The First Quarter Revenue Of Pinduoduo Was 22.167 Billion Yuan, And It Was Invested In The Construction Of Agricultural Infrastructure And Logistics

? ? ? On May 26, pinduoduo released its first quarter financial report of 2021. According to the financial report, pinduoduo's first quarter revenue was 22.167 billion yuan, up 239% from 6.541 billion yuan in the same period last year. Under the non general accounting standards, the net loss attributable to common shareholders of the platform in the first quarter was RMB 1890.3 billion, which was significantly narrowed compared with the net loss of RMB 3.169.6 billion in the same period of last year.

? ? ? Among them, pinduoduo's revenue growth is mainly due to the strong growth of online marketing technology service revenue. In the first quarter, the platform's online marketing technology service revenue was 14.115 billion yuan, an increase of 157% over the previous year“ As we continue to grow in size, we are more capable and more responsible to fulfill the mission of "inclusive." Chen Lei, chairman and chief executive officer of pinduoduo, said that pinduoduo is not only a platform to promote the trading of goods and services, but also is constantly thinking about mobilizing resources and influence to bring more help to the society.

It is worth noting that as of March 31, 2021, the annual number of active buyers of pinduoduo has reached 8238.8 million, a net increase of 195.7 million over the same period of the previous year, leading other domestic e-commerce platforms for the second consecutive quarter“ Pinduoduo is committed to long-term value creation, and its ever expanding scale has enabled us to fulfill the mission of "inclusive" Chen Lei predicted that in the next five years, pinduoduo will continue to cooperate with local governments and agricultural institutions to increase technical training for farmers, enable agricultural production with technology, and help rural revitalization.

Entering the era of 800 million users

Previously, by the end of 2020, pinduoduo's annual number of active buyers reached 788.4 million, surpassing Alibaba's 779 million annual active consumers. For the first time, pinduoduo became one of the domestic e-commerce giants with the largest user scale in China for the first time. Meanwhile, the number of active merchants on the platform has increased from 5.1 million in 2019 to 8.6 million, with an increase of 69%.

On this basis, pinduoduo still maintained a user growth rate of more than 30% year-on-year in this quarter, and continued to expand its leading edge.

Under the background of the sustained recovery of the domestic consumer market, in the first quarter of 2021, the average monthly active users of pinduoduo app reached 724.6 million, up 49% from 487.4 million in the same period of last year, and the index of monthly live / annual buyers continued to grow, from 78% in the first quarter of 2020 to 88% in the first quarter of 2021. Both the user scale and stickiness maintained a rapid growth.

More and more global first-line brands choose to settle in pinduoduo. In the last quarter, the business scale of pinduoduo platform exceeded 8.6 million, and continued to maintain rapid growth in this quarter. The official flagship stores of pinduoduo's "10 billion subsidy" brand increased by more than 10 times compared with last year. Among them, the growth of digital appliances, beauty clothing and other brands was the most obvious, with more than 600 new flagship stores of small home appliance brands alone.

With the strong support of platform merchants, brand merchants, service providers and other ecological partners, the number of active users of pinduoduo's "10 billion subsidy" channel has exceeded 100 million, and more than 10 million people put together orders every day, effectively meeting the needs of the largest number of users in China for a better life.

In order to meet the diverse needs of the majority of users, pinduoduo continued to increase the subsidies and coverage of high-quality goods in this quarter. In the first quarter, the platform spent 12.997.4 billion yuan on sales and marketing, an increase of 78% compared with 7.296.6 billion yuan in the same period of last year.

At the same time, the industry pointed out that the rapid rise of pinduoduo's user scale is inseparable from its "10 billion subsidy" strategy. According to questmobile data, in the past year, the monthly average Mau of the whole network increased by 13.03 million, with an average monthly growth rate of 1.7%. In contrast, the average monthly active growth rate of pinduoduo app is 28.8 times that of the whole network.

Pinduoduo's "10 billion subsidy" strategy started in June 2019, which brings more affordable big brand products to the majority of user groups through the platform direct subsidy. Driven by the "10 billion subsidy", pinduoduo's total revenue will reach 59.491.9 billion yuan by 2020, up 97% year on year; The annual turnover (Gmv) was 1667.6 billion yuan, up 66% year on year.

At present, the "10 billion subsidy" has become the top channel of pinduoduo. Every day, more than 10 million people choose products from the 10 billion subsidy, covering digital, beauty, fresh food, household appliances, clothing and other rich categories, providing a large number of large brand authentic products. The scale of the promotion is equivalent to 142 Beijing SKP shopping malls holding store celebrations at the same time.

The 10 billion subsidy has also obviously played a "baton" role for pinduoduo. It is different from the temporary or seasonal promotion activities of e-commerce festivals such as June 18 and double-11. It guides the commodity category structure of the platform through long-term subsidies, and behind it is the screening of business levels, so as to guide more young users to consume through the channel of 10 billion subsidies. This group is the main buyer of brand goods.

Recently, the 10 billion subsidy also celebrated its second anniversary. According to the person in charge of pinduoduo's 10 billion subsidy, in addition to continuing efforts to subsidize fresh agricultural products, the 10 billion subsidy channel has also opened a new "official cooperation flagship store" entrance. It is understood that the official flagship stores with 10 billion subsidies have increased more than 10 times compared with last year. More and more global first-line brands choose to settle in pinduoduo. In the last quarter, the business scale of pinduoduo platform exceeded 8.6 million.

Take the category of small household appliances as an example. In the first quarter of this year, more than 13000 small appliance stores were added to pinduoduo. According to the person in charge of pinduoduo's home appliance business, nearly 70% of the small home appliance brands on the market have opened flagship stores in pinduoduo. It is expected that by the end of this year, most brands will establish a flagship store system on pinduoduo. For big brand businesses, 10 billion subsidy is a new consumption growth market. Big brand businesses find new consumption increment and provide products to consumers that have not been touched before.

At the same time, pinduoduo officially announced that in order to bring better consumption experience to consumers, it will comprehensively improve the service standard of 10 billion subsidized businesses, thus refining a large number of business groups with ultra-high supply chain toughness and service ability“ We subsidize what consumers need, which is our core value concept. " Pinduoduo's 10 billion subsidy official said.

Re investment in agriculture and logistics

This year, fresh agricultural products have become the leading role in the "10 billion subsidy". Pinduoduo will implement regular subsidies for fresh fruits, agricultural and sideline products, meat, poultry and eggs, etc.

At present, for fresh fruits, agricultural and sideline products, meat, poultry and eggs and other livelihood products, "10 billion subsidy" has been implemented. Hainan Feizixiao litchi, Shandong big cherry, Enshi small potato and other fresh vegetables in the current season were all given subsidies ranging from 5 to 20 yuan (per Jin). In addition to fresh season, imported tropical fruits such as durian and Mangosteen from Thailand are subsidized to the best price of the same kind.

"With the transfer of national consumption habits to online, users' online shopping demand gradually covers all categories, and agricultural products are one of the biggest growth points. Therefore, the "10 billion subsidy" has been adjusted to cover the "rice bag" and "vegetable basket" in an all-round way Pinduoduo's 10 billion subsidy official said.

In 2020, Gmv of agricultural products will exceed 270 billion yuan, doubling the scale year on year. After the epidemic, users gradually get used to buying vegetables online, which is a kind of purchase behavior that does not need to spend time cultivating.

The report on the development of China's consumer market in 2020 issued by the Research Institute of the Ministry of Commerce points out that under the background of new consumption leading the domestic big cycle, pinduoduo has reshaped the "Internet + agriculture + consumption" industrial chain, and has created a high-speed road of "agricultural products upward" with the core mode of "joint purchase + direct delivery from production areas" to match the current situation of China's scattered small-scale farming.

In addition, science and technology give farmers more bargaining power in the market. Up to now, pinduoduo has directly driven more than 100000 new farmers across the country to return home for employment, and will continue to train 100000 new farmers in the next five years. Only when the benefits of farmers and rich farmers return to farmers, they will be more willing to invest in sustainable agriculture.

It is worth mentioning that at the historic moment when this year's fight against poverty has won a comprehensive victory, pinduoduo, as a representative of Internet enterprises, was awarded the highest standard of "national advanced collective for poverty alleviation".

In the performance teleconference after the release of the financial report, Chen Lei said that pinduoduo, as China's largest agricultural products uplink platform, is also an infrastructure platform focusing on agricultural products. "We hope consumers have healthier and more environmentally sustainable eating habits, and also hope to further improve all aspects of the agricultural industry chain.".

Pinduoduo is cooperating globally to solve future food problems, he said. Not long ago, pinduoduo has cooperated with the Singapore Institute of food and Biotechnology Innovation (sifbi), a * star, to study the effects of plant meat on human health. Researchers at the Institute will conduct a series of tests on subjects to analyze the effects of replacing traditional animal proteins with plant proteins on nutrition and health in different periods of time. The study is the first study of a new type of plant meat.

This is not pinduoduo's first scientific research cooperation project. Chen Lei revealed that a year ago, pinduoduo launched another agricultural research project to develop a more portable and lower cost pesticide residue detector. The project is committed to improving food safety and quality, thereby benefiting many people.

At the same time, pinduoduo is also thinking and exploring the logistics information system and infrastructure. More than a third of China's parcels last year came from pinduoduo, which has expertise in the design of complex technical systems, Chen said“ We have developed and optimized the algorithm design, data analysis and cold chain logistics, and applied for some patents. We hope to promote them in practice and help logistics providers improve efficiency and reduce costs. "

It is reported that pinduoduo is based on advanced algorithms and data analysis to track, locate and manage parcel flow more dynamically, and design a logistics architecture with faster response. In 2018, the logistics electronic bill system launched by pinduoduo has become the second largest electronic bill system in China and even in the world in a short time. Since 2019, the company has further increased its R & D investment in the logistics infrastructure system. According to the information on the official website of the State Intellectual Property Office, pinduoduo has obtained patents on false waybill identification, logistics effectiveness evaluation, warehousing interception and storage method, device and electronic equipment of logistics number segment storage.

In addition, as of March 31, 2021, pinduoduo's cash and cash equivalents and short-term investment amounted to 83.4 billion yuan. Driven by strong revenue, the operating loss and net loss in the quarter narrowed at the same time. According to the financial report, the net loss attributable to common shareholders under non general accounting standards was 1.890.3 billion yuan, significantly narrowed compared with the net loss of 3.169.6 billion yuan in the same period last year.

David Liu, vice president of pinduoduo strategy, added, "we remain focused on serving our users and predicting what they need, and we will continue to involve our users, businesses and partners in all aspects of improving our services."

?