Media start-up to launch $300 online product

R Raghavendra TNNBangalore:

If Reuters proved that Wall Street could be covered from Airport Road in Bangalore, a city-based startup is adding a new twist to the outsourcing story. Midola, a publishing outsourcing company, has set out to prove that a global publication along with a strong online presence, can be conceptualised and published in India and sold to subscribers in US and Europe.After buying the title called Global Custody Review (http://www.gcronweb.com/), which catered to the post-trade securities market, from a UKbased publisher in September 2005, entrepreneur Nidhi Devanur (previously from iVega Corporation, Saint Life Bio Pharma) decided to turnaround the product. The goal was to have a global magazine from India. An investment of approximately $700,000, two years, 35 people and four issues later, this company is now set to take its content online for a fee — $300 per year.So far, Midola has spent most of its time generating a database of 10,000 customers in the post-trade securities market across US and Europe. They included people in securities, consultants, analysts, custodians, sub-custodians and leading banks. Last year, it published and shipped four editions of Global Custody Review for free to these prospective customers.The first impact of creating this database came to light when Midola tested its beta version of the online portal in November and December of 2006. “The beta launch gave us customers who were ready to pay $300 for a year long access to the online version of GCR. Two banks in Italy and the Dubai Financial Corporation were among those who signed up,’’ says Devanur.The physical shipping of the product was just a teaser. It was an effort to show what was coming and now the online version (set to be launched this month) is set to bring in the actual moolah for Midola. In the US, it takes about $3.5 to print a book and another $2 to mail it.In India, it takes a dollar each for these tasks. Devanur’s investment so far has been mainly used for printing and mailing these copies as well getting the best worldwide authorities on the subject to participate in the content. In fact, the editorial team extends even in Europe, while a separate 16-member team is going after advertisement and sales efforts abroad.Midola is on the look out for next round of funding to the tune of about $1 million. “We want to launch the portal and capitalize on the changing consumer behaviour pattern from print to online. We intend to launch similar peer-to-peer online properties catering to different industries,’’ says Ravi Srinivas, who spearheads Midola's Planning and Corporate Strategy initiatives.

Thanks to Times of India, Bangalore Edition, 2nd Jan 2007