Transformation Of Online Literature Business Model

Online literature is one of the popular online applications now.With industrial structure continuously improves,the business model has nearly matured.Online literature industry has experienced three basic periods: Firstly,it had been coming out of BBS literature and booming of original literature website.Secondly,Shanda literature became dominance in M&A.Thirdly,BAT joined and dominates online literature boldly.Accordingly,its business model has experienced three basic phases: a“media type”business model based on online paid reading and online advertisement,a“full copyright”business model based on online literature industry chain,a“pan-entertainment”business model centered in content IP.In the transformation process of the business model,the prior one is always the subset of the latter period.Fundamental economic regulations of new media platform motivate the transformation of business model.The initial “media type”business model profit channel lacks variation.It is not only due to the reason that online paid reading often encountered covering competition,but also the fact that online advertisement based on content was confronted with multivariate competition.This shortcoming born with the media platform.The “full copyright” business model structured by Shanda provided diversified service and expanded income sources,aiming to build a region-of-interest and cyber economics based platform.It attempted to contend against with the inborn weakness in the“media type ” business model.To reconcile covering competition,BAT have reconstructed business model.BAT have joined and dominated onlineliterature boldly,and constructed “pan-entertainment” business model that begins with online literature.Thereout,“ pan-entertainment ”business model has become the most ultima and comprehensive business model of online literature.Development of online literature “pan-entertainment” business model mostly based on two important points: One point is that the content IP isOne point is that the content IP is core,and the other point is that industry extension is key.We can get two basic enlightenments from transformation of online literature business model: one is that platform business model is the basic trend of specific online application business model transformation,the other is that specific application may face covering competition from BAT.