A brief analysis of value chain system and profit model of navigation website

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Site navigation site to place a number of sites accurately on the same page, and provide a variety of practical, convenient query functions, to a large extent, to adapt to the Chinese Internet users, especially the primary users of Internet use behavior habits and internet demand. It can be said that the Web site navigation sites by the domestic Internet environment and the needs of netizens to catalyze the derivative of the "distinctive" internet products, in the Internet access occupies a very important position.

According to the latest release of the "2011 China Navigation website Market Research Report", China's navigation site value chain mainly by the navigation site, navigational competitors, Web resources, advertisers and users constitute the multidimensional participants affect the development of the market. Currently, the main sources of revenue for China's navigation sites include the sale of advertising space, the sharing of cooperation with advertising alliances, and the charging of a certain fee to the linked web site.

Navigation website, navigation competitor, website resource, advertiser and user constitute the value chain system of Chinese navigation website market

Value chain system of Web site navigation

Website navigation site through a collection of various types of Web resources, two push link information to users, three times to sell advertising space to advertisers, four times will be the main advertiser and the site is included docking to complete the main operating process of the site. Among them, includes the website and the sale advertisement layout also may carry on concurrently. Participating in the navigation operation process of various stakeholders, constitute a relatively closed value chain system, but also to consider and evaluate the navigation industry development status of the important factors.

Navigating the competitor is the main force that sustains the navigation value chain. The core competitors in the current navigation market are the home of hao123 Web site, 360 security navigation, Sogou navigation, 2345 Web site navigation, and so on. The dormant competitors with navigation websites for Internet access are mainly Baidu, Google and other search engines and browser blank pages; Potential or possible alternative to the user navigation habits of the edge of the competitor has Baidu new home and other sites and services.

All kinds of web resources and advertisers are the suppliers and consumers of navigation value. They are not only navigation site content providers, but also rely on navigation platform for their own website or advertising information to promote, therefore, there are some advertisers and various types of Web site resources overlap phenomenon.

The user is the carrier of the navigation website value. Navigation site through the collection of various quality sites to attract a large number of user resources, and then the user's attention to sell to advertisers, so the user is the core of the value of hosting navigation sites.

China's web site navigation website's profit way, determines that the market in the rapid development will encounter bottlenecks

The rapid development of navigation websites in China is related to its concise and clear profit model. Its main profit model is as follows:

First of all, the sale of advertising page is the most important Web site navigation profit model. With the Web site navigation more and more attention to the user experience, as well as the further development of the navigation site itself, the current Web site navigation on the page of the hard and less advertising, picture ads, pop-up ads, animated ads and other forms are increasingly rare, text link ads become the main form of advertising. Therefore, the advertising layout here is mainly refers to the navigation site under the various sections of the text link location, as well as a small number of navigation home banner ads.

Because of the advertising performance and the reduction of the number of advertising, advertising ads to the layout and location of the competition further intensified, advertising time is limited, the number of different types of advertising and the proportion to maintain a certain balance, some of the popular layout may also need to pass the bid ranking to achieve the final selection of advertisers.

Second, in collaboration with the Network Advertising Alliance, access to income sharing, is the Web site navigation more conventional way of profit, the general Web site navigation website through the Baidu Advertising Alliance, Google Advertising Alliance, Taobao Alliance and other Network advertising alliance to publish advertising inventory, where the advertising inventory can be hard advertising, can also be soft text ads, can also be sales of the low level of two page advertising layout.

Again, site navigation site will be linked to the site to charge a small amount of audit fees, promotional costs, or income sharing. The current revenue-generating approach is not the main way to monetize Web site navigation, but there may be a slight increase in some special collaborations in the future. such as in addition to text links, the video site, buy the specific content of the site directly pushed and presented in front of the navigation users, navigation sites can participate in the flow of contributions to the income sharing.

Overall, the navigation of the site's operating model, on the one hand, in China's current netizen quality and use of the background, can quickly gather the user size, and to attract the attention of business owners and advertisers, so as to promote the rapid expansion of scale. On the other hand, the sale of the page is the most important navigation site profit model, but the limited navigation site layout resources, the main way to improve the advertising revenue is to improve the advertising layout price. Therefore, the navigation website wants to promote its own profit level the continuous enhancement, will encounter the bottleneck, this limits the market future development the scale.

The "2011 China Navigation website Market Research Report" was recently published by Iris Consulting. The report in detail combed the development of China's navigation Web site, as well as the market characteristics of the navigation site market, and looked forward to the future development trend of the industry. Through the systematic study of the market, Eric consults with a view to provide some reference for the practitioners of Chinese web site navigation, and to provide beneficial help for the sustainable and healthy development of the industry.