Youku Tuttling: More Than Video Websites

In April 2014, Alibaba and Yunfeng Fund acquired Youku Tudou A-share common stock for US$1.22 billion, of which Alibaba holds 16.5% and Yunfeng Fund holds 2%. Since then, Youku Potato has accelerated its integration and transformation. After more than half a year to re-layout, Youku Tudou's new architecture was basically completed. On the afternoon of March 5th, Youku Tudou Group announced that it will adjust its organizational structure and announce a new business system.

According to Geek, the new Tuku Tudou architecture includes six major BUs and nine business centers. 6 Big BU: Youku, Tudou, Heyi Film, Cloud Entertainment, Heyi Culture, Innovation Marketing. The nine major business centers include five industry centers for film, games, animation, music, and education, as well as four content centers for TV dramas, variety shows, entertainment, and information. Among them, the TV drama, information, and education center are led by Youku BU President Wei Ming. The variety, entertainment, animation, and music center are led by Yang Weidong, CEO of Potato BU; the film center is led by Zhu Huilong, CEO of Heyi Film, and the game center consists of CTO and Cloud Entertainment. President Yao Key leads.

Behind the adjustment of company structure and personnel arrangement, it reflects the strategic intentions of Youku potatoes. The author believes that there are mainly the following points:

1, Decentralization, stimulate innovation

Decentralization is one of the core elements of the Internet spirit. Both the product and the company architecture adhere to this principle. Compared with pyramidal structures, this structure is more conducive to stimulating team innovation. The competition and metabolism between the company and the team are also more efficient and reasonable. In addition, this structure is more flexible, and the problem of one team will not affect the overall situation. At the same time, a certain team performs particularly well and can instantly increase strength support. In order to seize market opportunities in the shortest possible time.

2. Accelerate the production of content and reduce the pressure on copyright purchase

Self-made content has become the only magic weapon for users to attract users, increase the number of hit points, and optimize the stickiness of the platform. Since 2014, the major platforms have been actively developing homemade content, and Youku Tudou is no exception. The newly established Union Culture BU focuses on the production and investment of the drama industry and the creation of innovative web content. The group’s chief content officer, Zhu Xiangyang, is newly appointed as the CEO of Heyi Culture, which shows its importance. I believe that strengthening content production capabilities not only slows down the purchase pressure of Youku Potato's copyright, but also establishes unique content programs, gradually establishes competition barriers, and pave the way for its diversified strategic layout.

3. Establish a culture and entertainment ecology to raise the overall income level

Obviously, simply doing the platform is no longer sufficient to support the future development of Youku Tudou. Youku Tudou must establish its own culture and entertainment ecosystem within the window period, and raise the income level through diversified operations. The intention of the establishment of 6 large BU and 9 business centers is also here. Under the new structure, the business tentacle of Youku Tudou has expanded from a simple video site to a number of outreach industries such as film and television production, new media communications, online education, and music animation. Content, platform, advertising, and marketing are all in one place. Throughout the entire Internet industry, there are not many video sites that can play this way.

In addition, at the marketing level, Dong Yawei will lead the newly established innovative marketing BU to develop new advertising system research and development, programmatic sale, big data platform and precise optimization, and video e-commerce marketing, and fully implement the “screen-to-channel” debuted by Youku Tudou. , content is the store "as the core video e-commerce strategy. At the same time, Youku Tudou will establish a video alliance and actively expand international business.

You Yongtuo Group Chairman and CEO Gu Yongsheng commented on this series of new changes: At present, the group's BU structure has basically taken shape. I believe that under the new framework, we will have more explosive strength and accelerate the strengthening of content production. Product technology optimization and income diversification will fully promote the goal of achieving a multi-screen culture and entertainment ecosystem in three years, and will not disappoint the opportunity given by this era of 'O+O'.

Obviously, Gu Yongsheng Youku potatoes have placed great expectations in the future. However, whether these strategies will enable Youku potatoes to quickly emerge from the loss-making mud will not be time-tested. We will also continue to pay attention. (Initial geek network, Baidu Baijia synchronization update)