YY Philosophy of survival

Absrtact: 1 years ago more play YY company CEO Lee Colling in a conference on YY speech growth story, said the product immature before to low-key, give yourself a lifetime, until they grow. He also suggested that entrepreneurs, the product is not mature must give a relatively long time to survive

More than 1 years ago to play YY company CEO Lee Colling once in a conference on the story of Yy voice growth, said the product immature before to low-key, give yourself a lifetime, until they grow. He also suggested that the entrepreneur, the product is not mature must give a relatively long period of life, not too high-profile by opponents stare.

Today more play YY company to submit a prospectus, earnings first exposure, the industry immediately noticed the deliberately low-key company, and for the rapid growth of the speed of Marvel: Yy registered users reached 400 million, three quarter more to achieve profitability, the latest quarterly net income of 188 million yuan, an increase of 163%.

Not only that, more play yy more to get rid of the early AD single mode, to achieve the game, advertising, yy music more legs to walk. Among them, yy music, yy education and other value-added services is a fast-growing magic weapon, rapid growth. On the contrary, early advertising revenue has been increasingly marginalized, accounting for less than 20% of the proportion of revenue.

YY voice of the rapid development of YY team to enhance the ambition, Lee Colling once put words: yy is one of the few China has global potential products, there will certainly be a chance to the U.S. market development, and this is only a matter of time.

A sudden rise in--yy music six months revenue 90 million

Perhaps some people do not know yy music. According to the prospectus, YY music provides a stage for the grassroots singers, celebrities and professional performers to perform in real time, offering many activities including karaoke, singing competitions and song club. With yy Voice, yy company to support and organize large-scale online music activities, such as fans online rallies, singers meet.

Although there has always been a competitive relationship with Tencent, YY music in the business model has borrowed a lot from Tencent. such as monthly pay and participate in the VIP Member Service YY voice users can obtain membership privileges, including the use of additional video flow of the channel, priority to enter some real-time live performances, VIP members exclusive avatar, ringtones, fonts and expressions. Since March 2011, users have also been able to buy virtual gifts and give support to their favorite performers.

This value-added service model to user fees has rapidly driven the growth of yy music revenue. Earnings show, YY Music quarterly revenue of 58.96 million yuan, compared to 33.76 million yuan in the last quarter 75%, more than 500% growth, yy music rocket-style rise makes its income more than online advertising, after online game revenue.

In charge, YY music does not stop, YY voice plan to develop more members exclusive rights, to attract more users to join the ranks of VIP members, this member model once successful promotion also means that the business will be further rapid development.

In the second quarter of 2012, YY music accounted for 31% of total income (Tencent Science and Technology match map)

In fact, YY music is not the only function of YY voice, education is also one of its major functions. Singers, teachers and others can make money out of yy virtual goods, with the most popular performers earning as much as $20,000 a month. The audience can buy virtual roses and give them to their favorite performers, who can then turn these virtual roses into real gold and silver.

YY company even announced that YY can help "many industries to restore youth." YY Company founder Lee Colling once declared: "Many people know that because of the proliferation of piracy, music is difficult to make money." But if you are a talented singer or actress, as long as there is yy, there is a camera, and can surf the Internet, you can make money by acting. "will be YY music fee model, more play YY brewing to more education or have potential to pay the user's room (or channel) charges." This is why more play yy other income will quickly account for 10% of total income, the future proportion will increase.

At the same time, yy company's online advertising revenue accounted for a continuing decline in the second quarter of this year, advertising revenue of 29.7 million yuan, compared to the last quarter of 44%, up from the same period of 27%, but only 15.8%, compared to the proportion of two years ago.

YY Philosophy of survival--quiet and barbaric growth

YY Voice initially rely on more play growth, gradually grow to play the first big business. Lee Colling has said that more than just a game to do World of Warcraft dedicated website, later began to do information. With more play network recognition, soon found YY voice this product, the ideal of playing more to the Internet Voice application to achieve the ultimate.

There is a small episode, at the end of 2007 Lei and Zhou have invested in a group called Ispeak chat voice products, Lee Colling refused the joint investment proposal, he once thought ispeak worthless, but soon ispeak at the same time more than 50,000 online, directly let the Lee Colling urgent, More play began to develop similar products yy voice.

Interestingly, November 26, 09, ispeak operator Shanghai Qin and the company's vice president Feng Xi for malicious attacks on the network, was sentenced to damage the computer information System crime, 6 months. At this time yy voice at the highest simultaneous number of online people have been through million. A huge business prospect, validated by Ispeak, was made by rival YY.

However, YY success is not accidental, yy all the way to rely on is the game, but YY is not the first choice of players, in World of Warcraft as an example, the most widely used by the user is UT. But UT network instability, to provide a large number of YY market opportunities-especially in 09, UT frequently broken nets can not land, we have to transfer. One player said that the user does not ask for much, as long as the core requirements, even if the UI is ugly, the UE lag is completely tolerable. YY is the game in the voice of the card, drop line, delay three problems, and casual group chat is completely free.

In fact, even if defeated Ispeak, Ut,yy all the way to face a lot of strong opponents, but also including Qt Voice, TS, Lee Colling has been deeply afraid, feeling yy life in the great Shadow.

This is also back to the beginning of this article, Lee Colling suggested that entrepreneurs do early in the product to low-key, do not easily publicly preach being stared at. Lee Colling says many big companies want to eliminate yy in infancy. YY can survive, with the early relatively low-key, has been through the dissemination of users to accumulate products have a great relationship.

YY Voice is really concerned about last October, 50,000 small sellers to boycott the price of Taobao activities, many sellers through YY voice propaganda their own ideas, which let the industry notice YY voice can not be belittled.

Of course, YY is still facing enormous challenges, in addition to the original threat, with the micro-letter and other mobile internet applications, many people began to use micro-letter voice, which makes YY users encounter some diversion. There is a point of view, in the capital market has not yet fully warmed up, YY company launched the listing, one is to obtain more resources to contend with opponents, and the second is to appease the team and investors.