Su Hua, the founder of fast hand, didnt want the company to grow so fast, have such a high valuation at first, and let so many investors participate in it. Until he was hit at the door by Shuyin in 2018, a large number of companies to withdraw behind him and the fierce competition situation forced him to operate the values of equality, universality, truth and goodness at a faster pace.
A person familiar with the matter told the first financial reporter that Tencent has long been determined to lead the fast investment again, but it has been in the stage of adjusting short video projects in the past period of time, and internal consultation on whether to tilt more resources into projects such as micro vision in its own ecology or fast hands.
In terms of fast hand, good cash flow and revenue make it not under financing pressure, but before IPO, fast hand in the second position of the industry needs to hand over a report card with a small gap with the first place to the capital market, so as to obtain higher valuation and ceiling. For this reason, the fast hand needs to improve the daily and monthly activities, quickly realize the commercialization of new products, and continuously carry out the live broadcast. Based on the above factors, fast hand needs the money from Tencent.
As of the press release, the fast-hand side did not give an official response to financing issues.
Pressure from tremolo
Before 2017, in Suhuas eyes, the growth curve of fast hand users has been rising at a constant speed, insisting on extreme restraint on products. A high-level Express hand told the first financial reporter that it was precisely because of this value orientation that express hand missed the opportunity to quickly open the market and seize the leading position in the industry.
In 2018, the turning point of the industry occurred. During the Spring Festival, the number of daily active users of qiaoyin increased by nearly 30 million, with the highest number of daily active users reaching 66.46 million, which not only caught the quick hand of Buddhism but also made Tencent realize the coming of the crisis.
At that time, in order to cope with a number of short video products on the market, Tencent also launched corresponding competitive products, and finally chose to enter the fast hand -- since 2017, Tencent has entered the fast hand capital structure, led the investment of 350 million US dollars in round D on March 23, 2017, continued to follow the investment in a new round of financing in July 2018, invested 2 billion US dollars with Sequoia China, and the current round of fast hand valuation soared directly to 18 billion US dollars. After that, Tencent took the lead in further investment, and the news that the latter was valued at $25 billion continued to spread.
At the same time, Tencent has been opening more resources to the fast hand in its own ecosystem. For example, the fast hand users can share the short videos in the fast hand app directly to the wechat look at information flow, which is the same as the look at function in the lower right corner of the wechat article and in the same information flow. Wechat friends can click and play it directly, or share it to the circle of friends and wechat Friends and so on.
In sharp contrast, wechats Pro son micro vision is treated differently. The latter doesnt get access to take a look like a quick hand. It only supports four windows: wechat friends, wechat friends circle, QQ friends and QQ space.
Breakthrough in cash under live broadcast
In addition to the introduction of capital level, at the level of commercialization, fast hand is also actively layout, especially the live broadcast business.
Haodong is a fast live e-commerce star. Hao Dong recalled to the first financial reporter that after a short period of time, he was faced with a dilemma that the cooperation of a single advertisement of 1000 yuan could not be discussed, which often resulted in no income for a month at that time. As a result, he also worked as a salesman, a potato salesman on the street and a pharmacist in a pharmacy. In 2014, due to the recommendation of old friends, Haodong joined the fast hand, with the original intention of becoming an actor and star. After accumulating more than 1.6 million fans in 2016, Haodong established its own cosmetics brand.
Before the official establishment of the brand in 2015, Haodong spent half a year visiting major supply chain manufacturers, and after the establishment of its own cosmetics brand, it cashed in the form of quick hand small video ads. at that time, quick hand was very restrained, and it was found that the products sold might be directly blocked to you. Hao Dong said.
In those years, the fast-hand live broadcasting business has been hidden in short videos and will not be placed on the top as a level-1 entrance, because Suhua always believed that live broadcasting is not the best way to record and share, but a supplement. However, this restrained and complementary business has brought qualitative changes to ordinary users.
Haodong told the first financial reporter that his cosmetics brand sold 800 yuan from 10 orders a day to 10 orders an hour and 100000 orders an hour on the fast-hand live broadcast. At the peak of the fast-hand sales activity in 2018, it sold 1.86 million yuan directly, looking at the background data, I felt that I was not myself at that time. Haodong told the first financial reporter that the biggest change to the family is that when my parents, relatives and villagers look at me, they will take pride in their eyes.
As the first group of old users with the right to live e-commerce, Haodong most admire the fast hand point: always adhere to the proportion of five to five with users, while other platforms are generally four to six or three to seven, and platforms will take the lead. Hao Dong, who graduated from college, said that his business logic and thinking ability have been greatly improved through quick hand. He used to rely on his family and seldom think independently. Now he learns to work with a team of ten or so individuals.
In July of this year, Ma Hongbin, senior vice president of fasthand, publicly said that he invested 10 billion yuan in traffic a year to support the growth of at least 100000 authors. This is the first time that fast hand has launched an incentive program for producers. Based on the principle of fairness, inclusiveness and emphasis on every producer, by the end of December 2018, the daily life of happy hands exceeded 160 million, that of May 2019 exceeded 200 million, and that of recent months exceeded 400 million, with more than 100 billion exposures per day.
Hangzhou youzan company provides technical support for the Xiaohuang car on the fast-hand e-commerce page. Bai Ya, CEO of youzan, said in an interview with the first financial reporter that there will be a very large market for live broadcasting in the future. Everything is just beginning. In the future, more than half of the forms of e-commerce will be live broadcasting. Coo huanfang said that the anchor will communicate and interact with most of the people who enter the live broadcast room, and many shopping functions will be realized in the same live scene, which has a good chance in the future.
The story of IPO replenishment valuation
Although the current performance of fast hand is good, it is not enough, because the second status of the industry will limit its listing valuation and rising space.
According to official figures, the daily life of tremolo has reached 320 million. In November, Zhang Nan, President of qiaoyin, said: we see the data in the background. The user data of qiaoyin is still growing, without any slowing down trend. She also estimated that by 2020, the daily life of all kinds of short video tea farmers could reach 1 billion, the same scale as wechat today.
People familiar with the matter told the first financial reporter that when the IPO was hit, there would be a big gap between the valuation and the stock price of the first two players in the same industry and the same track. The fast hand had to shorten the distance between the two players to tell investors a better story. As a result, the fast hand has been commercialized frequently recently.
In August this year, Zhihu announced the completion of the f-round financing with a total amount of 434 million US dollars, and the original investors such as fast-hand leading investment, baidu follow-up investment, Tencent and today capital also continued to follow-up investment. In November, quick hand jointly released the quick knowledge plan, declaring that both sides will encourage more knowledge producers through favorable policies such as traffic support and Brand Co creation, and promote knowledge type creators to explore diversified forms of knowledge dissemination by combining the advantages of short video, live broadcast platform and graphic knowledge platform. After the authors of the quick knowledge plan join in Zhihu, their shared content will be evaluated according to the dimensions of quality and interactive data, so that the high-quality content can enjoy the rights and interests of flow, cash and knowledge within the Zhihu plan.
According to the progress in flow and commercialization realization after the cooperation between the two sides, Li Shanshan, head of Zhihu community governance and user business ecology team, told the first financial reporter that at present, the cooperation project has been launched in Zhihu station for a period of time. In the field designated in the first phase, the activity of content creators has made a good increase, and then the project will be launched in a wider range.
Recently, we announced that we would become the exclusive interactive partner of CCTVs Spring Festival Gala in 2020 to carry out this years red envelope interaction. During the Spring Festival, the fast hand will combine the new red envelope rain mode with other multiple interactive modes to create different red envelope interaction with CCTV. Previously, in the critical period of short-term video pull, buffeting is soaring through the activities during the 2018 Spring Festival. Will the 2020 CCTV Spring Festival Gala become a key battle to achieve the 300 million dau goal quickly?