Why did Weibo go upstream in the second half of the Internet?

In the second half of the Internet, Weibo is a typical case of dealing with it.

On the 23rd, Weibo released the fourth quarter of 2016 and the full year financial report. Unsurprisingly, Weibo, which caused "phenomenon-level" discussions in the media circle last year, once again delivered a brilliant result. In the second half of the Internet company, Didi, Mei Tuan, Xiaomi and other former spectators of the sky are now in the environment of fabric dilemma. Weibo has turned against the current trend and became the star of the second half.

The contradiction trap of the star products of the second half of the Internet

These days I just chatted with a friend of Netease Cloud Music. He talked about the fact that they are conducting research on the post-95s and 00s of the third- and fourth-tier cities. This thing is quite shocking. Because from the perspective of product division, the mainstream users of Netease Cloud Music should be first- and second-tier cities.

In terms of long-term development of any product, the value of its user growth is in the third- and fourth-tier cities. Then the product's original tonality and compulsion may face challenges due to user expansion. The commercialization brought about by the small and beautiful and the scale of users is almost a bunch of irreconcilable contradictions.

In recent years, several star Internet companies have faced this contradiction. For example, Xiaomi was initially a geek user group in first-tier cities. Later, as the price dropped, the user group's fever and geek tonality were diluted.

The same is true of Didi, which initially represented a new concept of shared travel and was welcomed among the white-collar workers. But as this product really became popular all over the country, the concept of shared travel in the past has gradually become a means for many people to make a living. When the interest drive gradually overwhelm the value concept, the shared travel seems to be no longer as cool as the original.

The reason why this is a contradiction trap is that the core problem is that when the user scales up, the original core users are lost, and the new users are largely lack of past values, but because of price or other factors. The use of products, with the commercialization of products, eventually led to two unwillingness, the company found that it is difficult to form a delicate balance between the three dimensions of commercialization, old users and user growth. The difficult balance of these three dimensions is also like the triangular paradox of Mundell, which can only meet two goals at the same time.

How does Weibo balance between the dilemma?

Weibo is a typical case in which it is handled relatively well.

At the same time that Weibo launched the plan of sinking the third- and fourth-tier cities, a series of layouts were in full swing, such as mobile first strategy, vertical V, multimedia (later short video, live broadcast), and focused red. Economic enthusiasm. The commercialization of Weibo is gradually on the right track.

Frankly speaking, Weibo has indeed suffered from numerous questions at the beginning. At this time, the Vanity Fair, where the political powers had mastered the right to speak, gradually became a place of vertical media and grassroots and corporate marketing. At that time, the chicken soup and the political commentary gradually faded, and the information in the vertical field, the funny paragraphs and the small video appeared on the scene. A significant aspect of the business approach is the optimization of information flow that began in 2014. Later, Weibo's timeline concept faded, and information flow became a very important display logic.

Indeed, Weibo is under pressure, because the increase in business information has caused some old users to be dissatisfied, and the tune of Weibo is becoming less and less severe in the past, becoming more and more "superficial" and living. The departure of Shizhengda V also took away some of the users' departures. Weibo is undergoing a radical change at this time. But three things in this change are the rhythm of the product:

1. User sinking brings a rapidly growing user scale

For the average user, the role of social media is more to use for recreation, voicing, watching news, and understanding the vertical areas related to their work. The need for life and self-reliance is more intense. In the process of sinking users, Weibo is precisely capturing these needs.

For most Internet products, capturing third- and fourth-tier cities is often a problem. However, Weibo has seized these demands and made this social media penetration in third- and fourth-tier cities stronger and stronger.

According to the latest "2016 Weibo User Development Report", Weibo users have a high degree of education and a low age. The proportion of users with higher education at the university level is as high as 77.8%, and the youth group under 30 years old accounts for more than 80% of Weibo users. Most importantly, the expansion of Weibo in third- and fourth-tier cities has further opened up. Second- and third-tier cities have occupied half of Weibo's overall users, and the proportion of users with four lines and below has reached 30%.

The growth of user scale has further enhanced the influence of Weibo. In 2016, the number of monthly active users of Weibo increased by 77 million to 313 million. The exposure efficiency of Weibo has also become an indispensable platform for brand customers to launch mobile marketing. The number of brand customers and the frequency of delivery have increased, which has improved the accuracy of advertising and formed a virtuous circle.

2. Content ecology forms and promotes more endogenous business needs

User sinking still needs content as a support. As mentioned above, the role of social media is biased towards information browsing and entertainment. The exploration of Weibo at the content level may be the core advantage. At that time, in the era of star-based and big V-driven, Weibo was criticized by the "balance between celebrities and grassroots." With Weibo's emphasis on small V and grassroots segments in the vertical field, the content ecology of Weibo is actually becoming more and more abundant.

In the vertical areas of technology, finance, digital, medicine and other vertical areas, there are vertical small and medium V can rise, these small and medium V even have a group of fans, continue to maintain the user's viscosity. The growth of grassroots people has seen more possibilities, so more and more "weird" bloggers on Weibo, some bloggers specialize in horror films, and some are gourmet. Tasting. In the early years, the era of big V and star contending was actually more social, but with the rise of small V in the vertical field, the content ecology of Weibo was actually more magnified.

The voice of small and medium-sized V in the vertical field also allows advertisers to generate more commercial demand. After all, the sound of small and medium-sized V is vertical enough and targeted enough, so that the existence of endogenous commercial demand allows small and medium-sized V to survive for a long time. Bring more valuable content to users. Take Weibo’s most famous grassroots sub-handler, “Reminiscence-specific small vests”, such a whole day’s number of cats and dogs can also be favored by advertisers, and fans don’t even dislike “memory-specific small vests”. Advertising, which is a good balance between content and business.

Of course, the reason why Weibo will gain the favor of investment banks is not only the improvement of users and content ecology, but the layout of short video and mobile live broadcast is expanding its user growth space and more commercialization. Imagination.

At present, domestically, both today's headlines and other information platforms are making short videos. But be aware that Weibo started exploring the short video field as early as the budding of short video. Coupled with the layout of mobile live broadcasts in 2016, Weibo has actually formed a text-picture-video-live multi-dimensional content ecosystem.

This system is precisely the shortcoming of other information platforms. After all, when social media and information platforms are benchmarking, the system covered by social media is larger, and the secondary fermentation brought by social communication can also make short videos and live broadcasts have better performance on Weibo.

This is precisely the case. Many investment banks predict that due to the impact of the KO L economy and the migration of advertisers' budgets to mobile, social, and video, Weibo will continue to attract advertiser budgets in the next few years. Xiaomo will raise its target price in June 2017 to US$74. After the release of this financial report, Xiaomo will further increase its target price of Weibo to US$76.

One point that must be mentioned here is that Weibo has always unified content and business in the exploration of commercialization. This relatively tolerant style not only gives users on the platform a profitable channel, but also makes the commercial content closer to the user's interest.

Therefore, it is very interesting that the user on Weibo has generated a strong distortion field, and the word “Slag Wave” originally used for black Weibo and Black Sina has become a relative name. The famous expression pack series of Weibo CEO Wang Gaofei has also been sought after by netizens because of his long-standing image.

Written at the end:

Weibo is on the Internet and should be a product that will be written into history. Its rise and fall to the now tortuous experience of re-emergence will bring endless enlightenment to the commercialization, platformization and ecologicalization of future products.

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