Do not underestimate reeling - they are the main payer of the mobile network

For Internet industry practitioners, Chinese Internet users do not like to pay, which is almost a formula, so for Internet entrepreneurs in China, if they are advised to charge users directly, they think you are harming him. However, common sense is often the wrong knowledge. YX founder Li Xueling believes that it is directly to the grassroots user billing model, resulting in the scale of Tencent and Taobao today. Of course, YY is also a practitioner of this model.

Outstanding features of large companies: get through the channels directly to the user charges

In his dialogue on "Innovation Conference" at Geek Park, Li Xueling specifically mentioned his observations and reflections on several major Internet sites in China.

He said that, as Sina, Netease, located in the media company, the main income is from advertising, such as Sina, about 80% of the revenue from advertising. In this mode, readers do not give money, giving money is not necessarily a reader, so that the media can not be realized a lot of value. Whether it is Sina, Sohu, Tencent, Netease are like this.

And now truly large-scale companies, are opened up directly to the user billing channels. Companies that charge users directly are typically at least 5 times more expensive than companies that charge third parties. We know, Tencent is to charge users, relying on QQ established platform, Tencent 90% of the revenue from individual users pay business. Needless to say Taobao, mainly to shop owners in their platform charges, of course, is to directly charge users. In Li Xueling's opinion, even Baidu is a direct charge to individual users.

In Li Xueling view, it is this difference between the charging mode, determines the size of the income of different companies. And strongly recommend that Wang Xiaochuan Sogou, users charge immediately.

YY: Directly imitate the essence of Tencent's success

Li Xueling said that for the Internet's understanding, we experienced such a process: "The first day, we think that the Internet is a technology product; the next day that technology is not the media; the third day to understand, not the media, the Internet is a person Service platform, the Internet is to provide people with services, and ultimately those who receive services should pay for the service, this is the most benign business model. "

Tencent is doing so, Li Xueling is also leading YY continue to do so.

According to YY's earnings report, from 2009 to 2012, the proportion of advertising revenue dropped from 57% to 15%. By 2012, games and online music combined accounted for 75% of revenue, and the two businesses are obviously more focused on charging individual users.

YY was founded in 2005, its advertising revenue accounted for a substantial decline in 2009. According to this projection, Li Xueling want to understand this truth, it may take four years.

Did not grasp the grassroots users of enterprises, the basic floating in the sky

Who really spend money on the Internet, in the end is rich and handsome, or grassroots? Li Xueling's view is: "a lot of rich and handsome, the basic never spend on the Internet."

In Li Xueling's opinion, grassroots are the core users of China's Internet. Any truly successful company must grasp the grassroots users. If this is not done, it will basically float in the sky. Moreover, he still has concrete evidence. He said that the existing large companies in China all deeply grasp the needs of grassroots users, such as Taobao, which can make every second and third tier city sellers be able to survive. Tencent is even more grassroots company from the bottom of his heart.