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Chapter 809 The Scale Limitation of Online Advertising(1/2)

Today’s Toutiao has been online for a week.

On the first day, 8 million pv;

The next day, 17 million pv;

On the third day, 22 million pv;

On the fourth day, 47 million pv;

On the fifth day, it became 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 proud!

At present, among the domestic information websites, Sohu has the largest traffic, with a single daily PV of about 65 million, followed by Sina, which can create 58 million PVs every day.

In other words, with the backing of traffic diversion from Friends.com and Xiaonei.com, as well as the two super traffic distribution platforms Baidu and Weidian, Toutiao surpassed the established portals in terms of daily traffic in only 7 days.

However, there is one statistic that Toutiao is still very poor at, which is pv per capita.

Sohu's per capita PV is 13.2, which means that a daily active Sohu user browses 13.2 web pages on the website every day. Sina's per capita PV 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 QQ space is around 20, while the per capita pv of friends.com fluctuates greatly, usually between 12-15.

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 it purposefully under the search engine traffic distribution model, and do not pay much attention to related 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.

Per capita pv2.3, the daily traffic reached 71 million on the seventh day after it was launched, which means... on this day, more than 30 million Internet users across the country used Toutiao!

This is the strength demonstrated by Baidu and Weidian joining forces, monopolizing 85% of the market share, and having two major search platforms distributing traffic, directly making Toutiao the largest gathering place for search market traffic.

It mainly relies on micro points.

On the Baidu platform, at most one search result from 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, and 2-3 are Weidian Encyclopedia, Weidian Q&A and Weizhi’s ecological content, Today’s Toutiao 2-3

Articles. If it is a complex search, it is 2-3 advertisements, 4-5 ecological content of Weidian Encyclopedia and Weizhi, and 3-4 content of Toutiao.

In addition to Sohu, the content of other traditional portals will gradually disappear from Weidian, and will eventually be completely replaced by its own Toutiao.

After being online for 7 days, Toutiao’s first step was a great success!

Once the traffic is guaranteed, the next step is to make money.

Advertisers have sharp eyes and are watching to see which website is popular and which website has high-quality advertising space vacant...high-quality resources need to be competed for.

The secretariat handed over a document saying that in the past two days, more than 300 advertisers had contacted Toutiao to seek cooperation.

The marketing department is already crazy busy.

This busyness is not about bargaining, but about signing contracts. There are 300 advertising contracts to sign!

Different from traditional website advertising, Ziweixing's friends.com and Toutiao use intelligent algorithms to promote personalized advertising.

Personalized advertising is not just as simple as advertising to thousands of people, but also a change in a complete set of advertising logic.

Traditional advertising... For example, Sohu has vacated a half-year advertising space to attract external investment. Taobao offers 8 cents per click, and Maopu offers 5 cents per click. So Sohu will choose Taobao and abandon Maopu.

Personalized advertising is different, you can have your cake and eat it too, just take it all!

Traditional advertising has poor conversion effects. Taobao may have an advertising budget of 50 million, but Sohu’s advertising conversion rate is poor, making it difficult to fill the entire advertising budget.

If you are an older netizen who lacks Internet knowledge, it is impossible for him to shop online in this era, and recommending Taobao ads to him will have no effect. On the contrary, if you recommend Maopu ads, it may be useful.

This is what personalized advertising is all about.

It can greatly improve the advertising conversion effect.

The conversion effect has improved...the advertising budget may not be enough. According to pay-per-click, Taobao's original plan was to budget 50 million for half a year, but the results were so good that after 4 months, Taobao ran out of money.

I can no longer advertise on Taobao.

What should I do if there are 2 months of advertising left?

The best solution is to place ads alternately. This model has been in operation for several months on Friends.com, and it is doing very well and has enough experience.

When you meet an online shopping guru, push Taobao ads. When you meet a social networking guru, recommend Maopu ads. Although Maopu's single advertising fee is less than Taobao, advertising revenue = click fee x click rate.

The click fee is high, but the click rate is too low, 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 quote their own quotations and accept them in full! Even if the advertiser's price is 1 cent per click, you can still sign a contract.

This is a bidding ranking system.

If the advertiser bids less, the ranking will be lower.

For example, Taobao offers 8 cents per click, eBay offers 7 cents per click, Paipai offers 6 cents per click... Under the same conditions, the one with the highest price will definitely win.

If Taobao's advertising budget is sufficient, then this type of advertising push will always be on Taobao, and eBay and Paipai will never appear. If Taobao's advertising budget is not enough, it will be moved down the list, and eBay's turn will be eBay's.

Only when the advertising budget is up to standard can it be patted, and so on.

If the advertiser's bid is too low, it may never be ranked.

For the sake of advertising effectiveness, advertisers will actively quote the highest price they can afford based on their own strength.

Toutiao’s advertising model basically continues the idea of ​​​​Friends.com.

As long as it is legal and compliant advertising, we will welcome everyone!

The more the merrier!

The advertised price is whatever you want, you fill it in yourself!

Under this new advertising model, the work efficiency of the marketing department will inevitably be greatly improved. Not to mention domestically, looking at the world, Ziweixing's advertising model is second to none!

The only question...is the current size of the Internet worthy of such an advanced advertising model as Ziweixing?

By coincidence, He Yang and Zhou Buqi thought of going together.

After a while, He Yang had several pieces of information in his hand and reported to Zhou Buqi, "This is the latest information. I got it from cnnic. It shows the advertising scale of the domestic Internet market in the first three quarters of this year."

When talking to such an executive, Zhou Buqi would not sit in his own executive chair, but would sit on the sofa, and everyone would communicate together as equals.

He walked over, sat down on the sofa, and asked, "How much?"

"6 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 from now, giants like Alibaba and Baidu will have a monthly advertising revenue of more than 6 billion yuan.

The current Internet market is indeed still in its infancy.

He Yang handed over the materials and said: "This is only an incomplete statistics. It mainly focuses on the more traditional picture advertisements, and it seems to also include text advertisements on friends.com. Promotional services are definitely not included. This data material is definitely not accurate enough.

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 Yang said: "According to statistics, it is about 1.1 billion. It is mainly contributed by friends.com, nearly 900 million."

"Of the total scale of 6 billion, Ziweixing accounts for 1.1 billion...what share is this?"

"18%."

"It's okay." Zhou Buqi nodded, his eyes burning, "What about the ranking? Where is it in the country?"

He Yang held out three fingers and said, "Third."

Zhou Buqi was surprised, "With 18% share, you are only third? Who are the top two? Baidu and Penguin?"

He Yang said with a smile: "Baidu is number one, with a market share of about 22% and advertising revenue of more than 1.3 billion. The number two is not Penguin. Most of Penguin's income comes from games and value-added services. They also want to advertise, but QQ Space has always been

It cannot be developed.”

"Then who is second?"

Zhou Buqi is a bit confused. Is there any other domestic Internet company whose advertising revenue can exceed that of Ziweixing? Alibaba is definitely not able to do so. Its own advertising platform has just been established, and it is still far behind.

He Yang chuckled, "It's Sina, with advertising revenue of nearly 1.2 billion."

"Ah?" Zhou Buqi was surprised, "Sina's traffic is not as good as Sohu's, but its advertising fee is higher than that of Ziweixing, second only to Baidu?"

The smile on He Yang's face was rather strange, and he pointed upward, "He has strong connections and background. Many state-owned enterprises will target Sina when advertising online, and the unit price of advertising is also high. We can't compare."

Zhou Buqi suddenly realized.
To be continued...
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