Introduction: On April 26, the Aladdin Mini Program Innovation Conference was held in Beijing. With the theme of Mini Program & Big Business, the conference gathered 1000+ excellent Mini Program industry insiders. Zhu Xiaohu, Managing Director of GSR Ventures, delivered a keynote speech at the meeting.
Zhu Xiaohu believes that today's Mini Programs will give many entrepreneurs new disruptive opportunities, including subverting previous PC Internet and mobile Internet giants . The small program traffic dividend is in this year and year. It is very important for entrepreneurs to seize this year's dividend.
Talking about promising investment targets, Zhu Xiaohu said frankly that he is still more optimistic about the post-80s and post-90s. "Only such young people can have agile perception and seize new opportunities. We have recently invested in many founders born in the 1990s, and they have done very well."
It is reported that the investment disclosed by the Mini Program last year was 700 million. Zhu Xiaohu said that all investments this year are running into small programs. From this year to April, the investment amount is almost 7 billion yuan. Throughout the year, at least tens of billions of dollars are invested in small programs. Everyone must seize this opportunity.
01 Subversive Opportunities for Mini Programs
Standing here, I feel like standing on the crater where the applet erupted, I look forward to seeing more innovations by entrepreneurs and the explosion of more small programs.
Ten years ago, when I first started doing venture capital, the valuation of Chinese Internet companies was one-tenth of the valuation of related companies in the United States. Now it is almost the same, or even more than similar commercial companies.
There are two driving forces for why such a big change has taken place in the past ten years: First, China's mobile Internet has completely released China's demographic dividend . WeChat now has more than 900 million monthly active users, far exceeding the number of mobile Internet users in the United States. Second, young Chinese users , especially those born in the 1990s and 2000s, are more willing to consume and more willing to pay for the Internet.
Buffett has always said that the entire market is ever-changing, and we must grasp the constant factors in it. What is constant?
What has always changed is the platform, whether it is the PC Internet, the mobile Internet, or a small program, what has not changed is human nature and basic needs. You will see that the business models of many companies in the PC Internet era are replicated on the mobile Internet. Similarly, the business models of the mobile Internet will also be replicated in Mini Programs.
A few years ago, Ma Huateng said that when the building collapsed, the world was warm. At that time, Ma Huateng had a strong sense of crisis. Can Tencent transform from the PC Internet to the mobile Internet, and can it upgrade from the mobile Internet?
Later, we saw WeChat. What we see today is Mini Programs. We believe that it will also give many entrepreneurs new disruptive opportunities to subvert the previous PC Internet and mobile Internet giants.
02 Small program traffic bonus is coming this year
As an Internet company with the highest market value in China, Tencent has always had a very clear base - social networks, including QQ and WeChat, which are constantly drawing concentric circles. Tencent is the world's largest animation platform, the largest music platform, and also China's largest. The largest video platform.
Because it has a core base, its competition at every level outside is to follow up and slowly surpass. Tencent's video ranked very low at the beginning, but it caught up behind. The same is true of Tencent Literature, where almost the most famous IPs of online literature are now.
Mini programs are not a very new concept. Baidu launched a light application two or three years ago, which is very similar to mini programs. Why can't Baidu do it? First, it's too early, and second, Baidu lacks traffic. Tencent traffic has always been empowering and overflowing, and small programs and traffic are inseparable.
Moreover, it is very difficult to start an APP business today. Five years ago, any startup company said to build an APP first, and then a website. Any entrepreneur we see today would say that the app is built first, and if the app is successful, the app can be basically ignored.
The small program cost and traffic dividend is very obvious, and we believe that the small program traffic dividend is this year and year. If you miss this dividend this year, then the opportunity has nothing to do with you. Entrepreneurs here can seize this year's dividend. It is very important .
APP is not only expensive, but also difficult. Many people are reluctant to install more, for fear of affecting performance. There are only 20 opportunities for entrepreneurial companies. With so many entrepreneurs here, how many can squeeze into these 20 companies?
Mini programs do not need to install an APP, which greatly reduces the difficulty for entrepreneurs to acquire users. We have seen many small programs with very simple functions, which can accumulate millions of users in a very short period of time, which was unimaginable in the previous APP era. Now is a very good bonus period, everyone must seize it.
Now to get the installation applet, it is almost flat and crossed seamlessly. But it also brings a problem. The retention rate is very low. Whether or not to keep users is what investors are most concerned about.
03 There are still many opportunities for small programs to start businesses
This is the TOP100 list of small programs in March 2018. We pay attention to this list every day and contact entrepreneurs as soon as possible. It can be seen that there are at least 30% to 40% opportunities, which are made by startups that have not been heard of before, so there are still many opportunities for startups.
According to statistics, 30% to 40% of the small programs are games, while about 20% are e-commerce, and 19% are communications. This is very similar to the mobile Internet back then. The first mobile Internet application was a game—— angry Birds. Angry Birds came out in 2009, and today's Mini Program is the same. The first Mini Program game in the world is the King of Minds.
After returning from the Spring Festival today, the outbreak of small program startups is very, very obvious. Now, we spend most of our time looking at the opportunities of small program startups. We find that the opportunities for small programs are getting deeper and deeper, not only in games, not only in e-commerce shopping, but even in offline O2O services.
For many offline merchants, it is very difficult for them to develop an APP. In the past, there were also mobile APPs developed for merchants for free, but it is very difficult for offline merchants to let users install the APP. For example, for a merchant that unlocks and cuts hair, the frequency of users using the APP is very low, and it is very convenient to find a small program for unlocking and leaving a small program on WeChat.
We see that many offline merchants are using mini programs to acquire customers and communicate, which is very interesting. Some companies get tens of thousands of offline merchants every month to pay for small programs, which was unimaginable before.
There are many opportunities for native APPs to migrate to Mini Programs, but it is also worth noting that not all mobile Internet companies can migrate to Mini Programs. The bonus period of some traffic is very short, and some large companies do not set up small programs, which are half a year later than startup companies, and it is very difficult to migrate them.
For example, we see a lot of opportunities for local services that many giant companies have not paid attention to, but there are such scenarios in mini programs, which are all opportunities for entrepreneurship. As long as you are ahead of the big companies for half a year to a year, it will be difficult for big companies to chase you.
04At least tens of billions will be invested in small programs
The four areas we are most concerned about are: O2O, paid content, social e-commerce and mini-games. There will be many opportunities for mini games here. Games go through the same path from terminal games to web games. Mini games are very similar to web games. In the future, except for heavy games like "Honor of Kings", APPs will be required, and most games will be based on Displayed in the form of small programs, the most suitable scene for small games is to leave after use.
For content payment, especially for aggregation, small programs are more suitable. There is also O2O, which is a very good opportunity to do offline empowerment through small programs.
Entrepreneurs today are all very young, basically the post-80s and post-90s. Only such young people can have agile perceptions and seize new opportunities. We have recently invested in many founders born in the 90s, and they have done it all. very good.
The investment disclosed by the Mini Program last year was 700 million yuan. This year, all the investments were made by running into the Mini Program. From this year to April, the investment amount may be this number plus zero. Now it is almost 7 billion yuan. For the whole year, it is at least a few hundred 100 million invested in Mini Programs. Everyone must seize this opportunity.
So as we said before, what remains the same is human nature. Mini Programs can replicate all the opportunities on the mobile Internet. You can see which ones are more successful on the mobile Internet, and whether they have done them on Mini Programs. You can imagine how to make full use of the advantages of Mini Programs and copy these mobile Internet opportunities to Mini Programs. We are all interested in these points.
Speech: Zhu Xiaohu
Arrangement: long song line
Source: Weed New Consumption (ID: yecaoxxf)
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