Rebirth in a Perfect Era Chapter 1406: Global layout of paid music
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Li Mu attaches great importance to the related matters of joint headphones, so Muye Technology contacted two German companies such as Sennheiser and Beyerdynamic on the same day, vaguely revealing that Muye Science and Technology intends to customize more than one million pairs from their companies. The intention of high-end headsets, these two companies have responded to Muye Science and Technology in the shortest time, showing their admiration for Muye Science and Technology, a great internet company, and the expectation of cooperation with Muye Science and Technology.
So, Fang Xudong temporarily transferred four directional R & D personnel from the hardware laboratory, and together with Muye Science and Technology's Business team, was ready to set off for Germany.
Before the team set off, Li Mu held a small meeting with them. On the one hand, I wish them a smooth journey and complete the task successfully. On the other hand, they also reiterated the core goal of this custom headset program.
It is the first time in the world of various electronic products with music as the main body to customize the joint headphones.
Li Mu hopes to enhance the sound quality of Mango-ME2 through the joint cooperation with major earphone manufacturers, and its cost-effectiveness in the eyes of consumers, and through the joint cooperation with high-quality earphone manufacturers, high-quality customized earphones can also be pulled apart The core gap between Mango-ME2 and competing products, because customized headphones are not sold separately, so if consumers are interested in this unique headset, the only channel is to buy a Mango-ME2, or from Mango-ME2 Users buy it.
However, Li Mu is not going to match all Mango-ME2 with such a custom headset. He is going to divide each model of Mango-ME2 into two versions, one is the normal version and the other is the luxury version. The ordinary version is paired with Mango-ME's original ordinary headphones, while the deluxe version is paired with future custom-made headphones.
The main reason for the distinction is that the increase in cost indicates that the terminal price will also increase, and in many developing countries and regions, including China, consumers have generally insufficient purchasing power, so Mango has added an additional custom headset -ME2 is likely to increase the burden on ordinary consumers, so they have to give them a cheaper option.
At present, domestic music lovers rarely buy high-end players and headphones. For most consumers who use MP3 to listen to songs, most of them are using earphones with a price of less than 50 yuan. Earphones used by many people do not exceed 20 yuan. Similarly, the price of expensive iPods is also very common in China. Most consumers who like music do not even want to spend hundreds of Yuan to buy an MP3, thousands or even thousands. Yuan iPod, in Mainland, is only the choice of a very few high-end players.
However, in Western developed countries, the sales of iPods, such as high-end players, are still very amazing. The price of a few hundred USD is not a large sum for music lovers in developed countries. The huge storage space, excellent sound quality and high-end compulsion are very attractive to consumers who can afford it.
However, even for the AppleiPod, its hardware cost is mainly concentrated on the body itself, and the quality of the matching headphones is relatively ordinary. The sound quality is not outstanding, which is at least a hundred yuan worth of headphones.
The Mango-ME2 with co-branded custom earphones has been added. The main goal is to compete with it in the iPod ’s target market. At that time, the co-branded earphones will become an important part of Mango-ME2 ’s sound quality over iPod. And Apple needs a long time window to catch up.
If Apple then finds that Mango-ME2, which uses custom headphones jointly with well-known manufacturers, leads the iPod a lot in sound quality, Apple has only two ways to deal with it, either reduce the price or catch up, Li Mu is not afraid of its price reduction, if Apple dared to reduce the price of iPod to zero profit or even very low profit, then Apple strangled its own money, so the only effective way to deal with Apple is to catch up with this one.
However, it is not so easy to catch up with the hardware. The first thing that Li Mu can be sure is that Apple does not own a headphone production line. If you want to upgrade the Apple headphones, then all it can do is to entrust the company that makes headphones OEM (original equipment manufacturer) supplier for them to Apple Upgrading the headset is not something that can be completed in a few days. Even if it is a hasty launch, it may take at least a few weeks.
Moreover, upgrading the headphones means that the overall cost increases for Apple. If Apple transfers this additional cost to consumers, the price disadvantage of iPod will increase, and if Apple Carrying this part of your own costs will have a huge impact on its profit margins.
It is still the same sentence. At this stage, Li Mu can lose money to buy and sell players, but at this stage, Apple cannot. This is its dead spot!
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The small team headed to Germany set off. Li Mu has to make final preparations for the launch of YYtunes. The most important thing is to confirm the payment process and payment channel of YYtunes.
In countries and regions with great copyright protection overseas, the popularity of paying for music is very high, but the traditional way of paying is to buy genuine physical albums, whether it is tapes or CDs, MDs, itunes of Apple just this year. Starting to try online music payment is now a small and effective one, but after all, it has just started and is not yet mature, so YYtunes has a great chance to catch up.
Because Muye Science and Technology is extremely well-known in the world, and the number of users is the first in the field of internet, YYtunes is very attractive to record companies, so Muye Science and Technology is much more attractive to record companies than just starting to do online music. Apple of the store, when Muye Science and Technology contacted these record companies, hoping to get their authorization to sell online music, and profit sharing with them, almost no record company refused to cooperate. Compared with Apple, some record companies still have It is in the stage of hesitation and wait-and-see, so YYtunes hasn't gone online yet, its copyright library has already surpassed the Apple just started.
At the moment, YYtunes has obtained the copyright authorization of the vast majority of record companies in the world, and has fully digitized these music. At the same time, according to the requirements of Li Mu's, technicians have stored three different versions in YYtunes ’own database. , The three versions are divided based on sound quality, namely: standard, higher, and extremely high.
There are two ways to sell music by YYtunes: download(ing) purchase, monthly purchase.
In YYtunes, the download(ing) of singles and albums need to be purchased separately, and for online auditions, you only need to pay a fixed monthly fee, and online auditions do not need to pay for individual songs, only By paying a certain amount every month, you can become a member of YYtunes and listen to any song in the music library online for free.
Like iTunes, YYtunes also adopted a 3: 7 ratio of profit sharing with record companies. For example, a song ’s download(ing) is priced at 0.99USD, each song is paid for download(ing), and the record company will take away 0.69 USD will give most of the profits to the record companies, in order to bring more digital copyright income to the record companies, thereby enhancing the overall scale of the music industry.
The monthly sub-accounting is based on the "play count sub-accounting" logic designed by Li Mu. For example, the monthly fee for YYtunes is 9.9USD. In June this year, there are 10 million user monthly subscriptions. In June, a monthly revenue of 99 million USD was generated According to the distribution ratio of 3: 7, the total amount to be distributed to the record company is 69.3 million USD, and in early July, the platform will account for the number of monthly broadcasts in June. For example, the entire platform has 10 million Monthly subscription users, in the past 6 months, have produced a total of one billion plays, then use the 69.3 million USD allocated to the record company, divided by one billion times, to calculate the revenue share that the single play should give the record company.
According to this calculation, the monthly subscription for a single user is 0.069USD. If a record company has authorized 20,000 songs in total, and the 20,000 songs were played 2 million times in June, then the company will be in June. Earned a share of 138600USD. If a single hit by a popular singer played a total of 10 million times in June, then the share of this single within a month would reach 690,000 USD.
The settlement logic of the "play count" has been recognized by all record companies. They were originally worried that the monthly income distribution will be uneven and unfair, but based on this settlement logic, they are completely Don't worry anymore.
Li Mu does all this, not only to sniff Apple, but also to support the development of the music industry, which stems from his absolute respect for creation and intellectual property.
In order to enhance the promotion of the music industry, Li Mu also specifically opened the path for independent musicians to apply to settle in YYtunes. If an independent musician wants to sell his music through YYtunes, he can apply for a musician account in the background, and Upload your own music content, and after review, his songs will be listed in YYtunes. Independent musicians can increase their income by selling music on YYtunes.
The life of most original singers is very embarrassing, not only Mainland, but also all over the world. For an original singer who has no company packaging and no financial support, if he wants to record an original song, he must first complete the songwriting , And then try to compose by yourself, or pay someone to hire to compose. After to compose is completed, you will also need to hire professional musicians to record accompaniment for yourself, such as guitar, bass, drums, keyboard and other instrumental music, harmony, musicians make up After Qi, an additional amount was paid for renting the recording studio. After recording and post-processing in the recording studio, it was made into a record. Many original singers recorded a song and went bankrupt, let alone record an entire album.
For such musicians, what they need most is a channel to monetize with music. Otherwise, when their creation is not rewarded, it will be difficult for them to continue to stick to their own music path. Say goodbye to music, and the songs he could have created are still dead. No one knows. A guy who sits in front of a computer and writes code, or a guy who brushes dishes in a restaurant, if he goes on the music road, he can bring to the masses. How much good music comes.
However, for these people, the traditional form of music realization is too difficult. He can only achieve it by signing a contract with the record company. Now, they can realize the rapid realization through YYtunes. Moreover, YYtunes will rely on YY in the future. 'S powerful traffic will surely become an opportunity platform for original musicians from grassroots to popular.
However, in the first phase of the launch of YYtunes, these charging methods are only implemented in countries and regions where the economy is developed or copyright protection passes. This is mainly in Western developed countries and Japan & South Korea.
So, the current payment channel adopted by YYtunes is based on PayPal settled by USD, followed by VISA and Master-Card credit card electronic payment channels. although Alipay is also connected to YYtunes, but Li Mu estimates Alipay is basically not How many users will use it, mainly because he knows clearly that it is impossible to expect China netizens to pay for online music at this stage.
In China, YYtunes is launched under the name "YY Music", and the first stage of launch is completely free.
The reason why it is completely free is because Li Mu knows that if YY Music charges forcibly in China, it will basically have one ending: die, and die quickly.
The protection of intellectual property rights in China is far from being able to eliminate piracy. Even the crackdown on piracy is only a tickling stage. More importantly, domestic users are deeply entrenched in the concept that online music should be free at this stage. , There is no soil for fees.
On this point, Li Mu himself is very helpless, but there is no effective way, so it can only be free first, let users accept free genuine music, wait for the future market and legal conditions allow, and then promote paid music .
In order to make record companies willing to provide free online audition and download(ing) to China users in the China region, Li Mu has specially added several advertising sections in YY Music. In the future, these advertisements will all be used to target medium and large-sized and have enough society. Credit companies make paid advertisements, and all advertising revenue will be used to subsidize record companies. At that time, a dual model of "broadcasting and download(ing) frequency sharing" will be used to distribute the advertising costs to major record companies fairly and fairly.
Advertising revenue is naturally much lower than paid revenue, and these record companies know clearly that in this way, they do n’t get much money, at least the revenue scale lacks imagination, but if you look at the problem in another dimension, everything It was suddenly bright.
After all, no record company in the world can earn digital copyright income in China, especially in China Mainland. The revenue of music products is also pitiful due to the strong impact of piracy, so if you do not agree to the Li Mu's cooperation plan, their The music will still be audited on the China network, download(ing), and no one will give them a dime, at least Li Mu will also be used to subsidize all of their advertising income, who will not be able to live with the money?
At this stage, Apple ’s iTunes has only launched a music payment service in the United States. They are now at the stage of crossing the river by touching the stones. According to the historical development track, they will expand this business to the United Kingdom next year. It gradually expanded to more countries, but for Muye Science and Technology, supported by globalized products such as YY, and global data processing centers that have been built, YYtunes can be in North America in the first stage of launch , Western Europe, Australia and Japan & South Korea started the payment business synchronously. This speed is absolutely instant kill for the current Apple.