70% New Users Come From The Low Tier Cities, Jingdong Orderly March Into The Sinking Market.

A few days ago, Jingdong released the fourth quarter and year-round results in 2019. Data show that technology and services are becoming a new engine for Jingdong to maintain growth. The net service revenue of the whole year has reached 66 billion 200 million yuan, an increase of 44.1% over the same period. It is worth noting that the Jingdong emphasizes the number of new users and the contribution of the sinking market to the increment.

According to the financial report, as of December 31, 2019, the number of active users of Jingdong increased by 27 million 600 thousand over the end of the three quarter, an increase of 8.3% over the same period. The growth rate showed an obvious accelerated growth rate compared with 1.7%, 3.5% and 4.1% from the first quarter to the three quarter.

And 27 million 600 thousand is the highest number of new active users in Jingdong in the last 12 quarters, of which more than 70% of new users in the fourth quarter come from three to six cities. In December 2019, Jingdong mobile terminal active users increased by 41% over the same period in 2018.

It is worth mentioning that, and Ali's recent earnings report shows that active users reached 824 million, Q4 increased by 18 million compared to Q3. This also shows that for the new number of users in the single quarter, Jingdong for the first time exceeded Ali.

Obviously, the sunk market is the main channel for the growth of new users of Jingdong. This will benefit from a series of reforms made by Jingdong last year to social business. In fact, at the end of 2018, Jingdong began to plan the layout of the purchase and sale business as the main strategic objective of the 2019 development. It is reported that Jingdong mall in the restructuring of the organization, around the customer centered, divided into the front and back, and set up a separate purchase and purchase business department, is responsible for the development of the purchase business, explore new e-commerce social mode.

In April 2019, Jingdong launched the final test of app, and formally launched it two months later, and announced that it will be one of the main positions in the subsequent merger and acquisition business. In July, Jingdong's repurchase business unit was renamed as the Ministry of social business, and then announced the comprehensive upgrading of the investment policy. It will fully open the investment category and reduce the use fee of the platform, which will create a new social e-commerce platform in the future. Two months later, Jingdong bought App and renamed it "Jingxi" and officially opened it. Subsequently, Jingxi officially entered the first level entry of WeChat.

So far, Jingxi is based on WeChat, QQ, APP, small program, M station and fans and other six mobile terminal channels to create a global social networking platform. Focusing on the emerging consumer groups in the sinking market, Jingxi not only provides goods for purchase and purchase, but also offers a cash return function.

Xu Lei, CEO of Jingdong retail group, said at a conference call conference that through the development of several months, the average daily volume of Jingxi has exceeded 1 million before the outbreak of the Spring Festival.

Xu Lei further said that in the future, Jingdong will pay attention to the operation and management of the entire life cycle of users in addition to the new users brought by Beijing Xi. In addition, Jingxi can help Jingdong to expand its long tail, cost-effective and brand new supply chain.

It is understood that Jingxi provides special support programs to factory type merchants to help factory type merchants accurately launch and touch up, and to obtain traffic at low cost and complete the transformation from factory to online social business. At present, Jingxi has laid out more than 100 industrial belts, and the future goal is to connect 1000 industrial belts.

There is no doubt that Jingxi has become a new engine for Jingdong to sink, but the game in the sinking market itself is a war of "grabbing people", and there is still a big variable in which side to win the battle. And it can be predicted that Ali, spoil and many other big business platforms are eyeing the stock market of the low level city, and the competition in the sinking market will enter the stage of "close combat".