"destra is about "Empowering the Consumer" - to put customers back in control of how they listen to music, how consumers experience entertainment and how they share this experience with people from other social networks like Facebook and MySpace, and at the same time, allow consumers to determine how marketing and advertising is presented to them"
With the acquisition of Magna Pacific, destra has officially transformed itself into the largest independent entertainment company in Australia across music, film and theatrical. destra didn't start off as a digital media company.
By way of history, destra listed in May 2000, just after the dot com crash. The core focus then was online music, especially through MP3.com.au, which was one of the most searched term. From the revenue perspective, it was not getting traction as the dot coms that were spending money in this industry. The business model took a slight re-focus of attention to hosting. destra became the top three web hosting company.
From a series of seven acquisitions, we built the second largest virtual hosting company, ending in the sale of destra Hosting to Bluefreeway and being transformed into WebCentral today.
The market is now ripe forward for the online music and entertainment industry. Online music is booming and digital content is becoming a lot more relevant in the market place. destra has gone out and re-focus back into digital media. Some may say, destra is going back to the future, doing all that we were doing in 2000.
To steer the company towards this focus, for the last 18-24 months or so, destra has acquired twelve companies in the media and entertainment space.
destra is about "Empowering the Consumer" - to put customers back in control of how they listen to music, how consumers experience entertainment and how they share this experience with people from other social networks like Facebook and MySpace, and at the same time, allow consumers to determine how marketing and advertising is presented to them.
destra's strategy is based on three cores, which drives our acquisition strategy:
The first strategy is to "acquire content" across music, brands, film and theatrical in Australia as well as internationally. The second part of destra's strategy is to "build communities" to get closer to the customer. And the third strategy is to monetise the content by way of selling content and selling advertising surrounding the content. Ideally, content can be given away for free but wrapped in targetted advertising, which will be relevant to the consumer.
So the business generates revenue by selling content - both physical and digital content; and selling advertising on communities, through third party represented media like ESPN, Star TV, as well as through destra's own online properties.
Some of destra Customers and Partners include Big W, Prime, Sony BMG, Coles, EzyDVD, Harvey Norman, EMI, Dick Smith, JB Hifi, Universal, Warner Music Group, HMV, TVNZ, Quickflix, Video Ezy and Blockbuster.
With regards to acquisition strategy and integration, destra has very much been built on going out there and agressively acquire companies and growing organicly. This process is built on 3 key steps: Customer integration, Systems and Technology and People.
To find out more about this video review by destra's CEO, Domenic Carosa, please follow the link below:
Go to CapConnect to watch the actual Video Presentation with our Annual Report presented side by side here >>