Station B: Content Risk Is Hard To Solve

Being punished for the content is an unavoidable situation in station B. the difference is just the degree.

On December 21, the national "anti pornography and anti illegal activities" office issued a notice saying that the national "anti pornography and anti illegal activities" office again deployed the Shanghai "anti pornography and anti illegal" office to investigate and deal with some prominent problems existing in the platform of station B, such as pornography and vulgarity. On December 3, the "anti pornography and anti illegal activities" Office of the Shanghai Municipal Committee of the Communist Party of China and the Municipal Bureau of culture and tourism held an interview with station B, ordering it to rectify within a time limit of 2 weeks, comprehensively investigate violations of laws and regulations and bad information, strengthen the review of videos, live broadcast content, comics, pictures and related bullet screen and follow-up evaluation; at the same time, it clearly required that public opinion or social activities should be suspended before the website rectification work was qualified Internal test or online of new business and new function.

Behind the punishment of station B is massive complaints. According to the national anti pornography and anti illegal campaign, more than 500 clues have been received from the masses about the problem of station B since 2020. According to the transfer clues, Shanghai authorities punished station B with six administrative cases and more than 10 interviews. "The relevant law enforcement departments have successively rectified such problems as the publication of children's" evil code ", illegal use of overseas animation, illegal use of overseas audio and video materials, illegal advertising, exposure of multiple game characters and vulgar content According to the circular.

According to the official website of the national "anti pornography and anti illegal activities" working group, it is subordinate to the central propaganda and ideological work leading group and consists of 26 departments, including the Central Propaganda Department, the central United Front Work Department, the central political and Legal Commission, and the central online information office. The office of the national anti pornography and anti illegal work group is set up in the Central Propaganda Department.

Station B responded quickly to the penalty. "At the first time, we accepted the criticism and guidance from the regulatory authorities, and actively cooperated with them. During the two-week rectification period, we organized special human resources to investigate and process relevant manuscripts. We will continue to strengthen the ability of content audit, optimize the content management mechanism, and actively create a clean and healthy cyberspace. " Its external response.

The punishment of station B this time is only a small punishment and a big one, which does not hurt the root. "Enterprises galloping at a high speed should pay special attention to holding the steering wheel and fastening the seat belts to help the" back waves "surf safely and rush forward The national "anti pornography and anti illegal activities" office concluded in the circular. On December 21, station B closed at $87.61, up 3.46%.

Although this pass has passed, the risk of station B's flow engine is difficult to solve due to its dependence on the pugv (professional user generated video) mode created by up. The lesson learned from the previous experience is that the app was once regarded as the future increment by byte skipping, which is far more important than the chattering tone.

The punishment of station B this time is only a small punishment and a big one, which does not hurt the root. Photo by Gan Jun

risk

This node can be called an unprecedented high point of station B.

Station B revealed that in August this year, its monthly live users exceeded 200 million. The third quarter report shows that in the current period, the monthly live users of station B increased by 54% year-on-year, to 197 million; among them, the monthly live users of mobile terminal increased by 61% year-on-year to 184 million. The number of daily living users reached 53 million, a year-on-year increase of 42%. What's more, station B has a significant effect on breaking the circle. "Almost 50% are from cities below the third tier." Chen Rui, chairman and CEO of station B, revealed on the financial report telephone conference.

Behind the high monthly living is the high community activity. Station B said that in the third quarter, the average daily video playback volume of its users reached a record 1.3 billion times, an increase of 77% over the same period of the same period last year; the average number of monthly interaction in the community was 5.5 billion, an increase of 117% over the same period of last year. The average daily usage time of users is 81 minutes. In addition, by the end of the third quarter, the number of full members of station B who passed 100 community examination questions increased by 56% year-on-year to 97 million, and its retention rate in the twelfth month was stable at more than 80%.

The engine lies in pugv content, which accounted for 91% of the total broadcast volume of station B platform in the third quarter. Over the same period, the number of active up in station B increased by 51% to 1.7 million, and the average monthly video contribution increased by 79% to 5.6 million.

In other words, pugv content is the key to promote the traffic growth of station B, but it is this category that attracts regulatory risks. Pugv content is mainly uploaded by up. The advantage is that the content cost is quite limited, which makes station B easily pass the prisoner's dilemma of long video website and form category advantage. "Station B ecology is a real innovation in China's content industry, especially in terms of the cost of bringing in new products, which is a fundamental distance from aiyouteng." Some investors told reporters of the 21st century economic report.

However, policy risk is the obstacle pugv can not get around. In August this year, the Beijing Municipal "anti pornography and anti illegal activities" office issued a warning and imposed a fine of 30000 yuan on Youku for publishing a TV series linked from other audio-visual program websites, including pictures of sexual behavior between men and women, with obscene subtitles, and illegal acts of relaying, linking, aggregating and integrating the contents of illegal radio and television channels and audio-visual program websites Punishment. If iqiyi publishes two music MVs with abetting criminal content, and there is an illegal act of commercial Internet cultural unit providing Internet cultural products with prohibited content, an administrative penalty of 30000 yuan will be imposed.

Iqiyi and Youku are still facing risks, not to mention station B. Each giant has built a content audit and related algorithm team, but the technical difficulty of video content is not low, the vast amount of upload, more risk.

In addition, machine auditing itself interferes with content. Buffeting algorithm is inherently shielded from many risk points, which affects the normal content mapping. This situation has been reflected by many shaking tone network celebrities.

However, pugv is still a must for giants. Byte beat watermelon video is wantonly soliciting up owners, double revenue is the basic situation.

For station B, the defense cost of this core business is rising.

contradiction

On the other hand, the speed of financial change of station B does not lose business, but the direction is negative.

The third quarter report shows that in the current period, the revenue of station B is RMB 3225.7 billion (about US $475.1 million), with a year-on-year increase of 74%; the net loss of station B is RMB 1100.9 billion (about US $162.1 million), and the net loss of the same period of last year is RMB 405.7 million, expanding year on year; the adjusted net loss is RMB 990 million (about US $145.8 million) if we do not comply with non GAAP ）Compared with the adjusted net loss of 343.1 million yuan in the same period of last year, it has increased.

The revenue of station B can not win the cost because of the contradiction of its revenue structure. According to the third quarter report, the largest revenue source of station B is still the game business, with a year-on-year growth of 37% to 1.28 billion yuan; the value-added service business ranked second, with a year-on-year growth of 116% to 980 million yuan, including large members, live broadcast and other subdivisions; advertising business revenue increased by 126% to 560 million yuan. Station B revealed that e-commerce, food and beverage, games, 3C products and automobiles were the top five products Class.

The problem is that the traffic advantage of station B and its largest revenue source game distribution business are separated from each other and follow different logic. This will reduce efficiency, a lot of internal friction. Of course, B station traffic is really helpful to game marketing, but the actual chain is too long and the conversion efficiency is too low.

The fees paid by station B to game developers, distribution channels (app stores) and payment channels account for a large part of its revenue costs. The core lies in that the gap between station B in the game industry and other overlords such as Tencent and Netease is too large, and the lack of self-study ability makes up for this gap. The bigger problem is that station B's traffic cashing effect is limited, which is the common dilemma of the content industry, and long video is more deeply involved.

Station B is solving this problem. "Video is the core business of station B, which includes pugv, OGV (professionally generated video) and live broadcasting. Station B community and commercialization have formed a complete positive cycle. In April, we completed the construction of the commercialized Zhongtai team, and launched the fireworks platform in July. Each up owner is the core creator of advertising, and the long tail effect will be shown in the video. Advertising has grown for six consecutive quarters. " On December 15, Li Ni, vice chairman and COO of station B, said at the conference of effect marketing partners of station B.

On the same day, station B also said that it would upgrade the "Z + Plan" of integrated marketing, and said that it would open a new growth curve by means of marketing scenarios including open live broadcasting, enhancing data assisted distribution, improving marketing efficiency and integrated marketing ability. For station B, improving the flow conversion rate is the key to its stable growth.

Of course, everything depends on the normal operation of the flow engine, pugv content. This means that content risk will accompany station B all the time.