The transformation process of Hisense in traditional TV company to Internet

Hisense has been referred to as a "slow step" in the process of transforming traditional TV companies to the Internet. But Hisense is a big deal: and 11 mainstream video sites signed, will be the content of these sites integrated into a "good looking" app.

However, the Beijing News reporter learned that Hisense currently only with 11 of some enterprises in the purchase of content to do "aggregation" of things, individual companies still said will not "distribution" content with Hisense "aggregation", only agreed to operate their own independent app in Hisense TV. Hisense to do video aggregation, must "spend a lot of money."




The essence of
"aggregation" is to make platform





March 18, Hisense Electrical appliances and the future of television, Archie PPS, Phoenix Video, cool six, music, see, PPLive, Sohu Video, Tencent video, cool potatoes, excellent friends, such as 11 video sites, held a cooperative signing ceremony. Hisense, the home appliance manufacturer, has been the first in China to gather video sites to cooperate in signing contracts.





This cooperation is Hisense Electrical appliances to provide terminal equipment, the future of television as China's network of internet TV operating company's subsidiary, is the cooperation of the licensing side and content provider, mainly responsible for the content of the broadcast control; Other video website enterprises are content providers.





Conference, Hisense Electric general manager Liu Hong New commitment, "Hisense do not do content, only make video entrance." "He said Hisense provides products, Web sites provide content, mutual core interests in no way conflict, around the television this" big screen ", video website and Hisense Formation of" 1+11 "pattern will achieve the largest range of Internet video content sharing, and Hisense TV will become a" content pool ", to achieve the sharing and win the Super platform.





Liu Hongnio also revealed that, and 11 Internet video business cooperation products named "Poly Good-looking", in the form of app placed in VIDAA2.0, will be able to see all 11 Internet video content, no need to let customers download a single video site app, in the future to do video site unified entrance.





"To do video website of the unified Entrance", in the outside world, this embodies the ambition of Hisense platform. In fact, as early as in 2013, when Ali with Aliyun OS system to find TV manufacturers to cooperate, Hisense insiders said, Hisense TV will not carry Ali system, Hisense unwilling to let their fate in the hands of Internet enterprises. In many television machine manufacturers, Hisense Initiative awareness is particularly strong. According to the report of Hisense, its TV products have been the first Chinese flat sales for 10 consecutive years, and 4.5 million of the active smartphone users will reach 8 million this year.





ally: "It's impossible to do aggregates for free"





Hisense said that April 17 will be officially released with 11 Web site cooperation app "gather good-looking", Hisense Group chairman Zhou will personally platform.





and Hisense Cooperation of a number of video website insiders told the Beijing News reporter that their own money to buy video content let Hisense free to do aggregation, is impossible. No aggregation is the bottom line of the video company.





one of the video company insiders told the Beijing News reporter, "Hisense want to do polymerization, partners will give them the interface, so that all the content can be pooled to the sea cloud platform, and then Hisense want to operate what content, directly from the sea view of the cloud inside, said the people," if the short-term business model does not fall, Video companies are pure content providers that burn our CDN (Content distribution network) while playing, we do not earn money, and Hisense became party A, after a large amount of advertising, the title of some programs, it can do, we have to promote a bit with it, we can not play with it so.





Beijing News reporter learned that 11 enterprises Love Qi Yi and Hisense cooperation more in-depth. Archie Vice president Chiyo to the Beijing News reporter said, Archie Art will not be free of video content to the Hisense do polymerization, any one video manufacturers to make the TV manufacturers to do polymerization, the video industry must be hurt.





realize "aggregation" is expensive





how can Hisense persuade 11 companies to participate in "aggregation"? It's easy to spend.





Hisense Chairman Zhou in the media interview, said, "The past Hisense access to market recognition is fundamentally dependent on technical advantages, at present, the content of Hisense is a very big problem." If we can find a way to provide the content to consumers, then I will succeed. How do you offer it? I might be doing content, or aggregating content, and settling the problem in a way that pays the bills consistently. ”





Video company insiders told the Beijing News reporter, Hisense will spend money from the video site to buy part of the content, if this part of the content of the right to play is bought, it will be no problem aggregation, Hisense this year will be in the content of the big effort to invest.





Beijing News reporter learned that Hisense currently only with 11 of some enterprises in the purchase of content to do "aggregation" of things, individual enterprises still said will not "distribution" content with Hisense "aggregation", only agreed to operate their own independent app in Hisense TV.





"After all, Hisense TV in the domestic market share of only 15% to 20%, if the future Hisense can monopolize the television industry, the internet TV video portal must be it, like now Baidu, micro-letter." The insiders said, "in the premise of not monopoly, ' poly-good-looking ' such a platform is staged, it is impossible to become a model." ”




"
" can also be made, but there are conditions, "said the bridge to the Beijing News reporter," Hisense or in a period of time to spend a lot of money to aggregate many content to create selling points (local time to do), or continue to spend money to buy suitable for the user's differentiated content (buy local content). Hisense If the video is really able to aggregate together, the only way is to spend a lot of money to buy all the video content, if so, it is tantamount to a video site.





Both sides must explore new profit model





Hisense's platform "ambition", other appliance enterprises can do, but did not easily touch.





, a television company related to the Beijing News reporter said, "Real" Aggregation ' is not easy to do, in an aggregation platform, content choice if completely to the consumer, that the weak video site value is not easy to show, cooperation is difficult to long, content choice if the platform to control, each video site to obtain the conditions will be different, get poor conditions of the site to provide services will be poorer, affect the user experience. ”





"The overall business model of Internet TV may have four kinds, the first is free advertising media mode, the second is the operating mode of the paid member user, third is the electric business; "A bridge to the Beijing News reporter said," I personally judged that the video free advertising mode, will be the first success, is expected to 2015 will have a large income, 2016-2017 the whole market will be very big.





section of the bridge said, when televisions turn from a home independent device into a networked terminal, their business model changes radically, from a single, one-off profit from selling goods to a less profitable sale, or without money, but in the future to share operational gains. As for the exact percentage of the operating ratio, this will be defined by the market over time, but the pattern is already visible.





Commercial Reality





1 Selling Ads: 2 million users are the threshold





last year, Tcl and Archie Art together to create tv+ TV. Archie CEO Gong that the TV is just a content export, the hardware itself is limited profitability, the use of the content broadcast on television to create advertising revenue, is the goal of Internet television.





Archie and Tcl both believe that millions of levels will be an important indicator to accelerate the realization of intelligent TV industry scale. On the profit model of tv+, the planning of the Archie Art is that the first step is to charge after the advertisement, the second step is to charge by the front and set up the member zone.





Gong said that when more than 2 million active users can start selling ads, when the number of users more than 5 million, can have large-scale advertising revenue. These income, Archie Art take the overwhelming majority. Gong that charging users is also a big trend. Tv+ will set up a fee-for-membership zone in the future.





2 user pay: Actual revenue not up to expectations





in the user pay mode, color TV companies are constantly trying.





2012, Skyworth and the southern media, internet television service providers gifted peer-music to create a "straight through Hollywood" channel, consumers can not stay at home through Skyworth Cloud TV to enjoy Hollywood blockbuster.





This model to sell the content of profit, the charging standard for each 5-8 yuan, monthly 35 yuan, 200 yuan a year, 360 yuan, the user through the recharge card for consumption, three enterprises by proportion.





for the new business, Skyworth was expected to sell 300,000 cards in 2013, sales are expected to reach 80 million yuan. But last September, Skyworth executives revealed to the media that it was difficult to achieve. It is understood that from December 2012 to September 2013, its activation of users up to 3 million, Skyworth in the "direct Hollywood" products to achieve sales of 20 million yuan, only the expected income of One-fourth.