Event: PRO of Wechat Open course was held in Guangzhou on January 6, 2022, and all the blockbuster products, including Video account, WeChat Pay, Mini Program, Sou Yisou, WeCom and so on, were unveiled, sharing the new ecological changes and new thinking of Wechat.
Comments:
The development of video number is steady, the ability of content operation is strengthened, and it has obvious advantages to distribute public events. The open course mentioned that since the video number was launched two years ago, it has completed the construction of product framework and content operation system one after another. In terms of content operation, video number officially plans concerts and other large-scale events live broadcast, through improving the fan access system rather than money incentives to achieve creative incentives, lower the threshold of video production to achieve the transformation of official account characteristics to video accounts. According to the content of the open class speech, the data of Westlife Boys' online live concert, Strawberry Rover online concert and May New year's New year concert are ideal; at the same time, Wechat users pay more attention to news events, in the video account, Shenzhou 12 launch live broadcast, Junior work Committee cloud classes and other large-scale events have reached tens of millions.
Video account, WeCom and others will strengthen ecological coordination with Wechat and release new energy. According to the disclosure of the open class speech, the video number will exist as an atomized component, and users will be able to access the video number content in different places. WeCom's brand-new version further strengthens the communication with Wechat, releasing the ability to connect the video number and Wechat customer service. Continuous integration may release new energy, such as brand store broadcasting, community operation, private domain operation and so on.
Search has covered the vast majority of users' search needs, basic search capabilities or welcome changes. The open course mentioned that the goal of searching is to "use Wechat to search everything". Massive content and services use Mini Program as a contact to access Wechat ecology, and Wechat ecology data are constantly being enriched. Users gradually accept search as the entrance to get information and services, and the MAU of Wechat search will reach 700 million (yoy+20%) in 2021. Search continues to invest in basic search capabilities, such as optimizing the ability to search long-tailed content close to natural language Q & A, accurately identifying user intentions, optimizing service availability and quality evaluation, etc.
Search the official website of the traditional brand in the official area of the brand, and distribute empowered merchants through accurate services. The official area of the Sou brand integrates a variety of operating capabilities within the Wechat ecology, such as official account, Mini Program, video account and other products, as well as the functions of placing orders, takeout, membership, etc., while accurately reaching users according to the search algorithm. It can help brands to get better transformation: for example, McDonald's Corp distributes coupons through the official area of the brand, accounting for 31% of total sales and 10% of total channels for new customers.
Investment advice:
Judging from the information disclosed in this Wechat open course, the ecology of Wechat is becoming more and more abundant, the current video number is developing steadily, and the content operation capacity is strengthened, especially in terms of distributing public events. As a service distribution carrier, Mini Program continues to be used more frequently by users. WeCom, Video account and others will also continue to strengthen the ecological coordination with Wechat, or release new capabilities. We believe that the basic search ability of Sosou continues to improve, and the search domain continues to expand, driving the further expansion of the Wechat distribution boundary.
Company profit forecast and investment rating: we expect the company's NON-GAAP net profit in 2021-2023 to be 138.76 billion yuan, 179.79 billion yuan and 206.76 billion yuan respectively, EPS 14.33,18.57 yuan and 21.35 yuan respectively, corresponding to the existing share price PE of 26Xjin20x and 18x respectively, maintaining the "highly recommended" rating.
Risk hint: the user privacy protection policy is stricter; the anti-monopoly supervision is stricter.