Top of the Great Era

Chapter 1822 Bubble Value
A few months ago, Senior Sister Zhenyu once had the feeling that "the whole world is Ponzi".

Now, Meng Houkun made a similar sound.

This actually makes sense.

An in-depth analysis of Yahoo's business model back then revealed that it was actually a Ponzi model, a pyramidal pyramid structure.

Professor Han Leshui elaborated on this, saying: "The structure of MLM is a very good business organization. In other words, it can be called viral marketing. We are doing WeChat now, relying on the user's mobile phone address book to promote, one user pulls 10 friends from the address book, 10 friends from the address book brought in 100 of their friends, and so on, it is actually a pyramid scheme structure.”

Guo Pengfei is now the president of the WeChat business group, and he is deeply impressed, "Yes, compared to the simple and crude marketing method of advertising to attract new users, this viral MLM structure is the fastest, most efficient, and most economical. The way."

Zhou Buqi said: "Only the greatest companies can make the best use of this MLM structure to do business. More companies still choose to focus on advertising when promoting their business."

Professor Han Leshui gave an example of WeChat. In fact, there is a more typical example, that is, Pinduoduo.

What does "cut a knife" mean?
In fact, it is a pyramid scheme.

When a person initiates the "Chop a Knife" campaign, he is at the top of the pyramid structure, and then more and more downlines will help him bargain, which will attract more and more active users.

"Chopping with a knife" is not a trick to deceive people. If the hack is successful, it will really give you money.

But how to hack successfully?
This requires model calculations.

There must be a bottom line, that is, the growth of new users and active users brought about by the "cut a knife" activity initiated by users is far greater than the investment in similar growth brought about by Pinduoduo's external advertising.

Maybe 5 times, maybe 10 times, there is a fixed standard.

As long as the standard is met, the price bargain will be successful.

It has nothing to do with the number of people involved in bargaining.

For example, some people have attracted 1000 people, but the bargaining failed, and they feel that they are cheating; some people have attracted 20 people, and the bargaining has succeeded, and they feel very lucky.

It seems unfair, but there are cold data models and computer algorithms behind it, how could it be unfair?

It failed to attract 1000 people to bargain, because these 1000 people are all active users of Pinduoduo in the normal sense.Regardless of whether there is a "cut" or not, they are active users.Pulling these 1000 people did not generate any promotional value for Pinduoduo.

I succeeded in attracting 20 people to negotiate the price. It is very likely that many of these 20 people are new users, or old users who have given up on this product have been brought back. Although 20 people are small, they have brought real promotion value to Pinduoduo, so there is a reason to pay a remuneration, and the bargaining will be successful.

The business model of this top-level MLM structure cannot be played by just any company. It must have genius-like creativity and inspiration.

Zhang Yiming said: "The Internet has been developed for more than 20 years, and the most mainstream marketing model has never changed, and it still focuses on advertising."

Zhou Buqi agreed: "Yes, whether it is viral promotion, pyramid scheme promotion, or the current domestic group buying subsidy model, these are actually not the mainstream. The most mainstream is advertising. An Internet start-up company, with financing, marketing Advertise, absorb users, and then continue to raise money to get money, then advertise, increase users, make data, and then continue to refinance.”

Speaking of this, everyone basically understood what Boss Zhou meant.

Guo Pengfei took a deep breath, "So Ziweixing wants to pursue the value of the bubble, it is to provide advertising space for those Internet start-up companies that are constantly flowing, and take this group as the main customer target."

Zhou Buqi said: "That's wrong, advertising is the way. For these startups, the core purpose is to acquire customers. For traditional portals like Yahoo, if they want to help customers increase registered users, advertising is almost impossible. It is the only way. But Ziwei Star is different, times have changed, and we have more and more direct ways to achieve this goal!"

"Preferred channel!"

Guo Pengfei blurted out, suddenly realized.

In the past few years, the cooperation between Ziweixing and Ali has been very pleasant, and the "Taobao Preferred Channel" has brought great benefits to both parties.

Ziwei Star has earned a lot of commissions, and the commission scale is expected to exceed 5 million yuan this year.

In fact, Ali is not at a loss.

Because if users of Friends.com and Toutiao want to shop in Taobao’s preferred channel, they must first quickly register and log in to Taobao, and then become Alipay users, and finally complete the transaction.

During this process, Ziweixing brought a large number of new users to Ali.

And Ali didn't spend a penny.

The 5 million commission was not taken from Ali's pocket, but from the pockets of Taobao merchants.It is the commission promised by Taobao merchants to "Alimama", and then Alimama transferred 95% of this part of the commission to Ziweixing, and kept 5% for operating expenses.

Ali is a super giant, and he is already fighting for a more ambitious mission, and he no longer pursues bubbles very much.But for more start-up companies and small companies, they are still trying to start a new round of financing, trying to blow up the bubble, so as to obtain a higher valuation, which is even more meaningful.

The revised "Preferred Channel" will be open to all e-commerce platforms across the country.

Such as Vipshop.

The "preferred channel" selects a product from Vipshop. If users want to buy this product, they must first quickly log in to the Vipshop website.

This is equivalent to Ziweixing bringing a new user to Vipshop.

This is much better than advertising.

Normal people have a repulsive mentality towards advertisements and will avoid them.However, the model of "Preferred Channel" is different. It is to take advantage of the advantage. When users are attracted by high-quality and low-cost products, the conversion rate will be greatly improved.

With the help of Ziweixing, Vipshop has increased the number of users by 100 million or 500 million, which will allow it to have a higher market valuation and obtain more financing in the capital market.

So, in this transaction, how much should Vipshop give Ziweixing?
If there is only 10% or 20% of the transaction commission like Taobao, it is not enough.Ziweixing is helping Vipshop blow bubbles, and Vipshop will inevitably take part of the value of the bubbles as compensation.

Zhou Buqi said: "Yes, the preferred channel. In the cooperation between school group buying and Suning.com, every time Suning converts a new user, Zhongtai only charges 3 yuan, which is too little. The price of 3 yuan only focuses on The value of bubble water is overlooked, but the value of bubbles is ignored. The business needs to be redesigned.”

Zhang Yiming said thoughtfully: "The hottest trend in China right now is group buying. Thousands of group buying websites have emerged, and hundreds of investment institutions have entered the market. The current Internet situation feels similar to that of 10 years ago. Woke up."

Zhou Buqi said: "It's not a big deal, what's more important is that the era of mobile Internet has come. Venture capital institutions who have missed the era of PC Internet don't want to miss this era."

He Yang said very cautiously: "Will Ziwei Star's system be too floating due to too much pursuit of the value of the bubble? Once the bubble bursts..."

Nie Caijun didn't take it seriously, and explained: "After the bubble crisis broke out, Yahoo was hit hard, but Yahoo is still the largest Internet company in the world."

Zhou Buqi agreed, and said slowly: "Yes, Yahoo's decline was not caused by the fatal blow of the bubble crisis. On the contrary, the emergence of the bubble crisis caused a large number of bubble Internet companies to go bankrupt, and Yahoo used monopoly instead. Market opportunities. It is true that Yahoo has a bubble, but Yahoo has more traffic, page advertisements, and core values.”

Zhang Yiming added: "The outbreak of the bubble crisis also gave Yahoo a huge market advantage. It's just that Yahoo made too many wrong decisions and missed Google and Facebook. This is the root cause of Yahoo's decline."

Zhou Buqi went on to say: "However, Boss He is right. You can't pursue bubble value too much. Only down-to-earth business can go longer and more stable. But in the current Internet market, no matter whether it is domestic or foreign, no one pays attention to it. Knowing the existence of bubble value, even Google is only honestly pursuing advertising value, not bubble value. This has caused a huge waste of cake.”

Zhang Yiming has basically followed his thinking, "With the advent of the mobile Internet, global hot money is frantically pouring into this field, for fear of missing this era. This will inevitably lead to the industry's bubble blowing bigger and bigger. "

Zhou Buqi nodded, "There are too many Internet start-up companies. Few of them really took root and survived. Those Internet companies that died after raising money, where did the money go?"

Zhang Yiming said: "Part of it is wages, and the bigger part is marketing."

Zhou Buqi said: "For Ziweixing, helping other Internet companies to do marketing will be the biggest piece of cake in this industry in the next few years!"

Zhang Yiming said deeply: "Getting 100% of the small cake may not be as good as grabbing 10% of the big cake. In this regard, Ziweixing must show its ambition."

Zhou Buqi concluded from a high-level view: "Bubbles in the industry are inevitable. Instead of being passively affected by the bubbles, Ziweixing should actively grasp the value of the bubbles. Enterprises are products of the times. When the wind blows to the left, the enterprise will swing to the left; When the wind blows to the right, the enterprise swings to the right. If an enterprise wants to live the best, it must breathe with the times. It is not a passive acceptance, but an active reception. Whoever can adapt to the times can be proud of the spring breeze. In an era that is destined to burst In this era, Ziweixing must make a bold judgment, open your arms and embrace the bubble!"

(End of this chapter)