Meituan financial report: making money while burning money

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If we take the decade as a period that Internet enterprises must span , So many enterprises have achieved their goals . For example, we should attack the capital market at the turn of the decade ; Weibo has reopened the video business in the past ten years , Step into the next stage, etc , The meituan, which has been established for ten years, has not fallen behind .

As a latecomer , Meituan only took ten years , Let oneself join the first echelon of Chinese Internet companies . Not long ago , Meituan also announced 2020 Fourth quarter and full year results , Prove your strength to the market again .

While making money , While burning money

According to the financial report ,2020 The annual total income of meituan was RMB 1147.9 One hundred million yuan , a 2019 Year of 975 RMB 100 million year-on-year growth 17.7%; Net income of 47 One hundred million yuan , Year-on-year growth 110.5%, Compared with the previous year, its revenue and profit have made a big leap . And one of , The performance of meituan in the fourth quarter was also particularly brilliant .

Results show that , Total revenue of meituan in the fourth quarter 379.2 RMB 100 million , Year-on-year growth 34.7%, Three consecutive quarters of rapid growth . Combined with the revenue structure , Meituan's two core businesses have improved to varying degrees . In the fourth quarter, meituan's revenue from catering takeout business was 215.38 One hundred million yuan , Year-on-year growth 37%; The operating profit is 8.82 One hundred million yuan , Year-on-year growth 82.7%.

In addition to the rapid growth of catering business , Thanks to the domestic epidemic prevention and control in place , Meituan's wine travel business has also been further improved . Results show that , In the fourth quarter, the revenue of liquor tourism business reached 71.35 One hundred million yuan , Year-on-year growth 12.2%, Driving the liquor tourism business to achieve throughout the year 82 Billion operating profit .

It's not hard to see. , Meituan is in the wine brigade + The catering business is becoming more and more handy , It once again proved the accuracy and long-term grasp of meituan's own strategy . However, even if meituan has good earning power , But it has not kept up with its spending speed , Meituan's large investment in new business also affected its fourth quarter profit .

According to the financial report ,2020 In the fourth quarter of, the loss of meituan's new business also increased from 11 Hundred million yuan is extended to 60 One hundred million yuan , It directly led to the fourth quarter net loss 22.4 One hundred million yuan . One of its new businesses is the most popular community group purchase , Since meituan invested heavily in community group buying in the third quarter , The rate of money burning is accelerating .

New businesses continue to burn money

Not only did meituan burn money on community group buying , The whole community group buying track is extremely crazy , The enterprises that join the community group purchase can be said to only see the investment but not the profit . Whole 2020 year , The public financing events of community group buying reached 19 rise , And they are all heavyweight financing , It also pushed the money burning battle of community group buying to the highest point . And so far , There is still no community group buying platform that can make a full profit .

For the enterprises that join the community group purchase , It is difficult to see your core competitiveness without burning enough money to subsidize . The homepage of almost every group purchase platform , Are heavily subsidized 、 Red envelopes 、 Full minus, etc , Burning money is still an important way for community group buying players to retain users for a long time .

For a hot platform , Burning money is really the quickest way to get the market , The high investment has also brought business and traffic growth to meituan . According to Wang Xing, founder of meituan, who disclosed in the financial report , stay 2020 year 12 month , The single quantity of meituan has broken through 2000 ten thousand / God ; The year-on-year growth rate of meituan's annual trading users in the fourth quarter returned to double-digit growth .

At the top of the flow 、 In the context of hard to find increments , Community group buying has indeed brought a new growth curve to enterprises , And meituan will also pursue the victory . In the financial report, the China US delegation also said , Due to the expansion of community e-commerce , Will continue to record operating losses in the coming quarters , It also further shows meituan's long-term investment in community group buying .

after , Didi and Ali also said before and after , Investment in community e-commerce business “ No upper limit ”. thus it can be seen ,2021 In, the community group buying track will not stop .

The second half exam , What are the advantages of meituan ？

With 2021 The beginning of the year , New players come into play 、 The financing of old players is in place , The community group buying battle also ushered in the second half . But if the first half is a traffic battle , The focus of the second half is the competition between the supply chain system and its own strength , It is also a card battle for the clearance of the community group purchase industry .

Now , The whole industry mainly focuses on the two modes of fresh home and community group purchase , The former buys vegetables with Ding Dong 、 Daily Youxian is represented by , The latter includes meituan optimization 、 Buy more vegetables 、 Orange heart is preferred 、 Thriving optimization 、 Shihui group and other major players . Under the attack of new and old players , What advantages does meituan have ？

First , Continuously optimized infrastructure construction . all the time , Because meituan has a small volume in the e-commerce field , Its supply chain system also needs to overcome , Meituan is also continuously optimizing the supply system of community e-commerce . Its founder Wang Xing also said , At present, meituan is focusing on the new business of warehousing 、 Logistics and supply chain infrastructure , Continuously increase the penetration rate of business .

secondly , Long term empowerment of brand effect . With meituan, a super APP The blessing , Meituan's group buying business has a natural spreading effect in the hearts of consumers , It has laid a solid foundation for community group buying in the early stage . But the future , With the expansion of meituan's local living business and the expansion of platform commodity categories , Its group buying business will also gain long-term traffic advantages .

Last , Consolidation of technical strength . Meituan relies on years of construction and accumulation in the retail field , At present, there are very complete business and data middle offices , It has technical advantages in efficiently responding to business changes and intelligent customer management , Further add chips to the community group buying business .

Community group buying is still full of challenges

thus it can be seen , Meituan is still full of opportunities in the second half of community group buying , However, as a fast-growing business, the community group buying track , In the process of rapid development, a lot of chaos has also arisen , therefore , All the participating enterprises, including meituan, will also face many challenges .

firstly , Higher standards brought about by the continuous improvement of supervision . As major Internet companies enter the community group buying market on a large scale , The order is not standard 、 Illegal operation and other problems are increasingly apparent , This has aroused great concern from all walks of life , Relevant departments also pay more attention to this , In view of its chaos, community group buying has also been introduced “ Nine no ” New regulation .

The improvement of supervision means that the group buying track will continue to be standardized in the future , The platforms entering the bureau also need to be more strict with themselves , Previous “ Low price dumping ” It will also be difficult to implement the customer acquisition behavior , once “ Plucking wool ” Act no longer , Platforms will also fall into user crisis . therefore , Players will undoubtedly have to show greater sincerity to attract consumers .

second , The market squeeze caused by offline shopping will not disappear . Even if the community group purchase has a certain impact on the offline market , However, offline stores and small vendors have their own unique flexibility and convenience , The main consumers are the middle-aged and the elderly , It is also a crowd that is hard to get on the online platform .

And in a short time , It is impossible for community group buying to replace small vendors , Platforms still need high investment to cover offline channels . therefore , When the price advantage between community group purchase platforms is not obvious , Offline will still have a certain impact on community group buying .

No matter what industry it is , A truly healthy business model should not rely on subsidies , In the long run, the unhealthy model will also give enterprises 、 All industries bring hidden dangers . For example, the online education industry burns money to subsidize , As a result, many enterprises frequently explode mines , It is the consumers who are hurt in the end .

For emerging Internet giants like meituan , It is more important to play a guiding role in the track , Deeply cultivate consumer demand to serve , Lead the community group buying industry to a real “ Long term road ”.

writing / Liu Kuang's official account ,ID：liukuang110