Chapter 466 Status Quo of the Short Video Industry
[Ni Ni]: Okay, no problem! Then I am the first star to join Douyin’s short video, right? Don’t forget me when you become famous in the future (naughty).
Zhou Dongsheng originally just wanted to trick him, but he didn't expect Ni Ni to agree very readily.
[Zhou Dongsheng]: You agreed so easily? Why don’t you ask the company?
[Ni Ni]: My company is not stupid, it’s settled, I still have to catch up on the announcement, let’s talk next time!
After saying that, he sent a cute emoticon and then ran away. Zhou Dongsheng thought about it for a while and finally came to his senses.
A Golden Second Award is enough to push Douyin short video platform to the forefront, not to mention the support of Ding Sanshi, a pig factory boss. No matter how you look at it, Douyin short video is a potential stock with full potential.
As a celebrity who relies on traffic and exposure, being able to cooperate with such a platform is naturally a win-win situation for both parties. Even the company behind Ni Ni has no reason to refuse.
Even if you don’t need money, it doesn’t matter. After all, it’s just a so-called settlement. It’s a replacement of resources. It’s not about becoming a celebrity spokesperson for the platform. That’s another matter.
What's more, after receiving Zhou Dongsheng's invitation, Ni Ni had no reason to refuse, or was this her original purpose?
Zhou Dongsheng thought about it for a while and couldn't help but find it interesting. Then he didn't think much about it. Instead, he opened Principal Wang's WeChat and started typing to accuse him.
[Zhou Dongsheng]: Good guy, you are putting your brother on the fire and adding fuel to the fire.
Principal Wang over there was obviously in the mood for something, and he immediately replied as soon as he saw Zhou Dongsheng's message.
[Principal Wang]: It’s not that I didn’t, don’t talk nonsense, I just made a casual comment, and I didn’t expect to be caught out by netizens.
Faced with Principal Wang's categorical denial, Zhou Dongsheng couldn't help but laugh and shook his head. He was a little uncomfortable with suddenly receiving too much attention.
But... anyway, he is not afraid of shadows. No matter how outrageous his resume is, no fault can be found under the magnifying glass of public opinion. After all, he is also an excellent citizen who pays taxes legally.
What's more, the most outrageous things are not on the resume. If they were exposed by themselves, I wonder if countless jaws and glasses would drop?
Thinking of this, Zhou Dongsheng couldn't help but feel full of bad taste, and felt that this matter had great potential, and he could even regard it as a traffic killer in his own hands.
Maybe if used at the right time, it can produce unexpected effects?
While Zhou Dongsheng was making jokes and chatting, the tug-of-war between Yang Luyu and the head of the pig factory investment department had come to an end.
Referring to the leaders in the domestic short video field, whether it is Kuaishou or Meipai and other leading short video platforms, the current valuation has already reached the bottom of one billion US dollars.
After all, both Kuaishou and Meipai have hundreds of millions of users in the domestic market, with Kuaishou’s user growth rate being the fastest.
According to incomplete statistics, the number of Kuaishou users has exceeded 200 million and is heading towards the 300 million mark, accounting for half of the entire mobile Internet users.
In the field of domestic short videos, it is unparalleled and unmatched. It is conservatively estimated that the next round of financing will start with US$2 billion.
As a rising star, Douyin has accumulated tens of millions of users in just a few months, although it is less than one-tenth of the number of Kuaishou users, or even only about one-twentieth.
But compared to Kuaishou, which has been developing for 4 or 5 years, the potential of this rising star cannot be underestimated.
What's more, Wenxue Network also has overseas markets that it is proud of. This unique advantage also plays a huge role in the valuation process.
In the A round of financing, Dongsheng Investment gave a valuation of US$50 million and acquired 30% of the equity with tens of millions of US dollars and resource replacement.
As for Zhou Dongsheng's strategic investor title and 5% personal equity, naturally they are not included in this category.
Times have changed. In the past half a year, with the resource replacement conditions promised by Zhou Dongsheng fulfilled one by one, Wenxue Network has experienced a wave of rapid development, which can be seen from the fact that it has doubled several times at all levels.
After comprehensive consideration, the person in charge of Pig Factory Investment finally gave a relatively conservative valuation range of US$300 million, and acquired 10% of the equity at this price, while promising corresponding resource tilt conditions.
This price is in line with Yang Luyu's expectations. Not only can he get a large amount of cash for development, but most importantly, he can get the backing and resource channels of the pig factory.
At the same time, as the founder, he still holds more than 50% of the company's equity. Coupled with the AB equity structure, double insurance firmly controls Wenxue Network.
Moreover, based on this valuation, Yang Luyu has successfully joined the ranks of billionaires. Even if you look at the world, he is also a group of wealthy people at the upper level of the pyramid.
And he is only 34 years old now. He is in his prime and can definitely be regarded as an elite in the business world.
Zhou Dongsheng naturally had no objection to this. Although the investment had already doubled the income several times, for Zhou Dongsheng who had a long-term vision, the income at this time was indeed insignificant.
After all, he is not in a hurry to cash out, and it is even less possible for him to profit and exit in advance.
The most important thing is to ensure that Wenxue Network can survive in the short video field. As long as it persists long enough, Wenxue Network will definitely not end up being packaged and acquired by Toutiao for US$1 billion.
The pig factory is naturally a reliable insurance.
After reaching the initial financing intention, Zhou Dongsheng also informed Lu Sifang of the news and asked him to follow up simultaneously.
And Zhou Dongsheng has proven his worth with his previous actions, whether it is hosting the Golden Second Award, holding high-quality creators on many platforms such as [Papi Jiang] and [Muziqi] [PDD]...
Therefore, in this round of financing, both parties also agreed that Zhou Dongsheng's shares would not be diluted. As for the angel investors, Zhou Dongsheng did not need to worry.
When I saw off the people from the pig factory, night had fallen unknowingly, and the first day of the New Year passed just like that. Looking back at 2015, it seems like it was just yesterday...
"This New Year's Day, Mr. Zhou must have already made an appointment, right?" Yang Luyu was in a good mood and joked with a smile. After this matter is settled, the development of Wenxue Network in a short period of time will not be a problem.
Next, it is enough to just focus on improving your competitiveness to deal with competitors.
"If Mr. Yang wants to invite me to dinner, I don't have to make an appointment." Zhou Dongsheng said with a smile. In fact, this is also the case. The Golden Second Award is over and Li Jiajia has set off to return to Miancheng today.
She also sent a message to Zhou Dongsheng, asking him to wait for good news. The first issue of her Four Treasures of the Study video series is already being completed and will be released soon.
He also vowed: "I will definitely win this honor as the best creator of the year."
For such a positive Li Jiajia, Zhou Dongsheng naturally gave full recognition and encouragement.
"Hey, isn't this an outsider? You can choose any restaurant in Magic City. Even if you are bleeding heavily today, I have to treat you to this meal." Yang Luyu put his arm on Zhou Dongsheng's shoulder and said energetically.