Executive Summary

 

 

Vision / Mission

 

In 2005, Drum Corps Network was formed to create a more efficient drum corps organization to deliver more effective tools and opportunities to drum corps of all types.

 

Overall, our organization can be characterized as a center point for information, communication and drum corps correspondence. 

 

The purpose of the organization is to promote drum corps, music, and the musicians of drum corps.  This organization is established to provide musicians of drum corps with the opportunity to play, communicate, and collaborate.  It will strive to instill teamwork, responsibility, dedication, and perseverance for self-improvement in the people and organizations involved.  It will provide a link of communication between drum corps, organizations supporting drum corps, and organizations that can utilize drum corps and their abilities.  The organization will reach people of all ages through the interest of music.


The primary role of Drum Corps Network is to provide a means of communication between organizations to accomplish their directives.  DCN will communicate with Host organizations to establish competitions or venues of performance and communicate with members, associate members, and the public to bring them together for the shows.  These public performances include, but are not limited to DCN officiated competitions, DCN officiated performances (non competition), parades, and concerts.

With the use of information technology we will reference a consortium of information and resources: books, authors, subjects, web links, advice columns, and more.

We will provide opportunities to a greater range of corps that are now excluded from other drum corps associations by size, ability, and finances.

We will use new technology to reduce our operations and increase our productivity in enlisting, promoting, and assisting drum corps.

 

Background

 

For many years people have played or competed in drum corps.  Drum Corps can be beneficial in promoting activity, community, dedication, and responsibility.  Throughout the years, the presence of drum corps has been greatly receding.  Just recently, the two most prominent associations have proven to be ineffective in addressing this situation by either increasing their requirements and excluding the smaller more prevalent corps, or by over extending their means and folding.  Neither of these organizations tried to use modern technology such as the web or other information services to extend their abilities, reduce overhead, or to advertise and encourage the activity.

 

Drum Corps Network will start with technology and build ourselves as a modern organization from the ground up.  Using this technology and platform we will provide a more effective and efficient means of promoting drum corps.  DCN will include, encourage, and assist corps of all sizes.  We will rebuild and encourage the activity of drum corps, from mini-corps and ensembles on up, to restore the sense of community, dedication, and responsibility these corps used to instill in the youths of the community. 

 

We have completed the website and our information services design and have begun promoting ourselves to recruit drum corps and hosts to participate with our organization.  Next we will implement our designs and program an online sign up to begin recruiting for the 2006 marching season. 

 


The legal form of Drum Corps Network is a non-for-profit organization, located in Hudsonville Michigan and a target market of the Midwest region.  Since the goal is to promote music and community, the business form of non profit was chosen because it would act as a charitable organization with the benefits of tax exempt status and tax deductible donations for businesses and individuals.

 

By October of 2005 our operation had raised $750 with funds available of up to $4,000 on demand, and has continued to gain momentum.  DCN plans to operate debt free throughout its course of operations.  We have three businesses, and numerous individuals that have promised to support our needs and expenses.  Annual growth is projected to be 75% per year through 2010.

 

Now, Drum Corps Network is at a point where we will be recruiting members and organizations for participation in 2006 and the following years.  We will replace the out of date, ineffective associations of the past and restore the activity of drum corps that they have demoralized and abandoned.

 

Objectives

 

Drum Corps Networks’ objective is to have 25 applicants for membership by the end of the year 2005.

The next objective is to establish relationships and grant membership for the year 2006.   

 

Capital Requirements

 

According to the opportunities and requirements for DCN described in this business plan, and based on what we feel are sound business assumptions, our first year capital requirements are for $8,000 by, 2006.  Capital will come in through the following means: 

  • Application fees
  • Membership fees
  • Donations
  • Grants
  • Ticket Sales
  • Equipment rental

 

Funding generated by these means will be used for the following activities.

 

                Maintain and program the website to meet our needs and the needs of the members.

 

                Obtain business phone lines for our phone and fax machines for communication.

 

                Print letters, flyers and other means of distribution for advertising and communication.

 

                Purchase equipment used in competition to help hosts.  Such as radio communication sets, sale booths, area/section tape, directional signs, and other reusable goods that most hosts sites may not have at hand.

 

                Continue advertising and promoting Drum Corps Network to enlist more members and organizations to be involved.

 

                Pay employees to dedicate full time service to the organization and its needs as it grows.

 


Management Team

 

Our management team consists of 3 men whose backgrounds consist of 3-10 years of business and activity experience with West Michigan Drum Corps Boosters, House Call Computer Doctor, P.A. Entertainment, and Dan Arntz Accounting, and 4-7 years of education in Music Education, Information Technology, and Accounting at universities such as Grand Valley State University, Davenport University, and Grand Rapids Community College.

 

In-House Management

 

                Matt Clouse, President and director

                Dan Arntz, Vice President of Finance

                Peter Postma, Vice President of Operations and I.T.

               

Outside Management Support

 

                Dave Clark, Consultant

                Dave Zuidema, Accountant

                James C. Devries, Legal Counselor

 

Additionally, our outside management advisors provide tremendous support for management decisions and creativity.   We will also gain the support of Michigan Small Business and Technology Development Center that will connect us to the resources needed to start our business including legal, technical, and financial advice and aid.

 

 

Product Strategy

 

Current Product  

 

DCN currently offers services in communication, cooperation, and assistance between drum corps, hosts and other affiliates.   Web services, our principal product, will consist of online forums, web hosting for members and hosts, auctions of equipment, knowledge databases, and ease of accessibility.  Overall our existing product line is being implemented for the 2006 marching season.

 

Research and Development

 

In response to demonstrated needs of our market, new services are being developed to include means of communication between corps, assistance with fund raising, and online entertainment.  These new services are especially useful to drum corps struggling to survive, host organizations that no longer have communication with competitors, and affiliates who cannot interact with these two groups.  The initial launch took place in September 2005 and a full launch is planned for April, 2006.  By then we plan to have the following services active.

  • Website information and signup/registration for host and corps.
  • Forums, advice columns, resource list for information and other resources on the web.
  • Online games and other fundraising activities.
  • Online show listings, corps events, and ticket sales.
  • Purchased equipment on hand to reduce the costs and difficulties of hosting.
  • Online auctions for sale of instruments, shows, props, and equipment.

 

Production and Delivery

 

The key factors in our service delivery include web technology, security, and stability.  Our future facilities will need business zoning and business lines for communication. 

 

Market Analysis

 

Market Definition

 

The drum corps market in general is neglected. The market for division II & III, senior corps, and alumni are presently untapped.  There is a great amount of people involved in these classes in the Midwest area.  With the financial downfall of recent associations there are currently no organizations that will accommodate these corps.  They must find a new organization or fold.

 

It is common knowledge among drum corps that communication and cooperation between the drum corps and its associations have diminished to unproductive levels.

 

The largest amount of people involved in drum corps are in the scholastic, junior, or alumni corps in the smaller divisions.  However, the only drum corps organization left in the Midwest does not support them or meet their needs.  Currently, the market distribution is shared by 2 participants, with Drum Corps International considered the market leader.

 

It has been proven that with proper support, drum corps activities will continue to increase in size and number.  Due to lack of support the current trend is declining.  In the last year alone there were more than 15 corps that were forced to go inactive.  This trend can be quickly turned around into a growth with the vacancies left by the deactivations and attention from the media.

 

Prospective Member Profile

 

Drum Corps Networks target market includes all sizes of drum corps, hosts and fans in the Midwest region. The typical member of our service is someone who puts a premium on information, communication, and assistance on financial and other services for drum corps issues. We welcome all drum corps that have been displaced as well as anyone else who meets the criteria

 

We will reach these members by using the internet, word of mouth, drum corps events, mailings and presentations.  Using these means of communication we will reach and notify inactive corps of our presence and they will join our organization in order to continue.


Competition

 

DCN is a nonprofit organization so ‘competition’ is not a factor.   Organizations that operate in this market are DCI, DCA and DCM. Not all organizations charge competitive prices or permit corps of all sizes, talents, or ages to participate.  The ability of DCN is the capability to allow all active drum corps to participate and grow with our services.  We also provide services that are far beyond what other organizations provide for members with a less costly membership dues.

 

Our strategy for success is to be more cost effective, provide a wider range of services, better communication, and use of modern technology for promoting and marketing.

 

Risk

 

The top business risks that DCN faces as it begins to enter the Drum Corps arena is that we will not gain interest and members, or that we will be under funded.

 

 

Marketing Plan

 

Responses from organizations indicate that they are very interested in our services.  Even existing drum corps organizations from other areas would like to collaborate and implement our business plans and services for their use.  With a small investment in a targeted mailing to high schools and existing drum corps to notify them of the opportunity we would expect strong response.       

 

DCN's marketing strategy is to in expensively notify perspective members and hosts that the opportunity to continue participating in drum corps is available through us.  Since the key to our business is ease of use and a supporting image we do not require expensive or aggressive advertising or sales techniques

 

Advertising and Promotion Strategy

 

Because of DCN's special market characteristics, the only advertising we expect to do is to communicate at regular drum corps association meetings that we exist and a direct mailing to all high schools of large enough capacity to support drum corps as well as existing drum corps.  These simple acts notify all people involved in and all potential drum corps members of our services and that they can join or participate.  Since there are a limited number of companies that produce products for drum corps and are capable of sponsorship we will use direct communication to these companies marketing divisions.  Once we are established word of mouth and internet activities with people close to our members will continue to spread our name to others who may be interested in participating.

 

Public Relations

 

During 2006, DCN will focus on the following publicity strategy.  The fact is that drum corps instills discipline, respect, and responsibility in the members participating with them.  Pulling family members, schools, organizations and other groups together for competitions generates local sales, support, and fundraising as well as interactivity that is beneficial to the community.  By providing a positive image, strong ties to the community, and great public relations we expect strong public support that is the foundation of non profit organizations for both our activities and funding.

 

 


Financial Plan

 

Drum Corps Network plans on securing grants provided to non profit, educational, youth activities, community orientated, and/or musical arts.  We have projected our first years need for grants to be $5000 but most organizations with this level of functions are granted up to $10,000 and as a non profit organization we can take tax deductible donations.  With our projected operating expense we plan to purchase phone lines and other equipment that will be beneficial to our organization.  The funding that we obtain over our operating expense will be used to purchase equipment that will optimize our procedures and reduce operating expenses over the long term.  The necessary purchases for internet presence and direct mailing have already been funded and even expended.

 

Conclusion

 

Drum Corps Network is now poised over the drum corps market of the Midwest with minimal competition and great potential as a public organization.  DCN has enough officers and supporting organizations to operate for the first year and expects to see only growth in both members and funding over the successive years.  Overall the timing that DCN has been setup up could not be more beneficial.  The paradigm DCN will be operating in provides an excellent opportunity for success and service to the community.  DCN plans on staying focused on community and individual improvement and supporting organizations that will in turn support them.  There could not be a better time or place to start an organization like Drum Corps Network.