Most products in the PC era have an obvious product life cycle, and many have been out of date or outdated. However, in the mobile Internet era, they have not shown a clear decline and can still occupy a solid mass user group. I think the non-online video industry None.
People need to watch movies, TV series, and variety shows online. This is the basic way of entertainment for most people, and this enables online video platforms not only to have PC-side stock and APP-side users, but also OTT smart phones of nearly 400 million households in China. The increase of the TV side has led to an overall increase in the traffic of the online video industry, and has become a scene-based advantage across multiple terminals.
Reliable Axing: How does "Aiyouteng" monetize its advertising?
The monthly active users of online video APP traffic range from 845 million to 908 million, the penetration rate of netizens exceeds 70%, and the remaining users can actually be covered by other terminals
The online video industry is basically the three giants of "iQiyi", "Youku" and "Tencent Video" (referred to as "Aiyouteng" in the industry), not other smart TV OTT manufacturers such as Haier, Hisense, Skyworth, Changhong, Xiaomi, TCL Wait, it’s not CCTV, Mango TV, etc. with self-made content; there is a very important reason that Aiyouteng, in addition to the huge traffic products of BAT in the camp, constitute a smooth closed-loop link, and also undertake huge telemarketing list merchants resource advertising business.
This enables "Aiyouteng" itself to have both the profit model telemarketing list of to C (member recharge) and the income of to B (advertising or digital marketing), forming a stable business model that walks on two legs.
Of course, the premise of membership recharge is that there is a steady stream of high-quality, fresh film and television content. As a result, the three Aiyouteng companies actually invest tens of billions of yuan in the purchase or production of IP copyrights every year. Such a high-cost operation As a result, the above-mentioned OTT manufacturers and second-tier online video platforms such as PP Video, LeTV Video, Sohu Video, etc. have lost the cost of fighting.
Compared with the "drug can't stop" model that relies on burning money to drive membership renewals, the advertising model is a business that can generate huge revenue without additional investment; it can also effectively commercialize the traffic brought by members and non-members; Therefore, for Aiyouteng, whoever has a stable customer volume, delivery volume and consumption volume in the digital advertising business can truly occupy the active position of traffic monetization.
1. The monetization logic of digital advertising on online video platforms
Axing often sees some corporate marketers asking on the Internet how to place advertisements on iQiyi, Youku or Tencent Video? Don't look at this question Xiaobai, it shows that many companies are ready to send money to online video platforms to earn money and have yet to find a way.
First of all, we have to make it clear that the advertising and monetization of Internet content platforms, traffic media or developer APPs basically rely on digital advertising platforms, which is the so-called "DMP" (Data Management Platform).
In Axing's view, DMP is mainly digitized in two aspects:
On the one hand, the digital advertising platform is responsible for converting the advertising needs of advertisers into advertising materials, some are posters, some are H5, some are rewarded videos, some are advertising TV films, some are information streams and other forms of advertising; The materials are matched with the users of the platform; during the delivery process, some of them will be tested among some sample user groups first, and some will be tested with different creative materials until they are relatively satisfied with the results. The person responsible for this work is called "optimizer" ".