(Yicai Global) Dec. 01 -- Vertical audio-sharing platform 7mtt has completed its Pre-A round of financing worth tens of millions of yuan, which Shenzhen Capital Group Co. led, followed by HUA Partners and Baili Capital, internet media 36kr.com reported.
The proceeds will go to improving the content of the platform, building an e-commerce business and an offline parent-child center.
7mtt has used the ‘Mommy tells stories’ format as its entry point and set up an audio-sharing platform based on user-generated content (UGC). It now has 6 million users, reports 400,000 daily activities and has a 50-percent second-day retention rate.
Ninety percent of 7mtt's content comes from mommy anchors in the form of recordings of mothers’ everyday stories to kids. The remaining 10 percent derives from publishers and other content providers.
In addition to tale-telling, the platform also offers English, Chinese, children's songs, and an encyclopedia, and parent-child companionship activities, as well as child-rearing methods for mothers.
Wang Qinghai, co-founder of 7mtt, revealed that there are already 200,000 registered anchors on the platform, generating about 50,000 items by users per day.
Most anchors on the platform are willing to provide content voluntarily and free of charge. For them, it is a great pleasure to record their stories for kids, and share their educational methods and philosophy, Wang said.
After having achieved a high user stickiness and clearer user profile (0-8 years’ old kids with their mothers, with 80 percent within the 1-6-year range), 7mtt App put its mall section online this month and has begun to pilot the e-sales of its content.
7mtt’s business plan is to centralize the productivity of the head anchors to produce mother-baby content (audio + content) corresponding to physical products to guide consumption.
7mtt also engages in the mother and baby product business, including children's toys, and it has paired with well-known brands such as Shenzhen PurCotton Technology Co. and US firms Little Tikes Co., Infantino Inc. and Alilo in content marketing and revenue-sharing revenue with e-commerce channels and others.
The income from online content sales will soon account for 80 percent of the company’s total revenue, while the remaining portion will come mainly from other sources, such as advertising, Wang predicted.
7mtt also intends to establish an offline parent-child center and provide one-stop services, including early education, family leisure and entertainment.
Its offline shops are set to open first in China’s southern cities of Wuhan, Shenzhen, Shanghai and others in next year’s first half, the company said.