Some thoughts about an interesting advertisement in Shanghai
Hi everyone, long-time lurker; first time poster. Still holding GME (15x$84). I also don’t think it’s fair for me to flair this "DD" so I’m not going to.
I stumbled upon this article today about a new form of advertisement that’s just made headlines in Shanghai. It is, as the article suggests, quite reminiscent of Scott’s Bladerunner universe. Indeed, it’s been dubbed by many as the “future of advertising”.
I’ve been trying to appreciate excitement about compelling articles like these whilst also being rational and trying to do my own research (so as to at least attempt to minimize the risk of misinterpreting misleading articles). In the spirit of that effort, I did some reading about this company Bilibili, Inc.
In their own words, Bilibili, Inc. ($BILI) is “a leading online entertainment platform for young generations in China”. Colloquially referred to as “B Site” in China, the “internet company” has been dubbed a preferred alternative to an already-blacklisted “YouTube” in China and other parts of Asia. $BILI also launched their first video satellite (China’s first custom-made satellite; developed by Chang Guang Satellite Technology Corporation).
A quick flirt with some numbers:
Figures as of Q4 2020 –
Total net revenues were RMB3,840.1 million (US$588.5 million), representing an increase of 91% from the same period of 2019.
Point blank, that’s some really compelling revenue. For many of us, I think this would be good enough to explore some options. Almost certainly if I mentioned that these percentage increases have been fairly consistent (indeed, increasing) since 2018.
However, what really fascinates me about $BILI is, yes, the revenue, but more precisely the revenue borne of advertising:
Figures as of Q4 2020 –
Advertising. Revenues from advertising were RMB722.4 million (US$110.7 million), representing an increase of 149% from the same period of 2019. This increase was primarily attributable to further recognition of Bilibili’s brand name in China’s online advertising market as well as improvement of our advertising efficiency
This, I think is where the most promising child of $BILI’s revenue arm has begun to shine.
As sci-fi for generations has seemed to portent (not only in worlds such as Bladerunner: Ghost in the Shell, Cowboy Bebop, Ready Player One, and so many more that I can’t summon to mind at the moment), this is more than certainly the future of advertising.
It’s quite late here, so I think I may come back and add some more thoughts and data points tomorrow. Curious to hear your thoughts—linking some financials here.
Also, I am 100% dumb-fuck retarded. I slammed the keyboard just now with my forehead and the above post just spat out by chance. This is not financial advice. Would you take financial advice from an actual fucking chimpanzee?
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April 24, 2021 at 04:24AM