2WPS Why refuse advertising ？

source ：AI Blue Medium sink （ID:lanmeih001） author ： Yi Qi

“ Can't think of WPS The first hot search is like this .”

7 month 11 morning , Zhang Qingyuan wrote on Weibo . Away from this Jinshan Office CEO Last time I posted Weibo , At least half a year has passed .

In the first week of July, Xue Gao was “ Grill on the fire ”, In the second week, I changed to Jinshan Office —— around WPS The controversy began with a screenshot reproduced by a blogger , Netizens said their local documents were WPS Locked for content violation and cannot be opened , Bloggers questioned that the audit method is suspected of violating privacy . The topic was quickly misrepresented as “#WPS Delete user files ”, Netizens from all walks of life rose to attack , Questioning privacy is also mixed with some “ Membership is unreasonable ”、“ Many advertisements ”.

On the afternoon of the , The market value of this company exceeds 800 The Internet company of billion yuan issued an announcement , Refute the rumor and clarify the whole story 、 The principle of Jinshan Office . The announcement is very clear , But failed to quell the doubts of public opinion . until 13 Japan , Jinshan office releases messages through wechat background reply and Weibo , call “ It will be next year （2023） Completely close the advertising business before the end of the year ”, Then I went to the hot search for the second time , Just fell from the top two days ago .

By 2022 year 3 month 31 Japan , The number of monthly active equipment of Jinshan office's main products is 5.72 Billion , That's up from a year ago 14.86%. among WPS Office PC Monthly number of active devices in version 2.32 Billion , That's up from a year ago 17.17%; Monthly number of mobile active devices 3.36 Billion , That's up from a year ago 14.29%.

WPS The biggest advantage is G End —— Thanks to its domestic software identity and related policies , According to relevant institutions 2018 The statistics of , In state-owned office institutions WPS Its market share has reached 90% , at that time 96 There are 82 Home is the client of Jinshan Office .

According to the third party statistics , China 4 More than 100 million office computers WPS It has occupied about 40% Market share .

2021 The fiscal year , Enterprise oriented 、 The subscription and authorization services of the institution are WPS brought 4.46 Billion 、9.62 Billions of revenue , Institutional subscriptions increased year-on-year 23.4%, The increase of institutional authorization has reached 107.1%. But in the first quarter of this year , The authorized revenue of institutions has increased year-on-year 10.84% Decline , from 2021 First quarter 2.60 Billion drop into 2.32 Billion .

Online office dividends brought by the epidemic , If only by approximating “ One hammer business ” Agency authorization business , It is difficult to maintain a high growth rate , Subscription based services around members are undoubtedly more imaginative .WPS If you want to maintain “ Long term doctrine ”, The top priority is to stabilize users .

With no threshold “ free ” and “ compatible ”,WPS Squeezed into the mobile Internet , Grab a seat from subscription Microsoft . According to Zhang Qingyuan's memory , stay WPS The period when advertising promotion was the core profit channel , The peak proportion once reached more than half of the total revenue .

The negative effect of simple and rough insertion of pop-up window , Intuitively reflected in the poor comments of some users . Accept 《 A bit late LatePost》 In an interview , Zhang Qingyuan said that in the past period ,WPS The most scolded is advertising .

This Jinshan CEO To be frank , Insert advertisements to survive ——2011 Around the year , Users have no habit of paying for office software , Using hooligans in household registration to promote is forced by life . With the rise of mobile payment and the improvement of the overall income level of society , Users have gradually accepted the mechanism of paying members , Jinshan thinks this is a window , A window for change .

In terms of financial statements , since 2019 At the beginning of listing in , The proportion of Jinshan office advertising revenue in total revenue has declined steadily , It is the only project in all main businesses with a decreasing proportion year by year .2019 year WPS Annual revenue 15.79 One hundred million yuan , The advertising revenue is 4.04 Billion , Accounting for the total revenue 25.58%.20、21 year WPS Advertising revenue is respectively 3.49 Eva 4.05 One hundred million yuan , The proportion in revenue fell to 15.44%、12.36%. The first quarter of this year 8.68 Of the total revenue of 100 million yuan , Advertising revenue only accounts for 7.5%.

Although it accounts for the smallest proportion in the main business , No significant increase , But from the numerical point of view, advertising promotion business is right WPS Generally speaking, it is still a stable income , The determination to turn the page of advertising may come from the more considerable growth of other main businesses —— Online office has changed from choice to rigid demand , The dividend in the post epidemic era allows the subscription system to have enough revenue growth to make up for the gap caused by cutting advertising .

2020 The fiscal year , Revenue from subscription services of Jinshan Office 11.08 One hundred million yuan , Proportion in total revenue 49.04%, Year-on-year growth 63.18%. And in the 2021 In the annual report , Jinshan subdivides subscription services into personal subscriptions and institutional subscriptions , The former recorded 14.65 Billion yuan turnover , Year-on-year growth 44.20%, Accounting for the total revenue 44.67%; The latter revenue 4.46 One hundred million yuan , Year-on-year growth 23.40%, Proportion 13.61%.

2022 First quarter of 2009 , The proportion of personal subscription to revenue is 49.06%（4.26 One hundred million yuan , Year-on-year growth 36.72%）, Proportion of institutional subscriptions 16.68%（1.45 Billion , Year-on-year growth 78.72%）.

Post epidemic Era WPS Each sub item of subscription service has maintained a considerable growth , And further expand the proportion of subscription revenue in total revenue . Maintaining the subscription system requires stable user retention and growth , The bad comments of many netizens on advertisements will undoubtedly damage the user experience ,WPS Choose after weighing “ Give up the car, bodyguard ”, Guan Xuan is also pushing the boat with the flow at the node where netizens have a high degree of discussion .

From the domestic market , Kingsoft office has been able to compete with Microsoft, its old rival on the other side of the ocean in terms of market share . It's just that many users are right WPS And other products experience is also quite critical , This is also the focus of Jinshan in the next stage , Replying to netizens 、 In an interview CEO Zhang Qingyuan mentioned more microscopic details such as Caton and user sentiment .

From the perspective of business model , Convert to subscription services WPSOffice Will be more directly benchmarked Microsoft Office. Both are subscription systems ,WPS Victory lies in more “ localization ”： For the average user ,WPS The basic functions of can be tried for free , In line with the habits of the domestic market , The threshold is much lower than that except pre installed at the time of purchase , In other cases, you need to pay in advance and the price is high MicrosoftOffice; Subscription membership for deep users , It is also basically in line with the current mainstream value-added service model of mobile Internet .

We don't know whether Jinshan is willing to be regarded as Chinese Microsoft , but WPS Within the framework of subscription system, it has made a distinction with Microsoft , Gradually become more “ The Chinese characteristic ” Of Office. Turn over the advertisement ,WPS It's done with determination , And Jinshan's ambition is far more than what Zhang Qingyuan mentioned “ The domestic market 40%”.