Chapter 809 The Scale Limitation of Online Advertising
Toutiao has been online for a week now.
On the first day, 8 million PV;
On the second day, 17 million PV;
On the third day, 22 million PV;
On the fourth day, 47 million PV;
On the fifth day, it was sluggish and dropped back to 32 million PV;
On the sixth day, the weekend came, and 50 million traffic was created in a single day;
On the seventh day, the daily traffic exceeded 70 million!
When Zhou Buqi got this data report, he was so happy that he almost rushed upstairs to show off to Lao Zhang!
Feel elated!
At present, among domestic information websites, Sohu has the largest traffic, with a single-day PV of about 65 million, followed by Sina, which can create 58 million PV per day.
That is to say, relying on the drainage of Youyou.com and Xiaonei.com, as well as the two super traffic distribution platforms of Baidu and Weidian, Toutiao surpassed the old portal websites in terms of daily traffic in only 7 days.
However, there is one statistic that is still in poor headlines today, that is PV per capita.
Sohu's per capita PV value is 13.2, that is to say, daily active Sohu users browse 13.2 pages on the website every day. Sina's PV per capita is 9.2.
The higher the PV value, the stronger the stickiness of the website and the higher the user loyalty.
The per capita PV of Qzone and Friends.com are both around 20.
The PV value of Toutiao is only 2.3.
This means that users have no sense of belonging to this new website, they mainly read purposefully under the traffic distribution mode of search engines, and do not pay much attention to relevant content.
After all, it is a new website with no reputation and no foundation of its own.
However, the per capita PV of 2.3 illustrates another problem.
The average PV per capita is 2.3, and the daily traffic reached 71 million on the seventh day after its launch, which means... On this day, more than 30 million netizens across the country have used Toutiao!
This is the strength demonstrated by the joint efforts of Baidu and Weidian. They have monopolized 85% of the market share, and there are two major search platforms to distribute traffic, directly making Toutiao the largest search market traffic gathering place.
Mainly rely on micro points.
On the Baidu platform, at most one search result of Jinri Toutiao will appear on a single page.
On the Weidian platform, 10 search results are displayed on each page. If it is a simple search, there are 3-4 advertisements, 2-3 are the ecological content of Weidian Encyclopedia, Weidian Q\u0026A and Weizhi, and 2-3 are today's headlines. If it is a complex search, there are 2-3 advertisements, 4-5 ecological content of Weidianbaike and Weizhi, and 3-4 content of Toutiao.
Except for Sohu, the content of other traditional portals will gradually disappear in Weidian, and will eventually be completely replaced by its own Toutiao.
It has been online for 7 days, the first step of today's headlines, a great success!
Once the traffic is guaranteed, the next step is to make money.
Advertisers are sharp-eyed, and they are all staring at which website is popular and which website has high-quality advertising space vacancy... High-quality resources need to be competed for.
The secretariat handed over a material, saying that in the past two days, more than 300 advertisers have contacted Toutiao for cooperation.
The marketing department is already crazy busy.
This busyness is not the busyness of bargaining, but the busyness of signing contracts. I need to sign 300 advertising contracts!
Different from traditional website advertisements, Friends.com and Toutiao under Ziweixing use intelligent algorithms to promote personalized advertisements.
Personalized advertising is not just as simple as the thousands of people in the advertisement push, but a whole set of changes in the logic of advertising.
Traditional advertising... For example, Sohu has vacated an advertising space for a period of half a year to attract foreign investment. Taobao offers 8 cents per click, and Maopu offers 5 cents per click, so Sohu will choose Taobao and give up Maopu.
Personalized advertising is different, you can have it both ways, and accept everything as you order!
Traditional advertising has poor conversion effect. Taobao may have an advertising budget of 50 million yuan, but Sohu’s advertising conversion rate is poor, and it is difficult to fill all the advertising budget.
If it is an older netizen who lacks Internet knowledge, he cannot shop online in this era, and the advertisement recommending Taobao to him will have no effect. On the contrary, it may be useful if the advertisement of mop is recommended.
This is what personalized advertising means.
It can greatly improve the conversion effect of advertising.
Conversions improve...ad budget may not be enough. According to pay-per-click, maybe Taobao’s original plan was to have a half-year budget of 50 million, but the results were so good that after 4 months, Taobao ran out of money.
You can no longer advertise on Taobao.
What should I do with the remaining 2 months of advertising schedule?
The best solution is to place advertisements alternately. This model, Friends.com has been in operation for several months, and it has done a good job and has enough experience.
When you meet an online shopping expert, push Taobao's advertisement. When I met a social expert, I recommended Mop's advertisement. Although the single advertising fee of Maopu is less than that of Taobao, advertising revenue = click fee x click rate.
The click fee is too much, but the click rate is too little, and the advertising fee is still too little. With personalized recommendations, although the click fee is low, the click rate is high, and the advertising revenue will also increase.
Under this model, there is no need to even bargain.
Let the advertisers make their own quotations, and accept them as much as they bid! Even if advertisers offer a price of 1 cent per click, they can still sign a contract.
This is a bidding ranking system.
Advertisers bid less and rank lower.
For example, Taobao offers 80 cents per click, eBay offers 70 cents per click, Paipai offers 60 cents per click...Under the same conditions, the highest price must win.
If Taobao's advertising budget is sufficient, then this kind of advertising push will always be Taobao, and eBay and Paipai will never appear. If Taobao's advertising budget is not enough, it will be the turn of eBay in the next row. eBay's advertising budget has also reached the standard, it will be Paipai, and so on.
Advertisers bid too low and may never be ranked.
For the sake of advertising effect, advertisers will actively quote the highest price they can afford according to their own strength.
Today’s Toutiao’s advertising model is basically a continuation of the idea of Youyou.com.
As long as it is a legal and compliant advertisement, no one will be rejected!
The more the better!
The advertised price can be as much or as little as you want, you can fill it in yourself!
Under this brand-new advertising model, the work efficiency of the marketing department will inevitably be greatly improved. Not to mention the domestic market, looking at the whole world, Ziweixing's advertising model is second to none!
The only question... Can the current Internet volume be worthy of such an advanced advertising model as Ziweixing?
Coincidentally, He Yang and Zhou Buqi thought of going together.
After a while, He Yang took some materials in his hand and reported to Zhou Buqi, "This is the latest material. I got it from CNNIC. It is the domestic Internet market advertising scale in the first three quarters of this year."
When talking to such executives, Zhou Buqi will not sit in his own executive chair, but will sit on the sofa, and everyone will communicate together on an equal footing.
He walked over, sat down on the sofa, and asked, "How much?"
"Six billion."
"Not much!"
Zhou Buqi frowned.
In the first three quarters, the total scale of Internet advertising nationwide was only 6 billion yuan? This is too little! Ten years later, giants like Ali and Baidu will have a monthly advertising revenue of more than 6 billion.
The current Internet market is indeed still in its infancy.
He Yang handed over the materials and said: "This is just an incomplete statistics. It is mainly aimed at the more traditional image advertisements, and it seems to include text advertisements on Friends.com. Promotional services are definitely not included. This data is definitely not accurate enough. Yes, it can only be used as a rough reference.”
Zhou Buqi suddenly thought of a very interesting topic, "How much was Ziweixing's advertising revenue in the first three quarters? Is there any statistics?"
He Yangdao: "According to statistics, it is about 1.1 billion. It is mainly contributed by Friends, nearly 900 million."
"Out of the total scale of 6 billion, Ziwei Star accounts for 1.1 billion...how much is this share?"
"18%."
"It's okay." Zhou Buqi nodded, his eyes burning, "What about the ranking? What's the number in the country?"
He Yang stretched out three fingers, "Third."
Zhou Buqi was surprised, "18% share, only third? Who are the top two? Baidu and Penguin?"
He Yang said with a smile: "Baidu is the number one, with a market share of about 22%, and advertising revenue of more than 1.3 billion. The second is not Penguin, whose main income is games and value-added services. They also want to advertise, but Qzone has always been Can't develop it."
"Then who is the second?"
Zhou Buqi couldn't figure it out. Which Internet company in China can surpass Ziweixing in advertising revenue? Ali definitely can't do it. Their own advertising platform has just been built, and it is still far away.
He Yang chuckled, "It's Sina, with an advertising revenue of nearly 1.2 billion."
"Huh?" Zhou Buqi was surprised, "Sina's traffic is not as good as Sohu's, and the advertising fee is even higher than Ziweixing, second only to Baidu?"
The smile on He Yang's face was rather weird, and he pointed upwards, "He has a strong relationship and has a background. Many state-owned enterprises will target Sina for online advertisements, and the unit price of advertisements is also high. We can't compare."
Zhou Buqi suddenly realized.
It's hard to say anything more, this is indeed their advantage.
He Yang smiled and said: "But it doesn't matter, this is only September, and the last month of the third quarter has not yet passed. Now, relying on "Happy Farm", Friends.com has greatly increased its popularity and traffic. At that time, the monthly advertising fee increased by 80%. Weidian’s advertising coverage has also increased, and there is bound to be a rebound in the last few months. And today’s headlines... In the last few months, let alone Sina, even if it is Even Baidu can’t stop Ziweixing.”
"First?"
"Definitely!"
"about how much?"
He Yang said with a smile: "Then I will make a bold prediction. This year, the advertising revenue of Friends.com will be about 1.5 billion yuan. The campus website group will be about 200 million yuan, and Weidian will be between 300 and 400 million yuan. Today There are more headlines...Ziweixing's advertising scale this year should exceed 2.3 billion."
In the first 8 months, advertising revenue was 1.1 billion. In the next 4 months, the advertising revenue was 1.2 billion.
The growth rate exceeds 100%!
This is a very impressive report card.
A high growth rate means good growth and great potential. When financing, you can get a better valuation.
However, Zhou Buqi was not satisfied with one point, "Is Weidian's advertising revenue so low? The previous few months are counted, and now Weidian's advertising density has increased. One month's advertising revenue is less than Baidu's." half?"
He Yangdao: "This is the advantage of being the first in the market. Last month, Baidu's market share was 51%, and Weidian's was 34%. The gap is not too big. But for advertisers, these are meaningless. The first choice for advertising. The advertising budget is limited, so we only advertise on Baidu and give up Weidian. If the budget is sufficient, there will be price discrimination. Part of the medical advertisements is also a big missing."
Zhou Buqi leaned back and sighed, "I thought the gap between Weidian and Baidu was not too big, but I didn't expect..."
He Yang said in relief: "It doesn't matter, Baidu's growth rate is slowing down, and Weidian's growth rate is increasing. By next year, the situation will change. This year, the total scale of online advertising in the country is about 9 billion. The market size Here, no matter how big you want to be, it’s impossible.”
"Yeah, the scale is too small."
"Currently, about 10,000 companies across the country have placed online advertisements. Among them, the three major categories of brand advertisements, real estate, network services, and IT products, account for 60% of the share. Ziweixing lacks real estate-related sectors. In terms of IT products, it is the largest advertising platform.”
Zhou Buqi immediately reacted, "Today's headlines have no restrictions, the content is extensive, and the coverage is large. It can introduce real estate advertisements."
He Yang smiled and said: "Yes, no real estate agent has contacted us yet. I have notified the marketing department and asked them to take the initiative. In addition, two emerging advertising fields have emerged this year. They are very popular and have a large amount of funds. big."
"Financial advertising counts as one, right? The stock market is so hot, I see that many college students on the school net are clamoring to watch the market and speculate in stocks."
"Yes, finance counts as one. There is another one, which is car advertising. It also surpasses network services and IT products to become the largest online advertising field."
"Well, this is a very important general direction, we must firmly grasp it!"
Zhou Buqi is too clear about the situation. As long as car companies enter the Internet, car company advertising will become an important pillar. In the sales of a car, basically 5% of the cost is advertising. And more and more of these advertising expenses will be invested in online media.
He Yangdao: "Recently, a large number of automobile websites have emerged. This is a big outlet."
Zhou Buqi waved his hand and said: "It is impossible for us to get involved in every subdivided field. Today's headlines are enough. The automobile industry is so popular that we can guide the launch of some automobile-related self-media. Through this group, we can drive Ziweixing of car companies’ advertising revenue.”
Some professional review agencies, even if they charge for marketing, in order to maintain their own authority, they are very restrained and should not lose too much. The self-media is different. After receiving money, let them say whatever they want, even smear their colleagues and engage in black public relations.
Therefore, when merchants place advertisements, they will be more inclined to self-media, which is easier to control, has better effects, and is more in line with their own wishes.
This is the advantage of Toutiao compared to those automobile websites.
