This article is from the WeChat public account: Zhou Tian Finance (ID: techfinsight) , author: Ye Fu Zhou, from the cover: Figure insects creative
Ji Shiwu, the five elements numerology called “flat wood”, has always been an important node in the history of China.
In the year of 2018, which is the closest to us, China ’s Internet business has undergone a series of important changes.
Changed companies include established giants such as Tencent and Ali that have been established for more than 20 years, as well as Meituan, Kuaishou, Xiaomi and other Mesozoic companies that have risen in the mobile Internet era.
The pressured economic environment, the peak traffic market, hungry competitors … anxiety is spreading in elephants at an unprecedented rate.
Tencent re-integrates the business group and refers to the industrial Internet; Alibaba and Alibaba Cloud and Big Tmall officially enter the post-Ma Yun era; Meituan went to Hong Kong to list, and then clarified new strategic goals; Kuaishou experienced rectification in early 18 Storm, several organizational adjustments have been made in a year.
Blinking time is coming to 2020. This collective change that began in the 1898 year has continued for a year. How is it going? The effectiveness is also a touchstone to test the ins and outs of the Chinese Internet in the next decade.
I. Tencent, who removes muscles and bones
Tencent is the one with the largest range of change and the most drastic business adjustment.
On September 30, 2018, Tencent announced a new organizational structure adjustment, reorganizing the original seven BGs, establishing a new cloud and smart industry business group CSIG and a platform and content business group PCG, retaining the original Corporate Development Business Group CDG,Interactive Entertainment Group IEG, Technical Engineering Group TEG, and WeChat Group WXG.
Tencent’s 20-year history, for the first time, has integrated the capabilities of To B into a complete group army and docked outward with a unified interface. In the open letter, Ma Huateng stated that “with the digitalization process, the main battlefield of the mobile Internet is developing from the consumer Internet in the first half to the industrial Internet in the second half”, and Tencent ’s strategic goal is to “root the consumer Internet and embrace the industrial Internet “.
How to embrace? The core is Shangyun.
From the results, according to the 19Q3 financial report released by Tencent this year, Tencent disclosed its single quarter cloud business revenue in the financial report for the first time. Cloud service revenue increased by 80% year-on-year to 4.7 billion yuan, and single-quarter revenue has exceeded More than half of 2018’s annual income.
Behind expectations, CSIG is effectively integrating resources within Tencent. B-end users are different from C-end users. They need very comprehensive capabilities and coherent services, and there are many factors affecting each order. In the past, Tencent’s experience accumulated in the consumer Internet could not be easily transferred. Internal competition caused by the “horse racing mechanism” Also considered no longer applicable.
Media reporter Lei Xiaoyu recorded a detail. Lin Ying, a vice president of CSIG, told employees at the annual meeting of the business group that, To do B business, you must put your knees in your pocket when you go out, which is convenient at any time. Take it out.
Penguins are feeling an unprecedented sense of crisis.
At the Tencent Annual Staff Conference in December last year, Ma Huateng, who has always been gentle, pointed out that “cadres are not for life” and will give 20% of the priority to younger cadres, hoping that there will be more in the future. Young people stand out. Prior to this, Ma Huateng uncharacteristically repeatedly countered his competitors in public and released a refreshing letter to the market by personally ending the game.number.
As a follow-up to the 930 change, according to several media reports, Tencent has successively waived and adjusted 10% of its middle-level cadres. This is the first time in this history of tissue resection surgery.
For many years, Tencent has relied on the C-end business empire built on social networks, and has firmly controlled half of China ’s Internet traffic resources. The exclusiveness of the social network model has gradually made Tencent more organizationally inert, and young people cannot get it. By chance, a group of cadres lie on the merit books and sleep, lacking fighting spirit.
This inertness has even eroded to a certain extent Tencent’s pride that “everything is based on user value.” In the interface news report, a senior director of Tencent said, “What products does Tencent have now? What products do users use, instead of what users need, we go to develop “, losing the thrill of making products before.
Zhang Zhidong, one of the main founders of Tencent, has also repeatedly criticized the WeChat team’s product iterations for being too slow. A small demand was scheduled for months. Judging from the voices of Internet practitioners that Zhoutian Finance has contacted, Tencent is almost recognized as the most suitable “old-age” manufacturer.
A common impression in the industry is that Tencent has always been “not punishable by doctors”. When encountering things, it is rarely accountable at the middle level and above. Under the unique culture of qishengcai in Guangdong, it is neither close nor enemies. Maintaining a sense of boundary is vividly reflected in Tencent.
But there is no ever-winning general in the business world. In a peaceful era, such a climate is not a problem, but during the war, the inertia of the organization was exposed.
Ads and games Advertising and games, as the main business that contributes profits, are slowing down due to the size of the industry and the economic environment. The number of WeChat users has reached the ceiling, and the promotion of overseas expansion for many years has not seen significant results. Although the business is growing rapidly, there is still a long way to go to achieve large-scale profitability.
Tencent ’s strong support for WeTV did not receive significant results in the division of user time on the short video track. Outside of the content base camp, bytes beat the army.
From the stock price perspective, from the 930 reform to the present, Tencent has fluctuated in the middle, but the market value has basically maintained at around 3.2 trillion Hong Kong dollars, which is the same as this year. The Hang Seng Index that has not risen or fallen has a draw This year can be described as slightly bland and without fault.
Tencent’s stock price changes in 2019
The article “Tencent has no dreams”, which caused widespread discussion, mentioned that “Tencent’s vision is to be the most respected Internet company, very large and very vague, because no one has made clear how this vision can be realized. “
On the 11th anniversary of this year ’s Double 11 and Tencent ’s founding, Ma Huateng and Liu Chiping announced Tencent ’s new mission vision “Customer-oriented, technology is good”, frankly, although it still retains some difficult to explain Boundary, but I think it is much clearer than the previous version.
I can often feel the people around me, whether inside or outside the circle, most of them have a good opinion of this company, especially the younger generation, who spent their student days on QQ, listening to QQ music, playing When Tencent grew up, it built a network of contacts in the adult world on WeChat.
Especially when the Internet and the entire technology industry are becoming a more brutal world, a lot has happened in the industry this year, whether it is a violation of user privacy without a bottom line, or the use of criminal methods to treat resigned employees, it is becoming increasingly Let Tencent’s “goodness” be highlighted.
This kind of gentleness is also a double-edged sword. On the one hand, it may not only make the company go mediocre, but on the other hand, it may also make Tencent a backbone force. This force strives to keep the Internet from sliding to cruelty. And a good night without a bottom line.
Ali in the process of power transfer
Compared to Tencent’s big changes in recent years, Ali has continued to make small changes every year. At the end of November 2018, the heat of Double 11 has not been waited forAfter it was gone, Ali announced a new organizational structure adjustment. Alibaba Cloud was upgraded to Alibaba Cloud Intelligence and began to become the technology cornerstone of the entire Alibaba. Tmall was upgraded to “Big Tmall” and divided into Tmall business group and Tmall supermarket business. Group, Tmall Import and Export Division three sections.
For the technology giant recognized as the most prominent organization, the structure adjustment is almost once a year, which is not new. After Xiaoyaozi took over as the group CEO in 2015, Ali successively carried out the China-Taiwan business group and faced new challenges. Restructuring the “Five New” strategies such as retail. In 2019, Ali also made major adjustments to the big entertainment, Hema, and Dingding business groups.
The difference between the adjustments at the end of 2018 is that on the one hand, Jack Ma announced his decision to officially retire one year later, adding a bit of historical background, and on the other hand, the adjusted Tmall and Ali Yun, one who manages the present and one who manages the future, Jiang Fan and Zhang Jianfeng’s “one man and one martial arts” two members have also been confirmed at the group level of power in the adjustment.
In terms of stock prices, Ali’s stock price has increased significantly this year. It has recently returned to $ 200 per share, an increase of more than 40% from the beginning of the year. The market value of the group has once again approached the historical high set in 18 years. As of December 6, Ali had a market value of US $ 539.7 billion, and it was also the Internet company with the highest market value in China.
The media “American stock research agency” believes that Ali’s revenue can maintain a growth of about 40%, largely because Ali has more and more new businesses. Are you hungry for the reputation of local life services, offline Physical retail and Youku’s entertainment business are all achieved through acquisitions. On the one hand, it ensures financial consolidation and is reflected in revenue; on the other hand, stronger control also helps to open up data and the construction of its platform Form a closed loop.
However, with the double 11 figures set at 268.4 billion yuan this year, and the domesticization of active consumers after de-duplication of 730 million yuan, the core commercial business that contributed over 80% of the Group’s revenue is facing a slowdown. Continue to talk about Good growth story tests the collective wisdom of the new leadership.
Ali always has a “sense of tension” and is always changing.
Among the many core Ali employees contacted by Zhoutian Finance, many have barely resigned for the rest to ease the overdrafts of the past few years. Often, after a few months, these people have returned intact. The original position has not changed. Nevertheless, just as Tencent needs to try to block headlines, Ali has also encountered new e-commerce species that have emerged in the past two years.
Four years have passed since the establishment of Pinduoduo. According to Huang Zhi ’s announcement in October this year, his real GMV payment has surpassed JD. For reference, it has yet to be verified) , and according to the latest quarterly financial report of Pinduoduo, its annual active buyers reached 536 million. In the next stage, Ali has been approached.
Although from the current point of view, Pinduoduo is still difficult to compare with Ali in terms of the group’s revenue and the depth of its business layout, but it is able to make a breakthrough in the e-commerce track recognized in the Red Sea. A strong attack from the sinking market also sounded an alarm for Alila-no matter how hard you try, you can always kill new opponents in the shadows.
Can “Big Tmall” stop Pinduoduo, and can the tens of billions of subsidies for Pinduoduo successfully complete the rise of users? One effort sinks, one effort rises, and the face-to-face confrontation between Jiang Fan and Huang Yan, two young marshals, will be the most noteworthy topic for Chinese e-commerce in the future.
Meituan: Everything is related to the long-term
On Ali’s front, there is another looming opponent. On October 30, 2018, Meituan announced a new organizational structure upgrade through a full letter. Announces company’s strategic focus on Food + Platform clarifies the core of “eat”, establishes a user platform, and visits stores and homes.
Meituan just landed on the Hong Kong Stock Exchange less than a month and a half before this business adjustment. This is also the first major business adjustment of Meituan since its listing. At the time, there were voices outside the United States that the adjustment of Meituan was a passive response to the stock price decline since listing.
Measured from the current stock price results, Meituan has achieved significant results with this change.
On December 2, 2019, Meituan set a historical stock price record of 107.4 Hong Kong dollars, an increase of more than 100% compared with the organizational adjustment measures issued last year. It is also the largest Chinese company with a market value of more than 10 billion US dollars. .
Supporting investor confidence is steadily growing business data. According to data released by third-party monitoring agency Trustdata, Meituan Takeaway continued to lead the market with a 65.8% market share in the third quarter of this year, and increased by 0.7 percentage point from Q2, maintaining its leading position in the takeaway market.
According to Meituan’s 19Q3 financial report, in the third quarter, Meituan’s catering takeaway transaction value was 111.9 billion yuan, a year-on-year increase of 40%, and the number of takeaway orders was 2.5 billion, a year-on-year increase of 38.1%.
In the restaurant and hotel business, according to the latest financial report of Meituan, the revenue in the third quarter of 2019 reached RMB 6.2 billion, an increase of 39.3% year-on-year, and the transaction amount also increased from RMB 49.3 billion in the same period last year to RMB 63.9 billion. . Quarterly hotel nights exceeded 100 million for the first time, becoming another engine beyond takeaway.
From the development history of Meituan, this company is best at first-come-first-served.
Group purchase, takeaway, wine travel, including fresh retail, which has begun to invest heavily this year.
Fourth, the fast way to spread the tension
Quick Start didn’t go well in 2018.
Because of the inadequate content supervision, they were interviewed by relevant departments, and then quickly came up with a series of rectification plans, began to establish a minor protection system, and expanded the review team from 2,000 to 5,000. The open letter of the founder Su Hua is in The App homepage appears as a “banner” …
With the outbreak of the short video track, the fast hand that has been dormant in the sinking market has received unprecedented attention, and the explosive growth of the business has forced the company to grow rapidly.
As we mentioned in the previous article, the total number of employees of Quick Hand has almost doubled in 2018. By the end of 2018, it is conservatively estimated that there are more than 3,000 people who do not count outsourcing. However, Quick Hand did not start until April 2019. To promote the construction of the rank system, it is clear that lessons in organizational ability need to be made up.
In fact, only around October 2018, Kuaishou promulgated the “Renzi 01” document internally, clarified the responsibilities of multiple core management positions, and issued the internal “live water” employee rotation management regulations the same month In the following months, Quick Start reorganized several business units one after another.
The fun of this company is that a specific group of people cut into a specific track at a specific time, like rubbing a spark on a haystack, and it quickly ignites Magnificent flames.
The main station app of Kuaishou is easy to associate with WeChat-close connection between people, equality and inclusiveness, and restraint in product functions. Cheng Yixiao, the founder of Kuaishou, is responsible for the product. It is also called “Tiantong Court Zhang Xiaolong”.
The common feature of this kind of product is that it stimulates the deep connection and value exchange of the network, and has a strong ability to withstand wind and waves. Products often contain unexpected energy.
So you will find that even though Douyin has been aggressive in 2018, and later came on top, even though it lacks organizational skills, the fast hand still continues to grow silently. DAU has exceeded 200 million in May 2019. The net increase of 160 million at the beginning of the year was 25%. According to the latest official news of Kuaishou, its daily live broadcast function has also broken through.The industry for the treatment of hair loss is also rapidly emerging, and has quickly acquired the first seed users among Internet users.
The 20-year-old Ali and Tencent have withstood the challenges of the recent rise of Pinduoduo and Toutiao respectively. The broader market peaked, and new challengers entered the game, forcing the two giant ships to start reorienting and speed up.
In the world of the Internet, there is no one-size-fits-all barrier. Unlike the stable pattern of Silicon Valley, China ’s Internet world is far less stable than that of the United States. This is a continental plate that is still splitting and colliding with volcanoes. Become a new continent.
If you can be quiet for years, no one will choose to be turbulent.
In the past two decades, Internet commerce has set off the most dramatic wave of the Chinese economy. The glare of the rising period has changed the destiny trajectory of two generations, and has given the largest circulation to the Chinese social class. The children of factories, mines and farmers who have learned code-knowing skills have become urban gold collars and settled down in big cities. But the gift of fate, after all, contains a price, and no one can gain a real sense of security in this drastic change.
Even a giant elephant such as Tencent Ali, it is difficult to stand alone and eat in the air. The collective change of large companies in the tide reflects that the entire industry has reached a critical stage that requires review, reflection and re-starting.
Facing fluctuations, how many large and strong companies still have room to try to turn the bow? What about those small companies? According to statistics from IT Orange, there are as many as 326 new economic companies that have “dead” in 2019, including many Panda Livestreamers and Tao Jiji who are sought after by VCs and have golden spoons.
The warning from Zeng Ming, the former superintendent of education at Lakeside University, is becoming a reality: easy money is definitely gone, and everyone will have to do more hard work in the future.
2019 is about to pass, and not many people may miss it.
After 1898, there is no more ease.
This article is from the WeChat public account: Sunday Finance (ID: techfinsight) , Author: Ye Fu Zhou