WeChat small program operation and promotion offer and cost: analysis of the value and strategy behind the

I. Factors affecting the offer

(i) Breadth and depth of service lines

1. Basic services
   • Small program basic setup and optimization: including registration, authentication, page layout design, basic function configuration of the small program. This part of the service is relatively more basic, and the cost is usually relatively fixed within a certain range, which may generally range from several thousand dollars to one or two million dollars, depending on the complexity of the small program and the requirements of the initial setup.
   • Daily operation and maintenance: covering content update (such as article release, product information update, etc.), data backup, and simple response to user inquiries. The monthly cost is about a few thousand dollars, mainly to ensure the normal operation of the small program and the timeliness of the information.
2. Core Operational Services
   • User operation: involves the development and implementation of strategies for user recruitment, retention and activity. For example, attracting new users by formulating accurate user profiling and promotion strategies, improving user retention by utilizing membership systems and point systems, and planning interactive activities to enhance user activity. The cost of this part of the service varies depending on the complexity of the strategy and the size of the target users, and may range from tens of thousands of dollars to over one hundred thousand dollars per month.
   • Marketing promotion: includes social media promotion, search engine optimization (SEO), advertising and other means. Social media promotion, such as WeChat circle of friends ads, public number cooperation promotion, etc., the cost depends on the scope of advertising, duration and the expected results, which may range from a few thousand dollars to tens of thousands of dollars or even higher. SEO optimization is a long-term process, and the cost is usually calculated on a monthly basis, which may be in the range of thousands of dollars to about 10,000 yuan per month, depending on the degree of competition for the keywords and optimization goals. The cost of advertising varies widely, and may range from tens to hundreds of thousands of dollars per month, depending on platform choice (e.g., WeChat ads, Baidu ads, etc.), form of placement (display ads, search ads, etc.), and budget size.
   • Data analysis and report: in-depth analysis of user behavior data, traffic data, transaction data, etc. of the applet to provide a basis for operational decision-making. Data analysis service fees are generally charged on a monthly basis, and may range from thousands of dollars to tens of thousands of dollars per month, depending on the depth and breadth of the analysis. A professional data analysis team can provide more detailed and accurate reports and targeted recommendations, and the fee will be relatively higher.
3. value-added service
   • Customized development: If the enterprise has special functional needs or personalized design requirements for the small program, customized development is required. This part of the cost is estimated according to the development workload and difficulty, which may range from tens of thousands of dollars to hundreds of thousands of dollars. For example, the development of an e-commerce applet with unique features, such as live banding function, personalized recommendation system, etc., the development cost will be relatively high.
   • Activity planning and execution: planning large-scale online or offline activities for special festivals, new product launches, and so on. The cost of activity planning depends on the scale and complexity of the activity, generally between tens of thousands of dollars to over one hundred thousand dollars. Activity execution costs also include venue rental, material production, personnel costs, etc. The specific amount depends on the actual situation of the activity, which may increase the total cost significantly. For example, to organize an offline small program promotion event, the venue rental, stage construction, actor invitation and other costs may require tens of thousands of dollars or even more.

(ii) Target audience and market size

1. Target Audience Characteristics
   • If the target audience of the mini-program is a specific segment or high-end people, then the operation and promotion may be relatively more difficult, requiring more precise marketing strategies and higher quality content creation to attract the attention and participation of the target audience. For example, a small program targeting high-end luxury consumers needs to be more refined and high-end in brand image building, content planning and promotion channel selection, which will lead to higher operation and promotion costs, and the offer will be increased accordingly. On the contrary, if the target audience is the mass market, the promotion strategy may be relatively more extensive and generalized, the cost is relatively low, and the offer will be relatively more affordable.
2. Market size and degree of competition
   • The size and intensity of competition in the market where you are located have a significant impact on the offer. In highly competitive markets, such as e-commerce and restaurant industries, more resources need to be invested in promotion and marketing to compete for user share in order for the applet to stand out. This may include higher advertising budgets, more frequent promotions, and more in-depth market research and analysis, which leads to an increase in operational and promotional costs and a corresponding increase in the quoted price. In some relatively niche or emerging markets with less competition, the promotion cost may be relatively lower, but at the same time, more efforts need to be invested to cultivate the market and users, and the quoted price will be adjusted according to the actual situation.

(iii) Extension cycle and expected impact

1. Length of rollout cycle
   • Short-term promotions (generally referred to as 1 - 3 months) are usually designed to quickly increase the visibility and traffic of the applet, and may involve intensive advertising and marketing activities with relatively high costs. For example, a short-term intense promotion during a specific promotion to quickly attract users' attention and purchase. The offer for short-term promotion may be relatively high as it requires mobilizing a large amount of resources within a short period of time and achieving significant results.
   • Long-term promotion (more than half a year or even a year, two years, etc.) focuses more on continuous user growth and brand building, and the cost will be relatively smoother, but the overall cost may be higher, as it requires continuous investment of resources for operation and maintenance, content update and user relationship management. Quotes for long-term promotions may offer certain discounts or concessions depending on the service period, but in the long run, the total cost may exceed that of short-term promotions. For example, signing a one-year operation and promotion contract, the monthly cost may be relatively low, but the total cost for one year will be higher than the sum of the cost of several months of short-term promotion.
2. Setting of expected results
   • If the enterprise's expected results of the operation and promotion of the small program are high, such as the hope of achieving a large number of user growth in a short period of time, a significant increase in sales or a significant increase in brand awareness, then the operation and promotion team will need to take a more active and innovative strategy and invest more resources, which will inevitably lead to an increase in the cost, and the price quote will be increased accordingly. For example, if an enterprise requires to double the number of users of a small program within a month, it may need to increase advertising efforts, carry out large-scale marketing activities and more in-depth user operations, which all require more budget support, thus making the offer rise. On the contrary, if the expected results are relatively more conservative and gradual, the costs and quotes will be relatively lower, but the time to realize the expected results may be longer.

(iv) Team experience and professionalism

1. Operation Team Qualification
   • Professional operation teams with rich experience and good reputation can usually provide higher quality services, but the charges will also be relatively high. These teams may have years of experience in operating and promoting WeChat applets, and are familiar with market dynamics and user needs in various industries, and are able to develop more effective operation strategies and promotion programs. They have professional skills and knowledge in user operation, marketing and promotion, data analysis, etc., and can better help enterprises achieve the goals of small programs. For example, the service offer of an operation team composed of senior marketing experts, data analysts and technicians may be a certain percentage higher than that of a general team because their professional ability and experience can bring more value to the enterprise.
2. Success Stories and Industry Reputation
   • The successful cases and industry reputation of the operation team are also important factors affecting the quotation. If the team has numerous successful cases of WeChat small program operation and promotion and enjoys a high reputation in the industry, their offer may be more competitive, but at the same time, it will be relatively high. Enterprises are often more willing to choose teams with successful experience because it means they are better able to cope with various problems and challenges in actual operation and improve the success rate of small program operation and promotion. For example, a team that has successfully operated several small programs of well-known brands and achieved remarkable results may charge relatively high fees based on their successful experience and reputation when providing services to new clients, but the clients are also more likely to get satisfactory results.

(v) Modes of cooperation and fees

1. Fixed cost model
   • Enterprises pay the operation and promotion team service fees according to the agreed fixed monthly or annual amount. In this mode, the offer is relatively clear, and the enterprise can budget the operation cost in advance, but the earnings of the operation and promotion team have a relatively weak correlation with the actual operation effect of the small program. The amount of the fixed fee is determined according to the scope and depth of the service program, the scale and professional level of the team and other factors, usually ranging from tens of thousands of dollars to hundreds of thousands of dollars per month. For example, a medium-sized operation and promotion team providing comprehensive WeChat small program operation services for enterprises, including basic operation, user operation, marketing and promotion, and data analysis, etc., may have a fixed fee of about 50,000 yuan per month.
2. commission model
   • The operation and promotion team extracts commission as compensation according to a certain percentage based on the actual performance of the small program (such as sales, number of user growth, etc.). Under this model, the earnings of the operation and promotion team are directly linked to the operation results, which can motivate them to be more active in improving the performance of the applet, but for enterprises, the cost is somewhat uncertain, especially in the early stage of operation. The commission rate is usually between 5% - 20%, which is determined according to the industry characteristics, operation difficulty and mutual negotiation. For example, for an e-commerce mini-program, the operation and promotion team withdraws commission according to 10% of the sales, if the mini-program achieves one million yuan of sales in a month, then the team will get 100,000 yuan of commission income.
3. hybrid model
   • Combining the characteristics of fixed fees and commissions, the enterprise pays a certain basic service fee, while giving the operation and promotion team a certain percentage of commission rewards according to the performance of the small program. This model balances the interests of the enterprise and the operation and promotion team to a certain extent, which ensures that the team has a certain amount of basic income, and also incentivizes them to gain additional income by improving their performance. The offer structure under the hybrid model is relatively complex and needs to be determined by comprehensive assessment and negotiation on a case-by-case basis. For example, the enterprise pays 20,000 yuan per month for basic services, while giving the team commission incentives in accordance with 5% of the sales of the small program.

II. Breakdown of cost components

(i) Labor costs

1. Project Team Formation
   • Project Manager: responsible for the planning, coordination, supervision and management of the entire small program operation and promotion project to ensure that the project is completed on time and in good quality. The Project Manager needs to have rich project management experience, good communication and coordination skills and in-depth understanding of WeChat applet operation and promotion. Their salary level is relatively high and may be around 10,000 - 20,000 RMB per month, depending on the region and experience.
   • Operation Specialist: responsible for the daily operation of the small program, including content update, user interaction, activity planning and execution. Need to have good copywriting skills, activity planning skills and user operation experience. The salary of operation specialist is about 6,000 - 12,000 RMB per month.
   • Marketing planner: develop marketing and promotion strategies for small programs, including advertising plan, social media promotion plan, marketing cooperation activities, etc. Need to have keen market insight, innovative marketing thinking and rich marketing experience. The monthly salary of marketing planners is usually around $8,000 - $15,000.
   • Designer: Responsible for the interface design, advertisement material design, activity page design, etc. of the small program to ensure that the small program has good visual effect and user experience. Designer's salary varies depending on his/her skill level and experience and may range from $7,000 - $15,000 per month.
   • Development Engineer (if there is a need for customized development): If the applet needs to be upgraded with features, customized development, or bug fixes, the Development Engineer will be responsible for the related technical development tasks. The salary of a development engineer is relatively high and may be $10,000 - $20,000 per month or even higher depending on his/her skill level and experience.
   • Data analysts: collect, analyze and interpret user data and operation data of small programs to provide data support for operation decision-making. Data analysts need to have data analysis skills and knowledge of statistics, and the monthly salary is roughly between $8,000 - $15,000.
   • Customer service staff (if needed): responsible for answering user inquiries and complaints, providing quality customer service, and maintaining the good image of the applet. The salary of customer service staff is relatively low and may be around $4,000 - $8,000 per month.
   • Depending on the size and complexity of the project, the number of team members configured will vary. Generally speaking, a complete WeChat small program operation and promotion team may include around 5 - 10 people. Labor cost is one of the main components of operation and promotion expenses, accounting for about 40% - 60% of the total expenses.
2. Personnel training and upgrading
   • In order to maintain the professionalism and competitiveness of the team, the operations and promotions team needs to train and upgrade their staff on a regular basis. This includes attending industry seminars, training courses, and learning new marketing techniques and tools. Training costs can range from a few thousand dollars to tens of thousands of dollars per person per year, depending on what and how the training is delivered. While these costs are not a direct labor cost expense, they do indirectly affect the total cost of operation and promotion.

(ii) Technology and tooling costs

1. Small program development and maintenance tools
   • Small program development frameworks and software: such as WeChat developer tools, which are usually free to use, but may require the purchase of some plug-ins or extensions to meet specific development needs, and the cost may be in the thousands of dollars per year.
   • Server Rental and Hosting: Small programs need to run on a server, and the cost of server rental depends on factors such as server configuration, bandwidth and storage space. Generally speaking, the monthly rental cost of a moderately configured server is between $500 - $2000. If a higher performance server or professional hosting service is required, the cost will increase accordingly.
   • Domain name registration and filing: the domain name is the access address of the small program, and the annual cost of registering a domain name usually ranges from tens of dollars to hundreds of dollars. At the same time, a domain name filing may also require certain fees and time costs.
   • Security protection software and services: In order to ensure the safe operation of small programs and prevent data leakage and hacking, you need to purchase security protection software and services. The cost may be around several thousand dollars to ten thousand dollars per year, depending on the level of security protection and needs.
2. Marketing and Data Analytics Tools
   • Social media advertising platforms: such as WeChat advertising platforms, Weibo advertising platforms, etc. Advertising on these platforms requires recharging a certain amount of advertising fees, depending on the budget and strategy of advertising. In addition, some advertising platforms may charge a certain handling fee or service fee.
   • Data analysis tools: such as Baidu Statistics, Youmeng, etc., are used to collect and analyze user data and traffic data of small programs. These tools usually offer free and paid versions, with the paid version being more powerful, and the cost depends on the features used and the amount of data, which may range from a few hundred to several thousand dollars per month.
   • Marketing Automation Software: Helps companies automate their marketing processes, such as email marketing and SMS marketing. The cost of the software depends on the features used and the number of users, and can range from tens of thousands of dollars to over a hundred thousand dollars per year.
   • SEO optimization tools: used for keyword research, website ranking monitoring, and other SEO optimization efforts. The cost of these tools can range from a few thousand dollars to around 10,000 dollars per year.
   • Design software: e.g. Adobe Photoshop, Illustrator, etc. for designing the interface and advertising materials of the applet. The software usually requires the purchase of a genuine license, and the cost, depending on the software version and the method of licensing, may range from several thousand dollars to tens of thousands of dollars per year.

(iii) Advertising and promotion costs

1. Social Media Ad Placement
   • WeChat Friend Circle Ads: WeChat Friend Circle Ads are a common way of promotion, and the cost of the ads depends on the scope of the placement, the target audience, the form of the ads (pictures, videos, text chains, etc.), and the time of the placement, among other factors. Generally speaking, the price per thousand exposures ranges from tens to hundreds of dollars, while the cost of clicks depends on the advertiser's bid and competition. If a business wishes to conduct large-scale friendzone advertising, monthly advertising costs can range from tens to hundreds of thousands of dollars.
   • WeChat public number advertising: Companies can place advertisements on WeChat public numbers that match their target audience, and the cost depends on the number of followers of the public number, the number of readers, the location and form of the advertisement, and other factors. The cost of advertising in a public number article may range from a few thousand dollars to tens of thousands of dollars, depending on the influence of the public number and the effectiveness of the advertisement.
   • Advertising on other social media platforms: In addition to WeChat, companies can also advertise on social media platforms such as Weibo, Jittery, and Xiaohongshu. The charging methods and prices of advertisements on these platforms are also different, such as Weibo's Fanpass ads and ShakeYin's Dou+ ads, etc. The cost depends on the characteristics of the platforms and the advertisement placement strategy, and the monthly advertisement cost may range from thousands of yuan to tens of thousands of yuan.
2. Search engine advertising (if required)
   • If a business wishes to promote a small program through a search engine, such as placing a search ad on Baidu, it will need to pay a fee. Search engine advertising is usually charged on a pay-per-click (CPC) basis, which means that businesses need to pay when a user clicks on an advertisement. The bidding price of keywords depends on the degree of competition and the heat of the keywords, generally speaking, the cost of each keyword click ranges from a few dollars to tens of dollars. Enterprises need to set reasonable keyword bids and advertising strategies according to their budgets and promotion goals. Search engine advertising is relatively expensive, and monthly advertising costs may range from tens of thousands of dollars to over a hundred thousand dollars, depending on the scope of advertising and the degree of competition.
3. Costs of offline promotional activities (if there is a need for offline promotion)
   • Ground promotion activities: including venue rental, personnel costs, production of promotional materials (such as flyers, posters, gifts, etc.) and other costs. Venue rental costs vary depending on the location and time of the event, generally ranging from a few thousand dollars to tens of thousands of dollars. Personnel costs include the salary and commission of the ground promotion staff, which may range from a few hundred dollars to thousands of dollars per person per day. The cost of producing promotional materials depends on the type and quantity of materials, and may range from a few thousand dollars to about ten thousand dollars. The total cost of a geo-promotional activity may range from tens of thousands of dollars to over one hundred thousand dollars, depending on the scale and scope of the activity.
   • Offline advertising: such as placing advertisements in shopping malls, subway stations, bus stops, etc. The cost depends on the location of the advertisement space, its size, the time of placement and the form of the advertisement (e.g., posters, light boxes, videos, etc.). The rental cost of advertising space is high, for example, the cost of placing a poster advertisement in a busy shopping mall in a first-tier city for one month may range from tens of thousands of dollars to more than one hundred thousand dollars. The total cost of offline advertising varies greatly depending on the location and number of spots placed, and may range from tens of thousands of dollars to hundreds of thousands of dollars or more.
   • Event sponsorship: Companies can promote offline by sponsoring industry events, exhibitions, tournaments and other means. The cost of sponsorship depends on the scale, influence and form of sponsorship of the event, which may range from tens to hundreds of thousands of dollars. Sponsoring an event can increase an enterprise's brand awareness and exposure, as well as enable face-to-face communication and interaction with the target audience.

(iv) Content creation and operating costs

1. Copywriting and editing
   • Writing quality content for small programs, including product descriptions, articles, event copy, etc., requires a professional copywriter. The cost of copywriting depends on the difficulty, length, and volume of the content. An average product introduction copy may be around a few hundred dollars, while an in-depth industry article may cost thousands of dollars. If a business requires a lot of content updates, the cost of copywriting may range from several thousand dollars to ten thousand dollars per month. In addition, editorial staff may be needed to review, proofread and optimize the copy, and the cost of editorial staff salaries will need to be factored into the cost of content creation and operation.