Chapter 1355 – No foresight
Feng Yu had started to read online novels, and most novels are still available for free.
Early last year, Qidian started the first VIP paid reading model, and Feng Yu can be considered one of the first paid readers. There are not many good novels are available now on the site. The novels are not too bad, but most of them suck for someone who had read years of online novels in his previous life.
Feng Yu had left some comments and affected the endings of many novels. His account, “No. 6 of Central Plains,” is named the best commentator by many readers and writers.
How do online novel websites make money now? After the novels gained popularity, the sites will publish books to make money. The main traditional Chinese market in Taiwan. Also, the publishing rights fees for online writers are lower than other writers.
The simplified Chinese novels are harder to sell because of piracy. Some publishers might be interested in some novels, but realized it is available in the market. Some writers had contacted publishers, but their novels are available free online. Why should they publish it?
Advertising is another source of income for these websites and has nothing to do with the writers.
But everything changed since the paid model is implemented. This model had led to an increase of many online writers. More importantly, more publishers are interested in simplified Chinese publishing rights. Readers cannot read the rest of the novels, and they should buy or read the books.
The rental market for novels had focused only on Wuxia and comics, but it is different now. There are more interesting novels online which people like to read.
Feng Yu knows Chinese online novels will become famous overseas. Of course, it’s only a handful of them. But online novels are very popular among Chinese circles worldwide, with a few hundred million readers. The number of readers and subscriptions increased further after reading these sites become available on mobile phones.
Currently, such sites and writers are not making much money.
Many of the Chinese dramas and movies are adapted from online novels in the future. Many online games, mobile games, comics, anime, etc., are also based on online novels, and it is a ma.s.sive market.
It’s normal for w.a.n.g Zhongjun not to see the future of online novels as he is not in the internet business. Feng Yu felt Zhang Chaoyang, and the rest should see it.
…….
“Ah? You are not interested?!” Feng Yu is slightly shocked.
“Manager Feng, how much profits are there from this subscription model? The cost of running this website is too high, and pirated copies appear immediately after new chapters are updated. How many subscribers can they attract? This industry will be overrun by piracy soon. Even overseas do have such sites.”
Feng Yu rolled his eyes. What are you saying? Overseas are always better?! Some overseas websites are better than China sites, but they don’t represent they are better overall. Just look at the Chinese Web. It is doing very well in China, and overseas had just started to imitate it.
“But what if we can stop piracy through technology?”
“This is not easy. We do have some novel series on our blogs, but those are casual works, and it’s not worth anything.”
“Alright. I will ask someone else.”
……
“Manager Feng, investing in an online novel website has not much future. Although our website is also involved in managing rights, we are dealing with broadcasting rights. This is different from novels. Since you think this has potential, I will invest personally.” Zhang Chaoyang replied with some hesitations.
“It’s alright. I shall not force you.”
“Don’t worry, Manager Feng. I will give you the lowest price in the industry if you need us to promote your website.”
……
Ding Lei is also troubled after hearing about this from Feng Yu. He could not tell how this industry will prosper in the future. It might be profitable, but it’s exaggerating to say it will be highly profitable.
Ding Lei, Zhang Chaoyang, and the rest decided to wait and see. These online novel websites are not worth a lot. If it is proven that they have potential, they can still invest or set up their website.
Li Yanhong also hesitated when Feng Yu approached him. Baidu’s Tieba does have several online novel series, but they are not making any money. Websites need some technical expertise to implement subscription features. Those sites only need a server, and it’s easy to be imitated. How are they going to make money?
Although China has started to look into intellectual property rights, it’s hard to catch those infringing online. Also, the perpetrators are not doing it for profit, and it’s hard to pursue it.
Fine. Got rejected again.
Feng Yu asked Ma Yun, but he is too busy with Alibaba and doesn’t have time for online novels.
Shi Dazhu is interested, but he also did not think it will be as prosperous as Feng Yu claims. He felt Feng Yu is optimistic. The return rate will not be high, but he is willing to invest if Feng Yu needs more shareholders.
Feng Yu is mad. Shi Dazhu thinks he is going to get the online novel website listed for money.
Lastly, Feng Yu asked Ma Huateng. He had owned more than half of the Chinese online literature empire in his previous life. He should be interested. Also, it will be easier to market the site if it is partnering with QQ.
Ma Huateng told Feng Yu that he doesn’t have time. Most of the company’s fundss and resources had been invested into developing QQ s.p.a.ce. He does think highly of online novels but will not invest in the meantime. He might consider it in the future.
Ma Huateng is telling Feng Yu that he will observe the situation first. His company has ma.s.sive users, and he can use it to set up his website in the future.
No companies are interested in online novel sites after asking around.
Feng Yu picked up the phone and called Sun Lijie. “Old Sun, go and check out a Chinese website call Qidian. Ask them if they need investments.”
Sun Lijie immediately went to this website and a.s.signed his men to find out more details about it.
This is a website for online novels?! This… Is this worth investing in?
But since Manager Feng mentioned it, then it should be fine. He has never been wrong when it comes to investment. This website might really be profitable.