(Yicai Global) Dec. 12 -- Yang Tinghao, chief executive of Internet audio provider Qingting.FM, a division of Shanghai Microphone Culture Media Co., told Yicai Global the use of big data helps Qingting.FM benefit from the first wave of dividends.
Yang said that, via the use of Big Data, it can recommend the content of greatest interest to users. Since the second quarter of 2016, the company has started comprehensive personalized recommendations. Thereafter, user listening time rose by 20 percent and product loyalty also greatly improved.
Content producers can also view user data feedback on Qingting.FM to improve production efficiency. “Every community thread tells our hosts how many people are there, what content users are listening to, and what key words they are searching. This data helps explore the right groups more effectively and provide specific content in communities,” Yang said.
Qingting.FM also assists advertisers in crafting precise advertisements through the application of Big Data. Yang noted that “Most users are not averse to ads, but what they dislike are those with no related value.”
Although Qingting.FM current share of for-charge audio content is relatively small, its revenue reached CNY100 million (USD14.5 million) in 2015. “Total revenue more than doubled in 2016, and will continue up in 2017,” he said
In Yang’s view, the second wave of dividends for the Internet audio businesses will come from vehicle-borne systems. With more new drivers, traditional radio is well developed and the only traditional media to witness no declining revenues. However, internet radio will ultimately displace it.
Yang thinks the third wave of dividends for audio content will spring from the home. “With the online trend of home audio, as the main output and input method sound will bring usher in a larger third wave of dividends,” he said.