Research On Business Models Of Internet Video Enterprises

Today,online video(including short video)has become the second largest application type on the Chinese Internet after instant messaging.In the market competition,long and short videos have their own advantages and disadvantages.With its efficient algorithm,low technical threshold and fragmented video content,short videos have won the favor of the market.However,with the protection of film and television copyrights and the refinement of content review standards,short videos are more likely to gain traffic by editing film and television dramas.This approach will face huge legal risks and is not conducive to long-term development.The advantage of long video is that it has accumulated a large number of high-quality content libraries and has a mature content production industry chain,but behind the high-quality content is a lot of cost investment,and the road to profitability is still far away.The state of money loss.In this industry context,Bilibili has taken a unique approach,constantly "breaking the circle",breaking the limitations of the original audience,making Bilibili’s brand image deeper into a wider user group of age groups,and gradually forming a "Z Generation" as the center,the diversified content community as the carrier of the business model,has embarked on a path that is different from the two business models(short video and long video).This article takes Bilibili as an example,sorts out the development pattern of Bilibili in the industry competition and faces internal competition,and briefly introduces the company’s basic situation.Then it comprehensively analyzes its business model from positioning,business system,key resource capability,profit model and cash flow structure with the six-element theoretical framework of business model based on stakeholder transaction structure.By comparing the business models of long and short videos,we analyze the advantages and disadvantages of its current business model.Its advantages are high retention rate and high user stickiness.The retention rate in the 12 th month is 80%,which is much higher than other Internet video companies.The community atmosphere is strong,and the community culture is difficult to replicate.It is the only video platform that has the output of values and community identity.The disadvantage is that the commercialization efficiency is low,and the advertising business starts late and the realization efficiency is insufficient.The monetization ability of the game business is insufficient,and it is difficult to support the long-term development of the enterprise.The development of diversified business sectors is too large,the cost input is high,and the actual income is low.In addition,for Internet video companies,user scale is an important factor affecting enterprise value.Therefore,the revised DEVA model is used to evaluate enterprise value.It is found that the enterprise value based on user scale is on the rise.Later,it was found that its expenses increased year by year,but its operating profit and loss expanded year by year.Therefore,in order to control costs and turn losses into profits,the business model needs to be optimized.According to the optimization goals and principles,six suggestions are put forward to improve its business model,specifically,strengthening the investment in algorithm technology,increasing the efficiency of advertising and marketing,maintaining the high-quality development of content,strengthening cost control,optimizing the rights and interests of large members,and leveraging 5G technology.At the same time,the conclusion of this paper also has some enlightenment for the healthy development of the Internet video industry.