Why has online video been busy "monetizing" e-commerce live broadcasts become popular?

As the Internet video market becomes increasingly popular, content entrepreneurs and platform service providers continue to integrate, coupled with the enthusiasm of "onlookers", Internet video services have experienced a surge in traffic in recent years. So, how can this traffic be transformed into business revenue and provide motivation for further development for content entrepreneurs and platform service providers?

Original title: Online video is busy "monetizing" E-commerce live streaming has become popular

With the increasingly popular Internet video market, the continuous integration of content entrepreneurs and platform service providers, coupled with the enthusiasm of "onlookers", Internet video services have experienced a surge in traffic in recent years. So, how can this traffic be transformed into business revenue and provide motivation for further development for content entrepreneurs and platform service providers? Internet bosses have put a lot of thought into this point. Recently, Internet giants such as Alibaba and Tencent have launched many new methods to monetize traffic for popular online video applications such as Short Video and live broadcasts. Among them,"E-commerce +" has become a hot choice.

Tudou transforms into Short Video Taobao traffic to escort

Recently, Alibaba Culture and Entertainment Group (hereinafter referred to as Alibaba Entertainment) held a Short Video Strategy and New Potato Launch Conference, announcing the comprehensive transformation of Tudou into a Short Video platform. He Xiaopeng, President of Alibaba Culture and Entertainment Group's Mobile Business Group, concurrently serves as the president, leading Tudou to fully attack the PUGC field with the help of Alibaba Entertainment's ecosystem.

According to reports, Tudou announced a comprehensive transformation of Short Video, using a new brand image and positioning, and the slogan has also changed from "Everyone is the director of life" to "As long as it is always interesting", calling on those who can play and love, Be witty and agile, curious about the world, and persevere in their hearts. Young people take the initiative to discover and find interesting people and things around them. According to a reporter from Nanfang Daily, in terms of full-platform collaboration, Tudou has the huge traffic advantage of Alibaba Entertainment, and the "Youku + Taobao + Laifang" ecosystem will protect new potatoes. With the support of the Ali Entertainment system, through the linkage with Youku, UC, Taobao, and Laifang, Tudou has formed a content ecosystem with Short Video as the core. Ali Entertainment has thus covered the full content form including pictures, texts, long videos, and Short Video. According to Dong Benhong, chief marketing officer of Alibaba Group, new ways of playing between Short Video and e-commerce platforms are emerging one after another. Taobao will launch Channel T, creating a three-layer cooperation model covering the second floor of Taobao, Taobao Station, and Short Video for content creators on the Tudou platform. Among them, the second floor of Taobao is open to S-level partners; Taobao provides excellent creators with a mechanism and green channel to connect with Taobao, helping them become "Amoy partners" and enjoy privileges such as private brand sales, launching live broadcasts, and Taobao's headline videos; Short Video are integrated into Amoy. In addition to recommendation privileges, you can also enjoy more opportunities on Alibaba platforms such as Flying Pig. In addition to the online three-layer cooperation model, Taobao also provides joint marketing combined with offline, such as series celebrities Pop Up Store business district, joining the Creation Festival, etc. Zhang Hongtao, president of Laifang Live Broadcast, said that Laifang and Tudou will provide interactive support. He said: "Live broadcasting is part of the Short Video ecosystem. Laifang has changed from a live broadcast platform to a Short Video community that gathers talented young people. Lai Feng will deliver a large amount of Short Video content to Tudou, fully amplifying the value of comprehensive entertainment small content."

Some industry insiders said that Alibaba Entertainment has become the fastest-moving branch of the Ali ecosystem with frequent actions. In less than a year, Youku took the lead in breaking through 30 million yuan in membership business and launched the "Video PUGC Strategic Upgrade". Alibaba Pictures integrated with Heyi Pictures and wholly acquired Damai to strengthen offline basic services. Nowadays, Alibaba Entertainment's attack and Tudou's transformation mean that competition in the Short Video industry has moved from the start-up level to the ecological level. Not only will the Short Video field cause a huge wave, but Alibaba Entertainment is also looking for higher-value "exports" for the huge traffic within the Ali system.

Buying while watching, full interactive e-commerce live broadcasts are gradually erupting.

According to the "2017 China Live Broadcast Industry Ecology Report"(hereinafter referred to as the "Report"), the penetration rate of the online live broadcast industry increased rapidly in 2016. By October 2016, the total usage of users in the live broadcast market reached its peak, and then pan-entertainment live broadcasts and game live broadcasts began to enter a period of slow growth. In contrast, e-commerce live broadcasts have begun to show explosive growth. The report also interprets the integration and breakthrough of live broadcast and e-commerce. Data shows that 41% of users have watched e-commerce live broadcasts, and 80% of users have made purchases.

Data provided by Mushroom Street, a fashion e-commerce platform owned by Beautiful United Group, also confirms this trend. The transaction volume of the Mogu Street live broadcast room increased by 30% in November last year compared with October, and increased by 60% in December compared with November. In March this year, it is expected to increase by 100% from December last year. According to Yue Xuqiang, co-founder of Beautiful United Group, the core significance of e-commerce live broadcasting is to build a new consumption scene."Users come to Mushroom Street to buy, buy, and we naturally have the gene of e-commerce live broadcasting."

Long Binghua, director of Tencent Technology Center and founder of Penguin Smart Cool, said: "Live shopping has become the most widely used form of live broadcasting in various vertical fields. This method can save users 'decision-making time and stimulate users' consumption behavior." Live broadcasts have built more shopping guide consumption scenarios, making the user experience close to offline shopping, providing a greater sense of participation, changing the e-commerce shopping experience and breaking down spatial barriers. "The anchors provide users with more suggestions on purchasing decisions through on-site fitting and on-site makeup testing. Users buy not just one product, but the anchor's lifestyle." Yue Xuqiang said.

The report believes that with further penetration into vertical fields, this year's live broadcast towards more institutional and professional production is a major trend, among which content productivity will be a key link. The creation of content productivity has better promoted the combination of live broadcasting and e-commerce. In addition to the more intuitive and attractive shopping guide function, it also brings users a new shopping experience. Shopping with the anchor and communicating with the anchor in real time often has the pleasure of shopping hand in hand between girlfriends. Through the creation of layered content, e-commerce live broadcasting is becoming a more pleasant and convenient way of shopping and even life for users. From Mushroom Street, this is the trend of "new e-commerce" in the future. Yue Xuqiang said: "The new e-commerce sells lifestyles and collocation concepts by creating scenes that make users comfortable and pleasant. All e-commerce companies that do not have native content capabilities will be eliminated in the future."

Editor: yvette