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After the financial results for the second quarter of fiscal year 2019 were released, it proved that YYJOYY Inc eraThe correctness and strategic foresight of the layout of "imo".

Li Xueling, founder of the JOYY Inc era of YY, also posted on moments that he finally got back a ticket to the IM market.

Yesterday, YY JOYY Inc time (NASDAQ:YY) announced the second quarter of 2019 results. During the reporting period, the total revenue of the YY JOYY Inc era was 6.2952 billion yuan, an increase of 66.8% over the same period last year, exceeding the highest line guided by the company. Of this total, the revenue of the live broadcast business was 5.92 billion, an increase of 66.4% over the same period last year.

The Frontier of Entrepreneurship finds out by sorting out the core data in the financial report.YY JOYY Inc era upgraded "imo" from a single overseas communication tool to an embedded overseas instant messaging platform, which played a strong leading role in the group's global short video business and global live broadcast business.

So, let's take a look at the core data related to "imo" in this financial report:

In the era of YY JOYY Inc, the number of global mobile monthly active users reached 433.5 million, with overseas users accounting for about 78.1%. Among them, instant messaging platform "imo" has 211.9 million monthly active users, which accounts for nearly half of the global mobile monthly active users. In addition, after embedding short video "Likee", the conversion rate of short video users reaches more than 50%.

From Li Xueling's previous internal letters, we can see that in the JOYY Inc era, which has formed a leading position in the domestic live broadcast field, it attached great importance to the overseas market, especially the layout of the third world market. At present, the era of YY JOYY Inc is also gradually building an ecosystem of social media platforms with video as the core, covering three major services: instant messaging, short video and live streaming.

As a "imo" with strong social attributes, it is an important part of the core driving force in the ecosystem, accelerating the expansion process of YY JOYY Inc era in the global market.

The building of overseas super APP

"imo" is undergoing an iterative process of upgrading from "messenger" to "FaceTime" and then to "Wechat".

This strategic shift means that the era of YY JOYY Inc gradually gives full play to the strong importance of video social attributes to the group.

According to media reports, "imo" was originally a video communication software created by a pair of brothers, one isAlphabet Inc-CL CThe top 10 employee, the other is inOracleWork, the two men created the project in 2007. At first, they created "imo" for people to use to send text messages. As users' needs changed, voice chat was later added, and a free video phone service was launched in 2013.

According to public information, in January 2018, the number of downloads of "imo" has exceeded 500 million, mainly Android users. In terms of geographical coverage, the company is mainly focused on the Middle East. And its realization is mainly a relatively basic advertising cash and paid advertising-free service.

At this time, "imo" is still a single communication tool.

And the reason why the YY JOYY Inc era wants to acquire "imo", "the forefront of entrepreneurship" believes that there are two considerations:

The first is that "imo" itself has accumulated more than 200 million overseas monthly active users, which saves a lot of time cost for overseas expansion in the era of YY JOYY Inc.

Second, the era of YY JOYY Inc, which does video content socialization, needs a localized social tool with video attributes that is mature overseas and can be used as a super output port for businesses such as live streaming and short videos.

In the last quarter's financial results, imo has begun to embed video moments, short-term video streams and other content.

Li Xueling also mentioned in this financial report:In the second quarter, we further enhanced the user stickiness of 'imo'' by introducing short video content to imo'. In addition, it continues to consolidate the core global ecosystem by strengthening artificial intelligence technology and building localization capacity. "

Based on this, at the business level, YY JOYY Inc era has formed a full range of video products and services covering instant messaging, short video and live streaming, becoming the world's leading social media platform.

In the future, "imo" will successively open more types of content and services, such as moments, groups, Mini Game, live streaming, etc., to enhance the social interaction between users, transform it from a single tool product into a powerful instant messaging platform, and build a super APP for overseas young people.

Coordinated development of overseas products, "imo" and multi-business feed each other

At present, short videos and live broadcasts in overseas markets are faced with two major problems: first, the homogenization of content is serious and the cost of user migration is too low, and the lack of high-quality content leads to the active decline of live streaming platforms; second, the highly competitive market environment makes it more difficult to maintain user activity.

Faced with such problems, the layout and development of overseas single products will be more difficult. However, the layout of the ecosystem with overseas products such as the era of YY JOYY Inc is different.His "instant messaging + short video + live broadcast + Mini Game social networking" and other multi-business combination capabilities, can build a very solid closed loop for its users.

Among them, with more than 210 million monthly active users, "imo" can further drive the close relationship between people by integrating the product and service functions of various businesses, and at the same time feed back various businesses and accelerate the development of each other.

The short video "likee" brings the increase of user conversion rate after the access to "imo", and the user stickiness of "imo" is also improved.

"HAGO" adds live chat rooms, karaoke and other social scenes, realizing the construction of a closed loop of business ecology, double growth of user income, and further improvement of user stickiness, with an average daily user use time of more than 60 minutes.

The financial report also mentioned that the products of the JOYY Inc era of YY have achieved great-leap-forward development of globalization through innovative products, deepening operation, and constantly improving user experience. According to the TOP20 list of overseas downloads and income of Q2 China short Video / Live APP released by SensorTower in 2019, there are 5 products in the era of APP, YY JOYY Inc:

Likee and BIGOLIVE ranked second and fifth respectively in the download list.

BIGOLIVE has long held the top spot in the revenue list, accounting for 49.6% of TOP20's total revenue.

In the APP bestseller list of the six Southeast Asian countries in the first half of 2019, BIGOLIVE ranked in the top three of the five countries, including Vietnam and Malaysia, and HAGO ranked first in Indonesia.

In the second quarter, the era of YY JOYY Inc achieved remarkable results by opening up the content and services of different products and deepening the collaborative development of products, and the link between "imo" and various products also began to show. It can be saidIn the era of YY JOYY Inc, the global video ecosystem was successfully built.

The Future Imagination of imo

In the overseas business of YY JOYY Inc era, "imo" plays a major role in "socializing".

The experience gained from successful social platforms in China is that the more viscous a user is, the greater the cost of user migration is. Or conversely, increasing the migration cost of users means, to a certain extent, enhancing the user loyalty of the platform.

Therefore, as the only overseas product under the YY JOYY Inc era that can achieve diversified social scenarios, "imo" should consider how users will retain it and how it will be realized in short videos and live streaming businesses.

The Frontier of Entrepreneurship believes that "imo" has the following imagination:

"imo+Likee" = overseas "Wechat + Douyin"?

As mentioned earlier, in the future, "imo" will gradually launch more types of content and services, such as moments, groups, Mini Game, LVB and so on. When it developed into a social platform used by overseas users, its imaginative value was almost no different from that of Wechat at home. In other words, its commercialization ability and its ability to carry commercial carriers will be further enlarged in overseas markets.

It may be almost invisible at home to channel each other between the largest social networking platforms and the largest short video platforms, but this phenomenon is possible in overseas markets in the global ecosystem of the era of YY JOYY Inc.

With regard to the value space of "imo", perhaps as Li Xueling said, "the large and diversified user base provides us with an excellent opportunity to realize in the future."

Just as the super APP potential of "imo" has just emerged, YY globalization is also in the early stages of revenue. After all, there are 80% of overseas users, and overseas revenue accounts for only 20%. There is more room for development in the future.

At present, the most important thing is to "stabilize" people, use diversified video content to circle these overseas users firmly in their own products, and then copy China's mature business model and profit methods in the form of localization.