rise of the sales of priority news. Traders in the Czech Republic react very positively to the possibility of the right of return and this method is largely spread by majors. To be able to meet the 7 competition, we are forced to offer the same conditions to our customers. What is more, this method of sale enables the customer to get familiar with new goods and persuades him/her of the interest in the products. Our experience shows that the amount of returned goods is very low and a significant part of goods is always successfully sold. We further attempt to sell the returned goods in the home market. It is only after all the possibilities of sale have been exhausted that we employ the right of return to the supplier abroad. Moreover, if we are enabled to have the goods on our stock in the sufficient amount, we are able to work up all the necessary details (picture, tracks, reviews etc.) for internet presentation and other offers. In case other distribution companies are employed to sells our goods it is necessary to keep in mind that all goods they receive from us guarantees the possibility of 100% right of return. They report which items have been sold at the end of every month, settling the respective payments in 30 days. Therefore, we need the maturity of 60 days on this goods. Only items from our store or those that can be purchased promptly without any problems may be included in our mail catalogues or on e-shop/other e-shop partners, with the decisive criterion for inclusion being the term of delivery to our customer. Long terms of delivery are not acceptable for this method of sale. VI. SETTLEMENT OF GENERAL BUSINESS CONDITIONS 1. Price 1 EUR CZK 26.50 1 USD CZK 20.00 1 GBP CZK 30.50 The following exchange rates (valid as at 1 January 2008) apply to all the quoted prices: Retail Price Calculation: When calculating our distribution price for dealers or our end price for customers using our mail-order service, we use the following formula: 1 PPD purchasing price 2 + price for transportation + 5 % 3 + Curepink profit 35 % 4 + retail shop 25 to 30 %, distribution company 15-20 %, EMI-Mnitor 35% 5 + (costs of promotion and catalogues 10 to 15%) we add this sum only in case of priority titles and novelties. 6 + 19 % VAT (Mwst) If we sell the goods directly to the end customer via the mail-order service, the required Curepink profit is the sum of numbers 3, 4 and 5, i.e. 45 to 65 %. This sum also covers the production costs of the Info Music mail-order catalogue as well as the mailing costs so that we could distribute the catalogue free. One copy of a 72-page catalogue costs EUR 0.50 and the postage is EUR 0.30. The print run varies from 15,000 - 20,000. In addition to the price of goods, the postage and packaging price should also be taken into consideration with the mail-order service. It makes CZK 100 to 120 (i.e. EUR 3.50 to 4.50) for a standard consignment in the Czech Republic. 2. Payment Terms One of the most important aspects of the business co-operation. Our foreign partners usually offer us terms of payment depending on insurance companies. Their terms of payment are shorter than the terms of our local suppliers. Concerning our long-term local partners we require the maturity at minimum 30 days, but usually it is 60 days, hypermarkets insist on 90 days. The same situation happens with budget companies, we accept their goods on our stock with 100% return rights only, as well as in case of newly introduced companies where the return rights in the amount of 100% is compulsory. The goods intended to be distributed through EMIMonitor and other mail-order companies must fulfill the condition of 60 days maturity. 8 We accept advance payments for goods with the first delivery from new suppliers on provision that we get a discount of 3 to 5 %, which is a common arrangement. Just for your information, I can confirm that the term of payment is 45 to 60 days with all our domestic majors. We underwent the Insurance company verification many times and we appeared to be sufficiently valuable partner. 3. Promptness of Fulfilling Orders and Frequency of Orders As it has been described elsewhere, the promptness at satisfying the customer is one of the key issues in the mail-order business. That is why we prefer a co-operation with firms whose catalogues enable us to enter goods into our offers regularly and repeatedly and to order goods permanently, e.g. on a one or two-week basis. To ensure quick delivery of the orders we prefer those suppliers who are compliant to sell us the goods with the return rights after the termination of the marketing campaigns. In the moment of an active marketing or presentation on the web we have everything on stock and we are able to satisfy promptly all the demands. 4. Goods Return Option As described already in other parts of this presentation, the possibility to return the unsold goods or goods unsalable by our partner after the termination of a campaign has an enormous influence on our mutual business. Moreover, some of the sale channels have this inevitable condition to enlist a product into their database to offer it and sell it. The current situation in our market requires such a support for the sale and it is slowly becoming an average standard in our country, so producers and labels already offer such a condition to their distributors and sellers automatically. If we want to be competitive with your products in our market, it is an essential condition to realize interesting turnovers and remarkable orders. The average amount of the returns does not exceed 25-35%. The goods are returned via regular post or the DHL We bear the expenses for the freight. 5. Transport We accept shipment ex-works, freight forward, as customary. After sending an order, we insist on a prompt confirmation about a receipt of the order and next, the information about dispatching of the goods, or picking by a forwarder ordered in the Czech Republic. We deserve the copy of the invoice and a delivery note per email in advance. We use well-established firms for the transport of goods DHL or DPD. 1. Either you order a forwarder and add the price for the transport on the invoice, 2. Alternatively, we arrange a forwarder DHL in our country and he/she picks up the goods at your warehouse. In such a case, we need the exact address of the warehouse per e-mail, the name of the contact person, telephone number and his or her email. Also, we need a reliable information when the goods is going to be ready to be picked up. At the first shipment, it is always useful to inform us, what would be the price for the freight if you pay for it in your country and add it on the invoice. Comparing two prices we would have chance to decide which is cheaper. 6. Information Service, Communication When choosing our business partners, we also take into consideration the flexibility and quickness of a respective firm at executing our orders and claims as well as their ability and readiness to communicate in general. 9 Information services, ability and readiness to flexibly react to our requests, suggestions or demand belong to conditions which are good and beneficial for business. Our foreknowledge of new releases as well as catalogues and samples sent to us are also very important and influence our cooperation. The communication is realized with the help of an independent translator. Therefore, we prefer e-mail communication addressed on [email protected] In case of an urgent matter, feel free to contact the owner of the company Mr. David Stift on the phone. 7. Frequency and Dealing with of Claims Of course, for a long time we have to follow the quality of your products and the range of claims. Willingness to solve the claims and supply errors reminders has a remarkable influence on our relationships as well. We always require a credit note for the undelivered goods. Regarding damaged goods, we collect them and make a list once or twice a year to send you for approval. After that, we send the goods back on request by a post. If you do not request them to be sent back, it is cut away in our company and we request the credit note. We usually send back the claims with sending back some returns. 8. Promotion and Support Feel free to send us samples directly to our warehouse, or in case we need them for our partners they can be added to a regular shipment with goods. Samples are necessary for reviews in magazines (usually 1-3 pieces), for EMI-Monitor sales people (in average 3 pieces) or for mail order catalogues (always 1 per every title enlisted into the partner’s catalogue) VII. TRADING PROCEDURE SCHEDULE FOR NEW PARTNERS 1. Introduction of your catalogue If you are a new firm getting in contact with us, please send us your offer of items. The best combination is: - to send a printed version of your catalogue by post; - to send your catalogue in the electronic form DBF/Excel this, in comparison with copying the data manually from a printed catalogue, will substantially speed up putting your items into our electronic system. - to inform us on your www pages. 2. Negotiation of General Terms of Business See article VI. 3. Provision of Samples; First Order To be able to process a product, we must be provided, after the general terms of business have been settled, with samples of the items to be processed. - you can either send them to us automatically based on your choice and definition of top items or preferences; or - we will order the items according to our ideas and needs. - Such a process could be made more quick and effective if you kindly allow us the first order with the 100% of return rights and prolonged maturity for the invoice. It would help us to process the new products systematically and offer it in many different distribution channels based on a very flexible delivery directly from your warehouse. 10 4. Further Orders of Goods We place further orders based on: - particular orders received from our customers; we do not keep such goods in stock; - regularly selling items are ordered for stock; the amount bought for stock depends on the conditions established by you, first of all according to the terms of payment, costs of transport and the option to return unsold goods. You very often ask for our ordering a minimum number of copies per item or for placing orders for several items, reaching certain volumes of goods. Such requests put strict limits on including your items in our distribution system, especially as regards the mailorder service and e-shop service. VIII. PRODUCTS WE ARE INTERESTED IN 1. Types of media We concentrate on musical Audio and Video CDs and DVDs. Also partly in LPs and CD singles. Merchandise: preferably calendars, posters, T-shirts and other apparels or gifts We do not trade 12” singles and film DVDs. 2. Genres Owing to the orientation of the Czech audience we are most of all interested in the following genres: rock, pop, hard and heavy, relaxation and meditation music, dance pop, punk, music for physical exercises, film music, oldies, progressive rock and easy listening. To a limited extent: world music, jazz, soul, blues, country and western, folk, rap and hip hop, folk music. 3. Price See details in Chapter / Heading VI, Paragraph 1. In general, we are interested in all price categories (budget, mid, full). We are also interested in deletion items and overstock, or possibly in cut-out goods. map 11 IX. STRATEGY FOR THE YEAR 2009 This year we hope to continue in successful period started in 2008 when we finally managed to stop decreasing the sales. To manage this, we have decided to follow the bellow mentioned steps: 1, Change the firm domicile, which we expect to increase the potential of our warehouse and subsequently larger purchases, faster processing of the orders and last but not least, satisfied customers increasing our turnover. For the same reason to be able to offer better services and communication there will be some personnel changes in number and structure of employees. 2, We try to concentrate more on internet sellers to offer our products. This method has proved to be very successful during the year 2008. I would appreciate your support in potentiality to have more goods on stock with the return rights and longer maturity. 3, We are intending to invest more into our web-shop development. We would like to include song samples, more products, and more information about the products. Even in this matter, we will appreciate your support. 4, There are already some fixed plans how to enrich our offer on other products as well. First, we are going to concentrate more on calendar sale as well as posters and t-shirts. 5, The decreasing demand in finished products we are going to substitute with the licenses sale to produce cheap CDs and DVDs enclosed in magazines and newspapers. The aims are imperial; the time for making them alive is here. Would you like to be a part of it? Let us meet at Midem and discuss it. The material has been prepared and written by David Štift, CEO and owner of the company At MIDEM 2009 feel free to contact me on my mobile phone number: + 420 602 724 500 . 12