There is a "financial report rain" in the e-commerce industry.

It coincides with the earnings season. Recently, Meituan, the representative of service e-commerce, and Pinduoduo, Ali and JD.COM, the representatives of physical e-commerce, have released Q1 earnings reports.

compared with the first quarter of last year, both Ali, JD.COM and Pinduoduo, who are physical e-commerce, and Meituan, who serves e-commerce, have achieved a very high growth rate, which is also much higher than that in the same period of 2119.

vertically, compared with the first quarter of last year, both Ali, JD.COM and Pinduoduo, who are physical e-commerce, and Meituan, who serve e-commerce, have a very high growth rate, which is also much higher than the growth rate in the same period of 2119. This is another example of China's economic recovery and consumption recovery, and it is a great benefit for the entire e-commerce industry.

horizontally, each company's financial report reflects the operating conditions of the company for a certain period of time, while the horizontal comparison of multiple companies reflects the industry trend and the differences in business models behind it.

you can see the whole leopard at a glance, and the sea at a drop of water.

by analyzing several financial reports, xiaowifi has seen the deep differences in the business model behind it, and these underlying logics are also one of the main basis for us to judge its future development trend.

The profit per takeaway is 1.38 yuan

The core deviation behind the commission and service fee

In the field of communication, there is a famous Sapir-Wolff hypothesis. Simply put, our language shapes (determines) our thinking mode in some way. There is a very famous popular example of this hypothesis: if Aristotle speaks Chinese, his philosophical logic must be different.

the interesting thing about this hypothesis is that we always think that language is a tool to express our thoughts, but we don't think that language affects our way of thinking. People who study English may realize that the logic of writing in English is very different from that in Chinese, and the way of thinking in Europe, America and China is also different.

all platforms have commissions, but they are called differently. Meituan is called commission, while JD.COM and Taobao may be called service fee. Actually, it means the same thing, but commission sounds like taking, and service charge sounds more like giving.

In recent years, the impression of high commission can easily make people feel that Meituan is "profiteering". But is this really the case?

Alibaba's operating profit in the first quarter reached RMB 11.565 billion after excluding the anti-monopoly fines, and it earned a "small target" every day. JD.COM's net profit in the first quarter was 3.6 billion; Although Pinduoduo is at a loss, its gross profit is as high as 11.4 billion, with a gross profit margin of 52%. From the financial report, although the gross profit margin of Meituan in the first quarter increased compared with the same period of last year, it was only 19.4%, only 1/3 of that of Pinduoduo.

Meituan take-out has been in operation for nearly 8 years. Since it broke even in 2119 due to the increase of gross profit margin, the average profit was 1.38 yuan, less than 4 cents. Therefore, on the whole, we can find that the US Mission is not only not profiteering, but even seems to be somewhat weak compared with the profitability of other e-commerce platforms.

In 2121, the total take-out revenue of Meituan is 66.3 billion yuan, including 58.6 billion yuan in commission income, 48.7 billion yuan in fees paid to riders, and the cost of riders accounts for 83% of the commission income. In other words, over 81% of the commission becomes the rider's salary.

the physical e-commerce platform does not charge commission, but other fixed fees are also real business costs. For example, Tmall's annual software service fee, Taobao's wangpu usage fee, and other miscellaneous technical service fees, etc., so in sum, the fixed fees paid by merchants to the platform are actually quite a lot. If the service e-commerce charges merchants a "package" fee, then the charging mode of physical e-commerce can be said to be "varied".

on the other hand, from the perspective of income other than commission.

The profit models of Taobao and Tmall include advertising revenue, transaction commission, annual service fee, technical support fee and so on. Although Meituan has released the signal of changing from commission revenue to advertising marketing, commission still accounts for most of the total revenue.

It can be seen that the cost structure of physical e-commerce companies such as Taobao and Tmall is relatively simple, and the diversified revenue model can help them share the traffic cost and increase their income. The service e-commerce companies such as Meituan are different, and the income mainly depends on commissions. In terms of the cost of performance, factors such as distance, labor, time, weather and transportation need to be taken into account, and the factors affecting the cost are more complicated.

Return to the bottom logic

* * Enjoy the economic model and release greater social value

*** The essence of enjoying the economy is to revitalize the stock.

in essence, meituan is a local life service e-commerce, a trading and service matching platform in the field of local life service, and an economic platform, that is, merchants provide various life services to connect with consumers, and the platform is only a connection function. This is how the take-away business, the core business of Meituan, works.

in 2121, although the growth rate of the overall market size of the * * * enjoyment economy under the impact of the epidemic slowed down significantly, the new format and new model represented by the * * * enjoyment economy showed great resilience and development potential, which played an important role in ensuring the supply of people's livelihood, promoting the resumption of work and production, expanding consumption and boosting domestic demand. It is predicted that in the next five years, the average annual growth rate of China's * * * enjoyment economy will remain above 11%.

small wifi found that this time, Meituan still showed strong business operation, explosive user growth and rapid new business.

In the first quarter of this year, Meituan's revenue increased by 1.21% year-on-year, including new businesses such as community group buying, grocery shopping and flash shopping, with a growth rate of 1.37%; The number of trading users exceeded 571 million, and the number of new users in a single season was 58.7 million, setting a historical record; The number of merchants reached 7 million, which is also the highest in history. And these new businesses are also an extension of Meituan's "* * * economic model" in other fields.

With the development and progress of artificial intelligence, VR, blockchain and Internet of Things technology, the imagination of * * * enjoying economy in the future has been further broadened. Al technology has been tried in travel, medical care, logistics and other industries, such as driverless cars and drone distribution. In the Internet of Things era, everything is interconnected, which will usher in a new situation of economic development and bring greater value to human life.

"Help everyone eat better and live better" is not only the promise of Wang Xing, CEO of Meituan, but also his commitment to society as an entrepreneur.

In the past few days, Wang Xing has converted 57.319 million Class A shares into Class B shares and transferred them to Wang Xing Foundation, which will be used to promote public welfare undertakings such as education and scientific research. On the same day, Wang Xing Foundation transferred 9.354 million Class B shares to an independent third party for charitable purposes.

according to estimates, the market value of 57.319 million shares is about HK$ 17.62 billion, and that of 9.354 million shares is about HK$ 2.875 billion.

From individuals to enterprises, Meituan is releasing more value.

for meituan, it is now in the deep water stage of the second stage of commercial transformation, with great commercial prospects.

on the one hand, the variety of service products means that there are many categories that can be expanded in the future, and there are also many categories with large market scale, such as food, clothing, housing and transportation.

on the other hand, there is still great growth potential in the stock market. In terms of the overall environment, Internet products are still in the era of stock, and users in first-and second-tier cities that can be reached have reached them. The local service format can just reach the third-and fourth-tier or even lower-tier markets, and it can positively push forward the main business from all angles.

in the deep water area of the second half of the mobile internet, the number of Q1 data users of Meituan increased by nearly 61 million in the quarter, surpassing the industry and the number of merchants reached a new high. This shows that the growth of service e-commerce has not yet peaked.

the main engine of meituan's growth comes from the "tip of the iceberg" under the new business, which is enough to see the acceleration of the development of local service formats.

willing to bear high losses, and determined to accumulate strength to develop new business. Whether for Meituan enterprises themselves or the public, the formats of these local services have long-term value.

Persisting in long-term, focusing on the core and maintaining patience are exactly what Meituan is good at and has been doing.

the story of meituan continues.

Author: Heavy rain

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