Facing solid rivals such as the RED and TikTok, Bilibili has to enrich its content and accelerate commercialization.
Bilibili (Chinese: 哔哩哔哩, BILI:NASDAQ; 9626:HKEX) has completed consecutive organizational restructuring in the recent week, involving several core business departments and six business leaders. This restructuring is mainly to address the problems of low efficiency in commercialization and the lack of quality content.
In the past, Bilibili has given higher priority to user growth than revenue growth. This year, Bilibili will focus on exploring more content consumption scenarios, such as vertical screen short video and OTT Internet TV, and hope to improve the advertising loading rate.
Currently, the average age of Bilibili users is 22.8 years old, which is relatively low compared with other platforms. The proportion of female users who are considered to have more consumption power is 43%, which is also low compared to the balance of male users. To solve this problem, Bilibili needs to start from the supply side. However, one of the central contradictions of the firm is that users' demand for good content is increasing, but good content is not enough. The low efficiency of commercial realization of content also affects the uploaders' motivation to create good content.
The business leaders involved in this adjustment are all young executives who have grown up from the front line. According to a source close to the management of Bilibili, they are the people who understand the needs and culture of content and creators best. They will play a central role in Bilibili's main business breakthrough in the future.
At the end of 2021, the advertising industry continues its downward spiral, and competition remains fierce. This company's strong rivals include ByteDance, Quick worker (Chinese: 快手) and the RED.