Chapter 15 Chapter 14 Subversion is accomplished by micro-innovations one by one

Many people like grand narratives, but Zhou Hongyi prefers to see small things.He believes that this revolution that changes the digital industry is not the result of far-sighted and meticulous strategic planning, but the inevitable result of micro-innovation.In China, he was the first to advocate micro-innovation, but he never plundered beauty, always emphasizing that the originator of micro-innovation should be Jobs. Early in the morning on a working day in July 1997, Apple CEO Amelio bid farewell to leaving due to five consecutive quarterly losses.A few minutes later, Jobs walked in, wearing shorts, sneakers, and a cropped beard. He spun slowly in a swivel chair: "Tell me what's going on here?"

It's a small detail in Jobs' biography that marks his return. When he was swept away by an outside CEO in 1985, Jobs was considered by many to be just a micromanager. The fancy innovations and changes he once advocated and the total control he insisted on also caused many problems.But 12 years is enough for a man to go from "standing" to "not confused". At that time, the outside world was generally not optimistic about him, and his first response was to form an alliance with Microsoft.Prior to this, Apple and Microsoft had been fighting for 10 years on various copyright and patent issues.Since then, Jobs has designed creative brand advertisements, canceled authorized businesses, and streamlined product lines, making Apple strive to return to the most basic ideas of good products, good marketing, and good distribution.After two years of huge losses, Apple finally achieved a profit of $309 million in 1998.But the good times didn't last long, and Apple's performance declined again after 2000.

Apple's real second rise began in 2003 with the launch of the iPod music player.It was a real micro-innovation that pulled Apple back to its upward trajectory. In 2001, the dot-com bubble burst, the Nasdaq fell more than 50% from its peak, and the digital world cast a shadow.At the Super Bowl in January of that year, only three technology companies placed ads, compared with 17 the previous year.At the same time, deflation has worsened.Apple isn't much better -- pundits are predicting the end of the personal computer's centrality, which is Apple's trump card.No one expected that Jobs would announce a new major strategy at this time: entering the field of music.

Back in 2000, people were keen to copy music from CDs to their computers, or download music from file-sharing services, and then burn their own selection of music onto blank CDs.The sales of blank CDs in the United States reached 320 million that year, and its total population was less than 300 million. "I was like a dumbass. We missed, so we had to try to catch up." As a result, this new strategy changed not just Apple, but the entire technology industry. "Apple Computer Corporation" was changed to "Apple Inc.", and the stripping of the simple three words "computer" caused earth-shaking changes in the entire industry.Over the next 10 years, Apple became a hub for all kinds of new digital gadgets.

When Jobs was nearly 30 years old, he once made a metaphor about records: "People get stuck in these inherent forms, like a fixed groove in a record, and they can never get out of it. Of course, some people are born with Strong curiosity, always have a child-like heart, it is a pity that such people are too rare." People in their 30s tend to become rigid in thinking and lack a sense of innovation. Jobs has been thinking about this issue. At the age of 45, he also became wary of his "concealment", and finally plucked up the courage to jump out. From iMac to iPod, from iPod to iPhone, from iPhone to iPad, what happened in the middle of this series of digital products?This is a question worth pondering.Zhou Hongyi had never met Jobs and had no chance to communicate with him directly, so he could only start with off-the-shelf products and find the logic in them in a blind way to gain nutrition for his new entrepreneurial journey.

He first saw that Jobs' second venture started from a common need, which was the basis for his great career. Some people say that Jobs is good at creating demand, Zhou Hongyi thinks this is not the key.In Zhou Hongyi's view, no one can create demand, and the demand for music is inherent in human beings.What Jobs did was to maximize the experience of listening to music through the iPod and meet people's needs. The reason why the iPod can be popular, first of all, is its first-class design, which stands out from other MP3 music players.The other one is Weixin. The small Toshiba hard drive inside claims to be able to store 10,000 songs, which you can never finish listening to in a lifetime.

Starting with the iPod, small innovations have made a great product.Add a small screen to the iPod, and you have the prototype of the iPod Touch.With the iPod Touch, anyone would think, how about adding a talk module to make calls?Thus, there is the iPhone.With an iPhone, if its screen is enlarged all of a sudden, wouldn’t it become an iPad? However, all the seemingly dazzling and multi-dimensional things all start from that "one", and that "one" is the iPod. You know, when Apple launched the iPhone, iPod sales worldwide had exceeded 100 million.These more than 100 million iPods have not only created word-of-mouth and established a brand for Apple, but also captured the experience of many consumers for Apple.Without this step, if Jobs came up to make the iPhone all at once, it might not be successful.So, where is the "one" of 360?

The browser could not be more appropriate as a vivid footnote of Zhou Hongyi and Qihoo 360 Micro-Innovation. In common people's perception, Qihoo is a "security and anti-virus company", while the browser is just an Internet tool, which seems to have nothing to do with anti-virus.How did he step into the browser field? Tao Weihua, the senior director of 360 Browser, recalled in an interview with "Manager" magazine: "At that time, Trojan horses were rampant, and there were a lot of websites with Trojan horses. The statistics we got at that time were that 70% of Trojan horses came from websites with Trojan horses. It spreads because it is the fastest. In the past, it was so slow to spread the Trojan horse through a USB flash drive or email, but now it is tricked as soon as you visit the webpage. After the Trojan horse is installed, your machine will be regarded as a 'broiler'."

Under normal circumstances, this does not have much impact on the user's computer, and the Trojan horse just uses your computer to attack others.However, some Trojan horses may paralyze the user's computer because the code written is not good enough.After this kind of situation is many, the security problem of surfing the Internet is very serious. This is why Qihoo was the first to be a secure browser.Qihoo did not expect that this product would later become the core cornerstone of the company's revenue generation.Zhou Hongyi once said that the browser is not a strategic layout at all.The reason why it can rise is, in a sense, completely unintentional.

The 360 ​​browser did not have a strategic position within the company in the early days, and naturally it could not obtain resource tilt.In fact, Zhou Hongyi has an attitude towards all early projects and will not invest heavily. He will give you some resources at the beginning, but in the end it depends on the stage results.Since it is a micro-innovation, if you want 100 people all at once, he will definitely not be able to give you, and he will give you 10 people first.If you can make a prototype with 10 people and get good market feedback, then he will trust you and give you more resources.

Tao Weihua and the others didn’t even plan to make a browser at first, but made a “360 Internet Shield”, which was directly embedded in the IE browser in the form of a plug-in.At that time, 90% of users were using IE. If it was well protected, most users would be saved.This is the "prototype" of the 360 ​​browser. It's actually more comfortable to do so.They built a lot of security features into it, so that the whole system can be controlled and not let so many messy things come in and interfere. As we all know, the installed base of 360 Browser has continued to rise in the following years through the huge user channel of 360 Security Guard.But many people don't know that Tencent developed a TT browser a few years before 360 ​​launched its browser product, and it was embedded in the QQ client software. It stands to reason that the user base of QQ is much larger than that of 360 Security Guard, and the installed capacity of Tencent TT browser should also be very strong, but in fact it is far less than that of 360 Browser, and its market share is almost negligible.Why did Tencent TT browser fail to do it? This is probably related to product thinking.Because QQ is powerful enough, most ordinary netizens in second- and third-tier cities in China start their Internet access from QQ.With this giant entrance, QQ's motivation to be a browser is not so strong. When TT was first launched, with the help of the huge user base of QQ, the market share once exceeded 10%. However, due to the poor quality and slow speed, these problems have not been overcome for a long time. If the user experience is not good, it will inevitably be uninstalled on a large scale. .Once this mindset is formed in the hearts of users, it will be difficult for Tencent to reverse the situation. Although both 360 and QQ have powerful channels, voting is done with the mouse on the Internet.If the product itself is not well done, it is meaningless to push it hard, because in the end it is still a product.A strong channel can only mean that there are more opportunities, but it does not mean that you will win in the end. On the contrary, although the 360 ​​browser had many problems at the beginning, they continued to make various small improvements from the perspective of user experience.Small improvements may not have much effect overnight, but if you stick to it, you can improve by 1% every day, or even just 0.1%, and the effect will be obvious after a quarter.These continuous small improvements will produce a qualitative leap one day and become a micro-innovation, making those who are not very computer-savvy feel comfortable when using a browser. For some things that users cannot know in time, they will remind them in time, such as email communication, Weibo reminder, online banking plug-in and so on.Many people are not used to using some controls, such as online banking, and they may not be able to use them if they don’t notice the yellow bar reminder on the top of the browser.They made a function. When the user opens the online banking page, if it detects that you have not installed the control, a box will pop up directly, asking if you want to install it with one click. Such a new function will definitely encounter resistance, and the most resistance is not from users, but from online banking.For example, Alipay asked customers not to use the 360 ​​browser at that time, otherwise Alipay would not be able to pay. The 360 ​​product manager felt that the problem was serious, so he looked for the reason.Later, it was reported that the user reported to Alipay that paying with IE browser would not work.This shows that the problem should not lie with the 360 ​​browser, but they still continue to investigate the cause. They asked Alipay to transfer some feedback users to their side, and they were responsible for contacting users.The contact process is very painful, because the user always thinks that you are cheating money after calling, and they are too lazy to cooperate when they understand it, saying that they have no time.They finally found some people, invited them to the company, and operated on the company computer, but found no abnormalities.Later, they asked someone to move the computer over and conduct on-site inspections. Finally, they found out that the JS engine had been unregistered.The technician made a repair tool, which will automatically help users fix this problem, and the feedback immediately decreased a lot. It is estimated that the user installed a certain software to mess up the machine, and then accidentally unregistered the JS engine and did not restore it.The problem of this software has caused a large number of browser users to report failures. Because Alipay is related to money, the feedback on Alipay is relatively concentrated. They deal with this kind of problem every day, but unlike other companies, they don't just throw it away after processing it, but instead collect all the problems that have occurred to generate a dynamic database.They didn't expect that this directly promoted the later "Browser Doctor" product, and many problems were automatically fixed. According to iResearch data, by the end of the second quarter of 2011, the number of users of the 360 ​​browser exceeded 200 million, and the user penetration rate increased from 48% to 52%.From scratch, 360 has leapt to the top of the domestic browser market share in just three years, second only to IE. Based on the browser, 360 not only achieved profitability, but more importantly, this platform began to breed other micro-innovations, and even the search that was initially thrown into the corner as a "mistake" was revived.This is also what Zhou Hongyi did not expect. Zhou Hongyi was deeply touched by Jobs's borrowing doctrine. After Jobs returned to Apple in 1997, Apple fully adopted the strategy of borrowing doctrine in terms of core technology, that is to say, many things on Apple products, the core is from other companies, or acquired, and then added a shell on the outside.For example, the iOS operating system and the Safari browser both add Apple's own shell to the core of others.This is Jobs' "rebellion" against his past self. In his view, this is borrowing doctrine.From the perspective of Jobs' technology and product ideas, the use of doctrine means not to reinvent the wheel. In contrast, Microsoft is very tired and hard to do things.For example, the Windows operating system was built by Microsoft itself from the bottom up, plus many of its own application software, it must consider maintaining compatibility with the old version, and also consider supporting various hardware drivers. Jobs competed fiercely with Microsoft before, but after returning to Apple, Apple gave up the previous route of doing everything by itself, and instead adopted the strategy of borrowing doctrine. For example, many modules on the iPhone are off-the-shelf, including multi-point touch screen technology.Apple neither tried to occupy the commanding heights of technology, nor did it insist on establishing a set of communication standards. It just maximized the user experience and turned the mobile phone market upside down. In the past, many people held a view that innovation is only made from the bottom, and that it is important to make the core, but it is not important to do what is done on the core.What they don't understand, however, is that the shell is somehow more important than the core.Whether the user experience is good or not is reflected on the shell and what you have done on the core.Apple started to promote the iPod in 2001. This kind of MP3 player does not have any core technology, but Apple has been working hard on the shell for many years, pursuing the ultimate, and creating a first-class user experience. This is the basis for determining the popularity of the iPod. Created the conditions for Apple to further change the digital industry. Jobs's use of doctrine is worthy of our reflection.Take-ism tells us that it is not high-tech that does everything by itself.In the past, many technology companies worked hard to make a product, and felt that users could not understand it, and there was no warm welcome, so they had to educate the market, educate consumers, and publicize the core technology in a high-profile manner. On the contrary, Apple did not publicize which technologies it has honed its sword for ten years, but users feel good as long as they are addicted to using it.Therefore, technology, whether it is original or not, as long as it has the ability to bring users a better and first-class experience than others, it is innovation. This kind of innovation is as important as making core technologies. In fact, Jobs also suffered from technology.After he left Apple, he founded NeXT, which also focused on driving the market with technology, but the market did not buy it.In essence, Jobs did not have a background in technology, but precisely because Jobs was not in technology, technology is not the root of products in his eyes. Many people with technical backgrounds are too superstitious about technology and become technology for the sake of technology.Technology was originally a means, and the result became an end.Technology for the sake of technology, the result is that consumers are ignored.Therefore, Zhou Hongyi often warns technicians, including himself, that it is fundamental to make good products and serve consumers, and whoever and what technology to use is just a means. Therefore, Jobs returned to Apple with a new understanding of the times, which was the result of his constant reflection after leaving Apple.If he had returned to Apple 5 years earlier, he might not have been as successful, and it was unlikely to have become mainstream at the time.The smooth feeling shown by today's Apple products was very expensive even if the software and hardware at that time could support it.But Moore's Law has developed to this day, the conditions of software and hardware are met, and the era of user experience has come, so Jobs took advantage of the situation and rose up. In a sense, this kind of "bringing doctrine" is the same as the beginning of the personal computer era. It is a subversive innovation, but this subversive innovation is realized on the basis of micro-innovations one after another. Many people like grand narratives, but Zhou Hongyi prefers to see small things.He believes that this revolution that changes the digital industry is not the result of far-sighted and well-thought-out strategic planning, but the inevitable result of micro-innovation.In China, he was the first person to advocate micro-innovation, and he may also be the loudest, but he never plundered beauty, and always emphasized that the originator of micro-innovation should be Jobs.Jobs once famously said: "Tiny innovations can change the world." When it comes to micro-innovation, many people think that through bit by bit of improvement, the accumulation of little things will make more, and the accumulation of small things will make a difference, and the change from quantity to quality can be completed.However, to change the market structure, micro-innovation must start from an unpopular place, from a corner that big companies don't pay attention to.Carrying out micro-innovation in hot spots cannot reach the other side of revolution. After Jobs returned to Apple in 1997, he also made micro-innovations on popular personal computers in the first three years.For example, he designed some colorful casings for Macintosh, which attracted attention for a while, but he was not successful. He sold personal computers but failed to sell Dell, and sold systems that failed to sell Windows.No way, Jobs had to start with the MP3 player that big companies looked down upon. Starting with the iPod in 2001, Jobs led Apple back on the road of entrepreneurship. An iPod is an MP3 player.For big companies like Microsoft and Dell, MP3 players have no future and no value. Looking at it with hindsight, Jobs actually fought a flanking battle when he made the iPod, avoiding the main battlefield of mainstream competitors at the time, and achieved the goal of subverting the market through micro-innovation. Now, Jobs and Apple have become the objects of admiration for many people, and everyone has begun to imitate Jobs in making mobile phones, AppStore (application store), and various "Pads".But Qi Baishi once said: "Those who learn from me live, those who imitate me die." On the surface, plagiarizing the business model seems to be the most labor-saving, but simple plagiarism is sure to die, and only those who really learn the essence can survive.Therefore, if you want to learn from Jobs, you must learn his essence, and you must start with the iPod.To learn from Jobs mechanically is definitely a waste of money. Now, everyone thinks that the AppStore is a stroke of genius, but the root of the AppStore is iTunes (a digital media playback application)-since you can sell songs on iTunes, why can't you sell software and games on the AppStore?Jobs' strategy is not a strategy of big strides, he is going step by step, and each step is constantly capturing the current user needs and market conditions. Like every entrepreneur, Jobs must have no strategy at the beginning when he entered this unknown field.Some consulting companies do strategic planning, which is often aimed at a mature industry, and is a summary and improvement of an existing mature routine.However, when entering an unknown field, you must cross the river by feeling the stones at the beginning. Everything is unknown, so you have to rely on your own experience and intuition to grasp every step. For Apple, this intuition and experience is the successful experience of making 100 million iPods, and the failure lessons it has accumulated over the years when it is making Apple computers.Therefore, until Apple makes the iPhone, the strategic planning model of the consulting firm will not be effective. Prior to this, Apple was groping without any strategy.Qihoo 360 is the same, everything is done and then summarized.