How to keep running fast after becoming an elephant?
Editor’s note: This article comes from WeChat public account “Tech Planet” (ID: tech618) < / a>, author Zhang Yating.
In the past 2019, the landscape of the Internet is changing again.
First of all, affected by the peak of mobile traffic and the cold winter of capital, the pressure on the survival of the Internet industry has intensified. The new economic dead company database of IT Orange shows that 327 companies will be closed in 2019. However, more than half of the Internet companies listed in the US and Hong Kong stocks have risen.
Large companies try their best to find new volume and explore new space for business development.
As of July 2019, the total number of global daily active users (DAU) of BYD’s products exceeded 700 million. Tencent has fully attacked the B-side business. The US Mission achieved this by adjusting its business. Profit, fight a lot with “ten billion subsidies” to start the war in the field of e-commerce. As a result, these terms have become popular: “To B”, “Sinking the market”, “Going to sea”, “Live e-commerce”, “Private domain traffic” …
Tech Planet (WeChat ID: tech618) sorted out the market capitalization of leading Internet companies and found that most of the leading Internet companies maintained their market value growth.
From the perspective of annual fluctuations, the two giants, Ali and Tencent, each rose nearly 100 billion US dollars, but did not cause a siphon effect. The small giant China-US group became a strong dark horse The market value has increased by 147% in one year. The market value of JD.com, which was spent in the dispute in 2019, has also increased by more than 20 billion US dollars.
This time, Tech Planet (WeChat ID: tech618), based on authoritative data and industry analysis reports, will discuss with you the significant changes in Tencent, Baidu, Meituan Reviews, and byte beating 2019.
Tencent: Change to Banpo
In 2019, Tencent has undergone mild changes.
In this year, the market value of Tencent increased by 20% from USD 381.8 billion to USD 460.8 billion. Although it is not as strong as Ali’s, due to the “9.30” after 2018 , Tencent has undergone a major adjustment of its organizational structure. The effects of Tencent’s organizational restructuring and the direction of future business development are still worthy of attention.
Tencent’s business model is based on the huge traffic sources of WeChat and QQ. On the one hand, it monetizes the C-end traffic through games, advertising, and big entertainment; on the other hand, it uses financial technology and Cloud computing enables B-side empowerment. However, content traffic such as byte-based short videos has broken Tencent ’s monopoly advantage in traffic, and Tencent ’s weak foundation in cloud computing, fintech and other enterprise service fields has caused Tencent ’s “flywheel” to slow down.
So, the first thing Tencent has noticed in the past year is the PCG (platform and content) business group. Facing the competitive pressure of byte beating, Tencent must act. Limited by the internal horse racing mechanism, Tencent’s internal resources and data are difficult to share, and the PCG business is greatly threatened. The organizational response of Tencent is the awakening of its internal Chinese and Taiwanese culture.
In January 2019, Tencent set up a technical committee to promote the collaboration of internal business groups. PCG implements both technology and content, and strives to maximize efficiency. In addition, the partnership system is implemented. PCG’s business is linked to the year-end incentives of all partners. In December 2019, PCG also implemented a one-year appointment system for middle and senior executives, and the pace of organizational optimization continued to accelerate.
In 2019, the most important achievement achieved by PCG is that Weishi’s monthly activity exceeded 100 million. At the Tencent Staff Conference, Ren Yuxin, the person in charge of Tencent COO and PCGRevealed the new goal of Vision 2020, “I hope that Vision will reach 50 million DAU next year.” At a performance summary meeting on Vision on August 9, Ren Yuxin once stated to the team, “We must continue to do so And it’s going to be better. “
The second thing worth watching is Tencent’s foray into the TO B field. From the perspective of investment, according to CVSource’s investment data, Tencent has a total of 62 investment records in 2019, and about 1/3 of its investment in corporate services.
The second signal of taking root in the Industrial Internet is the establishment of CSIG (Cloud and Smart Industry Business Group). Tang Daosheng, Senior Executive Vice President of Tencent and President of Cloud and Smart Industry Business Group, and 8,000 CSIG employees are mainly responsible for Tencent Cloud and Management and development of smart industries.
In the third quarter of 2019, Tencent’s financial report for the first time disclosed single-quarter cloud business revenue, showing that cloud revenue increased by 80% year-on-year to 4.7 billion yuan. For the entire year of 2019, Tencent Cloud has already achieved a revenue goal of 10 billion yuan in 2019, for which the company rewards each employee with an iPhone 11 Pro. IDC’s latest “China Public Cloud Service Market” report mentioned that Tencent Cloud is the fastest growing cloud computing vendor in the Top 3.
In addition, WeChat’s reform in 2019 also has a strong To B color. In December 2019, a large-scale upgrade of corporate WeChat encouraged brands / companies / traffic owners to use WeChat as a marketing promotion tool, rather than just staying on the positioning of the company’s internal social / management tools. And WeChat is improving the related functions of finance and payment, such as online payment points and small change, benchmarking Alipay’s sesame credit and Yu’ebao.
WeChat has also achieved more diversified revenue growth, and small programs and games are a powerful driving force. The data shows that there are more than 300 million WeChat Mini Program users in 2019, and a total of more than 800 billion in transaction value, a year-on-year increase of 160%; the business scale of small games has increased by more than 35% compared to 2018.
These achievements are the results of Tencent’s phased reforms. Although the data seems to keep growing, there is still Douyin in front of WeChat, which is already over 100 million yuan a day, and Tencent Cloud has Alibaba Cloud, which has reached the top three international scales. Tencent’s overall upgrade has already reached Banpo and will face For a steeper summit, the most dangerous part of Banban is that if you don’t advance, you will retreat. Tencent is self-renewing with the trend of breaking the wrist of strong men.
Byte Beat: Radical Spoiler
In 2019, bytes are beating faster.
In 2016, Zhang Yiming proposed at the company’s annual meeting that he hopes that globalization will be fully successful in 2019 and become the world’s number one creative platform, with revenue of $ 10 billion in 2020.
It appears that the historical mission of byte bounce may have been completed ahead of time. Byte’s valuation increased from 500 million US dollars in 2013 to 75 billion US dollars in 2018, a turnover of 150Times. As of July 2019, the total global DAU of BYD’s products exceeded 700 million, and the total MAU exceeded 1.5 billion.
And the byte-beating app time occupied by users is still increasing. According to a QuestMobile report, as of September 2019, the proportion of byte-beating APP usage time has increased to 12.5%. In terms of revenue, the latest research report released by CITIC Securities predicts that the byte beating revenue in 2019 and 2020 may reach 120 billion yuan and 200 billion yuan.
2019, it is reported that ByteDance raised its revenue target from 100 billion yuan to 120 billion yuan. Short video business is the first productive force of strong byte development. Douyin’s 2019 revenue target is 50 billion yuan, and still Strong growth potential exploded. From January 2019 to January 2020, Douyin’s daily active users increased from 250 million to 400 million.
Byte globalization is accelerating. As a submachine gun, TikTok’s total downloads in 2019 exceeded 508 million, an increase of 55% year-on-year. MAU reached 500 million overseas, ahead of Twitter, Snapchat, etc. Apptopia data shows that TikTok’s in-app purchase revenue increased 310% year-on-year. The success of overseas business is the most significant result of this year’s beating.
In addition, Byte is also accelerating the exploration of new additions in education, games, and social fields, and exploring new opportunities in vertical industries. However, as it deepened into the industry, Byte found its weakness.
In 2019, corporate collaboration platforms Lark and Fei Shu began to provide services to customers at home and abroad, targeting the domestic market and corporate WeChat. Education Business OwnerTo face K12, form three projects of Qingbei Online School (Strong Class), Aikid and gogokid. However, Lark was simply “disgusted” by the traditional industry. The function of education was closed / stopped.
Byte also acquired two game companies and set up a team of 100 people to start the Oasis project (Oasis Project) focusing on self-developed games. Although the volume is not large in the industry, it undoubtedly proves the ambition of byte beating. Video social software has benefited from the vibrato drainage, which has become a new highlight in the social field.
Based on the rapidly developing product matrix, huge traffic has made advertising one of the main commercialization paths for byte bounce. In the first half of 2019, ByteDance became the second largest digital advertiser in China after Alibaba with a 23% market share (equivalent to RMB 50 billion). Compared with the same period last year, advertising revenue increased by 113% Most of this growth comes from Douyin and today ’s headlines.
But today ’s headline growth has fallen into a state of exhaustion. According to QuestMobile data, from August 2018 to August 2019, the DAU of today’s headline has been hovering around 120 million, showing a negative growth trend. Zhu Wenjia succeeds Chen Lin as headline new CEO today and is currently focusing on developing search functions in an attempt to find a breakthrough.
The performance of Byte Beat 2019 is still outstanding in general, especially Douyin and TikTok. However, how to develop the next DAU product with over 100 million yuan and maintain the current high-speed growth for commercialization is still an issue that the “app factory” needs to solve urgently. After all, byte’s commercialization story is more dependent on traffic conversion. Interpersonal relationship chains and vertical industry development are its weaknesses.
Baidu: Outbreak in the trough
Baidu has experienced a roller coaster in the past year.
It dropped from $ 55.4 billion in 2018 to $ 43.8 billion in 2019, a 20% reduction. Now the market value of Meituan is almost equivalent to two Baidus.
Baidu ’s business model is to use the core search business and information flow business to monetize the advertising business and invest in new businesses. Bet on artificial intelligence and cloud computing as driving technologies to create future revenue growth points.
There are two main reasons why Baidu ’s market value has shrunk this year. One is that the advertising business has been greatly reduced due to the impact of the economic environment. The other is that Baidu has spent a lot of money on the content system and its profits have fallen sharply. And there is a certain distance between the twoDegree of causality.
In 2019, Baidu’s core search and information flow business declined for three consecutive quarters. As a result, Baidu ’s core advertising revenue was affected. After all, in Q3 2019, Baidu ’s advertising revenue (including iQiyi ’s advertising revenue) was 22.48 billion yuan, accounting for 80% of Baidu ’s total revenue.
According to the latest “Media Growth Trend Report 2020 in China” released by consulting firm R3, Baidu’s market share in the first half of 2019 has shrunk from 21% in 2018 to 17%. Financial report data shows that Baidu’s advertising revenue in 2019 has shown a negative growth trend for two consecutive quarters.
(Data source: Consulting company R3)
Baidu is fighting back. In 2019, Baidu proposed a “search + information flow” dual-engine strategy to accelerate the construction of the two major ecosystems of “Hundred Numbers + Mini Programs”, accelerate content construction, and respond to the changing situation of the mobile Internet. The departure of Baidu’s senior vice president, Xiang Hailong, also shows Baidu’s determination to transform.
Furthermore, in 2019, Baidu successively invested in high-quality companies such as Nutshell, Seven Cat Novels, and Zhihu, introduced vertical high-quality content, and built a platform matrix composed of products such as Baijiahao and Baidu Encyclopedia. To build a moat of content.
The construction of content ecology has brought opportunities to Baidu. In September, Baidu App had 189 million daily active users, a year-on-year increase of 25%, and the MAU of applets also reached 300 million. However, the cost and expenditure should not be underestimated. In Q3 2019, Baidu’s content cost and expenditure totaled 6.74 billion yuan, a year-on-year increase of 73%, accounting for 23.9% of the total revenue.
Currently, there is a search business that acts as a cash cow, but the content moat still needs time to build. On the other hand, autonomous driving, cloud computing, and voice technology are all major areas of investment. They are also the mainstay of Baidu ’s revenue in the AI era. It will take time for the “All in AI” strategy to bring more practical benefits to Baidu. To be verified.
Meituan comment: Can the strong dark horse have a stable foundation?
Meituan is the largest dark horse of mobile Internet in 2019. The market value of Meituan has increased by 147% in one year, from US $ 30.8 billion to US $ 76 billion. From the company itself, there is also huge positive news. In the second quarter of 2019, Meituan achieved overall profit for the first time.
Meituan ’s market value growth is closely related to the adjustment of its local life services. In simple terms,
In 2019, bytes are beating faster.
In 2016, Zhang Yiming proposed at the company’s annual meeting that he hopes that globalization will be fully successful in 2019 and become the world’s number one creative platform, with revenue of $ 10 billion in 2020.
It appears that the historical mission of byte bounce may have been completed ahead of time. Byte’s valuation increased from 500 million US dollars in 2013 to 75 billion US dollars in 2018, a turnover of 150Times. As of July 2019, the total global DAU of BYD’s products exceeded 700 million, and the total MAU exceeded 1.5 billion.
And the byte-beating app time occupied by users is still increasing. According to a QuestMobile report, as of September 2019, the proportion of byte-beating APP usage time has increased to 12.5%. In terms of revenue, the latest research report released by CITIC Securities predicts that the byte beating revenue in 2019 and 2020 may reach 120 billion yuan and 200 billion yuan.
2019, it is reported that ByteDance raised its revenue target from 100 billion yuan to 120 billion yuan. Short video business is the first productive force of strong byte development. Douyin’s 2019 revenue target is 50 billion yuan, and still Strong growth potential exploded. From January 2019 to January 2020, Douyin’s daily active users increased from 250 million to 400 million.
Byte globalization is accelerating. As a submachine gun, TikTok’s total downloads in 2019 exceeded 508 million, an increase of 55% year-on-year. MAU reached 500 million overseas, ahead of Twitter, Snapchat, etc. Apptopia data shows that TikTok’s in-app purchase revenue increased 310% year-on-year. The success of overseas business is the most significant result of this year’s beating.
In addition, Byte is also accelerating the exploration of new additions in education, games, and social fields, and exploring new opportunities in vertical industries. However, as it deepened into the industry, Byte found its weakness.
In 2019, corporate collaboration platforms Lark and Fei Shu began to provide services to customers at home and abroad, targeting the domestic market and corporate WeChat. Education Business OwnerTo face K12, form three projects of Qingbei Online School (Strong Class), Aikid and gogokid. However, Lark was simply “disgusted” by the traditional industry. The function of education was closed / stopped.
Byte also acquired two game companies and set up a team of 100 people to start the Oasis project (Oasis Project) focusing on self-developed games. Although the volume is not large in the industry, it undoubtedly proves the ambition of byte beating. Video social software has benefited from the vibrato drainage, which has become a new highlight in the social field.
Based on the rapidly developing product matrix, huge traffic has made advertising one of the main commercialization paths for byte bounce. In the first half of 2019, ByteDance became the second largest digital advertiser in China after Alibaba with a 23% market share (equivalent to RMB 50 billion). Compared with the same period last year, advertising revenue increased by 113% Most of this growth comes from Douyin and today ’s headlines.
But today ’s headline growth has fallen into a state of exhaustion. According to QuestMobile data, from August 2018 to August 2019, the DAU of today’s headline has been hovering around 120 million, showing a negative growth trend. Zhu Wenjia succeeds Chen Lin as headline new CEO today and is currently focusing on developing search functions in an attempt to find a breakthrough.
The performance of Byte Beat 2019 is still outstanding in general, especially Douyin and TikTok. However, how to develop the next DAU product with over 100 million yuan and maintain the current high-speed growth for commercialization is still an issue that the “app factory” needs to solve urgently. After all, byte’s commercialization story is more dependent on traffic conversion. Interpersonal relationship chains and vertical industry development are its weaknesses.
Baidu: Outbreak in the trough
Baidu has experienced a roller coaster in the past year.
It dropped from $ 55.4 billion in 2018 to $ 43.8 billion in 2019, a 20% reduction. Now the market value of Meituan is almost equivalent to two Baidus.
Baidu ’s business model is to use the core search business and information flow business to monetize the advertising business and invest in new businesses. Bet on artificial intelligence and cloud computing as driving technologies to create future revenue growth points.
There are two main reasons why Baidu ’s market value has shrunk this year. One is that the advertising business has been greatly reduced due to the impact of the economic environment. The other is that Baidu has spent a lot of money on the content system and its profits have fallen sharply. And there is a certain distance between the twoDegree of causality.
In 2019, Baidu’s core search and information flow business declined for three consecutive quarters. As a result, Baidu ’s core advertising revenue was affected. After all, in Q3 2019, Baidu ’s advertising revenue (including iQiyi ’s advertising revenue) was 22.48 billion yuan, accounting for 80% of Baidu ’s total revenue.
According to the latest “Media Growth Trend Report 2020 in China” released by consulting firm R3, Baidu’s market share in the first half of 2019 has shrunk from 21% in 2018 to 17%. Financial report data shows that Baidu’s advertising revenue in 2019 has shown a negative growth trend for two consecutive quarters.
(Data source: Consulting company R3)
Baidu is fighting back. In 2019, Baidu proposed a “search + information flow” dual-engine strategy to accelerate the construction of the two major ecosystems of “Hundred Numbers + Mini Programs”, accelerate content construction, and respond to the changing situation of the mobile Internet. The departure of Baidu’s senior vice president, Xiang Hailong, also shows Baidu’s determination to transform.
Furthermore, in 2019, Baidu successively invested in high-quality companies such as Nutshell, Seven Cat Novels, and Zhihu, introduced vertical high-quality content, and built a platform matrix composed of products such as Baijiahao and Baidu Encyclopedia. To build a moat of content.
The construction of content ecology has brought opportunities to Baidu. In September, Baidu App had 189 million daily active users, a year-on-year increase of 25%, and the MAU of applets also reached 300 million. However, the cost and expenditure should not be underestimated. In Q3 2019, Baidu’s content cost and expenditure totaled 6.74 billion yuan, a year-on-year increase of 73%, accounting for 23.9% of the total revenue.
Currently, there is a search business that acts as a cash cow, but the content moat still needs time to build. On the other hand, autonomous driving, cloud computing, and voice technology are all major areas of investment. They are also the mainstay of Baidu ’s revenue in the AI era. It will take time for the “All in AI” strategy to bring more practical benefits to Baidu. To be verified.
Meituan comment: Can the strong dark horse have a stable foundation?
Meituan is the largest dark horse of mobile Internet in 2019. The market value of Meituan has increased by 147% in one year, from US $ 30.8 billion to US $ 76 billion. From the company itself, there is also huge positive news. In the second quarter of 2019, Meituan achieved overall profit for the first time.
Meituan ’s market value growth is closely related to the adjustment of its local life services. In simple terms,
Meituan is the largest dark horse of mobile Internet in 2019. The market value of Meituan has increased by 147% in one year, from US $ 30.8 billion to US $ 76 billion. From the company itself, there is also huge positive news. In the second quarter of 2019, Meituan achieved overall profit for the first time.
Meituan ’s market value growth is closely related to the adjustment of its local life services. In simple terms,