Editor’s Note: This article is from the WeChat public account “Guotai Junan Securities Research” (ID: gtjaresearch), author Guotai Junan Media team, 36 氪 authorized to release.The original title is “Incoming Game, Recreating a Vibrato” After video and socialization, in 2019, the byte beats on the beach of the king Tencent, and draws a circle.In February 2019, Vibrato officially launched the game applet, and the online game “Yue Yue Ball”, the background music is mostly the vibrating hot divine music; in March, the byte jumped to buy Shanghai Mo Yan, plus large game development; 6Month, the byte jumped to establish the Oasis project (Oasis plan), the sword refers to the self-study heavy game, the same month, “Yue Yueqiu” on the APP side; in August, “Yue Yueqiu” airborne ios free list top and maintain twoTen positions before the month.▼ Byte Beats Continued Layout in the Game Industry Source: New Fortune, Guotai Junan Securities Research Although the headline game business has just started, it is directly killing Tencent’s most profitable hinterland.From the point of view of its intensity and resoluteness, it is by no means just “playing.”However, once upon a time, both Ali and Baidu tried to enter the game industry, but in the end they all failed.Traffic is a necessary condition, but it is far from a sufficient condition for a good game. Will the byte beat this time and get the desired result?The Guotai Junan Media team released “The headline, the game industry or the growth of the game”, and we analyzed the inevitable and path of the headline game industry and the reasons for the high probability of success.01 “Traffic Harvester” byte beats the global monthly live 1.5 billion + live 700 million, today’s byte jump is called “flow harvester.”According to the official data of byte hopping, as of July 2019, its products have a total global DAU (daily active users) of more than 700 million, total MAU (monthly active users) of more than 1.5 billion, of which the DAU has more than 320 million.The user’s stickiness (DAU/MAU) of bytebeat was as high as 71% at one time, and its headline and vibrato can still maintain more than 50% DAU/MAU user stickiness after 6 years and 2 years respectively..▼ In June 2018, the byte jumped four head core products MAU/DAU Gao Qi, user sticky high data source: New wealth, Guotai Junan Securities research China’s most sticky Internet products?Of course, it is still WeChat from the moment, but the bytebeat is showing extraordinary strength.According to Questmobile data, from June 2017 to June 2019, the user usage of byte-beating applications increased significantly from 3.9% to 11.7%, while the user usage of Tencent applications decreased from 54.3% to 42.3%..At the moment when the total length of mobile Internet users has almost reached the bottleneck, they can still continuously improve their own time, which shows that the traffic of the byte beating is strong.▼ Mobile Internet giants are the number of users in the APP. The content of the headline continues to increase. Source: QuestMobile has such a huge amount of traffic, but the previous byte jump is very simple.According to the 36-inch data, benefiting from the “nationalization of the mobile era” of head products such as headlines and vibrato today, the byte-hopping revenue has exploded from 1.6 billion yuan in 2015 to 50 billion yuan in 2018, but the company giantAmong the channels for realizing the volume of traffic, about 80% are advertising revenue.▼ Vibrate App Information Stream Advertising and Brand Enterprise Account Data Source: Vibrato sounds with vibrato as an example. Advertising marketing methods include open screen advertising, information flow advertising, brand enterprise account, custom challenge, and marketing.Relatively speaking, there are many advertisement portals. If you increase the number of advertisements, the effect may not be satisfactory.In the case of urgent need to increase the channel of traffic realization, byte jump into the game market is almost an inevitable choice.▼ Vibrato APP Custom Challenge Data Source: Vibrato 02 The game companies that buy on the byte beats In fact, bytebeat has long been the most important market for game manufacturers to advertise (buy).According to the hot cloud data, after comprehensively analyzing the data on the delivery side (material delivery number, product delivery number, material discovery times, actual delivery days) and effect end (click volume, activation rate, DAU, payment amount), etc.The cloud data gives the media channel for the score TOP20.Among them, the TOP5 ranked media channels are: Today’s headlines, vibrato, Tencent video, Baidu, watermelon video, byte jump in the top five firmly in the three seats, which shows a huge advantage in the buying market.▼ 2018 mobile game comprehensive score TOP20 media contains a number of product data sources: hot cloud data, Guotai Junan Securities research considering the extremely young characteristics of the vibrato user, this is not difficult to understand.According to data from iResearch, in October 2018, the use of vibrato people accounted for 27.91% of those under 24 years old, 28.80% of people using 25-30 years old, and 26.3% of people aged 31-35 years old, 36-40 years old.The use of the population accounted for 12.23%, 41% or more accounted for 4.75%.▼ Vibrato APP uses age distribution biased towards younger groups. Data Source: iResearch, Guotai Junan Securities researched the user images of the vibrato and the mobile game highly coincident, and also let the byte jump to see the potential and hope of playing the game.After entering the mobile game industry in a big way, it has a greater chance to directly “harvest” users.▼ Domestic game players in the 16-24 age group accounted for a high data source: AppAnnie03 Let the game developer’s headline of the gentle weapon how to get a share of the existing game king Tencent and Netease?The strategy of bytebeat is also very simple, that is, subsidies.The user subsidy strategy has been very popular in all segments of the Internet industry.For example, in 2011, the online ticketing platform was launched, and the Guevara Meituan.com, Handan.com, Public Comment Group, Group 800, and Time Network were all able to open the ticket to make up the battle.In the next few years, the price of many head-end movie terminals was as low as 9.9 yuan. In 2015, the online ticketing platform invested more than 4 billion yuan.In September 2018, the supervision and shouting stopped, and the introduction of relevant policies to cancel the ticket, directly led to a 10% year-on-year decline in the number of people watching the Spring Festival.▼ Cancellation of Cancellation Leads to the Fall of 2019 Spring Festival Movies Source: Cat Eye Movies, Guotai Junan Securities Research, such as Iqiyi, Youku, Tencent-based video sites, since 2014, high-priced purchase of TV drama rights and preemptionIn recent years, the right to broadcast the variety has been continuously increased, and the variety of products and online dramas have continued.As a result, the online video market has reached 187.13 billion in 2018, tripled in three years, and the number of paying users has also steadily increased.▼ 2015-2018 Network video market rapid growth (100 million yuan) Data source: 2019 China online video boutique report, Guotai Junan Securities research shows that the proportion of upstream content manufacturers to increase, transfer benefits, can make their investment higherThe production cost provides better quality content, and the demand for quality increases from the supply side.Today’s headlines have learned this truth from beginning to end. Starting from the writing plan of “Thousands of People”, the bytebeat has always been a big part of the content ecology.▼ Byte Beat The main product matrix covers multiple tracks on the mobile Internet. Source: Wind not only covers the head accounts of Wall Street, catering bosses, geek parks, etc., but also shakes in the short video field.Sound, watermelon video, volcano video three explosions APP, the rest of the track also know the car emperor, Goku question and answer, Phi Phi shrimp, gogokid and other popular products.Nowadays, the vibrating test game market has followed an almost completely consistent strategy.In September 2018, Vibrato released the “Byte Beating Game” developer platform.In the official website of the small program developer platform, the “developer subsidy” was explained as follows: 1. The main game commercialization of the game, the first game advertising day water is less than 1 million, developers can enjoy 70%Divided into proportions, the proportion of parts over 1 million is 60%, and the score of games released in general is 10%.▼ Bytes hopping advertising commercialized small games are divided into higher proportions. Data source: Bytes hopping applet developer platform 2, the main game of paying for internal income, if the initial launch on the byte platform, the channel fee is free, andRegardless of how much water the game gets, developers enjoy a 70% share.Ordinary games are divided into sections. The monthly flow is less than 500,000, the developer gets 60%, and the more than 500,000 shares enjoy 70%.▼ Bytes hopping the main game of internal purchase access is divided into a higher proportion of data sources: byte hopping small program developer platform horizontal comparison WeChat small program ordinary game less than 1 million days of water 50%-50% of the proportion of accounts,The bytebeat makes the attitude of the developer very obvious.We predict that due to the accurate push of the byte beating itself, the user conversion rate is higher. In the future, more and more high-quality game developers will switch to the byte-beating platform to promote the boutique game.A small step in the byte jump, a big step in the game industry, byte hopping mainly depends on today’s headline, vibrato and other head APP, in the game industry chain as a “game distribution channel”.Subsequently, bytebeat may gradually increase the roles of “operator” and “developer” under the premise of integrating its own channel resources, and gradually complete the process of “light to heavy” as the game R&D team is established., further harvest heavy game users.▼ The mobile game industry industry chain continues to expand. Source: iResearch, Guotai Junan Securities Research with the jump of bytes, high-quality content production or research and development companies are expected to enjoy the double boost of industry and platform product demand,Achieve double improvement in profitability and valuation.Perhaps, the battle between the two, the fisherman’s profit, this old saying will be fulfilled in the Chinese game industry..
Bytes jump into the game, create a vibrato