1. All about guitars LTD «Neon Plus» By Eduards Aksjonenko

2. About us Mission: To make music available to everyone
Vision: To become a leader in teaching how to play on a guitar worldwide
Values: Professionality, Technology and Responsibility

3. Historically different brands
Gitaruveikals.lv

4. Guitar news and lessons

5. Focus and rebranding Guitar lessons 85% Guitar repair/service 10%
Guitar rental 5%

6. About the company Estabilshed in 2010
Currently 7 empoyees (5 teachers, 1 administrator and 1 CEO = owner).
Leader in providing most pro and hobby level guitar lessons as a single music school in Latvia
Average turnover 70’ 000 – 85’ 000 EUR per year.
Guitar repair/service is outsourced

7. Business model
We are as a main communicator and manager for the lessons, keeping the high quality of the service
Everyone should focus on what he is good at
Need for guitars
Gitarspele.lv
Teachers
Students

8. 2 targets How to attract new customers by expanding the business
Create cost effective and profitable business model in long term

9. Guitar Lessons Providing guitar lessons 6 days a week
2 Guitar lesson rooms paralelly from 13:00 – 20:00
Lesson type: private or groups (2-3)
100 – 120 different students per week
Problem: market capacity of Latvia

10. Staff Teachers – educated musicians at the young age (22 – 28).
Most work a half load – 20 hours a week
Language skills: latvian, russian and english
Critical to have: professional methodology and guitar playing skills, enthusiasm, patience and being best at what he does.

11. Pricing Regular monthly lessons for students:
Private 59 EUR
In group 30
Regular monthly lessons for adults:
Private 69 EUR
In group 40

12. Target audience
Young people aged 12 – 28 (Latvian and english speaking)
Income – comes from family or generating on their own
Hobby level players at most
Problem: local market is small

13. Attracting new customers
Main marketing channels:
Guitar news and lessons on our web page
Free guitar lessons online (on our youtube and also in web page)
Social networks
Different coupon or gift card services
Organizing guitar player contests or events

14. Income and expenses Income Expenses Lessons total 6000
Office/room rent
600
Private lessons
1000
Administration and management cost
2000
Group lessons
5000
Teachers
3500
Guitar repair/service
700
Office expenses (internet, phone, paper etc)
100
Guitar rental
350
Homepage support
Income total per month
7050
Expenses total per month
6300
Income total per year
84600
Expenses total per year
75600
Profit/loss per month
750
Profit/loss per year
9000

15. What creates profit? Private lessons = 0
Group lessons with 2 persons = 0
Group lessons with 3 persons (maximum capacity per lesson because of rooms and skill match) = gain
The best is subscription: monthly regular fee.

16. Yearly flow of income per month1 2 3 4 5 6 7 8 9 10 11 12 9%
12% 5%
11%
10%
100%

17. Thank you for your attention