The Monetization Ability Is The Key For The future Competition Among Short Video Platforms

Source:iResearch February 11,20192:47 PM

The short video market is highly competitive. The short video platforms attract long-tail user.  The monetization ability of each platform will be tested in the second half.

Operation methods in the second half as traffic is approaching the ceiling
As the growth rate of daily active users and new users slow down, the ceiling of short video traffic is approaching. Major platforms may try more means to monetize traffic.
Connect self-operating e-commerce platforms
Direct connection with the self-operated e-commerce platforms will enable the whole process of in-app purchase. There's no need for jump and losses during conversion will reduce. 
The self-operated e-commerce platforms are very important. ByteDance quietly launched Zhidian App, showing the long-term layout of the short video giants.Huge video traffic and long usage time will lead to rapid growth of the e-commerce platform.
• Embedded in Apps, there is more shopping display methods, and more room for improving experience.
• The quality and categories of the self-operated platforms will be more controllable
Build a commercial content promotion platform to retain experts and MCN resources
Douyin launched Xingtu commercial content trading platform in September 2018, connecting experts and MCN. The non-certified MCNs should not post soft ads. Connect advertisers with experts with a lot of audience by building commercial promotion platforms. As an intermediary, the next step of the short video platforms is very clear.
• Constantly enrich the upstream and downstream resources, and use a reasonable distribution mechanism to recommend the goods to the suitable.

• Increase exclusive signing with high quality MCNs and experts to maintain a stable and high quality output of ads. 

More details can be seen in 2019 China's New Consumption Trend Report

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