NEW YORK, Aug. 8 /PRNewswire-FirstCall/ -- BurnLounge announced today a
new next-generation community powered digital music service that enables
passionate music fans to easily sell the music they love to like minded music
consumers.  BurnLounge has pioneered a new consumer-driven retailing model
that offers fans proprietary software and access to a large catalog of digital
music allowing them to operate their own digital music store.
    The BurnLounge service will be powered by Loudeye, BeatPort is the
company's software development and technology partner.
    Slated to roll out this year, the BurnLounge service creates a unique
opportunity for anyone to join the exciting music industry either as a fun
hobby or a full-time money making venture.


    Founded by industry innovators Alex Arnold, Ryan Dadd and Stephen Murray,
BurnLounge draws on the power of peer relationships and shared interests of
its seller community. With this "concentric" retail model, BurnLounge provides
record labels and artists with unique access to an innovative, new platform to
promote their music.
    "We are introducing the corner record store to the digital music
landscape. We wanted to recreate an environment where music is sold through
relationships and referrals within a neighborhood or community," said Ryan
Dadd, co-founder, president and COO of BurnLounge.  "This is a unique
opportunity for anyone who has ever dreamed of becoming a part of the music
industry. BurnLounge provides them with a platform to run a legitimate
business and have fun being in the mix with their favorite bands and artists."


    "BurnLounge has really defined a new marketing channel for the music
industry," said Stephen Murray, co-founder, president of entertainment and CCO
for BurnLounge. "We are expanding the sphere of influence for artists and
connecting people to their music in a more meaningful way. The music industry
has spent years making music for the marketplace, but BurnLounge creates a
marketplace for the music."
    Added co-founder and CEO Alex Arnold, "The music industry has used street
team marketing for years, encouraging passionate music fans to personally
endorse the music they love in their communities. We are taking it to the next
level by enabling fans to complete the transaction by actually selling the
music as well."
    BurnLounge offers a proprietary software for purchase called Independent
Content Editor (ICE) that allows invited participants to become part of the
BurnLounge retailer community.  Participants may join by an invitation from
any BurnLounge affiliate's site. The ICE software, which costs $29.95 /year
and uses a simple point-and-click interface, helps retailers develop their own
customizable, fully functional music download stores that suit their own
styles and preferences. They are then able to draw from a vast music catalog
from major and independent artists alike, which they can sell for 99 cents per
download. Once they've hung their digital shingle, retailers are able to
decide what degree they want to build their seller community using three
subscription levels:

    -- Fan:  Free with purchase of site's Independent Content Editor (ICE)
       software. Music fans are able to sell their favorite music or anything
       from the BurnLounge catalog, and earn BurnRewards points, which can be
       exchanged for products, services or music downloads.
    -- Affiliate:  An additional $6.95/month.  Same as above, but affiliates
       can redeem BurnRewards points for cash. At this level they also have
       access to BurnLounge Business Management Software Gold, which helps
       track sales and trains them to grow their business by allowing them to
       recruit their own team of affiliate retailers. Affiliates can also
       receive income from a portion of the team's revenue generated through
       the BurnLounge shared compensation program.
    -- Music Mogul:  An additional $215 one-time set-up fee and $14.95/month.
       Everything above and retailers have access to Business Management
       Software Platinum, which allows their teams to build teams. Moguls can
       apply the shared compensation plan to their viral community of music
       fans, affiliates and other music moguls, which they can manage and
       build.  Also at the Mogul level retailers have access to VIP events,
       discounts on exclusive merchandise and services, and more.

    The BurnLounge shared compensation model utilized in the Music Mogul
Package takes the best elements of the multi-billion dollar a year affiliate
marketing model used by such technology leaders as Amazon, eBay and Google,
and combines them with the most effective strategies of the $100 billion
network marketing industry to create a new concept called "Concentric Retail."
The BurnLounge Music Mogul Package is focused on selling music and enabling
its retailers to receive additional compensation from creating multiple points
of retail.

    About BurnLounge
    BurnLounge is the first, next-generation, community-powered digital music
service enabling music fans to discover and enjoy music, as well as operate
their own digital music stores and evangelize the music they love.  Through
this innovative model, BurnLounge provides record labels and artists with a
new fan-driven promotional channel.


BurnLounge Profile