According to the 39th Statistical Report on China’s Internet Development released by CNNIC, live streaming services continued to develop under the impetus of capital forces in 2016. As of December 2016, the number of users of network broadcast reached 344 million, accounting for 47.1% of the total Internet users. 2016 is the year of the peak of the live streaming industry.
Competition in the live broadcast industry was extremely fierce in its heyday. After the war of thousands of live broadcast and several rounds of industry reshuffle, the live broadcast platforms with poor content, inaccurate positioning and insufficient capital were gradually eliminated. The live broadcast market was gradually divided into two types: game live broadcast platforms represented by Douyu and Huya; The other is pan-entertainment live streaming platform, represented by Huajiao and Yingke.
However, pan-entertainment live broadcast is like the seawater of the rising tide. It comes quickly and goes away quickly. It takes a year for pan-entertainment live broadcast when the tide rises and falls. In terms of the performance of the capital market, almost no live streaming platform received financing in the second half of 2017, and Inke also suffered a failure in restructuring.
Despite the restructuring of Huajiao Live and Six rooms in 2018, and the eventual listing of Inke on the Hong Kong Stock Exchange after years of preparation. But the group, or listed, in the relevant departments of supervision under the strong supervision, the two can only “broken teeth to swallow.”
The regulatory lifeblood of Prickly ash and Inke
According to the 2017 China Online Performance (Live Broadcast) Development Report, by the end of 2017, there were more than 200 enterprises engaged in online performance and live broadcast business in China, down by nearly 100 compared with 2016. It is not hard to see that 2017 is a year of strong supervision of the live broadcast industry, which is undoubtedly a “sudden blow” to many platform live broadcasters. Therefore, the live broadcast industry has entered the second half of the industry consolidation period.
Huajiao and Yingke, representatives of pan-entertainment livestreaming, have not escaped regulation. In May 2017, the Huajiao live streaming platform was given administrative punishment for providing fake live broadcasts of the Forbidden City that spread rumors and disturbed social order, The Beijing News reported. News reports that inke anchors were banned for vulgar content emerged one after another.
In 2018, pan-entertainment livestreams are trying to make their debut in a different way, hoping not to be forgotten too quickly by the market. As a result, livestream answering took the first place at the beginning of the year, and the sudden emergence of this mode has indeed brought new vitality to many pan-entertainment livestream players. There is no lack of Zhou Hongyi huajiao live “Million Winner”, Inke “Cheese Superman”, Wang Sicong push “top conference”, a live “golden ten seconds”……
Among them, The performance of Huajiao and Inke in the live broadcast room is relatively bright. Related news has reported that The live answer product of Huajiao has made 15 commercial brand special performances within 12 days of its launch. The server of Inke’s “Cheese Superman” was crowded and crashed after only two days of its launch. It seems that prickly ash and yingke are still in the market, many people exclaim whether the era of live broadcasting has come back?
However, the slap on the face came too soon, and within a few days of the livestreaming craze, relevant authorities were in charge. It is understood that on January 13, 2018, Hong Kong and Taiwan were listed as countries in the sixth question of “One Million Winners” at 12 o ‘clock. Therefore, the next day, the relevant person in charge of Huajiao Live was summoned for an interview according to law and required by the CYBERSPACE Administration to make an immediate and comprehensive rectification.
On the other hand, although there was no interview by the regulatory authorities, viewers were also affected. That is to say, in the market environment of stricter regulation, no matter what tactics pan-entertainment live streaming platforms come up with, they will be punished as long as they step on the high-voltage content line, and the uneven quality of content will eventually lead to the gradual loss of interest of users. Interestingly, content is the core of regulation, but the quality of content can determine which livestreaming company takes the lead in enhancing the dimension.
Therefore, in order to develop in the market for a long time, Huajiao chose to restructure with LiuJianfang. After several years of twists and turns, Yingke was finally listed as expected. But the problem is, after the group of pepper and listed after the yingke, or there are difficult to explain.
The pain behind the brief gasp
Public data show that in May 2018, Huajiao Live conducted a B round of financing of 1 billion yuan, which was estimated at 5 billion yuan by relevant institutions. Following the reorganization of the six rooms in June, the relevant data analysis of the overall valuation of Pepper is only 5.1 billion yuan. Therefore, in order to see the valuation of pepper unilateral, still do not see the effect of the reorganization.
After several years of preparation for listing, Inke was officially listed on the Hong Kong Stock Exchange on July 12, 2018. This experienced the explosion of red, “prostituted” Xuan Ya International, was supervised, the anchor left, finally wish to go on the market, it seems that there is no imagination of the scenery. Based on the closing price on the first day of listing, the stock price of Inke fell 46.01% as of Oct 19, according to the statistics of securities Daily reporters.
Therefore, in fact, the reorganization of Huajiao and the listing of Inke are more like their delaying strategies in the market to a large extent, but the results are not obvious enough. Whether Huajiao or Yingke, its own stubborn disease has always been criticized, the reasons for criticism are mainly the following two points.
First, the internal contradictions of live broadcast “indigestion”. Reward is the most direct channel mode for Huajiao and Yingkes, and the most popular one in this process is the head anchors. But profit has always been a sensitive topic among businessmen, as well as between platform anchors and livestreaming platforms. The internal conflict was not properly resolved, and the final result was that the head IP of Huajiao and Inke “ran away from home”. This time, the direction of departure was no longer another live broadcasting platform, but directly crossed over to restart the operation.
There were media reports before, was once a brother of pepper live “card king V brother” to fight fast, and at the beginning of last year by the national live poached the original pepper big anchor xiao Hei brother, it is understood that after turning to the national live, the first live received nearly 1 million gifts, which is a serious loss for Pepper.
Inke’s big anchor “Lin Yan” also transferred quickly, and another popular anchor “Dada Black Cow” also transferred to other platforms due to conflicts with Inke. The departure of anchors with more than one million fans undoubtedly brought a big blow to Inke.
Second, the realization mode is single. Tipping has always been an important monetization model for pan-entertainment livestreams, but the single mobile livestreaming model has hit a ceiling. In other words, the users of Huajiao and Yingke, which have been to C, have almost reached a fixed volume and are unlikely to rise significantly. Therefore, can we consider to B for the next step of Huajiao and Inke?
As the dividend of c-end traffic recedes, Internet companies begin to turn their focus to the B-end market. The pan-entertainment live streaming industry represented by Huajiao and Inke also carries the Internet gene and should also change along with the general trend. Moreover, the leader of the livestreaming industry is neither Huajiao nor Yingke. The competition between Douyu and Huya is on every second. In addition, short videos such as Douyin and Kuaishou from crossover are also trying to win over users of pan-entertainment livestreaming. Therefore, in this delaying war, Huajiao and Inke need to speed up the expansion of the cash model, or it is likely to be left behind.
But with the worst possible outcome, there is the best chance. What is the chance? Will it help Huajiao and Inke get back to the top?
Is it still difficult for Chinese prickly ash and yingke to turn over?
In view of the current status of live streaming, it can be divided into two types: pan-entertainment live streaming and game live streaming, among which huajiao, Yingke, Douyu and Huya are more prominent in the market. But when it comes to ranking, it’s clear that both users and marketers prefer live games. According to iResearch Index data in December 2018, the monthly independent devices of Huajiao, Inke, Huya and Douyu were 7.63 million, 13.01 million, 36.03 million and 39.88 million respectively. Intuitive data can also see that the game live more favored by the market.
In addition, with the rise of short video platforms represented by Douyin and Kuaishou, the content form of live broadcast has been severely challenged. According to relevant statistics, in June 2018, the monthly live scale of entertainment live broadcast increased by only 2.2% compared with June 2017, while short video increased to 103.1% in the same period.
In addition, in terms of the total user time, the year-on-year growth rate of entertainment live broadcast is not as small as that of short video. From June 2017 to June 2018, the total user time of short video rose from 127.2 billion minutes to 726.7 billion minutes, an increase of 471.1%. If Huajiao and Inking continue to present their content in the same way as before, it is bound to bring aesthetic fatigue to users, and it is likely that the appeal of live broadcasting will continue to decline, which will eventually lead to the loss of large numbers of users.
In other words, the situation of pan-entertainment livestreams is getting harder and harder under the heavy pressure of livestreaming giants and crossover rivals. Fierce competition under the pan-entertainment livestream are really so cool? However, by sorting out user needs, re-examining market positioning and strictly controlling content output, Huajiao and Yingke can still turn over.
Therefore, there are two suggestions for huajiao, Yingke and other live streaming platforms. On the one hand, re-examine the market positioning, make good use of big data and algorithm functions, divide the target customers and deliver content to their preferences; On the other hand, it is necessary to ensure the healthy and high-quality input of content. Therefore, huajiao and Inke live broadcasting platforms should strengthen the management of anchors in this regard, because anchor IP is the soul of content input and also the main object of supervision by regulatory authorities.
In short, the usage time occupied by Huajiao and Yingke is being broken down by short videos like Douyin and Kuaishou, leaving huajiao and Yingke with little time left. It is worth noting that when counterattacks are made with content, they are often high quality and unreplicable. We hope that huajiao and Yingke can seize the gap of market opportunity and re-open the door of revival.
Article/Liu Kuang public number, ID: Liukuang110, this article first kuang Venture capital network