Chapter 263 Chen Yansen's dirty tricks! Group buy Three Kingdoms, three advance to the semi-finals!
"Boss, Toutiao's creator platform includes four modules: creator incentives, content quality improvement, user growth, and commercialization. It also adds a credit score and violation penalty mechanism."
In a spacious and bright office, Liang Bo spoke slowly.
The large screen in front shows the creators' level classification and rights system.
Chen Yansen nodded slightly, motioning Liang Bo to continue the introduction.
To put it bluntly, the underlying logic of this thing is exactly the same as that of FoxTao, and the core of both is the secondary distribution of traffic and profits.
For example, FoxTao is essentially a shopping guide e-commerce platform, and can also be called a traffic transfer station, providing shopping guide services to users.
For a product priced at 100 yuan, the merchant sets a commission rate of 60%, but FoxTao only releases 40%. The buyer receives a 40 yuan rebate after completing the order. Ali takes 10% of the commission as a technical service fee, and the remaining 14 yuan is the platform's pre-tax profit.
The Toutiao creator platform designed by Liang Bo basically adopts the profit-sharing model of FoxTao in terms of commercial monetization.
The advertising revenue is divided into two parts, one part is rewarded to the content creators, and the other part is retained as project profit.
"Regarding the incentives for high-quality original content, they can be divided into two parts: traffic rewards and cash rewards..." Liang Bo continued.
“Once the function is launched, self-media articles will be overwhelming. How can we judge whether the content is high-quality and original?”
Chen Yansen interrupted Liang Bo and asked pointedly.
“I have considered this issue, and will launch an original review mechanism at the same time, using a system plus manual review mechanism to reduce the proportion of plagiarism, rewriting, and low-quality content.
In addition, the higher the clicks, completions, interactions, and page dwell time of a piece of quality content, the better.”
Liang Bo was well prepared and answered without hesitation.
"Okay. As for the traffic distribution mechanism, we will use the plan we discussed last time. We will first test it on a small scale, select the content with the best data, and then put it into a larger traffic pool."
Chen Yansen said lightly.
"Okay, boss. Here is the advertising profit-sharing system." Liang Bo clicked the mouse and switched the projection screen.
Ordinary creators: 0.5 yuan/1,000 readings; high-quality creators: 1 yuan/1,000 readings; top creators: 1.5 yuan/1,000 readings.
In addition to the basic advertising revenue share, there are also various subsidies for high-quality content, with rewards ranging from 0.3 to 3 yuan per thousand readings.
"Have you asked the finance and data departments to do the math? Can the advertising revenue cover the cost expenditure?" Chen Yansen asked again.
"Boss, no problem. Last year, the CPM charging standard in the advertising industry was 2-10 yuan per thousand views. The conversion rate from exposure to reading is only 10% to 20%. Our actual share ratio is between 5% and 20%."
Liang Bo said with a chuckle.
Chen Yansen made a rough calculation and found that for an original content with over 100,000 views, the author would earn between 50 and 450 yuan, which is not a lot, but in 2012, it was still very attractive to self-media.
"Huang Zheng is currently building the Pinbei Alliance. When he is done, you can talk to him and try to add a product shopping guide module to the highly relevant content to further increase profitability."
Chen Yansen gave the order casually.
Pinbei Alliance competes with Ali Mama, Tiao Ke and Suning Alliance, and is considered to be Pinbei's official advertising alliance product.
The reason why he didn't do it before was simply because he was too busy. As Pinbei's business scale expanded and human resources became sufficient, Huang Zheng immediately put the development of the Pinbei Alliance on the agenda.
First, introduce external traffic to break the bottleneck of traffic growth; second, integrate long-tail traffic, tap into potential consumer demand, and convert long-tail traffic into actual purchasing power.
Platforms like FoxTao, Mogujie, and Meilishuo provide Taobao and Yidong with stable third-party traffic.
If Pinbei is not launched, it will lose at least 5%-10% of its sales performance.
For merchants that have joined Pinbei, they can improve conversion rates and expand sales channels through precise promotion.
After the establishment of the Pinbei Alliance, Pinbei merchants will be able to submit brand group activities on FoxTao, Mogujie, and Meilishuo, or publish product recommendations on What’s Worth Buying, so as to obtain more off-site traffic and sales.
In addition, Pinbei can also charge a 10% technical service fee in accordance with industry regulations.
"Okay, I'll talk to Mr. Huang later."
Liang Bo responded.
"Go online as soon as possible. It will be difficult for Toutiao to develop if it always uses data sources from Penguin, Sina and Sohu."
Chen Yansen stood up, patted Liang Bo on the shoulder and said.
Generally speaking, the content of a portal news network or information platform mainly consists of three parts: UGC (created by individual users), BGC (created by brand users) and PGC (created by professional users).
BGC is equivalent to the official brand account of Weibo, while PGC is mainly based on traditional newspapers, periodicals, radio and e-commerce, and the content produced is more professional and readable.
The proportions of these three must be well coordinated and none of them can be missing.
If the proportion of UGC content is too high, the quality of platform content will be uneven and false information will be rampant; if the proportion of PGC and BGC content is too high and the interactivity is too poor, it will lead to low user stickiness.
Chen Yansen chose to leave the balance to Liang Bo.
At 6 p.m., the creator section of Toutiao went online. In just one hour, the page had been viewed over 3 million times, attracting the attention of a large number of content creators.
Obtaining a portion of the platform's advertising revenue based on the number of readers was not new in 2012. NetEase, Sina, and Sohu had implemented this policy when they were running blogs.
Backed by Senlian Capital, Toutiao, which had reached tens of millions of daily active users in less than two months after its launch, instantly became a hot topic in the eyes of self-media.
Everyone knows that for a brand new information platform, there will be less competition and higher unit prices in the early stages, so the first ones to register will make money.
As of 24:00 that evening, just 6 hours after going online, the total number of registered Toutiao accounts exceeded 100,000.
The amount of original content on channels such as entertainment, technology, automobiles, finance, and novels has experienced explosive growth.
One of the articles, titled "The Ridiculous Past of the Mountain Village in Those Years", broke through the traffic pool. With only 6,000 words, it described four beautiful country girls vividly on paper, making users eager to try.
Fortunately, this author knows how to strike a balance. The work looks erotic but not vulgar, and does not leave any reason for the reviewers to ban it.
The number of readers reached over 600,000, with a daily profit of 1,100 yuan.
The entertainment channel is filled with content such as the birth of Andy Lau's daughter, Mayday's concert, and the top ten albums of the Chinese Golden Melody Awards.
Of course, there is no shortage of fake news of all kinds.
For example, Jet Li died of sudden heart attack, Sammo Hung died of cerebral infarction, Xiao Shenyang died in a car accident, etc., Toutiao’s review was to catch and block them one by one.
Some big names in the technology, digital and sports circles have joined in, accumulating fans across the entire network and making a lot of money.
The next morning, Chen Yansen came to the office and sat down.
As usual, he looked at data and processed emails. After finishing these, he leaned back and took out his mobile phone to pass the time.
"Group buying industry is in turmoil: Meituan ranks first in the industry! Group buying transaction volume in May reached 1.77 billion yuan!"
Chen Yansen was slightly stunned and couldn't help cursing inwardly: Can Qiu Junping of Madon Investment be any more useless?
In just two months, Lashou.com's market share has dropped from first to third, and even Dianping.com has surpassed Lashou.
It seems that the times have chosen Wang Xin! Chen Yansen narrowed his eyes slightly. He knew in his heart that once Wang Xin had time, he would definitely move from the group buying track to the more frequent food delivery industry.
Just after sending away Ele.me, Meituan Waimai is targeting it again? Although Wang Xin will not get involved in the food delivery industry for a while, the potential crisis has already occurred, and he has to make some trouble for Meituan.
Thinking of this, he called Zhu Xiaohu and gave him some advice.
"Mr. Chen, this is a bit mean!" Zhu Xiaohu laughed dryly, feeling a chill in his heart.
"Businessmen only care about profits and don't talk about morality or right or wrong." Chen Yansen said indifferently.
"So, Meituan is blocking Kuaishou's path? How about this? I'll help you make the connection and buy Lashou.com for 300 million US dollars."
Zhu Xiaohu suggested.
Compared with the last offer, it was reduced by 300 million US dollars at one go.
Chen Yansen smiled and refused decisively. With Sands Venture Capital, Merton Investment and Renit Fund acting as his 'thugs' and 'cannon fodder', how could he possibly take action on his own?
Seeing that Chen Yansen refused to take the bait, Zhu Xiaohu could only hang up the phone silently.
But he knew that Chen Yansen's moves were indeed accurate and ruthless, and they specifically hit Meituan's weak spots.
It’s a pity that the other party refused to take over, otherwise, with Chen Yansen’s ability to operate the business, Wang Xin would probably have to passively take the beating.
…
…
Yanjing, No. 6 Wangjing East Road.
Shan Jiawei, who is in charge of Meituan's sales team, unexpectedly received a call from a headhunter, which surprised him: "Meituan is already the number one in the group buying industry. Do you think I will change jobs?"
At first, Wang Xin thought that Ma Liyun sent Dan Jiawei to Meituan in order to seize power.
But after a year, to his surprise, Shan Jiawei's ability in business development was nothing short of genius. Under his leadership, Meituan made great strides in expanding its presence across the country.
It can even be said that Shan Jiawei deserves half of the credit for Meituan's ranking as the market leader.
"Mr. Shan, how much equity do you have in Meituan? How much is your annual salary? The company I recommend to you is valued at 1 billion US dollars. You will get a 2% equity ratio when you join the company, and the pure cash income is no less than 10 million a year." The headhunter replied with a smile.
2% of the company's equity? Shan Jiawei thought the other party was crazy!
"LaShou or Dianping?" Shan Jiawei asked tentatively.
The other party's words hit his soft spot. He resigned from Ali and joined Meituan. Although his position was not low, he did not have much equity.
He knew in his heart that Wang Huiwen was Wang Xin's "own person".
And he always has the label of an Ahri.
"If Mr. Shan agrees, I can arrange a meeting time for you and you will know then." The headhunter was very strict.
"Okay, help me make an appointment." After some thought, Shan Jiawei decided to meet with the other party.
When he comes out to work, he will work for whoever pays him the most! If not for money, could it be for his ideals?
What Shan Jiawei did not expect was that the field marketing managers of Meituan in North China, East China, South China and Central China all received calls from headhunters one after another, offering generous options and base salaries. Although some people refused, more than half were tempted.
At the same time, the Yanjing Municipal Supervision Association received a joint complaint, reporting Meituan's "false advertising" and "failure to deliver offline services as promised in group purchases." Meituan's public relations department went to handle it, but unexpectedly, this group of people refused to accept mediation and were ready to go to court.
Penguin, Sina, NetEase, Toutiao, etc. followed the report throughout and dug out all the negative news about Meituan.
False news such as "Meituan's capital chain is broken" and "Merchants complain that Meituan has defaulted on payments" also became popular for a while.
"Fuck! Who is behind this?"
Wang Xin saw the impending storm and it was clear to him that Meituan had attracted retaliation from its competitors after it ascended to the top of the industry.
Lashou.com and Dianping.com are the most likely suspects!
Qiu Junping, the CEO of Lashou, announced that an exclusive cooperation agreement will be launched from now on, and whoever signs it will be given a three-month commission-free period, forcing merchants to "choose one of the two" and restricting Meituan from the supply side.
All merchants who have settled in both Meituan and Lashou will be subject to traffic restrictions, and the excess traffic will be directed to merchants that have signed exclusive cooperation agreements.
Poaching, choose one of two options, public opinion war and subsidy war are the dirty tricks that Chen Yansen gave to Zhu Xiaohu. The means are vile, but the effects are obvious.
Wang Xin was beaten badly by this combination of punches!
It was not until three days later, when Shan Jiawei handed in his resignation, that he realized that his opponent's tricks were far more than that.
Half of Meituan’s backbone sales force, including Shan Jiawei, were poached by Lashou.com.
To this end, Lashou.com also paid a considerable price.
As one grows, the other shrinks, and Lashou.com's market share actually shows a trend of rising and catching up.
In order to cope with the price war between Lashou and Meituan, Dianping had no choice but to increase the share of profits for merchants and launch flash sales such as "1 yuan group purchase" and "9.9 yuan group purchase".
Under Chen Yansen's stirring, competition in the group buying industry has become increasingly fierce.
Zhu Xiaohu and others had no choice. Their three venture capital institutions had invested 200 million US dollars in Lashou. If they did not fight with Meituan, the money would be wasted.
After all, this is 200 million US dollars, the loss is too huge.
On May 28, Shan Jiawei joined Lashou.com and reorganized the agents and sales teams across the country. He began to imitate the Meituan model and fully transform to a direct sales model.
Thousands of groups are fighting, officially entering the Three Kingdoms Killing mode!
(End of this chapter)
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