Video website is independent Tide: "Fu second Generation" revolution

Absrtact: Internet giants are constantly invading the increasingly vibrant Internet segment. In the big guy's aggravating, the video industry pattern becomes more and more blurred. After the combination of Youku, the video industry will have only four players in the future: Youku potatoes, Tencent Video, Archie Art and search

Internet giants are constantly invading the increasingly vibrant Internet segment. In the big guy's aggravating, the video industry pattern becomes more and more blurred.

After the combination of Youku, the video industry will have only four players in the future: Youku potatoes, Tencent videos, Archie and Sohu videos. Tencent video, Archie and Sohu Video, by virtue of the search, portals and other areas of the vast user and platform advantage to launch a new round of attacks, crowding out youku and potatoes market share.

Although backed by "Rich Dad", but the video "rich second-generation" still want to have a certain "right of independence." In the case of Youku, which is still the first, the focus of their competition is not "fighting the rich", but the industry's second throne.

"Brand independence" program speed up Sohu Video IPO signal strong

Spin-off, internal structure reorganization, brand independence ... In the video industry major changes in the key year, Sohu video IPO signal increasingly obvious.

Recently, the daily economic news reporter from the Sohu video inside learned that Sohu video will soon start the brand independent plan, the establishment of Sohu video independent brand system, promote tv.sohu.com and Sohu video independent identification. Just before, Sohu invested heavily in Tianjin to build independent operations headquarters. On the other hand, Sohu video and Sohu Entertainment channel, Sohu Entertainment company also completed the integration, and in September to complete the split sales force.

Various plans to advance, let the outside world speculation Sohu Video is expected to independent IPO. However, Sohu Video CEO Deng Ye said, "There is no timetable for the IPO." ”

The road of brand independence

And Youku, Archie Art using a separate brand logo different, Sohu Video with strong group color.

According to Sohu insiders revealed that Sohu video will soon start the independent brand plan. As a subsidiary of Sohu Group, Sohu Video split work has been carried out for almost 2 years, but has not formed a distinctive brand system, is not conducive to access to user awareness. ”

To differentiate Sohu group's other channels, Sohu video in July 2011 to enable the new brand logo, and Sohu other channels to form a clear difference. After a year, the plan sailed into the fast lane. According to insiders, Sohu video from the beginning of August 2012 recruitment, from the 4 a company and mature foreign brands, media talent is widely absorbed; in October, the new brand system began to build.

Since the start of the split in 2011, Sohu Video has been in the news, High-definition long video and UGC (user original content) and other fields to form a "tricycle-driven" solid strategic structure, in accordance with the established steps to complete the content, products, technology and sales force, such as all the backbone of the operation of the And in Tianjin Development zone to set up a research and development-driven Sohu video headquarters.

Sohu Video insiders said, Sohu video backbone business structure completed, it is necessary to use an independent brand launched the user scramble.

Hunt Gold Lord

In fact, in the absence of sufficient funds to support the situation, video sites to explore the profit model is still facing enormous challenges. Sohu Video In the hands of users, while the other hand to the video industry's main brand advertisers.

"For Sohu Video, 2012 is a key year for strategic deployment adjustment, at present, Sohu video backbone business structure has been formed, the entire strategic deployment has been basically ready." "Deng Ye said.

It is understood that Sohu video sales force from the establishment to independence only spent half a year: April 2012, Sohu Video began to prepare for the spin-off of the sale of the matter, to July to achieve a direct sales team split, October completed the distribution Channel Agent sales team.

"Daily economic news" reporter received a copy of Sohu video internal mail shows that along with various talents to join, Sohu Video sales team has begun to take shape, the formation of the two sales system, including channels and direct customers, the overall number has nearly 200 people, "expected by the end of next year, this number will be doubled."

A few days ago, Zhang in Q3 earnings communication meeting said Sohu video business development is very confident, Sohu Chief financial Officer Yuchuyan also said that will be in 18-24 months to make ends meet, "2013 Sohu video revenue target is growth doubling."

Zhang had said the company would consider splitting or capital operations on some of its best business. The outside concern is, whether Zhang will Sohu and the success of the listing of the experience copied to Sohu video? In the context of the increasingly narrow listing window on Wall Street, what kind of story will the Sohu video bring to the investors?

It is understood that Youku in the United States listed road when the capital story is "Hulu+netflix", Tudou is talking about the "YOUTUBE+HULU+HBO" of the Comprehensive development model. Sohu Video is currently the only video industry with "video + Entertainment" two-platform site, perhaps to the capital markets tell a different story.

For the current Sohu video, in the odd art nets, Tencent video, etc. under siege to stabilize the position in the industry, is to launch the most important basis of the listing. "The future video industry will continue to integrate," Deng Ye said, "Sohu Video does not exclude the acquisition or investment and other ways to find outstanding enterprises." ”

Tencent video ferocious aggravating to build advertising platform to increase the flow of liquidity

Chinese Internet, Tencent is a competitor that cannot be bypassed by all the segments. In just one year, "Fu second generation" Tencent video quickly ranks among the first camp in the video industry.

"Next year we will be through the video platform and film and television content as the core platform to open Tencent Pan Entertainment platform, the portal entertainment channels, games, music and other entertainment-related industries through." "Tencent's profitability and strategic development support for the video business is sufficient," said Liu Chunning, general manager of Tencent's online video division, who told the Daily economic news. ”

and upstream deep cooperation

At the end of March 2011, Tencent Video integrated Web version, the client new on-line, the official exerting force video industry. As a successor to the video industry, in order to quickly make up the short board, the strategy of Tencent video is to cooperate with upstream, and strive to become a joint producer from the buyer.

Up to now, Tencent in the content field has billions of of the input, which set up a 500 million-yuan film and television industry fund to exert the video field, and through investment huayi 450 million yuan, investment culture China 210 million yuan layout film and television industry chain upstream, at the same time, also invest 360 million yuan to purchase film and television drama.

"We haven't thought about making a profit on video, and the most important task at the moment is to build the best content platform." "Liu Chunning said.

The content is only the corner of Tencent's "big video" strategy. Liu Chunning revealed that Tencent video has been listed as Tencent Group's five core strategies, next year, Tencent will be through the video platform and film and television content as the core platform to open Tencent Pan Entertainment platform.

The problem of becoming present

The data from Tencent show that video has surpassed the game and the community, and has become one of the most widely used platform users.

According to Liu Chunning's statement, Tencent Video hopes to become one of the largest video playback platform, Cloud video will be its flagship service.

Tencent's advantage is to have a huge flow of resources, its QQ super platform, so that Tencent video accounted for the flow advantages. Earlier, the Iris IUserTracker9 Month comprehensive service monitoring data show, Tencent Video monthly coverage of users 275.5 million, to lead Youku nearly 10 million of the advantage to become the monthly coverage of the first platform of users (Youku 266.3 million monthly coverage of users).

However, flow is not equal to cash flow. Due to the main window and other internal drainage channels, Tencent Video user coverage is high, but low viscosity, so in the acquisition of advertisers far less than Youku and other competitors. Baidu Index, Tencent video one day's search volume around 38,000 times, Archie art for 78,000 Times, Tudou is about 100,000 times, Tencent Video Search volume is only half of Archie Art, Tudou's 1/3.

According to the latest release of Q3, the market share of Tencent Video in 2012 is only 6.54%, which is in sharp contrast to the first position of Tencent's user coverage.

In order to solve the above problems, Tencent has already built Ad-exchange platform, that is Tencent Mind, using RTB (Real-time auction mode) technology and DSP company docking, direct flow of cash.

Through the above model, Tencent can maximize its own surplus of video advertising cash. Up to now, Tencent's residual flow of thousands of effective exposure and advertising to buy.

According to Liu Chunning, Tencent Video did not split the listing plan, nor need to introduce investment. "The current competition situation of video site is similar to the spring and Autumn Period, we all have the opportunity." ”

Archie Art won by Baidu Overweight Holdings will be independent operation Independent listing

November 2, Baidu officially announced the acquisition of the private equity investment company Providence Iqiyi.com, the deal will be completed in the fourth quarter of this year. This means that the relationship between Baidu and Archie from the earliest investment in resources into a wholly owned.

In this context, "Fu second-generation" video site of the second war, Archie has enough capital and resources chips.

"A winning deal pep gets a good return on investment, and Baidu completes the deal at a reasonable price." "10 days after the increase in Baidu, Archie Art founder, CEO Gong (Weibo) received the" Daily economic news "reporter exclusive interview.

Unlike a year ago, gong no longer talk about the "unique advantages" of Archie art, but repeatedly stressed that the future of the network video industry is a technology products, content, brand, sales capacity and other common composition of the comprehensive ability to compete, and continue to operate as an independent brand of love, the goal is to catch up with video boss Youku.

Independent traffic growth

From resources into capital investment, and then to the large-scale overweight, Baidu gradually increase the investment in Archie Art, to Archie art to eat a reassuring. Macquarie Capital points out: "Archie Art now has more Baidu support, the future in the user flow and revenue will be further growth." ”

Industry experts Zhigang that, Baidu's overweight means that Archie art is no longer an option for Baidu, the next step to support the increase can be expected, when the PEP exit, Baidu in resources and funds to invest in less scruples.

According to Robin Li's comments on the "landing page", after users search, the main page to enter the search results is landing page. The value of Baidu in the user before landing, but stay too short. So trying to get more profit on the next level of the chain is the normal logic of Baidu's investment.

Today, the value of video demand in Baidu's "middle page strategy" has been confirmed. Previous data show that the Web page broadcast video site more than 40% of the traffic from Baidu.

But the subtle is, as the "rich second generation" of love art not only want to get more traffic from Baidu, but also want to have their own independent and stable flow.

Because of the layout at the mobile end, today's love of Qi Art has an independent brand and a stable source of traffic. Third-party data agencies Hitwise2012 November released data show that the Archie flow from Baidu and Baidu video traffic ratio from the beginning of 2012 40% gradually to the current 32%, its natural flow and other sources of source flow in the growth.

Technology Drivers Challenge Youku

If said Sohu video, Tencent video target is the video industry second, that Baidu gave Archie art higher goal, that is the industry boss Youku pose a further threat.

Easy to view the latest release data show that 2012 three quarter Youku (21.2%), Archie Art (10.33%), Sohu Video (10.01%) respectively occupy China's network video market comprehensive income before three, three income total accounted for 41.57% market share, four, the fifth place are potatoes (7.92 %) and Tencent Video (6.54%).

In accordance with the logic of Gong, the future video site is no longer a competition in the field, but technical products, content, brand, sales capacity and other common composition of the comprehensive ability to compete.

Compared to the Youku potato, Archie's professional video model has been controversial. Many insiders believe that the lack of user original content (UGC) is a short board of Archie art. Data show that last year UGC to Youku contributed about 30% of the traffic, to Tudou contributed 40%~50% traffic.

Gong that, Archie Art to beat the cool weapon is technology, Baidu gives Archie art support not only in the flow, but also in the data.

Similar to Baidu's genes, Archie Art has always cared about technical inputs. Just before, Archie "a cloud of multiple screens" and "large data" to the 2013 strategic level. Gong's self-confidence comes from the mobile end. As of August 2012, Archie installed more than 90 million users, 23% of the traffic from mobile clients.

In Gong's view, Mobile end users in addition to contribute to traffic, but also for Archie Art accumulated a large number of high-value data. "Archie Art users, 94% in Baidu Search clearance Jian CI, these are massive data." Gong said that the first prerequisite for competition in the big data age is the ability to have large data, produce large data, and network video is the gold mine that generates massive amounts of data.

"The video industry's market concentration is improving, monetization ability is becoming stronger." So you put in a dollar, you can only earn six cents, in the future, you may earn two dollars. "For the prospects of online video, Gong is very optimistic," probably in more than a year time, the video industry good companies will find a balance. ”

Zhigang points out that the independent listing of Sohu Video and Archie Art is the biggest competition point. At present Sohu Video has completed the split reorganization, the IPO plan gradually formed, and Archie Art will be preemptive or not unknown. Gong declined to disclose more about the listing timetable, but said Archie's plan for an independent IPO would not change.