Can the “fan + content” model become the next outlet?
The data of “Analysis of China Multi-Channel Network (MCN) Industry Competition Pattern and Investment Potential Research Report 2020-2026 released by Zhiyan Consulting shows that as of 2019, there are about 6,500 domestic MCN institutions. MCN content has accounted for more than 60% of the traffic on mainstream social platforms, and more than 90% of the top celebrities have been received by MCN companies. At present, the overall domestic market size exceeds 10 billion yuan.
Guotai Junan Securities believes that MCN has assumed the responsibilities of KOL screening, promotion, maintenance and product selection, logistics, and after-sales, and is at the core of the industry chain.
At present, the MCN industry is showing a red sea. With the continuous increase of new entrants, the slowdown of platform traffic growth and the expansion of fan growth costs, the industry has usher in the realization of the ceiling.
MCN monetization mode includes two channels, B and C. The B-end monetization method is mainly through commercial cooperation, traffic sharing, and IP authorization. This is also a common monetization method for the stars of the film and television companies; the C-end mainly relies on online celebrity e-commerce, live rewards, and knowledge payment. On this basis, by The development of MCN business by celebrities helps film and television companies to open up C-end monetization space.
The fans and traffic foundation of stars can not only provide a new engine to expand traffic for e-commerce and short video platforms, but also provide new opportunities for film and television companies to develop MCN business. At the same time, fans’ acceptance of idols is high. China Merchants Securities believes that celebrities already have the basic conditions for carrying out MCN business. They can bring goods through brand endorsements, live broadcast recommendations, etc., that is, “fan + content” Brand alliance is the key to the next industry competition.
Source: China Merchants Securities
At present, many domestic film and television companies have added to the MCN industry. Among them, Huace Film and Television carried out MCN business by investing in companies such as Little Red Lips and Zhuoyi Media, and developed a business ecosystem with content as the core, such as content e-commerce and fan economy, and realized the transition from B2B to B2B2C and B2C; obtained byte jump 1.8 Yiyang Investment’s Taiyang Chuanhe is backed by Douyin Watermelon and other platforms. It owns Papitube, an internet celebrity MCN company with papi sauce as its core, and has signed a contract to incubate many creators. Its production content covers food, mother and baby, beauty and more. Fields.
faceIn the face of such problems as limited liquidity scale, lack of talent and difficulty in management, and scarcity of high-quality content, how to use its own advantages to break the business boundary and expand the monetization model, and at the same time absorb retained talents to create high-quality content, or become the way to break the MCN.