Jingdong Will Upgrade The First Level Entry On Wechat Before And After Eleven.

On August 14th, Jingdong released its second quarter earnings in 2019. Data show that Jingdong's net revenue in the second quarter was 150 billion 300 million yuan, an increase of 22.9% over the same period last year. Net profit attributable to common shareholders under non US general accounting standards (Non-GAAP) was 3 billion 600 million yuan, an increase of 644% over the same period last year.

Subsequently, Jingdong held a conference call on earnings. At the meeting, Liu Qiangdong, chairman and CEO of Jingdong's board of directors, said that there were two main reasons for the second quarter profit. First, the distribution of business in the past few years began to be profitable or even profitable. For example, Jingdong logistics, after years of investment, also ushered in a break even point. Secondly, Jingdong logistics has entered the three to six line cities from four years ago. In the past few years, the cost of the business has been relatively high in the three to six tier cities. But now a large number of orders have come in and quickly translate the cost, so it also leads to a continuous decline in the cost of performance.

It is worth mentioning that, Jingdong CMO Xu Lei revealed at the meeting that in the second half of the year, specifically before October 1st, it will upgrade the resources of WeChat level entry with Tencent, and create a new model for WeChat ecology, especially for women and low line markets. Xu Lei said that this way will use the "low button" approach to attract business participation and richer products to meet the needs of consumers in low tier cities.

According to the media, in July, Jingdong announced that the investment promotion policy was fully upgraded. It is about to access the 1 billion level traffic of WeChat's first level entry, fully open the investment category and reduce the use fee of the platform. In the future, it will rely on the newly upgraded purchase business to create a new social networking platform.