2013 first half of the video industry advertising prices are expected to increase 30%

Absrtact: In the first half of 2013, the whole industry advertising price is expected to rise 30%, this year or one or two earnings in 2012 China online video site pattern is becoming clearer, the purchase cost of the decline, advertising revenue growth drive, making the industry profit model increasingly clear, but up to

2013 first half of the video industry advertising prices are expected to rise 30%, this year or one or two profit

The 2012 China online video site pattern is becoming clearer, the purchase cost drop, the advertisement revenue growth drive, causes the industry profit pattern to become clearer, but still does not have a video enterprise to be able to realize the real profit by now.

If blocked, looking to 2013, more video sites will start to focus on the mobile end, advocating "multi-screen strategy" Enclosure mobile video, Gongchenglvede to break the "profit of the sleepy." As bandwidth costs and content costs continue to fall, will this new revenue growth channel bring the video industry closer to earnings forecasts?

Profit or not also see content price

"It is possible that there are one or two profitable video sites this year," he said. "Tencent Online video Department general manager Liu Chunning in an interview with reporters in south, said a platform in the server, bandwidth and content procurement costs over 1 billion, can play video industry." "It may take some time for the whole industry to make a profit." Although the income relative to the past has increased 3-4 times, but the content cost is still relatively large, the profit still depends on the whole content price rationality. ”

All along, the content cost is the video enterprise's "sore spot". The high cost swallowed up the profits of the video business and the profit outlook blurred, but now the fog has been brushed off to see the sun. The television production industry, said reporters to the south, the TV network copyright prices in 2012 has dropped 1/3, the proportion of the quality of the drama fell even greater.

"Early last year the fall was obvious and now it has entered a smooth phase." "Archie Art CEO Gong to the South all reporters, 2011 higher copyright prices, the medium play price of about 800,000-1 million, high to 1.1 million-1.2 million, but now the middle play is all in 250,000-300,000; The 2011 hit show is 1.5 million, now 500,000 up and down.

But Gong said: "The current price is higher than the development level of the entire industry." If the unit price drops, the same input to buy more drama, traffic, advertising revenue on more, is such a benign logic. ”

The combination of Youku and the video alliance has greatly increased the power of bargaining in the copyright content of the video enterprise, and the cost control ability has been significantly improved. Eric Consulting analyst Hua Huawen that, network video users reach 450 million, become the first large Internet service, advertising value by more and more brand advertisers pay attention to profitability has been strengthened.

Exerting force to preempt moving end

At present, the video companies have published mobile end of the growth data, showing 2013 years of mobile video will become the main battlefield of the industry. Gong said that 2013 will be the year of mobile video advertising, mobile video advertising is the savior of mobile media ads.

He made two points: first, mobile video from the end of last year to the current outbreak of growth, to Archie data, the December 2011 mobile terminal traffic accounted for less than 4% of the total flow, has now reached 33%. Second, the original advertisers to mobile media has been in the state of no fixed budget, But because the mobile video is now completely multiple-screen, advertisers see mobile video connected to the video on the PC. "It is chasing people, not chasing equipment." So customers will move the TV budget to the PC screen, mobile screen advertising budget, as a scale of income. ”

Mobile Internet era, "multi-screen strategy" Enclosure mobile video, is the most important video enterprises. Tencent Online video Department general manager Liu Chunning said that within 2013 years, Tencent Video will truly realize the application of the cloud video open platform. At present, Tencent has realized the application of cloud video platform, users can share the video on Tencent's own products, such as micro-letter, micro-blog, QQ space and other platforms. "2013, Tencent Video will push the real cloud video open platform applications, so that users can cross the platform in different scenarios, uninterrupted to watch the video." ”

And by the end of 2012, Youku's mobile traffic has exceeded the total number of visits of 20%, the beginning of this year mobile traffic has exceeded 100 million. Koo, chairman and CEO of Youku Potato Group, revealed that Youku will start offering mobile advertising solutions in early 2013. PPLive Website CEO Tao also said that the 2013 strategy is to create "entertainment interactive video New Media", focused on the "mobile terminal high-end user experience" upgrade.

In fact, the 2012 video site advertisers and advertising unit price compared to 2011 years have appeared a significant increase in the mobile end of the "multi-screen strategy" has further expanded the profit channel. Gong estimates that the first half of 2013 video industry advertising prices will rise 30%, the second half of the rise is difficult to guess.

Network video industry dispute who is "China YouTube"?

While the domestic video industry is still struggling to make a profit, YouTube, on the other side of the ocean, has come close to making a profit. The news was confirmed by Google's C-executive Eric Schmidt and said YouTube is now close to profitability after years of successive losses.

Re-examine

In a way, video sites, like E-commerce, have large enough market sizes to allow long-term investment in business models. But the real value of the yout Ube model is clearly underestimated. In a recent Google conference call, Google executives revealed that yout Ube has achieved 2 0 weekly video viewing volumes (about 2 billion times a day on YouTube), with commercial levels up 50% per cent year-on-year.

Over the past few years, the world's largest online video, YouTube, despite its endless scenery, has been repeatedly criticized

Weak revenue capacity, that is, UGC (user generated content) is difficult to attract advertisers. Yet another model of the US video site H Ulu, which offers genuine television and television shows, has sprung up in China. This also let Youku, potatoes in the foreign market has cleverly packaged the concept of Hulu into, even in 2010 on the line of love odd art directly copy H Ulu mode.

But the problem is that copyright prices soared, hot domestic TV series from 2008 ago to sell video sites of thousands of yuan to the 2012 has risen to Baiwan, in high copyright costs and sustained losses under the weight of the direct result of the video industry shuffle and integration.

Today, the early imitation of the Y out ube mode of video site potatoes, 56 nets and Youku, in fact, only 56 of the network is still in the long-term focus on the construction of the U G platform, and the 56 network selection and the merger of all companies also highlighted to the class YouTube model to adhere to the determination.

Winner?

So can China still have a video site as powerful as YouTube? There are still variables, but the final battle is likely to be between 56 nets and Tudou.

In fact, UGC has been the domestic video site to pay attention to, and homemade content into a video site to create content differentiation components. Copyright owners are still in happy enclosure, but behind the surface of prosperity is the higher costs, more and more profit pressure. Those active copyright owners either have a strong capital and platform support, or the same industry together to hand in order to reduce costs. Although Archie Art, Tencent Video is recognized as "rich second-generation", commonly known as the money, but also expect to have UGC content to the construction of competition barriers, such as the second half of last year, the spread of Archie Art want to buy cool 6 news.

With Youku gradually solid industry first position, after the purchase of potatoes want to hold the position of the second, but Archie Art, Sohu Video, Tencent video are trying to scramble for the industry's number two. And the industry's fear of Youku's acquisition of potatoes is becoming a reality, and the two-brand strategy, released late last year, "Youku better, more potatoes", does not stop the potato's decline.

The Alexa data survey found that in the ranking of integrated video web site visits, Youku is still the first place to do it. But starting from December 10, 2012, 56 net has surpassed Tudou to become the integrated category video website second, and the gap is still growing. The two diametrically opposed flow curve has witnessed the changes of two websites over the past few months. Youku will not focus on doing UGC, after the listing of revenue pressure so Youku can only spend more money to buy the copyright play. The remaining 56 nets, potatoes, cool 63 focus on UGC video site, Cool 6 was a grand acquisition after the poor performance, transition strategy long way. Everyone company mergers and acquisitions 56 nets, saw the network video huge market potential, gave the Zhou Juan led by the 56 net founding team of great support. And in the past year, 56 web mining boutique UGC, increased self-control content input, at the same time backed by everyone with video social. Who is most likely to become infinitely close to the "China YouTube" video site when Youku, potatoes and cool 6 get lost?