The subscription price of full-screen members of Mango TV is adjusted to 35 yuan/month, 98 yuan/quarter and 348 yuan/year. This is also the second time that Mango TV has adjusted its membership price since 65438+February last year.
Long video platforms take turns to raise prices.
Faced with the huge losses that have lasted for many years, the price increase of members has become a main direction of open source for long video platforms. Since June, 2020 165438+ 10, the member prices of long video platforms represented by aiyouteng have continued to rise, and some platforms have undergone several rounds of price adjustment.
Iqiyi took the lead in announcing the price increase. In June 2020, 165438+ 10, iQiyi adjusted its membership price for the first time in 9 years. Then, Tencent Video announced that it would adjust the price of VIP members. One year later, in 65438+February last year, iQiyi raised the subscription price of gold VIP members again.
In the fourth quarter of 20021,Mango Hypermedia achieved a net profit of 654.38+34 billion yuan, a sharp drop of 63.79% year-on-year. Mango Supermedia 202 1 65438 announced the price increase in February. In April this year, Tencent video members announced the price increase again.
In June 2022, Youku, which has been slow to follow up the price increase, announced the price increase. This is Youku's first price increase after a lapse of five years after it raised its membership price on 20 17.
Price increase is a double-edged sword.
It is not difficult to see that in addition to Youku, iQiyi, Tencent Video and Mango TV in the first-line long video platform have all made two rounds of price increases.
After burning money for several years, the long video platform is still unprofitable. In addition to the mango hypermedia backed by Hunan Satellite TV, the profitability of iQiyi, Tencent Video and Youku is not optimistic. Among them, the total loss of iQiyi during 20 15-2020 was as high as 35.8 billion yuan.
The film and television website is a poor temple and a rich monk. After losing money for several years, Gong Yu, the founder of iQiyi, seems to realize the cruelty of long videos. In the film and television industry, all kinds of people have been making money, but the video platform is losing money and cannot support the stable development of the industry. Those who should make money can't make nothing.
In desperation, increasing revenue and reducing expenditure has become the main strategy for major video platforms to cope with losses. In addition to cutting budgets, projects and even layoffs, member price increases have become a major breakthrough in open source.
Iqiyi, the earliest price increase, seems to have seen some results. According to the first quarterly report, from June 5438 to March 2022 10-3, iQiyi achieved a revenue of 7.277 billion yuan, an operating profit of 934 1 10,000 yuan, a net profit attributable to shareholders of the parent company of 65.438+0.691100 million yuan, and an operating profit of 3.5% based on US GAAP. This is also the first time that iQiyi has achieved quarterly profit since its establishment.
However, although raising the membership price did help iQiyi achieve profitability to a certain extent, the average daily subscription number of iQiyi dropped from 65.438+005 billion to 654.38+0.065438+000 million. Although the price increase is beneficial to increase the income of members in the short term, it inevitably limits the size of members, thus affecting the long-term performance of their business.
From the perspective of the secondary market, iQiyi, which turned losses into profits, has not been recognized by investors. As of July 2, iQiyi's share price closed at $4.22, with a decline of 7.46% in 2022.
Content quality can bring long-term stability.
Unlike Aiyouteng's long-term loss, Mango Hypermedia has always been the top student in the long video platform and the only profitable long video platform.
As a unified new media industry and capital operation platform under Hunan Radio and Television Station, it has strong R&D, production and distribution capabilities, and outstanding advantages in terms of licenses and policies. Compared with Ai Youteng, Mango Hypermedia is more closely connected with artists, production teams, program resources and brand resources, which has the basis of both Hunan Satellite TV and cooperation with film and television companies.
In addition, Mango TV is particularly good at variety production. Whether it is "Happy Camp", "Braving the Wind and Waves" and "Where is Dad Going", which have been popular for more than 20 years, they all show the good strength of the mango content production team and management team.
However, due to the influence of regulatory policies and the postponement of popular variety shows, Mango Supermedia's performance in the fourth quarter of last year dropped sharply. In the first quarter of this year, Mango Hypermedia achieved revenue of 310.24 billion yuan, down 22.08% year-on-year; The net profit of returning to the mother was 507 million yuan, a year-on-year decrease of 34.39%. Affected by the COVID-19 epidemic, the production progress of mango hypermedia content slowed down, and the broadcast of key variety shows such as Endless Sound, Pigeon 2, Braving the Wind and Waves 3 was delayed.
Performance pressure may be one of the reasons for the second price increase of Mango TV. According to the data, in 20021year, the ARPU of Mango members was 85 yuan, which was much better than that of iQiyi 168 yuan.
From the perspective of revenue composition, the main revenue of Mango Hypermedia is divided into three parts: Mango TV Internet video business, interactive entertainment content production and operation and content e-commerce. Among them, Mango TV belongs to the company's core business, accounting for 73% of 202 1 annual revenue.
Mango TV revenue mainly comes from advertising business, membership income and operator business. The revenue in 20021year was 5.453 billion yuan, 3.688 billion yuan and 210.20 billion yuan respectively. From the perspective of revenue ratio, membership income accounts for about 24% of the total revenue of Mango Hypermedia. Therefore, compared with iQiyi, whose membership income accounts for more than 50%, the boosting effect of member price increase on the overall performance of iQiyi is relatively limited.
Fundamentally speaking, the content attraction of the platform is the key to attract consumers to pay, and then improve the profitability of long videos. Rely too much on price increases to increase income, and the final result will only be to seek fish from the wood.
The good thing is that Mango Supermedia still continues the successful variety mode in the past, and programs such as "Endless Sound" and "Braving the Wind and Waves 3" all occupy the head position of the simultaneous broadcast of the whole network variety. Among the N-generation programs, "Detective Star" has been broadcast to the seventh season, and its derivative program "Detective Academy" has also been broadcast to the fifth season. The sixth season of Sex and Life and the fourth season of Flowers and Teenagers have been officially launched.
Industrial Securities pointed out in the latest research report that the online video industry has entered the stock stage, and the price increase cycle will promote the improvement of the industry's profit space. Judging from the number of variety advertisers, Mango TV's advantages in attracting investment for variety shows continue to stand out. With more high-quality content such as "Picking the Thorn 2" coming online soon, the company will drive the growth of advertising and membership income.