Bollywood Portal Gets $5 million in Venture Capital
Chakpak.com, an entertainment portal (Bollywood Content) has gotten nearly 25 Crores in funding from Venture Capital Firm Canaan Partners
Sources:
VCcircle
Content Sutra
From the press release:
Alok Mittal, Managing Director, Canaan Partners, India explains that out of a base of 40 million online users in India, 18 million are already accessing some or the other entertainment destination. This put together with the demand for Indian content outside India totals to 25 -30 million users. Mittal says “it’s a large category. Since chakpak.com gets 5 million visitors every month, they have shown very strong traction over the last 12 months in building a significant presence.”
Bollywood PORTAL + 5 million users (claimed) + IIT Grads (Founders) = BIG Funding from a BIG VC
My Analysis of ChakPak.com:
1) Quality of Traffic : 2/10
Due to the nature of the site content, Chakpak caters to teenagers & the time-pass crowd. How many High-Net Worth individuals (HNI’s) do you think will hang out at the Chakpak forum sharing juicy gossip about actors/actresses and doing movie reviews?
2) Revenues : 2/10
What do they make… Rs 25 per 1,000 impressions? Wait, dont they have Google Adsense as their main source of revenue? WOW!
3) Technology: 1/10
Do they have a killer application… difficult to replicate? Any patent-pending technology? NADA
What about the UI… what about design? YUCCCK!
Wait, they do have integration with YouTube. WOW!
4) Competitiveness: 2/10
They are competing for marketshare with the likes of Network18, BCCL (Times), BigAdda, Bollywood Hungama, etc. (Established media business with stake in print, radio, tv, ooh & web) Do they have a differential offering OR some USP… without it they will NEVER be able to build a loyal user base.
5) Market Niche: 1/10
Bollywood content… huh? Very Nice.
In India, pretty much every mohalla in every city has a website centered around Bollywood. Need proof, check this out:
http://www.google.com/search?hl=en&q=bollywood
Recommended Movie For Mr. Alok Mittal This Weekend: TITANIC