Today Sina (NASAQ GS:SINA) released its financial report for Q2 this year. According to the report, by end of June this year, Sina Weibo has reached 368millions registered users and 36.5m daily active users; and for the first time, Sina disclosed its revenue generated directly from the advertisment on Weibo, over $10m which is roughly 10% of total ads revenue on Sina.
According to the local media, Charles Cao, CEO of Sina is quite happy with these figures. He said, “the social media ads is still at very early stage in China, and we need more time to educate the market. We need keep improving our ads display algorithm and accumulate more user data, but what we have achieved from Weibo so far is still very encouraging. ”
It’s reported that in Q4 this year, Sina Weibo will launch its AdWords like self-service ads system. And the payment system, credit system and data mining system will be ready in Weibo platform by end of this year too.
Although we heard more and more negative comments about Sina Weibo, like less active users, more censorship etc, from this financial report, it’s a bit strange we don’t see that sign at all. It says in Q1, the number of daily active users was about 9% of total registered users but in Q2 it has reached 10%.
Talking about the future plan for Sina Weibo, Charles admitted that the company still need keep investing the Weibo to make sure it becomes the No.1 social media in China, by then Sina will be more confident on monetizing Weibo, the new social media’s value.