Lively, the Seattle startup that helps musicians earn money off of concerts by making audio and video available to fans after the performances, is just 10 months old. But the Seattle startup, led by entrepreneur Dean Graziano, has already entertained three acquisition offers from potential suitors.
Graziano — who I spoke with earlier this week at the Seattle Interactive Conference — said he’s still considering one of the potential bids. But, in the meantime, the company has pulled in some additional cash from venture backer Second Avenue Partners, raising another $441,641, according to a SEC filing.
And Graziano noted earlier this week that more money may be on the way, saying they may raise up to $6 million from private equity backers.
“It is about finding a gap and making it a win-win-win,” said Graziano, who previously founded Visible Technologies. “It is win for the artists. It is win for the fans. And it is win for us, and that’s when you know you have something special.”
Graziano said the Lively concept is resonating with folks because it is dead simple. Bands install the Lively Audio Manager — utilizing an iPad to plug into the venue’s sound board — and then make those audio recordings available to fans shortly after the show.
“The idea is that the consumer downloads a free app, Lively, and you are at the show — we GPS the phone so we know where you are at and usually around the encore when you’ve had a few drinks — we push you an offer through the phone that literally says: ‘Hey John, are you enjoying The Lonely Forest show at the Crocodile? Would you like to buy the audio for $4.99 or the audio and video for $9.99? … You then get the audio of the show you were just at before you get to your car.”
After a quick edit, the video is then pushed to the music fan the next day. Lively keeps 30 percent of the profits, while the band takes the rest. Graziano says everyone loves it because it is “incremental revenue to the whole ecosystem.”
The company is celebrating the opening of its new 11,000 square feet office space and Lively Lounge this weekend in Seattle’s Sodo neighborhood.