Video site charges difficult

Absrtact: Some video websites have revealed that they are trying to charge online movies or television, so that users like watching movies and cable TV, are willing to pay for high-quality content, such as some Hollywood big fee standard is a single 5~8 yuan. Video pricing Initiatives

Some video sites have revealed that they are trying to charge online movies or television, so that users like watching movies, cable TV, willing to pay for high-quality content, such as some "Hollywood blockbuster" fee standard is a single 5~8 yuan. Video charging initiative caused greater controversy, there are video site officials said that the domestic payment is not smooth plus piracy problems, the real online pay to see the film users are pitiful, only 1% of income from the user fees. Some experts said that the charging model is a challenge, the user needs to accept a long period of market cultivation.

Difficulty one: The payment channel does not extend the rate of less than 30%

Recently, media reported that television manufacturers and video sites in the industry took the lead in promoting pay to watch TV or movies. Shawiding, who is one of the partners, said that users would be willing to pay for high-quality content, like watching movies and cable TV. For example, some "Hollywood blockbuster", the current fee standard is a single 5~8 yuan, in addition to provide monthly and package year form.

In fact, radio, telecommunications and video sites have been trying to pay for watching, but not successfully. "99% of the revenue from our site still comes from advertising, and only 1% of the revenue comes from charging users." "Archie Art CEO Gong told this reporter that the fee has been tried for nearly two years, but there has been no breakthrough." He concludes that the first major obstacle to fees is payment, and the second major hurdle is piracy.

Even if some users are willing to pay, he says, paying is a headache. Gong For example, foreign pay film and television programs are usually paid on a monthly basis, after the user registration from the second month automatically deducted from the bank card charges. In China, however, there is no such business model between banks and internet companies, although it is a monthly subscription, but it still needs to be paid separately per month, resulting in a much lower rate of renewal. "Foreign rates are always above 90% per cent, but at home there is less than 30% of a monthly renewal rate that has been manually renewed online." "he said.

In addition, foreign bank card in the online charging process is quite sound, but in China, the whole process has not been established, and the user has a variety of bank cards, so the comprehensive cost of the bank to make online payments is particularly high, too many people because the bank online payment of the problem, and third party payment methods can not be bypassed. He said that Archie's data showed that there was a willingness to point online payments to users who purchased membership services, of which less than 10% of the final payment was successful.

Difficulty two: Big 4 months after the online piracy steal the audience

Another major difficulty in introducing fees is competition with piracy. The reporter learned from some video websites, the current charge content is almost full of movies, Chinese films are usually on the line four weeks after the site, and Hollywood movies usually four months later. During this time, the deep users of these films were basically taken away by the pirated market.

Gong that the online piracy on the online genuine impact is very large, a DVD less than 5 yuan, a Blu-ray disc of about 15 yuan, whether it is a Hollywood film or Chinese movies, probably a few days after the courtyard on the street can be bought casually, this situation in the large cities outside the other small cities more common, Direct impact on the online release of genuine movies.

However, the industry believes that the current film market crackdown on piracy is growing. In the last three years, video site film and television copyright is more legitimate, from domestic film and television drama to Hollywood movies and American drama, now gradually to Japan's anime, Japanese and Korean TV dramas, the proportion of genuine is expanding. These are to be solved by the government and the law, and will take a long time to solve. Only by solving the problem of piracy, the implementation of genuine pay will have the opportunity.

Industry Analysis:

High cost and difficult video industry falls into a vicious circle

At present, the video industry's monetization capacity is not enough, on the one hand, the advertising market competition is fierce, on the other hand, it is difficult to charge users, which also led to the network video content source is very poor, resulting in the content of the major video site is highly homogeneous, users are more unwilling to pay,

Insiders say that a single website to buy an exclusive hit show is too expensive to digest, need to distribute or change drama, change the nature is also do amortization, such as a website to buy a play spent 20 million yuan, and then with another site to change a same grade of the play, then the site's cost becomes 10 million yuan, which actually pulled down the cost.

Some experts believe that if the Internet companies began to promote the charging of video services, the equivalent of a preventive needle to consumers, charging mode will be more and more consumers accept. But other experts see the charging model as a challenge for companies to be prepared. In fact, the establishment and perfection of the charging model is a change of the concept of consumers, and the cultivation of the market takes a long time.