On the morning of the 14th, Taurus and Renren agreed to buy Renren's social platform for $60 million, Renren took a $40 million stake and affiliated company Thousand Oak Netscape received $20 million in cash. Renren, once the campus SNS product of a generation of young people, is also seen as
Renren's predecessor was the school network, which was founded by Wang Xing in 2005. The next year, Qianxiang Interactive, founded by Chen Yizhou, bought Intranet for $2 million and later renamed Renren.com. The early users of intranet are college students, providing instant messaging, log, photo album and other functions. The products are similar to Facebook, which once covered more than 80% of college students in China. After Chen Yizhou bought the intranet, he promoted high school students and white-collar workers to become user groups and gradually jumped out of the campus boundary. In October 2009, Renren announced that the number of registered users exceeded 100 million, while the total number of Chinese netizens in that year was only 380 million. It can be said that Renren is the largest social networking platform in the year.
There is a view that the decline of Renren network stems from the continuous expansion of user groups. I think this is based on the results to find the reasons, not convincing. With the increase of users'age and the realization of intergenerational replacement, it is right to expand the target users, but Renren has not done a good job.
The root cause of Renren's frustration is the lag in the mobile Internet era. After Renren's listing, Chen Yizhou divided the team into two parts: PC master station and wireless network. The two teams are fighting each other, with different product and technology directors, which is actually the beginning of Renren's wireless transformation. However, its wireless strategy is not a client, but a web side. It's a terrible experience for users to log on to Renren in mobile browser, which may have the limitations of the industry at that time. Making a mobile application has not become the industry's common sense. But also in this year, micro-blog has become the hottest product, WeChat has also begun to rise. Social products in the mobile Internet era began to take shape. Renren was at a loss about this change. It was not until 2014 that Renren really started to be a mobile terminal.
It should be said that Renren has caught up with the demographic dividend of the first Internet. It is a social product after taking over blogs and forums. Compared with Weibo, Renren also has a great advantage of being a pioneer. But they did not realize the importance of mobile clients, nor did they consciously divert to mobile terminals, and missed an important strategic opportunity period.
Although Renren is seeking to expand its user base, the community's content and atmosphere, in fact, are still campus styles that do not meet the needs of users of all ages. Many users rarely go to Renren after graduation, and occasionally return to search for some youth memories. Renren has just changed its name and released a
Renren listed on the New York Stock Exchange in May 2011, even before Facebook. From the prospectus, we can see that Renren mainly relies on
Looking back on the history, it is not difficult to find that Renren has become a bit impetuous after listing, basically what is the fire and what is actually not the fire. From game, finance to live broadcast, block chain, Renren tried to follow suit, but all ended in failure.
In April 2008, the social networking site Kaixin launched
Games and social platforms are two wings for users to use and realize profits. Human Game is an important department responsible for game development and operation under Thousand Oak Interactive. It was established in 2006. Its early work called "Journey of the Cat" and Renren became a popular web game with the help of Cat and Renren. According to media reports, Thousand Oaks at that time
According to the results of the first quarter of 2012, Renren's gaming revenue is almost twice that of Renren's advertising revenue in the same quarter. Everyone game will page tour and hand travel in the background to open up, in order to improve game revenue. By the end of 2012, because of the brush list was found, all kinds of games were App Store offline. The impact of this Off-Shelf event is great. Old page games have gradually ended their life cycle, and new game research and development needs huge capital investment.
In this dilemma, thousand oak did not attempt to reorganize games and social relations. In April 2013, everyone game was split from Renren net and ready for independent listing. At this time, Renren's market capitalization was only 1 billion 250 million dollars, which greatly accelerated the decline of Renren. At the same time, Renren Game did not come on the market, and no influential product was released in the next few years. By the first quarter of 2015, Renren Game had a net revenue of only $5.5 million, leaving the mainstream game market.
In 2014, Chen Yizhou announced that business resources such as games, group buying and online video will be transferred to emerging areas such as Internet finance to give full play to the power of college students'users. Everyone is divided into stages and everyone finances. But there is a serious problem in Renren's social core. Renren's monthly life in 2014 was 44 million, down 10 million from 6 in the same period in 2013. In a situation of continuous loss of users and lack of support from e-commerce platform, pushing Internet finance is almost squeezing the final value of users.
Renren lost a net loss of $220 million in 2015, 5.3 times revenue. Soon Renren started chasing another Internet tuyere.
In the second quarter of 2016, live broadcasting was officially launched. Based on Renren's original social relations, live broadcast made Chen Yizhou see hope. In order to enhance the influence of live broadcasting, Chen Yizhou announced that he would take out 3 million people's shares to reward excellent anchors. Under the impetus of high investment and live broadcast, the live broadcast of everyone will soon be realized. In the fourth quarter of 2016, Renren's Internet value-added service revenue was 14.5 million US dollars, an increase of 34% over the same period last year, mainly due to the increase in live revenue.
But Renren's crazily pushes the live broadcast, and the atmosphere of student social interaction is destroyed. Many users sent a call to return to the old version. Chen Yizhou said they were planning to separate live broadcast from SNS. Now open Renren's PC homepage, it will still jump directly to live page, but with the cooling of live broadcasting, the number of host visitors is very limited. According to Analysys data, the number of live monthly live 1 million 100 thousand was broadcast at the beginning of last year, and it plummeted to 180 thousand in January.
Earlier this year, Renren released a white paper that officially announced its move into the block chain.
The decline of Renren is fundamentally a human problem. Objectively speaking, Chen Yizhou should have some strategic vision and determination to make money. Renren has not done a good job in the core of social products and lost the mobile internet. The focus of business has been changing. If this matter is replaced by someone else, it may not be the way it is today.
But Chen Yi Zhou is not Zhang Xiaolong and Zhang Yiming after all, also is not Weibo Wang Gao Fei. In an interview with the media today, Chen Yizhou said,