Tencent Music has returned to Hong Kong stocks for the second time. What are the new trends in the industry behind?

On September 21, Tencent Music Entertainment Group (hereinafter referred to as Tencent Music) was officially listed on the main board of the Hong Kong Stock Exchange in an introduction. 1698.

It is understood that considering its sufficient cash reserves, this time Tencent Music adopts a listing method, which does not involve new shares issuance and fundraising. In fact, in the first half of this year, shells and Weilai Automobile have also successfully landed in Hong Kong stocks in this way. Market information shows that Tencent Music's first trading day in Hong Kong is active. The highest share price of the highest share price is HK $ 18.30 per share throughout the day.

So, behind the second listing of Tencent Music's return to Hong Kong stocks, what does it mean for the music industry and what other new trends are worthy of attention?

The industrial changes behind the two listings

Four years ago, Tencent Music, as the world's first profitable music streaming platform, knocked on the bell on the New York Stock Exchange. As one of the witnesses at this historical moment, I can even recall the cheers of everyone on the night of listing.

From the New York Stock Exchange in December 2018 to the second time to return to Hong Kong, Tencent Music is still the only profitable music streaming platform in the world, but many positive changes have taken place in the entire global and Chinese music market.

According to the IFPI "Global Music Report 2022", the global recorded music market increased by 18.5%in 2021, maintaining a growth trend for the seventh consecutive year, and significantly higher than the previous year's growth rate. Regardless of inflation factors, for the first time, it exceeded the peak of $ 24.1 billion in the global record industry in 1999. With the advancement of the genuine process, China has also risen from seventh to sixth with the fastest growth rate in the world's top ten in the world's top ten, and surpassed South Korea for the first time.

Behind this, it is inseparable from the powerful driver of digital music, especially music streaming media services. Data show that 65%of the global recording music market comes from streaming media, reaching 16.9 billion US dollars, an increase of 24.3%year -on -year, of which paid subscribing streaming revenue increased by 21.9%year -on -year to US $ 12.3 billion, and paid subscribers reached 523 million.

With the recovery of the music industry, the main contradiction in industrial development is also changing.

Looking back, the promulgation of the "strictest copyright order" in 2017 has become a watershed from the era of piracy to the genuine era in the Chinese music industry, laying the foundation for the rapid development of the next few years. That is, in recent years, the main contradictions of the entire music industry have changed from the flood of pirated music to the lack of comprehensive infrastructure support, related to all aspects such as creation, publicity, promotion, and monetization.

In this process, as the core hub of the connection content and users, the large platform represented by Tencent Music is in the industry change, and it has played an important role in promoting the genuine and industry infrastructure level.

Under the wave of returning to China Stocks, the long -term development prospects of Tencent Music and China's online music industry have also been optimistic about many investment institutions. "Rating, these three institutions also affirmed the company's active promotion and effective results in the company's cost reduction and efficiency.

With its stable fundamentals and taking advantage of the second listing opportunities, Tencent Music may usher in greater development opportunities to release more industries.

What are the new trends in the industry behind?

In the past four years, Tencent Music has also injected confidence in the Chinese music industry with solid results.

According to the iResearch report, according to the monthly active number of users, Tencent Music is the largest online music entertainment platform in China. In the first quarter of 2022, the number of active users of online music mobile terminals was 604 million, and the number of monthly active users of social entertainment mobile terminals was 162 million, which gathered a huge user pool.

It is worth mentioning that compared with the 24.9 million online music paid users at the end of 2018, as of the second quarter of 2022, this number has reached 82.7 million, which has doubled more than four years. At the same time, the payment rate of online music services has achieved 14 consecutive quarters, from 4.2%in the fourth quarter of 2018 to 13.94%in the first quarter of 2022, achieving large -scale growth and profitability.

These real achievements not only nurture the industry dividends, and create long -term value for the Chinese music industry, but also let the world see the growth potential of China's emerging markets.

Of course, in the face of repeated epidemic and insufficient industry stability, the entire industry has also entered the "deep water period". How to focus on "people" and "works", to play the infrastructure of digital music development, storage for industrial growth, change to change, change It is more critical.

At present, Tencent Music has explored a lot of experience for the industry based on the "two -wing" strategy of content and platform.

On the one hand, by introducing the massive and high -quality content of mainstream record companies at home and abroad, it brings a wealth of content experience to users; at the same time, a series of projects such as "Sounding Everything", "My Girls", and "National Wind New Tide" are also launched. Tencent's "Glory of the Kings", "League of Legends", Reading Group and other games, sports, film and television and other fields, it has launched many songs on the top of the list in a co -creation and production method.

In addition, around the content service, Tencent Music continuously created the "Qiming Star Music Assistant" based on the one -stop music production service platform, the "TME Music Cloud Map" of the data BI service, The one -stop service system of systematic creation, evaluation and publicity helps musicians to realize music dreams, and also enhance the ability to support the production of original content. Data show that as of the end of the fourth quarter of 2021, the number of independent musicians on the Tencent musicians platform reached 300,000. On the other hand, at the platform's strategic level, Tencent Music is based on national -level products such as QQ Music, Cool Dog Music, Cool Music, and National K Songs. We have shaped more personalized music consumption scenarios for users. For example, in June of this year, Cool Dog Music launched the first star AI singer "Beyond AI" created by Yang Chao's real voice; it reached a cooperation with Dolby Labs in July this year. Domestic music platforms, upgrading and connecting good content and users with technological innovation and experience.

It should be noted that the vision of Tencent Music is not limited to the moment, and is more committed to long -term value, and continues to write new stories of online music.

For example, since the epidemic, major platforms have rushed up and chased the outlet of online performances. Now more than two years have passed, and there are still few insistence on online performances. TME 的身影始终都在，且不断追求用户体验与业务模式的创新，不仅推出了周杰伦“地表最强魔天伦”这样全网爆红的线上项目，还与雪碧、北京现代、百事可乐、FILA、 The cooperation of well -known brands such as JD.com and other fields have created a series of customized online and offline music activities. With a mature commercial path, online performances have been made into a real long -term business.

At the same time, Tencent Music began to deploy IoT fields such as car scenes and intelligent hardware in 2019. Data show that Tencent Music's Cool Music covers more than 90%of car companies brand, with a market share of more than 80%, and more than 60 million vehicle users. It has become the largest music software on the vehicle.

In addition, Tencent Music launched the first domestic virtual music carnival Tmeland in December last year, which contributed to the music universe; it also actively practiced social responsibility and launched the "Little Red Flower Echo Music Season", "Music Tree Cave Rescue Team", " Dream has a gravity "Little Red Flower Public Welfare Concert to build dreams and other music public welfare activities, allowing more people to participate in public welfare.

It is these new stories that make the future of the Chinese music industry full of imagination, and it is more worthwhile to believe and look forward to it.

Conclusion

Affected by the major environment, the era of high growth of the Internet industry has passed, and it will enter a new stage of refinement and humping.

At the moment when the industry recovers is difficult to recover, whether it is a platform, a record company or a musician, only by adhering to a more patient and long -term mentality, continuously deepen quality improvement and efficiency, and take the business development deeply, can it be possible to achieve sustainable growth. Explore the new model of "deep water zone".

Xiongguan Man Dao is really like iron, and now walking from scratch. Facing the question of the times, history will be created by firm believers and executors, seeing it because of belief, because of foreseeing foreseeing it.

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