58 shares doubled in 4 months in the same city

Absrtact: With a magical website claiming to be 58 with the city, landed on October 31, 2013 in the United States NYSE. In just 4 months, 58 of the city's share price doubled more than twice times, among the top ten of Chinese Internet companies ' market capitalisation. The latest financial results show that 58 of the same city in the 2013 fiscal Year Battalion

To "a magical website" self-proclaimed 58 city, landed on October 31, 2013, the United States New York Exchange. In just 4 months, 58 of the city's share price doubled more than twice times, among the top ten of Chinese Internet companies ' market capitalisation. According to the latest earnings, the total revenue for the 2013 fiscal year in 58 was 145.7 million U.S. dollars, which grew 67.3%, net profit of 19.6 million dollars.

However, in the capital market, classification information is not a "sexy" concept. Large-scale marketing, decentralized customers and a large number of offline promotion team, complex platform to build, doomed this is a time consuming capital of the business model, until 8 years after the establishment of 58 with the city is officially accepted by the capital market.

In this regard, 58 of the same city founder and CEO Yiu Jingbo, 58 with the city to do is to China's latest information of this people to the Internet, so also adapt to become a "late" listing of a company. But the advent of mobile internet is speeding up the growth of the people, and therefore to the classification of information brought another spring.

"Passive" selection of grassroots market

58 The city was formally established in 2005, and this is the time for the rapid development of the Internet. Early in its inception, the recruitment plate is 58 of the city's development business focus, at the beginning of service positioning in white-collar this mature market, but in the end, they are in the service sector in the bottom of the recruitment advantage gradually appear. Yiu Jingbo told the south reporters, their demand for products and the traditional recruitment site, "Our products are lighter, simpler and more mobile, and thus attracted most of the service industry enterprises, blue-collar groups gathered in the 58 city of this platform."

Differentiated from other services in the white-collar recruitment website, grassroots recruitment has become 58 with the city a characteristic development business. Yiu Jingbo said, "The blue-collar market has more clients, this group is very large in China, and this market keeps relatively fast growth rate every year." He believes that grassroots recruitment is a manifestation of the internet of traditional industries, with the advent of the mobile internet era, the cost of the internet has been reduced, and gradually subvert the concept of traditional industries.

"In any city to buy tickets, to do a resume, see the company is limited, but in 58 in the same city every day can receive hundreds of companies recruitment ads." "In Yiu Jingbo's view, the 58 recruitment channel Mobile end plus the daily average of millions of people on the PC, blue-collar recruitment is unlikely to return to the traditional channels."

Active selection of fast "move"

Recruitment is the first 58 in the same city on the mobile end of the plate over the PC side. "Almost overnight, no one in our company is using a non-smartphone, and almost overnight you find that the Internet café is half empty, or you suddenly realize that your home computer has not been opened for one months." The high-speed development of the mobile end is the 58 of the city's unexpected. ”

In fact, Yiu Jingbo thinks, moving is the right thing to do: one is entertainment, like a game, and the other is life. In the past, 58 of the same city merchants many are not computer, so we originally envisaged closed loop is not able to build. But in the mobile era, such as the 58, a merchant-oriented version, he can interact with users in real time online, which is the real good place in the mobile age.

"We are the latest in China to the information of this people to the Internet, this dial people have never contacted the internet, and now we do not serve them, because they are too small, very dispersed." "Yiu Jingbo said that in the service of their accumulated losses in the first few years, the cost of service is greater than his pay, but only after the accumulation of a certain amount of economic benefits will appear."

"In fact, the proportion of mobile in our income is still very small, but the proportion of our investment has been very large." "At this year's earnings meeting, 58 per cent of the same city management said that the number of mobile user visits remained growing and that users were significantly more active in mobile terminals than P C, accounting for more than 40%, and monthly revenue growth from the mobile end reached two digits."

Closed-loop transactions will not exceed 10%

For the business model of innovation, 58 with the city was once sent to the transformation to do the service version of Taobao, but also introduced and Alipay cooperation. In this regard, Yiu Jingbo that the so-called Taobao is the formation of closed-loop, but the current 58 of the city's most transactions are under the line see completed, 58 with the city to provide the main information communication level of service.

"The real deal in the 58 city is not even 1%." Although we have done a lot of guidance, 58 of many product lines in the city also support this closed-loop transaction, but the actual situation is the transaction is basically not in the 58 city of this platform, Yiu Jingbo forecast, 10 years after the transaction in 58 of the proportion of the same city platform will not exceed 10%.

"Because the service itself is a non-standard, it takes quite a long time to evolve." Yiu Jingbo said that if the product standardization, the customer is mature enough, the merchant information level is also relatively high, like now Jingdong, the realization of closed loop is not difficult. However, Yiu Jingbo proposed that in China, 58 of the same city in the flow of this platform should be close to Taobao to match, but the current 58 of the city's traffic with Taobao than the difference is far.