China's Online Paid Knowledge Market Is Expected to Increase Rapidly

Source:iResearch April 12,20184:19 PM
In recent years, the residents’ intellectual and cultural demands have kept growing, the degree of decentralization of content production has further increased, and the culture content market segments boomed up. 

According to iResearch, China‘s online paid knowledge market size approximated 4.91 billion Yuan in 2017, increasing by 300% compared with the previous year. In the future, on the one hand, the growth of traditional publishing, education, media, and other industries is relatively slow. At the same time, the pattern of the leading we-media has also basically formed, and related talents will flood into knowledge service industry that have a shorter process of monetization and a huge space for growth, which will further expand the online paid knowledge market size; On the other hand, limited by the attention of individual users and the range of acceptable per customer transaction of targeted users, the growth rate of the paid  knowledge sector will decline and it will become stable eventually. With the gradual increase of market education level and the increasing number of users who are willing to pay for high-quality knowledge services, online paid knowledge market size will maintain a relatively high growth in the next three years, and it is expected to reach RMB 23.5 billion by 2020.
As the core growth driver of online paid knowledge payment sector is the clear knowledge acquisition demand of users, the most popular content only shows limited appeal to users while the products with high payment ratio and reputation probably be added into users’ shopping list on the premise that they can meet users’ individualized long-tail demands. 

Data from iResearch shows that China’s online paid knowledge sector now shows a “waist-shaped” landscape. Top three paid knowledge platforms accounted for 35% of the online paid knowledge market by revenue, top 4-10 players took up 25%, and the other long-tail players held the rest 40% of the market. It can be seen that the structure of top paid knowledge market has been almost settled. Entry threshold of user base, related content providers, copyrights, capital, technology and talent pool have been established despite of relatively lower concentration rate compared with other industries. In the future, number of new large comprehensive paid knowledge players will decrease, while “small but unique” vertical paid knowledge platforms targeting at certain areas, scenarios and user groups still enjoy a large room for development. New small comers will be able to establish its influence in vertical users by inviting professionals in the vertical areas and thus stimulate users’ willingness for conduct payment step by step and at the same time explore other monetization modes in the industry.
More details can be seen in 2018 China's Online Paid Knowledge Market Report
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