Kwai e-commerce GMV has entered a trillion scale Cheng Yixiao: full of confidence in gaining market share in the future

On May 22, it was reported that Kwai Technology released its performance in the first quarter of 2023, and the total amount of e-commerce transactions (GMV) increased by 28.4% year-on-year to 224

On May 22, it was reported that Kwai Technology released its performance in the first quarter of 2023, and the total amount of e-commerce transactions (GMV) increased by 28.4% year-on-year to 224.8 billion yuan. It is worth mentioning that after the listing, Kwai realized the overall profit at the group level for the first time.

Data shows that in the first quarter, the number of Kwai e-commerce brands settled in each month increased by about 30% year on year, and the number of brand self broadcast GMVs increased by about 70% year on year. The monthly average number of newly settled businesses and new mobile sales businesses in March increased by over 50% year-on-year.

At the performance call held on the evening of the same day, Cheng Yixiao, founder and CEO of Kwai Technology, said, "The scale of the e-commerce industry is still growing. As a rising star, Kwai is also in the dominant track position of live e-commerce, which is still in the stage of rapid development, and we are confident that we will continue to gain market share of e-commerce in the future."

Since Kwai opened its live broadcast e-commerce business in 2018, this year, Kwai's GMV has entered the trillion scale stage. How can e-commerce continue to become an important engine for future growth of Kwai? Cheng Yixiao summarized the following wind indicators - low price, high-quality content, and thoughtful service.

Specifically, on the commodity side, Kwai will continue to strengthen the construction of commodity power and the process of branding. On the one hand, it will continue to screen high-quality goods with price competitiveness, and at the same time, it will evaluate and grade goods from a richer dimension, so that more high-quality goods will be exposed and recommended. On the other hand, we will continue to increase the industry coverage of brand merchants and meet the increasing demand of users for branded products.

On the operator side, upgrade the collaboration mechanism between merchants and influencers, produce high-quality "grass planting" content through influencers, tap into user needs, and become a link between users and merchants. And through a more refined hierarchical operation strategy for influencers, we provide more accurate product matching services for influencers with demand for goods. At the same time, we use the "Chuanliu Plan" to build a bridge between merchants and influencers, allowing products and traffic to flow better, forming a flywheel effect.

On the server side, strengthen the operation and governance of the platform, complete the upgrading and iteration of the product classification, store experience classification, and influencer sales reputation classification system, comprehensively evaluate product quality, content, service quality, user experience and other indicators, screen and support high-quality operators, link merchants' positive business behavior with traffic, pay attention to the value and conversion efficiency of traffic, and improve user shopping experience.

In addition, with the gradual maturity of commodity infrastructure, the trial of Kwai New Mall services is also continuing to advance. Cheng Yixiao said that in the first quarter, Kwai opened and tested the "new mall" service on the home page of buyers. In the second quarter, we will gradually scale up the promotion, utilize the larger GMV volume and potential energy to enrich supply, do a good job in mall access and improve efficiency. There are also plans to conduct first level entrance testing for mall services. "At present, Kwai pan shelf GMV accounts for more than 10%. Guess you like and search GMV doubled in the first quarter. The penetration rate of monthly active buyers reached 69%, highlighting the increasingly mature shopping mentality of users on the Kwai platform. It is expected that the growth of pan shelf GMV will accelerate this year, and the proportion will continue to increase." (Yicheng)