Title: The entertainment industry is changing, where are the big anchors fighting for the "first brother"? MCN goes overseas to seek new dividends
On the stage of the entertainment industry, the big anchors set off a fierce competition in order to compete for the throne of the "first brother" of the platform. In 2024, live broadcast e-commerce is ushering in the challenges of the second half, and Dongfang Selection and Three Sheep, the two major MCNs, are also urgently planning their future routes.
One of the protagonists of the story, Dongfang Selection, the former boss Luo Yonghao withdrew from the stage, and the value of making a friend was only more than 2 billion. Yu Minhong made his debut at the financial report meeting, and his words were straightforward: "Opening a store on the ground is not a problem to be considered by Dongfang Selection at this stage, but without an app, you will not have your own home." "The number of app registrations has exceeded 3.6 million, with nearly 200,000 paid members and an average monthly consumption of nearly 800 yuan per member. In this era of live e-commerce, planning the next step has become an urgent task.
However, the transformation of the entertainment industry is not limited to domestic countries. The head MCNs began to roll up a bloody storm in the world. Three Sheep Network announced on January 15 that it had successfully launched TikTok overseas delivery in Singapore, and a single live broadcast actually set a record of dominating the list. With the exploration of MCNs such as Oriental Selection and Three Sheep abroad, new dividends on the entertainment stage may really be waiting to be discovered on a global scale.
In China, Xiaohongshu and Tencent ** have become platforms that have attracted much attention from MCN. The number of e-commerce purchase users in Xiaohongshu increased by 3% year-on-year during last year's Double 113 times, orders are skyrocketing 38 times. Not only that, Xiaohongshu has also successfully entered the stage of CCTV's Spring Festival Gala and has become an important platform for users to share and live broadcast during the Spring Festival.
However, the entertainment industry, like society, presents a phenomenon of "tearing". Middle-class consumption is gradually divided into e-commerce that pursues cost-effectiveness and live-streaming e-commerce that impulsively consumes. This "sense of tearing" has also gradually spread to the community atmosphere of Xiaohongshu, challenging its status as a light luxury live broadcast. MCNs need to find their place in this highly competitive market and make good use of resources to make the anchors popular.
In this storm in the entertainment industry, Tencent's ** number has become a focus of attention. WeChat revealed in the open class that in 2023, the GMV of live streaming will reach three times that of 2022, and the number of merchants will increase by 300% year-on-year. * is becoming the main KPI of the year. WeChat Pay has also joined the ranks of promoting the number one e-commerce, trying to test the launch of local life components within the year.
However, the e-commerce field of the ** number has not yet stabilized, and there is no clear head anchor. This provides an opportunity for MCNs who are already making their mark on other platforms. Dongfang Selection opened the ** account before Dong Yuhui became popular on January 5, 2022, but until today, their performance on the ** account is still a mystery.
Going overseas has become an important direction for MCNs to find new growth points. TikTok, in Southeast Asia, monthly active users up to 32.5 billion, becoming a platform for the local population to exceed the general population. TikTok Shop has also become the fastest-growing e-commerce platform there, with a GMV of more than US$13 billion last year, quickly conquering Indonesia and Thailand. Although policy compliance has always been TikTok's biggest risk overseas, the relaunch after a joint venture in Indonesia shows the flexibility of TikTok's well-honed approach.
In the U.S. market, TikTok Shop was fully launched in September last year, and achieved a single-day GMV of more than $33 million on the day of the "Black Friday" shopping festival, which is jaw-dropping. This figure far exceeded last year's expectations, indicating that TikTok e-commerce has great potential in the U.S. market. With the lifting of the ban in the Indonesian market and the release of performance in the U.S. market, TikTok e-commerce will target a GMV of US$50 billion in 2024, doubling year-on-year. This is an opportunity for head MCNs that cannot be ignored.
In this game in the entertainment industry, large MCNs need to cleverly win the anchors on the new platform and seek a broader market. For MCN, which has gained a firm foothold in the domestic market, it is a road that cannot be ignored to find new growth points. On the stage of this entertainment industry, whoever can seize the opportunity and make good use of resources may be able to become the next "first brother" in the entertainment industry. The big drama in the entertainment industry is far from over.