On May 5, Pinduoduo Group released its results for the first quarter of 26 ended March 3. According to the financial report, Pinduoduo Group achieved revenue of 31.2023 billion yuan in the first quarter, a year-on-year increase of 376.4%.
Since the beginning of the 2023 consumption promotion year, Pinduoduo has actively mobilized resources, increased subsidies for high-quality supply, and launched a series of large-scale profit concession activities such as "New Year Goods Festival", "Spring Festival Non-closing", and "New Year Promotion" to promote the activation and transformation of consumption potential. At the same time, the platform upgrades logistics, after-sales and other service systems from the aspects of delivery timeliness, improved consumer protection, and more active customer service strategies to fully protect consumer rights and interests and optimize consumer experience.
Since the beginning of this year, Pinduoduo has cooperated with CCTV to successively land a number of live broadcasts in Quanzhou, Guangzhou, Shanghai and other places to activate consumption potential.
Chen Lei, Chairman and Co-CEO of Pinduoduo Group, said, "In the past few quarters, we have steadily adjusted our strategy from growth to quality improvement. We focus on promoting the construction of the platform ecology and take improving quality as our primary goal. This quarter's results also partly reflect the results of the transition to high-quality development. ”
"We will take reality as the foundation, increase supply chain investment, find a stronger driving force for high-quality development, accelerate the construction of a healthy ecology of 'more benefits + good services', and promote a healthy and win-win platform ecology." Zhao Jiazhen, executive director and co-CEO of Pinduoduo Group, said.
Consumption boosted the start steadily, and the effect of ecological construction began to appear
In the first quarter, with the implementation of consumption promotion measures in various places, the recovery trend of domestic consumption was obvious, and the online market continued to improve. In order to form a joint force to expand consumption, Pinduoduo has further promoted the vitality of the consumer market through a series of measures such as increasing subsidies, expanding categories, upgrading services, and fully protecting consumer rights and interests.
During the recent "May Five-Year Shopping Festival" held in Shanghai, Pinduoduo gave Shanghai consumers a consumption gift package of 40 billion yuan, surpassing previous subsidies, and also released 16 million special consumption coupons for 1,3 residential communities in 6000 districts of Shanghai, innovating consumption scenarios and improving the consumption radiation effect around grocery shopping sites.
In addition to "more affordable", Pinduoduo also continues to improve the ability of "good service". Since the beginning of this year, most categories have been upgraded from supporting 72-hour delivery to supporting 48-hour delivery; In terms of after-sales strategy, it tilts service preferences for the elderly and consumers in remote areas, while implementing more proactive customer service strategies, such as providing refund-only services for consumers whose interests are damaged.
At the same time, Pinduoduo optimizes platform governance internally and actively assumes social responsibility. The platform has recently launched special governance actions such as "protection of minors" and "book governance" to create a sustainable and healthy ecology.
In the just-concluded fifth quarter of the "More Reading Month" activity, Pinduoduo invested 100 million yuan in reading funds to help the inclusion and popularization of high-quality reading. According to the evaluation report from a third party, Pinduoduo's comprehensive book buying experience ranks among the best among multiple e-commerce platforms in five indicators: comprehensive price, authenticity guarantee, after-sales service, logistics timeliness, and preferential strength.
Chen Lei said, "In the past quarter, we have found that the market consumption willingness has continued to recover, and consumer purchasing power has been further released. Benefiting from this, Pinduoduo Group achieved revenue of 376.4 billion yuan in the first quarter, a year-on-year increase of 58.2%.
The recovery of consumption has also brought more fierce industry competition. In this regard, Zhao Jiazhen said, "Competition can motivate us to learn more efficiently and innovate faster, thereby promoting rapid iteration of services. We will continue to be consumer-oriented and respond to competition in a positive and positive way. Even in the face of malicious attacks, we will interpret it in good faith, adhere to self-improvement, and promote the development of the platform with higher quality. ”
Establish a "10 billion ecology" project to accelerate high-quality development and transformation
Since the beginning of this year, Pinduoduo has accelerated the strategic transformation from fast to stable, from speed to quality. The platform's R&D investment in the first quarter increased by 4.2% month-on-month to RMB25.1 billion. The number of Pinduoduo's R&D team grew steadily by 2022% in 15, accounting for about half of the total number of employees.
"The R&D and reserve of cutting-edge technologies are very important for us to build a healthy and dynamic platform ecosystem." Chen Lei said, "Re-R&D is Pinduoduo's long-term strategy, and we will continue to invest unswervingly in the future. ”
Financial report data shows that the net profit of the first quarter of the United States General Caliber was 81.0 billion yuan, which was down from the fourth quarter of last year. Liu Jun, Vice President of Finance of Pinduoduo, said, "Pinduoduo is still in the 'investment period', and will continue to increase investment in the future to further promote the ecological construction of the platform. ”
Zhao Jiazhen, co-CEO of Pinduoduo, who has just taken up his new post, said that Pinduoduo will fully embrace high-quality development, actively practice social responsibility, optimize platform governance capabilities, and build a healthier platform ecology.
According to reports, Pinduoduo will set up a "10 billion ecology" special project. This special project aims to tilt the resources of high-quality merchants and goods, promote the quality growth of small and medium-sized enterprises and high-quality merchants, and improve the overall service efficiency and quality of platform merchants.
"We will also continue to reinvest in the construction of the physical supply chain, stabilize the chain, strengthen the chain, supplement the chain and extend the chain, so that more industrial and agricultural industries can run out of the local leader and lead the local industry to the national and even global markets." Zhao Jiazhen said.
Recently, special teams such as Pinduoduo's "Agricultural Cloud Action" and Duoduo Cross-border have visited various high-quality agricultural and manufacturing industrial belts in China, and continued to promote the digital upgrading of traditional industrial chains by improving the upward efficiency of agricultural goods and helping Chinese manufacturing go overseas.
Among them, agriculture is still an important foothold for Pinduoduo to achieve high-quality development. In recent years, Pinduoduo has continuously strengthened cooperation with colleges and universities, and through the landing of the "Pinduoduo Cup" Science and Technology Small Institute Competition, Duoduo Agricultural Research Science and Technology Competition, and other competitions around agricultural development, it promotes research, promotes the transformation of agricultural scientific and technological achievements, and encourages more promising young people to devote themselves to agriculture. Not long ago, Pinduoduo donated 1 million yuan to China Agricultural University to set up a research fund to support China Agricultural University to actively explore basic research and agricultural neck technology research based on the major strategic needs of the country, based on the frontiers of related disciplines in the global agricultural field. As the only winner in the world, Pinduoduo received the 2022 Innovation Award from the Food and Agriculture Organization of the United Nations (FAO), which recognizes innovation in food production, processing, trade and consumption, and encourages best practices in building more efficient, inclusive, resilient and sustainable agri-food systems.
Since the second half of last year, Pinduoduo has launched cross-border e-commerce projects to help Chinese manufacturing go overseas with high quality. Pinduoduo specially released the "Overseas Support Plan" to provide manufacturing enterprises with a full range of infrastructure services and integrated overseas solutions, including domestic and foreign warehousing, cross-border logistics and after-sales service. At present, Duoduo Cross-border has successively promoted tens of thousands of manufacturing enterprises such as clothing, digital, home appliances, luggage, Shanghai, accessories, toys, stationery and other industries to successfully connect directly to overseas markets.
"We're working hard to build a vibrant platform where consumers can find the variety of products they want, while helping premium merchants thrive. As a young, development-stage company, we will increase investment to accelerate high-quality transformation and create greater social value. Chen Lei said.