Which First Comes To The Greater Outbreak And Stronger Attack Of The National APP:B Station?

There is an advertisement saying: good results, and finally look at the effect. After the "wave" screen, B station also released the first quarter 2020 earnings report. Q1 quarter, revenue of 2 billion 330 million yuan, 172 million monthly active users, monthly subscribers increased to 13 million 400 thousand, the growth rate of 134%.

Summed up in one sentence: B standing under the influence of the epidemic, more revenue, the user rose, the loss of the size of the chain reduced, the market capitalization of billions of dollars in the market value.

Capital recognition, plus the three links of CCTV, people's daily and people's network, B station also announced that the "minority" label has become a past tense.

But we also see that the head UP owners have been hammered recently, reflecting the control and management of the B station, which is not a healthy income.

There is no doubt that B station will grow up. Strengthening management and control to make our ecosystem more diversified is a required course for its growth. How will the B station change in the future? How can we change the label of the game as the main revenue?

From this quarterly financial report, we can see that people are not satisfied with the young people's plates and start the idea of "surrounding people". In the earnings call conference, Chen Rui, chairman and CEO, said: "B stations are becoming more and more -- not only young people, but also the people around us - their first choice of online entertainment consumption.

　　 A net increase of 180 million new users in 2020

Compared to revenue performance, B stations are more eager to achieve rapid growth of users.

In the first year of this year, we took advantage of the hot iron and continued several rounds of heat. In addition to B station's own publicity content output, a large number of UP owners also have half the sky with B station fire.

In the Q1 quarter of 2020, sales and marketing expenditures in operating costs increased by 234% over the same period last year. B station made a 530 million loss in the first quarter.

But this wave of money "smashed" out of the user, too valuable. In the Q1 quarter, the growth rate of B mobile users rose to a new high.

The reasons for this increase are, on the one hand, the longer users' time during the epidemic. From this point of view, the long video of excellent love, the short video of quiver and quick hand also harvested a wave of traffic. On the other hand, it is the precipitation and effect of B station itself.

First of all, the opening of the annual party will make B's ambition to break the circle. In May 3rd, B station dedicated to the speech of the new generation - "wave" was successfully painted. Content is not everyone's satisfaction, but at least everyone has to exaggerate.

Five months, the two super phenomenon screen, B station advertising effect swept across the Internet. Influx of large numbers of "outsiders".

Chairman and CEO Chen Rui has made such prediction for user growth plan: in 2020, the user growth rate reached 180 million, and in 2021 it was 220 million. "Ambition" is not small. From now on, the goal of 2020 has been 23% in Q1.

The preference of these "outsiders" has become a double-edged sword.

On the bright side, the number of Internet users at home increases, the number of new users increases, the average daily use time for B stations, and the increase of 10 minutes to 87 minutes. The average monthly number of interactions in the community is 4 billion 900 million times, three times that of the same period.

But during the epidemic, commercial activities and resource stalls were properly affected, and the drop in advertising is expected. The new user's purchase behavior has not yet formed, originally by selling the animation and the peripheral commodity's electricity supplier business, also involves the logistics distribution and so on line question.

And these problems will affect the performance of Q2.

But the charm of the market is that there will always be various situations. The overall progress of the user scale this year and the affirmation of the payment content will provide at least a lot of confidence for the rapid growth in the future.

　　 Touch the surrounding people.

To achieve the goal of user growth throughout the year, "new increments" is essential.

In the telephone conference after the release of the earnings report, Chen Rui said: "we are also hearing more and more people constantly talking about the content of B station." In his view, B station is not only the online entertainment that young people like, but the platform that people around are paying attention to and using.

At first listen, the influence of B station is expanding, and the young people can not satisfy the B station. "Around people" is the next target. Many of these people are the "waves" coming from the sound.

At first, it might be to watch a bustle, or to think of the flowers on the B station to see the flowers of the motherland. I didn't expect to be surrounded by B station and become one of the waves of national APP.

This not only enriches the user body of B station, but also brings stronger capabilities to other commercial sectors such as advertising and e-commerce of B station.

As the target audience of commercial advertising, B station users are more partial to the two dimension culture, relatively limited in terms of consumption ability and willingness. The expansion of advertising for high-end consumer goods basically depends on the "wave ahead".

In fact, only the introduction of the "waves" has brought 10 million of the station's volume, nearly 200 thousand barrage and more than 1 million points to the post wave. On the second day of publication, even the share price has changed to a downward trend, and the opening price has risen by nearly 8%, which has increased the market value of B station by 4 billion 800 million yuan.

So, the power of "wave" is really important for B station. Those friends who question why the B station is called "post wave" may be wrong at the very beginning. Because B station originally wanted to arouse, probably is the recognition of the "waves".

Another important force of "surrounding people" comes from other content platform creators.

Q1 reported that the number of monthly active UP of B station increased from 1 million in the previous quarter to 1 million 800 thousand, an increase of 146% over the same period last year. The average monthly contribution has also increased from 2 million 800 thousand of 19 Q4 to 4 million 900 thousand.

This is equivalent to a B station user who wants to browse his or her interests by using a mobile phone as before. Now it takes two times of time and energy.

Another major change is that the former B station is full of two yuan and other sub culture. Now B station has a large number of science and technology, finance, law experts, and professional media people, and even B station has reclassified content classification and special area for them.

The pure land of the "original people" was suddenly invaded and could not be found north. Once the home page recommended is the law class, the heat recommendation is economics, and people constantly reflect on their cultural level and appreciation field.

Most of the media practitioners have experienced the age of paper media and new media. The circulation and the daily plus of 100 thousand + make them have strong voice. After entering, although we should learn the etiquette of B station and even understand B buzzwords from the beginning, we still have the same media number as the observer network.

In addition, the semi Buddha fairy who worked in the wind control industry for many years arrived at the B station, and a video entitled "Rui Xing how to beat capitalism" gained 7 million 800 thousand playback volume. This is unimaginable in the era of pictures and texts, and witch finance and so on.

China University of Political Science and Law professor Luo Xiang, through the B station to explain the legal knowledge, one month suction powder 5 million. "Korea N room event" video viewing volume about 7900000, the number of points over 860 thousand. The popularity of popularity is reminiscent of the past "today's argument".

This has become the reason for the influx of more and more content creation. Everyone is beginning to have an illusion - I can do it on my own.

In the past, it is not only sensitive content creators, but also users can feel that 2020, "suddenly like a spring breeze, thousands of thousands of B stand off" grand occasion.

Only when these "people around" join in, how long will it take to achieve localization? In order to achieve the purpose of increasing the fans of the new platform, they will also bring the appropriate content to the B station audience.

　　 What is the market value of 10 billion dollars?

As a UGC (user production content) platform, B station's Q1 PUGV (UP's main creation of high quality video) continues to occupy 91% of the total Playstation volume of B station.

What do you mean? The content of the dramas and movies is not enough. The main force is the producer in the station. The content ecological capacity of the community has no need to be questioned.

User production content is the vitality of the entire B station, and is also the most important foundation for a content community. Over the years, content forms and categories have been constantly breaking through and gradually able to cover all video needs of all young people.

This young man's position, coupled with its unique form of content, has won the recognition of the capital market.

In the middle of 2019, he set a goal for B station in the middle of the year. The market value of B station will rise to 10 billion dollars in three years.

By the end of May 18th, the total market capitalization of B has reached US $110.4. After the release of the earnings report, the market value fluctuated around 12 billion, and many times went straight to Iqiyi. Chen Rui's goal has been overfulfilled in only 1/3 of the time.

But the rapid expansion of the B station also caused some trouble.

In the process of moving towards "national APP", the head of UP was hammered. April gourmet UP main Xu big SAO was accused of "fraud donation" many times on the hot search. Despite the fact that the authorities finally faced the legitimacy of the gains, Xu Da SAO, who was hit by a huge public opinion, finally chose Hugh.

Then, at the end of April, the "smart party girls" of 5 million 600 thousand fans released videos to expose their hacker attacks and blackmail. Hundreds of G videos were encrypted and tampered with.

"Nadu granny" was picked up by Japanese nationality and wizard finance. UP owners were attacked centrally, some of them cleared up their rumours, and the other part apologized.

What is exposed is the B station's overspeed and neglect of control, and its ability to cope with the problem of "big trees attract the wind".

Next, if we want to continue to fight for capital market, it will be unknown whether B will win or not. After all, the market does not know which one will come first.

　　 Possible future commercialization of B station

Another platitude is that the 11 year old B station is still losing money, and its revenue structure is too dependent on games and thin. When the IPO was launched, B stood on the tour to support a 83.4% profit. At one time, because of the high proportion of mobile gaming revenue, it was called "game company" beep.

By the Q4 quarter of 2019, the proportion of mobile games in B station revenue dropped to 43.38%, the first time below 50%. In the Q1 quarter of this year, the revenue was 1 billion 151 million yuan, up 32% from the same period last year, accounting for 49.7% of total revenue.

The value-added service sector, including live broadcasting, achieved a revenue of 794 million yuan, an increase of 172% over the same period last year. Advertising and other businesses, including electricity providers, grew by 90% and 64% compared to the same period last year, while 26% and 43% declined.

There is a saying in capital that a company's long-term profit is a hooligan. How to make our income more diversified, we still look at the revenue structure of B station.

Tencent is already the second largest shareholder of B station, plus SONY's investment in April, the resources of giant dad, and cooperation in animation and games, so that B station has more stories to tell.

Direct seeding is the fastest growing business nowadays. With the expansion of content in the vertical fields such as technology and education, the main user of professional up has entered the user circle. Including the concept of "B station University" before, B station does not need to compete with users sooner or later, but it can satisfy users' needs by satisfying more needs.

There are also a number of core users at B station. The Q1 quarter shows that 13 million 400 thousand of the paid members have increased by 134% over the same period, reflecting the power of B station commercialization after the influx of new users.

The ever increasing user scale also gives the platform more bargaining power. In terms of e-commerce business, there is a new attempt to cooperate with the platform.

UP, the famous persimmon fungus MEOW, which is famous for its scientific video on cats, has recently been identified as a representative of Taobao merchants' new business.

Persimmon fungus MEOW felt that he had to shop in Taobao to avoid the avoidance of advertisements when he recommended products in the past. The sales volume of his Taobao store last year was 30 million yuan.

In order to prevent the loss of core UP, B station pays deep contracts with core high quality UP by paying the contract, but sometimes content and liquidity are not contradictory. Ari Ben is a shareholder of B station. A strong up owner can open a shop, create new value for fans, and the platform can also get a win-win situation for young consumers.

The key is that there is a possibility of commercialization of B stations.