Australia's largest stock trading and investment forum Australia's #1 stock forum

SYT

0.00%

0.1¢ syntonic limited

How good is your post, mate Logical, well-written, well thought...

First 215 Last

Share
Profile

Follow
al-pbs

489 Posts.

01/02/17

12:17

Post #: 22284296
Share

Originally posted by Relax1 ↑

As Freeway has been introduced for the first time in markets there is no userbase.
Instead of charging their content partners from the start, they have given them a lengthy trial period in order to gain critical mass in those markets, apply tweaks to the user acquisition and retention strategies, and to improve the stability of the base application. Having these content partners onboard allows Syntonic to fill the platform with enough offers to keep their growing userbase interested, and some of the content providers have now moved into other regions with Syntonic and are helping with credibility and viability of the product offerings. When Syntonic is selling their solution to other content partners in future, the metrics gained in relation to ROI for content providers will be a big selling point, as will the retention of current partnerships.
If they had attempted to monetise too early without enough users on the platform, ROI would not have been there for the content providers, and they may have lost these offers from the platform. Instead, the number of offers on the platform continues to grow, and this will attract more users, which will increase the level of investment from content providers. At the early stage, you have to take it hit on revenue, in order to achieve crucial growth in the platform. Content partners would be a lot less forgiving to early tweaks and changes and instability in the platform if they were paying full price.

Once a critical mass of users is reached and the trial periods end, revenue inflows will make up for these early quarters of low revenue.

The strength of Syntonic is their low cash burn, while it will obviously increase, at current rates they can survive if required for another 10 quarters, or 2.5 years.

Whatever people are reading into the lack of revenue from this quarter as to the viability of the platform to generate revenue in future, look towards the telcos and content providers who are involving themselves in continuing sponsored data discussions worldwide, and then determine if they would be involved if this was not a multi-billion dollar opportunity worldwide.

Multibillion dollar behemoths like AT&T, Verizon, Telefonica, Orange, Tata Communications, Salesforce, Reliance, Tencent etc, would not be showing continuing interest and investment in the space without a payoff opportunity.

Expand

How good is your post, mate
Logical, well-written, well thought through...
I was that close to hitting the sell button overwhelmed by all the negative posts. But your post just shows how important it is to keep emotions away and stay clear-headed.

SYT is in the right market at the right time
Thinking back to facebook/twitter/tinder and other platforms of the kind, it took them a while to start bringing in the revenue and look at their capitalization now. Not saying SYT is the next facebook, but the potential is very big... IMO

SYT Price at posting: 3.1¢ Sentiment: Buy Disclosure: Held
12 Upvote

0 Great analysis

Reply

Top Stories

Wealth Within weighs in on shock 4% inflation read – and stocks that could survive the gloom

Microcap Wrap: 5 explorers with news out today

RCE

Recce's R327 found effective against E.coli during clinical trial

LU7

Lithium Universe (ASX:LU7) board visits Quebec to engage key stakeholders

AVA

Ava Risk Group expands US presence with A$0.7M Substation Deal

Week 26 Wrap: Cerberus of inflation barks – rents, electricity & fuel – and world watches two elders bicker

CMX

ChemX Materials kicks off first stage works at WA high purity alumina pilot

LRV

Larvotto identifies new exploration target at NSW's Hillgrove, boosting shares by nearly 20%

SS1

Sun Silver gets that drill to thrill feeling from high grade hits at Maverick Spring

SVL

Silver Mines models five new calderas close to 396Moz Bowdens deposit

There are more pages in this discussion • 90 more messages in this thread...

First 215 Last

Add SYT (ASX) to my watchlist

How good is your post, mate Logical, well-written, well thought...

Top Stories

Wealth Within weighs in on shock 4% inflation read – and stocks that could survive the gloom

Microcap Wrap: 5 explorers with news out today

Recce's R327 found effective against E.coli during clinical trial

Lithium Universe (ASX:LU7) board visits Quebec to engage key stakeholders

Ava Risk Group expands US presence with A$0.7M Substation Deal

Week 26 Wrap: Cerberus of inflation barks – rents, electricity & fuel – and world watches two elders bicker

ChemX Materials kicks off first stage works at WA high purity alumina pilot

Larvotto identifies new exploration target at NSW's Hillgrove, boosting shares by nearly 20%

Sun Silver gets that drill to thrill feeling from high grade hits at Maverick Spring

Silver Mines models five new calderas close to 396Moz Bowdens deposit

Featured News