Small Red Book "Leather Noodles" Content Electric Business Enters The Crossroads

In a sense, the small red book represents a future direction of the electricity supplier industry, so that "grass" has become a business mode. However, in view of the pattern of China's electricity supplier industry, it is also difficult to extricate itself from the mire of content realisation. This requires constant continuous innovation to break through, and the future of business is jointly shaped by the past and the present. At the crossroads of content providers, finding the right location is the prerequisite for all changes.

Everyone knows about the recent events in Xiao Hong's book. In May 10th, Xiao Hong's "brand cooperation platform upgrade explanation" launched a storm in the industry, so that the business of Tiantai business suddenly prospered. The KOL of the platoon teams were trapped in the confusion of their lives. They understood or did not understand. In fact, Xiao Hong's book was also full of frustration, even though it was the absolute head of shopping and sharing community.

The little red book, which started with UGC content and the source of social fans as the source of vitality, is most worried about the decline of the credibility of the platform. The flooding of advertisements and the clustering of grey production are the problems that can not be avoided in the development of the Internet platform. But the Chinese Internet has already gone through the age of wilderness. Today's user experience is placed above everything else. Xiao Hong's cleaning of KOL is not difficult to understand. This is a return to its own tonality, which is more conducive to the development of the platform in the long run.

But put in a higher perspective, behind the rectification of Xiaohong book, in fact, the whole side of the entire content of the electricity supplier business dilemma.

UGC community realisation is a common problem.

Since the launch of the "welfare agency" in August 2014 to the "brand cooperation platform" on January 2019, Xiao Hong has been exploring ways to cash in the business. In recent years, the volume of Xiaohong book has been increasing, and it has settled the top of the shopping and sharing community. However, the 6 year old company obviously has not really built up its own business empire. There is still much room for the number of users to break through 250 million. It is hard to say how to make money is the most important thing at present.

But not only is Xiaohong book, but the UGC community is now a big problem in the world.

Stephen, the founder of UGC, a global travel giant, once said: "our website is great, everyone likes it, but it can't earn money."

The typical representative of our domestic counterparts is Hornets' nest. Although we have just completed a new round of US $250 million financing from Tencent, we have been on the road of commercialization for ten years.

As far as it is concerned, there are two ways to cash in the UGC community: to achieve short-term profits through advertising revenue, or to open up sales links, thus becoming the supplier of products.

In fact, the situation of Ma beehive and Xiaohong book is very similar. They are all the UGC communities in vertical consumption field. They also have their own heads in the field of subdivision, but the traffic is abundant, but it is hard to find commercial realizable channels.

It is very important to make content community tonal. If we only rely on the classic cash in advertising mode, the content quality and user experience can hardly be unaffected, and directly expand sales business, and also need to compete with the strong industry giants. There is still a gap between the accumulation of resources and channels, or the experience of supply chain management and operation.

People in the tourism industry have once evaluated the distance between original tourism content and Trade: it seems close and far, and this sentence can also be used in Xiao Hong book.

Another typical case is knowing that, after years of development, it has become the first knowledge quiz community in China. It has more than 200 million users, and has produced a lot of high-quality UGC content, but it has also been in the predicament of profitability.

In order to maintain platform tonal and content quality, know almost once rejected advertising very much, but under the pressure of profit, it later launched the function of "brand questioning", for the owners to put on marketing soft Wen.

But relatively speaking, knowledge has a natural advantage over the content pformation marketing business, that is, the knowledge elite atmosphere that lets it know that it can smoothly access the draught of knowledge payment, and the wider and richer content structure allows it to have more room for maneuver in knowledge realisation. Eventually, it has found the business realisation mode of "knowledge payment + value-added service + membership", but surrounded by major content payment platforms, it is still not successful at present, and is still in the exploratory stage.

Interestingly, both know and Xiaohong books are training KOL besides their own, and have formed an Ecological Symbiosis with KOL. But there is also a situation of "cleaning KOL".

This act of "self breaking arm" seems strange, but in essence, it is not a matter of development and balance, but also a conflict of interest in business mode.

The implication is that both KOL and Xiao Hong can achieve rapid cash realisation through their own influence. However, this benefit has nothing to do with the platform, and it will also affect the experience of most other mainstream users.

For the two, how to balance the needs of high quality content and commercialization is still a difficult problem to be explored.

Although planting grass is good, it is easy for others to dress.

The business mode of "community + electricity supplier" is no problem in itself. The problem is that the times have changed. Although planting grass is successful, it is essentially a marketing mode. It can bring traffic to the platform, but it can not directly endorse the GMV for its own electricity supplier.

In 2018, Xiao Hong's own business set up GMV100 billion target, but ultimately failed to achieve it.

Electricity providers need traffic, but traffic is not the winner.

Under the shroud of Ali and Jingdong giants, it is not very meaningful to simply drain and rebuild a comprehensive platform, because consumers may have been "planting grass" on the little red book, and have turned to Tmall.

It's like watching a tour strategy on Hornets' nest, then booking a ticket and hotel on Ctrip, checking the movie score on the bean paste, and then setting a movie ticket on the cat's eye.

Let's take a look at how other electronic business platforms are encircled by giants.

A lot of town youth who focus on the "five rings" have conquered the sunken users through the pformation of the supply chain. The NetEase and millet have focused on the middle class, built their own brands through the pformation of the supply chain, completed the pformation of their original users through the plation of their tonality, gathered and watched the large micro business groups, and provided a low-cost, risk-free supply platform for the micro businesses through the pformation of the supply chain, and achieved the fission of members through social sharing and distribution rebate.

On the platform tonality, the user portraits of Xiao Hong's book are also very clear.

According to the data provided by Ai Rui data: the proportion of female users in Xiaohong book is far greater than that of men, and female users are the main force. The age of users is mainly distributed among young people in 85 and 90 years, of whom 24-35 years old account for the largest proportion, accounting for nearly 6 percent. Users are mainly distributed in a second tier city, and Guangdong province accounts for the highest proportion in terms of province.

Online shopping, life and information are the main uses of application hobby, and the consumption level of users is medium high.

The key is the supply chain.

As we all know, Xiao Hong is best at content operation, that is, the marketing ability is very strong, and this is the front end capability of the business, and the long board in this aspect is very long.

But today's e-commerce platform is playing a comprehensive ability, especially the pformation of the supply chain. According to the barrel theory, the short board has decided the upper limit of the enterprise's capability and the insufficiency of the supply chain capability, so that Xiao Hong's book has been constrained everywhere in the development of the electricity supplier business.

In the era of information asymmetry eliminated by the Internet, it is becoming more and more difficult to collect IQ tax only through marketing, and product strength has become the core competitiveness.

Although Xiao Hong book started with cross border shopping sharing, and then took advantage of the hot pursuit of iron in the content field and spread to all areas of consumer goods, it made great breakthroughs in marketing and drainage, but it failed to go further in supply chain, channel and logistics.

According to AI coal consulting "2019Q1 China cross-border electricity market monitoring report" data show that the market share of Xiao Hong Book accounted for only 6.5%

In the era of traffic failure, positioning is bigger than everything.

Behind the difficulties of UGC community realisation, it is a more serious problem that reflects the failure of commercial cash flow, which is just like a Internet Co that advocates traffic first.

In the stage of pition from extensive growth to meticulous operation of the Internet, the "positioning" theory of marketing master Ai Chis and Jack Trout has once again become a hot topic, making the core competitiveness and occupying the minds of consumers become the Internet Co's pet phrase.

But it seems that the UGC community has made no big mistake in positioning.

In fact, UGC platforms are very clear about the importance of creating their own tonality. No matter Hornets' nest, know or small red book, they all have their own clear positioning, can also depict more accurate user portrait, and also have done their own head location in their respective fields, which is very successful.

But the problem is that the development mode of the UGC community determines that the drainage mode and the realisation mode are not unified, unlike the traditional retail service industry, the user is the consumer.

Therefore, for such companies, there is often a clear positioning in user operation, and vague positioning in commercial liquidation.

Only in the two tracks have precise positioning, and in the most smooth way to link up, it is possible to grow into a real business tycoon.

For Xiao Hong's book, what needs to be seriously considered is how to recalibrate its own business positioning when content providers arrive at the crossroads, which also determines the next few roads they will take.

1, continue to unswervingly do cross-border e-commerce platform, which may learn from NetEase koala and Zilingo in-depth supply chain, to provide brand services one-stop full range of services.

2, choose to make an exquisite vertical content payment platform, then learn to know, pack the KOL on the platform into a knowledge big V, and help them create paid courses. Later, members can be paid, and funnel models are used to further screen the core users and provide value-added services for them.

3, choose to be a brand intermediary, MCN and KOL intermediate service providers, then learn micro-blog and jitter. Of course, in January of this year, Xiao Hong also launched the "brand cooperation platform".

These roads can also go at the same time, but they must be focused. In fact, the three roads will encounter some problems. But at the moment, the last road is the most relaxed. However, how to balance the content quality and advertising is an urgent problem.