Video site profitability difficult Ali TBO can break the game of chess?

Video sites maintained by major companies have been trying to break through the years of losses, but a single advertising revenue can not support the high cost of copyright, so the major video sites have been difficult to break. Video websites that are in awkward situations have always been worried about profitability, and video payment has become the focus of their attention.

Now, all major video websites have launched various charging plans. Overall, there has been no breakthrough. Recently, foreign media reported that Alibaba Group has launched the Tmall Box Office streaming video service on a specific model of Lynx Box, and mainly paid video. Can Ali copy the HBO and Netflix payment models to really open the payment market on domestic TV?

Video Payment Breakthrough

Video payment is not a new thing. As early as 2010, Youku Tudou has started on-demand movies, monthly subscriptions for members, high-definition live concerts, and other models. However, the results are not good and cannot always be an important profit point. And even now, letting users pay for video still plagues video sites. Some people say that users who are accustomed to watching videos for free will have a hard time accepting paid forms. But Duan Youqiao, senior vice president of iQiyi, believes that domestic users are willing to pay for video. The once-popular pirated DVD is an example.

Indeed, some home-made plays have been sought after, and some breakthroughs have been made under the payment model. The iQiyi exclusive premiere of "Tomb Notes", the first four episodes are free, fifth set charges. Driven by hot IP, attracted a large number of users to pay. It is reported that on the day of the fifth episode of “Tomb Notes”, its payment system received 170 million clicks, and 2.6 million people wanted to open membership services. At present, iQiyi has more than 5 million members. The "Tomb Notes" opened the node to 2.6 million. It can be seen that a TV drama with hot IP can still get a lot of paying users after fine operation.

However, not all home-made contents have strong IP, and the small harvest of Tomb Raider Notes is not universally representative. It cannot be completely copied to other homemade content because the most important thing is the development of the user's payment habits. At present, most home-made content payment is in a normal situation, which means that most users still stay in the free viewing stage.

Ali TBO can break the game of chess?

Recently, Alibaba Group has launched the Tmall Box Office streaming video payment service on certain models of Tmall Box to provide users with Chinese and overseas films/television series, including video content from its US partner, Lions Gate. . The monthly fee for this service is RMB 39 and the annual subscription fee is RMB 365. Users can pay via Alipay. Can Ali open the video-payment deadlock on TV?


In the past two years, Ali has made various arrangements for film and television. Ali acquired Cultural China, renamed it Ali Pictures, and became a second-largest shareholder of Huayi Brothers and Ray Media. In addition, Ali has also integrated multiple resources and launched entertainment treasures, Taobao movies, visual clouds, etc., from the upper reaches of the film industry to the downstream. In addition, it is even more aggressive on video terminals. Alibaba Entertainment has adopted 70% of OTT terminals on the market through the subsidy policy for TV box manufacturers. According to incomplete statistics, China sold about 20 million TV boxes last year.

And as early as June there was news that Ali will launch an online video streaming service TBO, similar to the United States HBO.

Its content includes domestic and foreign film and television production and group internal production, 90% of the content requires user fees. From the point of view of Ali’s actions, Ali only launched the service on some models of Lynx. It can be seen that Ali is currently only trying out pilot projects, and he has no plans to roll out all at once. More importantly, the video industry is subject to various policy restrictions and television video is not optimistic. Recently, there are also reports that SVA will launch TVOS2.0 next year, which will make TV video more rigorous.

Before the user's payment habits are cultivated, they must be subject to various policies. It is not easy for Ali to open a TV broadcast video through TBO. Nowadays, all major video websites are attracting users' fees through their own broadcasts and home-made contents. They do not know whether the contents of Ali TBO are attractive enough. Can they attract users to pay for videos?

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