AARRR model, analyzing NetEase Wugou Reading!

1. Product Background

1. Product Introduction

NetEase Wugu Reading is a new reading product launched by NetEase. This reading app allows one hour of free reading every day. It uses the "time as payment" dimension and focuses on in-depth reading of high-quality published books. Saving...

2. Product positioning

Scenario 1:

User: Reader

Need: Increase your influence

Scenario: Post a personal comment to encourage others to read it

Scenario 2:

User: Casual reader

Requirements: I like to read to kill time

Scenario: I like to read a book at random.

Scenario 3:

User: Workplace Reader

Requirement: Read books to improve knowledge

Scenario: I have an hour free in the evening and want to improve myself

3. The core business logic of the product

4. Product functional architecture

5. Product Events

In March 2017, NetEase Reading App "NetEase Snail Reading" was launched to try out the "buy reading time" payment model.

In April 2017, NetEase's new in-depth reading app "NetEase Snail Reading" officially landed on the App Store today

In April 2017, NetEase Cloud Reading launched the "Yi Qi Du" good book drifting. As the earliest platform in the industry to promote national reading, this subway reading drifting has clearer reading scenes and public welfare participation.

In June 2017, NetEase's Wugou Reading swept all major app market awards.

In August 2017, NetEase Woniu Reading teamed up with the Beijing and Hangzhou subways to launch a new trend of urban reading.

The "Ideal Living Space" Experience Hall was established in September 2017. This is a collaboration between NetEase Wugu Reading and Hangzhou-Hong Kong Metro, combining the subway commuting reading scene and installing it in the subway.

In November 2017, NetEase Snail Reading Dream Library was established in Pingxiang, Jiangxi, bringing a sunny book bar to children.

In November 2017, we joined hands with Wu Xiaobo Channel and Snail Reading to open a lonely library

In December 2017, "Shell of the Spirit" is a new original cultural in-depth video column launched by NetEase Wugu Reading.

In December 2017, NetEase Wugu Reading was selected as one of the App Store’s 2017 Best Apps of the Year, and “paying for knowledge” became the trend of the year.

In March 2018, NetEase Wuniu Reading will set up a special fund to support readers on its first anniversary.

2. Product Growth Analysis

1. Product growth curve

Since the launch of NetEase Wugu Reading in 2017, it has been deeply engaged in the field of reading. It can be said that it is a breath of fresh air in book reading. As shown in the figure, since March 17, 2017, the number of users of NetEase Wugu Reading has gradually increased. It can be seen from the figure that the exploration period of the product is very short, and it has reached the mark of one million users. It has now entered the growth stage. This proves that its "pay by reading time" model and the product positioning of "reading leader" PGC output are highly recognized by users, and it has fought a beautiful differentiation battle in the reading app market.

It started to grow rapidly in May 2017. The reason should be that NetEase Wugu Reading optimized the reading leader and reading leader functions, moved the reading leader to the homepage, and led a wave of rapid user growth through the reading leader. Especially after 2018, the product strategy at this time is very clear, which is growth, growth, and growth.

In terms of operations , NetEase Wugu Reading has also done a lot of work and carried out a series of online and offline activities to attract new users.

2. Product App Store ranking

Judging from the ratings on the app store, the ratings have been very stable from March 2017 to the present, which is quite good for a product that has just entered the market. However, it is worth noting that after August 2018, the score of NetEase Wugu Reading began to decline, which may be related to the influx of users.

3. Product growth stage analysis

Based on the analysis of the app store rankings, we learned about Himalaya's operating nodes. Therefore, combined with the product growth curve analysis, we found that there are 3 obvious periods in the product growth curve.

From March to May 2017, the product was in the exploration phase. This period can be said to be the product looking for PMF status.

From May to June 2017, the number of users of the product showed an upward trend.

From June 2017 to September 2018, the product grew rapidly

Exploration period

It can be seen from the figure that the exploration period of the product is very short, proving that its "pay by reading time" model and the product positioning of "reading leader" PGC output are highly recognized by users, and it has fought a beautiful differentiation battle in the reading app market.

Initial growth

The PGC produced by leading readers has led to a rapid growth in users. Users can read books smoothly, post comments conveniently, study academics with experts, and the reader experience has been greatly optimized.

Rapid growth

NetEase Wugu Reading has also done a lot of work, such as organizing, hosting, and participating in offline reading-related activities.

4. Product life cycle analysis

Exploration period:

1. From March to May 2017, three versions of the product were launched. During this stage, most of the users were early adopters of the Internet and accumulated users of NetEase Wugou Reading.

2. NetEase’s good reputation laid the foundation for the NetEase Snail brand. Part of the reason for NetEase’s subsequent growth was that he was born in NetEase.

3. At this stage, NetEase Wugu Reading is verifying the feasibility of its own paid reading model

Initial growth:

At this stage, NetEase has a preliminary growth trend. However, at this stage, NetEase Wugou tried more operational activities but did not achieve good growth. This may be because this market is a red ocean market. In this market, QQ Reading and WeChat Reading occupy the majority of the market and can basically meet the reading needs of users. Users have already formed a habit. If NetEase Wugou Reading wants to surpass the previous products in this regard, it needs to go further in terms of user reading needs:

1. Have more books than your competitors

2. Work on the driving forces of reading, such as social display needs

High growth:

During the period of rapid growth of the product, NetEase Wugou also organized many offline reading activities, such as bookstores in subways. Of course, this also relied on the support of NetEase, which provided sufficient resources to promote it. For example, we launched the Late Night Library column in collaboration with NetEase Live, which brought in a very high number of downloads.

3. Product AARRR**** Model Analysis

1. User Acquisition

1. NetEase brand brought initial self-propagation

NetEase Wuniu Reading was born in NetEase. NetEase has always had a very good reputation in the industry, which led to NetEase Wuniu being born with a silver spoon in its mouth. It can rely on the platform for self-propagation.

2. Reports from major media

36kr and other platforms published articles related to Snail Reading on their platforms, which led to an explosive growth in the number of downloads of Snail Reading.

Snail Reading and NetEase Live jointly launched the Late Night Library column, with 6k online viewers, which played a good role in publicity.

3. Offline advertising

Advertisements such as subway reading drift and subway reading space have greatly increased the number of NetEase Snail Reading users. Similar activities such as "Easy Reading" good book drift

4. Internal activities of Snail App

1. Invite friends to get one day of free time each

2. Shake the New Year's lottery ticket and open the red envelope.

3. Invite friends to get the "Time Box" activity

5. NetEase Wugu Reading's new media operations are relatively good

1. Accumulation of seed users in the initial stage of the community

2. Snail Reading’s dual micro-operation, WeChat and Weibo, has achieved steady growth in the number of fans and users

2. User Activation

1. Reading by the leader

Authoritative, highly-read and insightful users will serve as readers and recommend book lists to ordinary users. Users can choose to read the books recommended by the readers based on the degree of match between their reading preferences and those of the readers. At the same time, ordinary users are allowed to apply to become reading leaders, cultivate many opinion leaders for the product, and increase user activity.

2. Pay for reading time

Through mechanisms such as time limits, users can be encouraged to cherish their reading time and read a certain amount every day.

3. Retention

NetEase Wugu Reading retains users through activities such as giving away memberships, such as the recent 3-day membership event for Mr. Jin Yong’s death.

IV. Income

Turbo membership charges, by making books free, allowing users to purchase time and pay for reading, which was also the entry point for NetEase Wuniu Reading when it first opened up the market

5. Spread and share

The sharing function of Snail Reading is particularly sophisticated. When you see this picture in the circle of friends, you will know it is Snail Reading. For new users, seeing such a sophisticated picture will make them want to click in to take a look. The sharing process of NetEase Snail Reading users is relatively simple. By selecting a paragraph and a background, the sharing picture can be automatically generated.

6. Analysis Summary & Suggestions

Where NetEase Wugu Reading can improve its growth

NetEase Wuniu Reading has become the third best-selling reading software after QQ Reading and WeChat Reading. The steady and slow development of Wuniu also reflects the consistent style of NetEase. Judging from the growth of Snail Reading, the growth rate of NetEase Snail still needs to be strengthened. Secondly, there is the growth in revenue of NetEase Wugu Reading. As a national-level software, there will be a certain ceiling if it is simply based on paid membership. As a national reading software, the revenue model can be diversified. Each product has its own life cycle. NetEase Wugu Reading should obtain its due profits in the best period.

Source: Feng Yiyun