Ah, Barry, betting on honesty, unique walking 2.3 billion paid search

Source: Internet
Author: User
Keywords Search engine Alibaba honesty

Intermediary transaction SEO diagnosis Taobao guest Cloud host technology Hall

"e-commerce is in the virtual network platform, if there is no good faith, and finally do business." Said Ma Yun, CEO of Alibaba, a business-to-business E-commerce service company.

Prior to March 10, Alibaba launched a network of businesses tailored to the search engine, the product in addition to the existing technical aspects of search products to further highlight the rapid, accurate, massive characteristics, but also because of its Alibaba's "good faith Through Index" as a search ranking standards and eye-catching.

Unique

And the current popular "bid rankings" in different ways, in Alibaba's new search products, its search results ranked only one of the criteria-Alibaba design launched its own "integrity Pass index."

"Good faith Pass Index" is a set contains the integrity of the status of the comprehensive scoring system, it will be the credibility of the network and other factors such as the specific score? It is an important standard for the network to understand each other and choose each other.

One of the important information bases of "good Faith Pass Index" is the good faith pass file.

Alibaba in the construction of the business platform, the integrity of the file is the integrity of its members must fill in the basic information, used to reflect and show some of the basic integrity of members of the situation, and composed of four parts: A&V certification information, Alibaba activity record, member evaluation, certificates and honors.

A&V certification, refers to the certification body to "be certified company legal existence" and "certification of the applicant is a certified company" verification. A&V certification information includes the company's registered name, address, the applicant's name, the department and the position, and at the same time need to issue a corresponding business license issued by the department. Businesses that provide business information must first pass this certification.

At present, with the cooperation of Alibaba THIRD-PARTY certification bodies A total of five: Huaxia Enterprise Credit Consulting Co., Ltd., Xinhua letter Business Information Co., Ltd., Shanghai Jie Sheng Business Consulting Co., Ltd., has nearly 160 years of historical business Information investigation company Bradstreet company? D&B, Asia Australia and America Consulting Co., Ltd.

Alibaba activity record, refers to a network of business in the process of credit performance, and with Alibaba to participate in the integrity of the system construction time. The longer the time, the more can prove the credibility of the network business.

"If the future has been in this good faith through the business community to prove their integrity, that the company's future integrity index will be very high." The gap has not yet been drawn, but I am absolutely confident that the longer it is, the greater the gap will be. "said Jin Jianhang, vice president of Alibaba.

"Good faith Pass index is not oneself sings karaoke OK, entertain themselves, so index is useless." Index is useful because there are business activities, and there will be business activities must have buyers and sellers, have partners. In this process, other members will be on your business to conduct continuous evaluation and judgment. You do well, others will give you praise, you do bad, people will give you a bad rating. This one is very powerful. ”

Asked how to avoid mutual malicious attacks between corporate members, Jin Jianhang also sacrificed two magic weapons: first, only the integrity of the members can have the power of evaluation; the second is to leave the file after the comments, not anonymous, must be open, "thus playing a mutually binding role."

At the same time, such as ISO system, such as industry certification will become a member of the credibility of the important reference elements.

In the current popular "paid search", advertisers can either pay according to the location of the "keyword" or pay for it in the form of ads displayed in the search results. For example, if a user tries to search for information about steel, the billing advertiser's information is ranked at the top of the search results. This is also currently the most popular "bid ranking" fee search.

One of the main reasons why paid search is so popular is that advertisers can decide where their information is in search results.

But after "integrity" has become the standard of search results rankings, "who has more money, who in the search results ranked more in order to the former" situation will be changed.

"Alibaba's mechanism is a kind of good punishing evil mechanism, we will use priority rankings, to recommend to other customers and other ways to reward those who have good faith records." Mr Ma emphasized.

It's been a long time.

Wu, Alibaba's CTO (Chief technology Officer), Yahoo search engine patent inventor.

Industry experts say, a search product from research and development to listing, generally need 3 to 4 years time, and also need excellent technical staff, excellent research and development environment and a variety of other resources strong support.

Wu to join Alibaba Time is May 2000, from Alibaba March 10, 2004 officially launched the search product almost exactly 4 years time. Apparently, Ma Yun has already begun to pay attention to search domain as early as three or four years ago, and Wu is Help Ma yun to open this domain golden key.

"Existing search techniques, including several recent industry searches, are mostly about the number of pages searched and the speed of searches, but the focus on the characteristics of specific groups of information needs is far from enough." Alibaba as a business-to-business e-commerce site, in this respect with other companies can not compare the research and accumulation. Wu said in an interview with reporters.

Wu said that "other companies can not compare the research" means that the search products for Chinese, English and Japanese three languages language habits and expression logic, the most likely to automatically identify the filter and search the user search information unrelated to the Web page, so that users quickly get a number of strictly limited to the search terms to represent product range of supply and demand information. And "Other companies can not compare the accumulation", is Alibaba relies on one of the most important basis, that it has been established so far has more than 3 million of the membership information. The identity of these members is basically China's small and medium-sized Enterprises, is a group with a certain wealth, but also in the growth period of the enterprise.

No doubt, the above information provides vital database resources for its search products.

Hegemony of the Great Powers

Search engine as a bridge to connect the Internet, more and more people pay attention to, but also gradually become a relay advertising, SMS, mailbox after the network economy another income growth point. China's search engine market reached 500 million yuan in 2003, compared with 2 in 2002, according to Iresearch, a market consultant. 300 million has grown by 117%, showing strong growth in the search engine market.

Iresearch concerned about the search engine market, including IE Address bar search, site Landing, fixed rankings, bidding rankings, such as a variety of revenue modules, the specific income includes operators and agents revenue.

According to iresearch estimates, the Chinese search engine market in the next three years will grow by 60% to 70% each year, to 2004 the Chinese search engine market can reach 8. 400 million yuan, 2006 can reach 2.3 billion yuan.

In the face of such a tempting cake, Yahoo, Google, Microsoft, Baidu, 3721, Sina, Sohu, NetEase and other domestic and foreign enterprises Wenfengerdong, the search market dramatically unpredictable.

The former king of search, but Yahoo, which had turned into a portal in the late 90, returned to the search market again in 2003, and bought a paid search pioneer Overture, search technology company Inktomi, and search engine AltaVista. As of the fourth quarter of 2003, Yahoo already had 63% of its revenue from search services, with revenues reaching a record 600 million dollars. Yahoo's profits rose 470% in 2003 to 2. 4.5 billion dollars, sales rose 57% to $1.5 billion trillion, the two figures were at record highs.

Yahoo's success is due to Yahoo CEO Semel, he is the search service as a core part of the company's operations, "the whole of Yahoo and search, to expand the global search business."

At present in the domestic, Baidu and Google in the search engine market are in a leading position. But because Google is only using agents to carry out services rather than take root in the country, so its development prospects remain to be seen.

As many search engine providers begin to blade, there will be a new strength in the market-Microsoft.

Industry analysts have said: "Everyone is waiting for Microsoft to enter the search market." In addition, Microsoft's top executives have said that Microsoft is interested in being a participant in the search market. In fact, Microsoft has been providing paid search services through overture. But the partnership has ended after Yahoo's takeover of Overture.

Previous sources said that Microsoft is developing its own search engine technology, and is expected to be officially launched this year. "It's a smart move for Microsoft to integrate its search services into the operating system," said one market source. "But that is why other people are worried because once Microsoft's use of the product bundle, it will undoubtedly pose a significant threat to Google, Yahoo and the domestic search market."

Xiangzhong?

Ma Yun's word may have another implication: "In the game under the rules of Alibaba, we must adhere to this mechanism." Perhaps three years later, Alibaba's integrity business will become a new industry standard, in business, people will be the integrity of the user as a factor to consider. ”

If you look back at Alibaba's history, it is easy to see what the rules of the game Jack Ma said. Since the establishment of the early 1999, the concept of "good faith", by March 10, 2002 launched the world's first interactive online credit management system "good faith", and then March 10, 2004 based on "good faith" on the basis of the "good Faith Pass Index", you can clearly see the "integrity" of the context.

Ma Yun's game rules in practice has also begun to show its good results, according to statistics, Alibaba "good faith" members of the turnover rate and feedback rate is its free membership of 4-5 times. 2003, the integrity of the members to break through the million mark, and now has reached more than 40,000, and is increasing the number of two hundred or three hundred a day, this year to break 50,000 will not be a problem.

And Alibaba for each honesty pass member's Charge standard is 2300 yuan per year.

Another product of the same binding credit management system "Chinese suppliers" (mainly for overseas markets), the current revenue accounted for the entire Alibaba total income of about two-thirds, each of its members charge an annual fee of about 60,000 yuan ~8 million.

According to reporters understand that the current number of small and medium-sized enterprises in the domestic roughly 12 million, most of them have been on the Alibaba website has left a transaction record.

Alibaba related responsible to reporters rough calculate: If these small and medium-sized enterprises in 10% or 1 million enterprises will become the integrity of the membership, then Alibaba a year's income is reached 2.3 billion yuan. Moreover, the 2.3 billion yuan does not include "Chinese suppliers" who charge far more than "bona fide" members. If this part is counted again, then Alibaba's income of one year will be considerable, "perhaps is astonishing".

Abandon "fee search" huge cake does not rob, and concentrate on their own single-handedly build "integrity community" construction, perhaps is Ma Yun's Shing.

Alibaba's CTO Wu stressed, "search engine used to be, now is, the future is our core technology."

Faced with an enticing search economy, Alibaba has never said that it will not participate in the "paid search" of the cake. Insiders have also revealed that Alibaba is likely to adopt a new model to compete.

Is it Xiangzhong, Etian?

Related Article

Contact Us

The content source of this page is from Internet, which doesn't represent Alibaba Cloud's opinion; products and services mentioned on that page don't have any relationship with Alibaba Cloud. If the content of the page makes you feel confusing, please write us an email, we will handle the problem within 5 days after receiving your email.

If you find any instances of plagiarism from the community, please send an email to: info-contact@alibabacloud.com and provide relevant evidence. A staff member will contact you within 5 working days.

A Free Trial That Lets You Build Big!

Start building with 50+ products and up to 12 months usage for Elastic Compute Service

  • Sales Support

    1 on 1 presale consultation

  • After-Sales Support

    24/7 Technical Support 6 Free Tickets per Quarter Faster Response

  • Alibaba Cloud offers highly flexible support services tailored to meet your exact needs.