The 5 key trends of the Global Mobile Internet Conference in Beijing
For Google: “When you come here (to China), you have the feeling of stepping into the future ”. The mobile Internet, the automobile as a new high-tech issue, O2O at the heart of Chinese commerce, the cult of innovation, the emergence of virtual and augmented reality, artificial intelligence and robotics – have been at the forefront. heart of GMIC, the Global Mobile Internet Conference 2016 in Beijing which brought together more than 30,000 people. A theme, Infinity Mobile, and for the occasion, GMIC has grown with ever more tech – a new “Hello Future” pavilion – and for the first time, entertainment with concerts, stars and red carpet, and awards.
“The car: a mobile on four wheels”
If each year increasingly confirms the confidence of the Chinese in their ability to produce competitive products on their market but also to launch them internationally, its best latest illustration is undoubtedly in the words of Jia Yueting, the rebel and founding visionary. and CEO of LeEco, a Chinese giant (video streaming, mobile, e-commerce, connected automobile, etc.) less known than the trio of “BAT” (Baidu, Alibaba, Tencent), which has just inaugurated a new headquarters in San José, California.
During the Beijing Auto Show which was held at the same time as GMIC, he simultaneously tackled Apple (which is also developing on the autonomous car): “The design of Apple products is outdated, obsolete (…), one of the biggest reasons (for the slowdown in sales in China) is that Apple’s innovation has become very slow », And gave his vision of the automobile of the future when he presented his connected model LeSee, taunting Tesla: “We think of the car as a smart mobile device on four wheels. We hope to surpass Tesla and take industry leadership, ushering in a new era of automotive “. The APAC boss of Tesla Motors, which has 17 showrooms in 7 Chinese cities, replied from a distance, blowing the merits of his Model X: ” sitting in the front is like sitting in a helicopter (…). China is the 1er global automotive market, Tesla is here for the long term ”. Baidu, which has been developing a driverless car for 2018 with BMW for 2 years, officially launched its even more detailed and intuitive “4K Map” mapping service.
Si Rui Ma, Partner of 500 Startups and regular at GMIC underlined during the competition G-Startup, in a context of slowdown in fundraising, “they (entrepreneurs) have a clear idea of their business models and are careful about what they do”,“ Shoot First, Monetize Later ”, further illustrates the strategy of leaders like LeEco, Tencent or Baidu to name a few. Future Mobility Corp, backed by Tencent, has hired BMW managers for its electric vehicle project. Robin Li, CEO of Baidu, who is also betting on the automobile as the future IT platform, says: “We will deal with the business model later”. The race (to spend) is on the rails, to take a position on the world’s leading automotive market.
Wearables, Augmented Reality (AR), Virtual Reality (VR), Artificial Intelligence (AI), Robotics: Asians want their piece of the pie
VR: revenues up + 372% in 2016 in China
Immersive technologies had their first Global VR Summit. If Samsung, Google and Facebook (Oculus) have opened up the market, they are joined by a series of Asian players including the Taiwanese HTC Vive – which handed out its 1st awards, and rewarded the Travel and Lifestyle Luxe portal in the VR content category. Zanadu (in which Tencent invested, and who was a speaker at China Connect in April) – or the Chinese BaofengVR and Zero Zero Robotics whose CEO MQ Wang presented on stage his very light Hover Camera floating in the air…. A drone unlike any other that attracted crowds to its stand
Everyone wants a piece of a global pie (VR) estimated at 200 million head-sets by 2020 worldwide. For the Chinese market alone (1), the revenue outlook in 2016 stands at 850 million RMB, i.e. growth of + 372% vs. 2015, and more than 2 billion RMB in 2017, i.e. + 154% vs 2016. As for the expectations of the Chinese to experiment with this technology: video, games and social are the leading uses (2).
As such, the Youku-Tudou video platform exposed its ambitions which will contribute to the objective of Jack Ma (who bought the portal): “for Alibaba to become the world’s largest entertainment company ”, with the help of his production company, Alibaba Pictures, based in California and the forecast of the Chinese film market which will surpass the North American box office in 2017
From the internet OF things to the internet ON things
Guest of 1erIndia Mobile Forum to GMIC, testifying to the growing economic interests between the two countries, Vishal Gondal, founder and CEO of the GOQii application, “the Uber for health and fitness, which connects the data of your wearables to fitness coaches”, and will be in China in 2017, focused on the strategic issues of “culturalization”, the importance of Chinese financing for those who want to penetrate the market, or their belief in the new center of innovation: “In the past I used to travel a lot in Silicon Valley, but today I no longer see the point. Actually if you want to see innovation, you need to be in Beijing and GMIC”.
Interview Vishal Gondal, CEO of GOQii:
Sonny Wu, founder of Misfits connected bracelets (sold in particular on the 2nd B2C site JD.com) since acquired by the Fossil Group which manages the licenses of the fashion brands Kate Spade, Michael Kors, Diesel or Tory Burch, told alongside Vishal Gondal, how Smart wearables were starting to be integrated into the fashion industries, not without underlining the challenges of 2 industries with distant fundamentals and DNA (development cycles, product launch rates, etc.)
For Ambarish Mitra, founder and CEO of the augmented reality application Blippar, which has Carrefour or L’Oréal as clients and comes to test the Chinese market, we have gone from the Internet OF things to the Internet ON things. ” We counted on the words to search, but the image is the future, the product is the new medium. For the beauty market, there is a great lack of information, which is one of the reasons why women are reluctant to buy cosmetics online.“. For anyone wondering how to get into the Chinese market, he says: “ We will make a bigbang entry. This is not a market where you do a “soft launch”. You come and you are everywhere, where you have no chance “. As for innovation ” really “cutting edge” 10 years in advance, it still comes mainly from the Valley He said more nuanced, smiling.
Interview Ambarish Mitra, CEO of Blippar:
The C2B (Consumer To Business) focus for the next 3 years?
The Chinese have no problem recognizing the poor experience in their stores, which has contributed to the explosion of online commerce. “A phenomenon which even surprised the Chinese ” according to Bob Cao, Director of the research firm iResearch. And none to say their confidence in the future of traditional commerce, given the fakes that invade online commerce and only lead to a price war, not to mention the difficulty of the last mile in a country as big as China.
How should retailers embrace the challenge?
Etre là / “Be there”: be smart, think about the context
Be Useful: develop content that matters
Be fast / “Be Fast”: be responsive, offer a “seamless” experience
Connect all the points of contact, have a “micro-moments” strategy.
The “salvation” will be in the O2O. The mobile phone that has changed purchasing behavior in very particular proportions in China. For Iram Mirza / UX Design Manager for Payment at Google in Mountain View: “ If you go to any shopping mall without a wallet, you can survive in China. It is quite difficult without MasterCard or Visa in San Francisco to last a week (…).In the United States, we’re still trying to figure out how mobile payment can work. We are far behind, even Europe “. And WeChat, this Hub that combines communication, social and payment is a strong example of this singularity and Chinese advance that its representative Roy Rao did not fail to highlight.
For Bob Cao, Director of iResearch, “ The key is C2B (Consumer To Business), this will be the focus for the next three years ”
The smartphone: a pillar of the reform of the health sector
During the Healthcare Innovation Forum, the mobile was in particular discussed as a support for care (via video, data monitoring, payment), link between hospitals / doctors and patients, between different provinces
During the forum, the GM of Baidu’s medical services business unit recalled the Group’s 3 values, the 3P’s – Personalized, Prevent, Precise. “Accurate” meaning that Baidu will need to collect fair and precise data to match the real needs with the right service.
This is timely: Baidu has been suspected for many years of garnering very significant advertising revenue from this industry and of failing to show sufficiently clearly the many sponsored links sold at auction. The search engine is in the news today, and the subject of a government investigation, following the death last month, widely retrieved on social networks, of a student who sought and selected the hospital on Baidu , positioned at the top of requests, who was supposed to cure his cancer
An incubator for Key Opinion Leaders
As proof of their recent societal and economic impact in China, the tech giants Weibo, Baidu and Cheetah mobile seized for the first time at GMIC the subject of “web celebrities” or “wanghongs”.
Fu Sheng, CEO of Cheetah Mobile was able to react to what made people talk on the networks a few weeks ago: “Some people say that Papi Jiang (wanghong who sold – this is a 1st – an advertising screen in one of his videos for more than 20 million RMB) is just a fad, but I say this is (the “wanghong economy”) the start of a new phenomenon”. And to announce, as Disney did with Maker Studios, the launch of an application to create an incubation platform for these web stars.
Among these, stylist Perry Liu spoke on the subject “Social Mobile Platform Drives” Fan Economy “, and his strategy to share his Beauty / Fashion advice with his 36.2 million followers on Weibo, 80,000 on WeChat, and its collaboration with brands, notably Chanel.
Gaofei Wang, CEO of the social network Weibo, detailed their monetization methods: “On Weibo, there are 3 main ones. The 1st by far, e-commerce type, either selling cosmetics or clothing to a huge fan base that the wanghong has accumulated. The second, of the “Papi Jiang” type, those who make videos, write, mixing advertising and content. The last, the “live streamers”.
Mobile live stream applications are a particularly strong trend in South Korea which is believed to be the asian leader.
(1) Source: eMarketer / January 2016
(2) Source: eMarketer / March 2016
Laure de Carayon is the founder of China Connect, a conference dedicated to marketing, digital and mobile in China.
After working at TBWA, Gray and McCann, she joined the Carat agency in 2002.