FORT LAUDERDALE, FL, and MONTREAL, QC--(Marketwired - Mar 23, 2016) - The Singing Machine Company, Inc. ("Singing Machine") (OTCQB: SMDM) and Stingray Digital Group Inc. (TSX: RAY.A) (TSX: RAY.B), today announced significant growth in customers, downloads and revenue related to their continued karaoke partnership.
This success can be attributed to the August 2015 launch of Singing Machine's innovative line of Digital Download Karaoke machines that work with Stingray's redesigned new Karaoke Store. Since the launch, the Karaoke Store has delivered more than 260,000 karaoke videos, experienced a 45% increase in unique visitors, a 195% increase in orders, and a 107% increase in average revenue per user, compared to the same period the previous year. This successful partnership initiative gives karaoke fans easier-than-ever access to the fun of karaoke.
The reach and expertise of both companies played a crucial role in this significant growth in music sales: Singing Machine, the North American leader in consumer karaoke products, brings to the partnership the most recognized brand in home karaoke hardware and world-wide distribution of over 1 million karaoke products per year, while Stingray, a leader in business-to-business multi-platform music, offers the largest library of licensed karaoke content and experience in music product development and distribution.
"Karaoke has been a part of Stingray's DNA since its earliest days," said Mathieu Péloquin, Senior Vice-President, Marketing and Communications of Stingray. "When karaoke fans are happy, we are happy! The immediate success of our new Karaoke Store confirms that there is a demand for innovative products that facilitate access to karaoke content so consumers can spend more time singing. We are pleased to continue to partner with Singing Machine to bring new karaoke solutions to market."
Gary Atkinson, Singing Machine CEO, commented, "We're thrilled with the early success of the new Karaoke Store. Our customers are embracing the concept of downloads for karaoke and the feedback we've received has been overwhelmingly positive. We believe the recurring music revenue will continue to grow to become a significant portion of revenues as we continue to expand the digital download line of hardware and intend to incorporate Bluetooth™ technology into approximately 90% of our product lineup for this coming year."
Product details:
- The Stingray Karaoke Store features more than 11,000 songs in the style of today's top artists and yesterday's legends, with more songs added weekly.
- The Karaoke Store is a desktop application that can be installed on Microsoft Windows or Apple Macintosh computers that allows songs to be easily transferred from the Store to Singing Machine's new digital download line of karaoke products.
- Singing Machine's new digital download line of karaoke products feature the ability to play High-Definition karaoke videos, and offer customers the ability to search, sort, and create custom playlists.
- The Karaoke Store is fully compatible with Singing Machine Classic machines that feature MP3+G file format support.
In addition, The Singing Machine Mobile Karaoke App (powered by The KARAOKE Channel), also in partnership with Stingray, has seen a 22% increase year-over-year in app downloads and a 72% increase in revenue. The mobile app works on Bluetooth™ compatible Singing Machine karaoke systems. During December 2015, the app reached as high as the #9 top-grossing App in the music section of the Apple™ App Store in the US.
About Stingray
Stingray (TSX: RAY.A) (TSX: RAY.B) is a leading business-to-business multi-platform music and in-store media solutions provider operating on a global scale, reaching an estimated 400 million Pay-TV subscribers (or households) in 152 countries. Geared towards individuals and businesses alike, Stingray's products include the following leading digital music and video services: Stingray Music, Stingray Concerts, Stingray Brava, Stingray Djazz, Stingray Music Videos, Stingray Lite TV, Stingray Ambiance, Stingray Karaoke, and iConcerts. Stingray also offers various business solutions, including music and digital display-based solutions, through its Stingray Business division. Stingray is headquartered in Montreal and currently has close to 300 employees worldwide, including in the United States, the United Kingdom, the Netherlands, Switzerland, France, Israel, Australia and South Korea. Stingray was recognized in 2013 and 2014 as a finalist in the Top 50 of Deloitte's Technology Fast 50™ list, and figures amongst PROFIT magazine's fastest-growing Canadian companies. In 2016, Stingray was awarded best IR for an IPO at the IR Magazine Awards -- Canada. For more information, please visit www.stingray.com
About The Singing Machine
Based in the US, Singing Machine® is the North American leader in consumer karaoke products. The first to provide karaoke systems for home entertainment in the United States, the Company sells its products worldwide through major mass merchandisers and on-line retailers. We offer the industry's widest line of at-home karaoke entertainment products, which allow consumers to find a machine that suits their needs and skill level. As the most recognized brand in karaoke, Singing Machine products incorporate the latest technology for singing practice, music listening, entertainment and social sharing. The Singing Machine provides consumers the best warranties in the industry. Singing Machine products are sold through most major retailers in North America and also internationally. Through its partnership with Stingray Karaoke, the Singing Machine offers streaming or download access to more than 11,000 high-quality karaoke videos via a Mobile Karaoke App and Download Store. Karaoke videos are available in multiple genres like Pop, Rock, Country and more, and include hits in the style of today's top-charting artists and yesterday's legends. See www.singingmachine.com for more details.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward looking statements are based on current expectations, estimates and projections about the Company's business based, in part, on assumptions made by management and include, but are not limited to statements about our financial statements for the fiscal year ended March 31, 2015. You should review our risk factors in our SEC filings which are incorporated herein by reference. Such forward looking statements speak only as of the date on which they are made and the company does not undertake any obligation to update any forward looking statement to reflect events or circumstances after the date of this release.