Indulge in Life in America

Chapter 511: The Three Big Rivals of Toutiao!

After Yang Cheng assigned the task, he began to care about the financial status of his business, "I haven't read the financial report of New Era Media, how is it? Is everything okay?"

Speaking of this, Ruiz immediately burst into a smile, "Boss, thanks to the substantial increase in the amount of digital advertising, our digital platform has grabbed a big piece of cake."

Yang Cheng also had a happy face when he heard the words, "Really? Tell me."

Ruiz cleared his throat and opened his mouth to report the overall market situation first, "In 2014, the total amount of digital advertising including mobile advertising was as high as 50.7 billion US dollars, an increase of 18% from the 43.1 billion US dollars in 2013, and the same as the previous year. The annual growth rate of 17% is basically the same.

Among them, mobile advertising spending was US$19 billion, an increase of 78% from US$10.7 billion in 2013. Although this growth rate cannot be compared with the 170% in the previous two years, it is also the fastest growing in digital advertising. Mobile advertising now accounts for 37% of all digital advertising, which is an increase from 25% last year.

In digital advertising, display advertising is the main source of digital revenue for news companies. Display ads overall, including mobile display ads, grew 27 percent in 2014, up from 22 percent the previous year.

Banners accounted for 49% of display ads, down from 63% over the past 4 years, and video ads grew 56% in 2014, faster than any other display ad, accounting for 27% of all display ads , this proportion was 14% in 2010. In 2010, display advertising totaled $9.9 billion and video advertising $1.4 billion. "

Yang Cheng listened and waved his hands, "Let's get straight to the point. I want to know how much of the billions of dollars our company can get?"

It is obvious that social media and technology companies must be the biggest winners, including New Era Media. In this media transformation brought about by technology, social media and technology companies are the most profitable in digital advertising .

Yang Cheng needs to know the position of his company in the market. All these data will be converted into US dollars in the future financing and even listing process, and will flow into his pocket continuously. Therefore, he is very concerned about it. Nor is it aimless.

These data were deeply engraved in Ruiz's mind, and he said without hesitation, "Currently, in the entire digital advertising market, there are five giant companies—Google, Facebook, Microsoft, Yahoo, and AOL, as well as the newly emerging us, In 2014, it accounted for 61% of all digital advertising revenue in the United States, accounting for $30.9 billion out of a total of $50.7 billion. However, this total proportion has been decreasing at a rate of 1% per year since 2010, even if we join , and failed to reverse the trend.

The five giants plus us New Era Media accounted for 50% of all display ad revenue of $22.2 billion, or $11.2 billion.

In mobile display advertising, the top five players were Facebook, Google, Twitter, Pandora and Apple, which took in $6.4 billion of the $9.6 billion. They accounted for nearly two-thirds of the mobile display advertising market in 2014. We did not include this data because there were not many advertisers who placed display ads on the Toutiao app in the past. We only have less than 120 million in this category. USD revenue. "

"120 million US dollars?" Yang Cheng interrupted in surprise, not less, but more. Don't look at Toutiao's current customer base is amazing, but it didn't pop up suddenly overnight, but accumulated day by day, so it really has an advertising effect It’s not a long time, not to mention mobile display ads, which are not as simple as print ads. According to the general rules of the advertising industry, for the 120 million US dollars, Toutiao can make a net profit of about 20 million US dollars. After all, the vacancy of the advertising space must be considered rate, self-media share, etc., so 10% to 20% of the net profit is relatively common.

With such an amazing performance in just half a year, it's no wonder Yang Cheng, the hands-off shopkeeper, was so surprised.

If there is such a profit only before the customer group is formed, then when Toutiao's user group explodes, the profit will be very considerable.

Riz Khan continued, "Yes, but as we continue to grow, this number will double geometrically. Today, our biggest competitors are Google, Facebook and Twitter. Google has always been the leader in the digital advertising market. The biggest beneficiary of Google, last year Google received 38% of digital advertising and 37% of mobile advertising revenue. Although it is down from 40% of the total digital advertising in 2013, it is not only one of them that has declined, New Era Media The rise of the leading emerging forces is bound to thin some of their profits, a very common market rule.

Just like Facebook has been the strongest growing digital ad revenue earner in the past two years, in 2014, Facebook took 10% of all digital advertising, and its digital ad revenue increased by 52% to 5 billion US dollars, is More than double the $2.2 billion in 2012.

Facebook is also now the double biggest winner in display ads and mobile display ads, they currently make about a quarter of all display ad revenue and 37% of mobile ad revenue.

Its mobile display ad revenue grew 131 percent in 2014, from $1.5 billion to $3.5 billion, but that slowed from the previous year's 292 percent increase, with Facebook's share of mobile display ads growing. This is roughly the same decline as the share of display ads on more mature desktop computers.

In 2014, Facebook’s share of mobile display ads increased 20 percent, while desktop display ads fell 20 percent.

Finally, there is Twitter. With a 4% market share in display advertising, they surpassed Amazon and Microsoft to enter the top five for the first time. Twitter’s mobile display advertising revenue in 2014 also grew rapidly, ranking third in 2014, accounting for Compared with 7%, it increased by 111% from the previous year, from 300 million US dollars to 700 million US dollars, which was slower than the 178% growth rate in 2013.

Similar to Facebook, Twitter saw a 10% increase or decrease in mobile display ad market share and desktop display ad market share. "

Yang Cheng hugged his shoulders, frowned and said, "7%? So, we are not too far away from the top five."

Ruiz nodded with a smile, "That's right, as long as we maintain the current customer base and grow steadily, it will not be difficult to rank among the top five based on the data for the whole year. After all, Microsoft is in decline, AOL is a thing of the past, and Amazon is not part of us." In a segmented field, the only direct competitors we face are Facebook, Twitter, and Google, among which Twitter is our closest target, and defeating Twitter is our top priority and the opponent that is the easiest to kill.”

"I see, let's make this the goal. This figure will surely make the board of directors and the next financing parties ecstatic, right?" Yang Cheng patted Ruiz on the shoulder with satisfaction and said with emotion. It was beyond his expectation, but the more surprises, the better.

"It's boss, is the next round of financing about to start?"

Yang Cheng smiled thoughtfully, "Well, soon, I promised many friends to bring them in. This round of financing is inevitable, but depending on the situation, this may be our last round of financing before going public. After all We have already generated profits, and bringing in more people is just exploiting our own interests, and I will not let this happen."

Ryze nodded heavily, "I understand, then boss, if there is nothing else, I will go down and make arrangements~"

"Go ahead and get Eddie up for me."

Chapter 512/2118
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