"Short video" has become the "sweet cake" in the eyes of many large factories in the past two years. Some regard it as a cash cow, such as Kwai and byte; Some see it as a "turning weapon", such as Tencent, Taobao, and even JD.com, which has always been steady and high-end, have heard news of "1 billion cash support to expand into the short video field" today.
Is short video so popular now? What investment opportunities will this bring to China Concept Internet ETF (513220)?
On the one hand, short videos make the "sense of boundary" between Internet enterprises disappear.
In the past, Internet companies fought with each other within their own industries at most. They were respectful of cross industry "friends", such as Alibaba, Pinduoduo and JD. com, but there was almost no friction with Kwai.
However, short video became popular, and short video platform enterprises such as Kwai and Tiktok directly crossed the "moat" and entered the e-commerce field, resulting in a large loss of customers on Taobao, JD and other platforms, which naturally made the latter unable to sit still.
On the other hand, short video traffic does make money.
In the era of self media, whoever controls traffic has the right to speak. Therefore, in the field of short videos, it is like a huge cake coated with cream, and anyone who watches it wants to take a bite.
Data shows that as of the end of 2023, the number of domestic short video users has reached 1.012 billion, accounting for 94.8% of the total number of internet users; In terms of performance, in 2023, Tencent Video's e-commerce GMV reached 100 billion yuan, which is only the first year Tencent has been striving to catch up; From January to October 2023, Tiktok E-commerce will complete GMV of nearly 1 trillion yuan
Finally, let's take a look at the future growth of the short video market.
The current short video market is still in the incremental market stage and is far from reaching the stage of "internal competition". According to analysts from the China Academy of Commerce, by the end of 2024, the size of China's short video market is expected to reach 420 billion yuan, and the user base is expected to increase to 1.148 billion yuan.
Data source: China Academy of Commerce Industry Research
In a word, the short video field may become the "battleground" of major Internet enterprises in the future due to its huge increase and considerable income. However, some enterprises may take advantage of the "short video wind" to open a new upward channel for their performance when the market is not saturated.
As for who will ultimately laugh among them, it may be too early to draw a conclusion, but if you don't want to miss out on this wave of dividends, you may consider the China Concept Internet ETF (513220). Because almost all of the companies mentioned above are holdings of the index, whoever wins will have meat to eat.
Moreover, the industry is still in an upward trend, and through index layout, one can also enjoy the dividends of industry growth. Therefore, it is worth trying to use this index to accompany the growth of enterprises and the industry.