Chapter 294: Group Buying Storms Rise Again, Shen Nanpeng's Thoughts

Meituan riders' base salary is 1400 yuan, half a month is 700 yuan.

Wang Huiwen responded, called an assistant, gave two instructions, and sent him downstairs to handle it.

The registration portal for Meituan part-time riders opened only 24 hours ago, yet over 400 part-time riders have already signed up; following current development trends, this could expand to over ten thousand within a month.

What value do that crowd downstairs still have?

"Damn! Only 700 yuan, treating us like beggars!"

"Oh my, that's really not decent!"

"700 it is!"

Of the thirty-plus food delivery riders, half took the money and left; the other half continued cursing, wishing ill upon Wang Xin's entire immediate family.

Only when the inspection office sent people over did both sides coordinate, each taking a step back: Meituan added 100 yuan in compensation, and the riders dispersed.

These people did not go straight home; instead, smiling and holding the money, they successively rushed to the Kuipao delivery station.

Registering, signing labor contracts, collecting work uniforms—once this entire process was completed, the Meituan rider brother instantly transformed into a Kuipao delivery worker.

As for Meituan's part-time riders, even a dog wouldn't do it!

The next morning, the number of Meituan riders in Chaoyang District surged; Kuipao riders immediately noticed this phenomenon, reported it to the station, which then forwarded it to the company headquarters.

"Part-time riders, outsourced model? This move is brilliant!"

Upon learning this, Pei Yi immediately realized the severity of the situation.

Actually, Wang Xin's tactic still employs the human-wave strategy, aiming to win through sheer numbers.

With this approach, anyone wanting to earn the price of a bowl of noodles could deliver two orders on a bicycle; delivery efficiency is low, but the sheer number of people is unstoppable.

Kuipao has always strictly controlled the upper limit of rider personnel; recruitment plans are only launched when daily order volume rises, thereby guaranteeing every full-time rider's income.

The number of part-time riders is likewise strictly controlled.

Otherwise, when orders arrive, should they be assigned to full-time riders or part-time riders?

A sudden influx of too many people into an industry only causes per-capita income to decline.

In the short term, revenue and Mao Li are fixed; the more people there are, the lower the unit price.

Whether in the food delivery industry or other commercial fields, this principle is universal.

After pondering and clarifying the logic, Pei Yi took out his phone and called Chen Yansen, synchronizing Meituan's new changes in delivery capacity to the boss.

"Boss, should we increase the acceptance rate for part-time riders to compete with Meituan for scattered delivery resources?"

After finishing his report, Pei Yi cautiously asked Chen Yansen for his opinion.

"Ignore him! Riders capable of delivering over 20 orders a day will automatically flow into the Kuipao platform. Wang Xin's move saves costs and solves the delivery capacity shortage in the short term, but those part-time riders are mostly just playing around; our ability to constrain them is weak, which easily leads to widespread customer complaints."

"Order fulfillment capability is indeed the core of a food delivery platform, but planning on the merchant side, user side, and marketing activities is also very important. What is your advantage?"

Chen Yansen asked.

Kuipao's advantage?

Of course, it stands behind Senlian Capital, with secondary entry points on QQ and WeChat for traffic, Sister Chengzi's Shangcheng, Gao De Maps, Jinri Toutiao, and Lingxi Browser, plus funding from the Group, Mama Ali, Penguin, and other companies.

Money when needed, traffic when needed, strong troops and ample horses, formidable strength!

"Boss, I understand," Pei Yi replied with a smile.

He should use Kuipao's strengths to attack Meituan's weaknesses, concentrating manpower, material resources, and financial capital to increase subsidies for merchants and users, leaving Meituan's riders with no orders to accept.

Once they can't earn money, who would still be willing to play along with Wang Xin?

After hanging up, Pei Yi immediately gathered the heads of the Beijing Kuipao Operations Group, Marketing Group, Ground Promotion Business Group, and Event Group for a major meeting.

In short, whether for group buying or food delivery services, all subsidies and discounts are maxed out, using a price war to 'strangle' Meituan to death.

New group-buying customers receive a 10-yuan no-threshold coupon; existing customers receive a 5-yuan no-threshold coupon daily.

1-yuan flash sales and 9.9-yuan flash sales, four sessions a day: from 10 AM to 12 PM, 6 PM, and 8 PM, locking users firmly within the Kuipao app.

New food delivery customers get an instant 15-yuan discount, matching Meituan.

Strategically, it is clear that Pei Yi's approach is identical to Liu Qiangdong's tactics when he fought Dangdang: while stabilizing the food delivery market, using high subsidies and zero-profit marketing to rapidly nibble away Meituan's group-buying market share.

"Kuipao's subsidies will stop only when Meituan exits the market."

Pei Yi issued orders to the heads of the Huadong and North China regions; this time, they would crush Meituan to death.

For merchants, a dual rule of low commissions and commission-free periods was adopted; if Meituan KA merchants were willing to sign an exclusive 'choose one of two' agreement, Kuipao would directly grant a three-month commission-free period.

Cutting off Meituan's retreat routes from the root.

Once Kuipao's subsidy war began, Lashou, Dianping, and Wowo Tuan were caught in the crossfire; users fled in large numbers, all rushing to Kuipao for the discounts.

That afternoon, Lashou Wang officially announced that, effective immediately, the product would be renamed Qiandu Lashou Wang.

They also loudly joined this subsidy war, offering extremely generous discount policies for both new and existing customers.

Dianping's Zhang Tao cursed quietly: "Another shit-stirrer has arrived!"

After cursing, Dianping also quietly adjusted subsidies and discounts for new and existing customers to avoid losing market share.

Only Wowo Tuan's Wang Yunming truly had no money left; to make money, he had even dipped into e-commerce business, so where would he find spare funds to fight Kuipao, Lashou, and Meituan? As a result, the market shares of Kuipao, Lashou, and Meituan all rose, while Wowo Tuan gradually fell silent.

Additionally, Kuipao and Nuomi Wang accelerated their business merger; Pei Yi deployed the employees cultivated under the 'Thousand People, Baicheng' plan directly to the small and medium-sized cities where Meituan's influence was most concentrated, engaging them in direct confrontation.

Wang Xin's ability to emerge from the 'Thousand Group Buying Wars' was not only due to his powerful ground promotion team but also his precise market positioning; he was the first to seize the small and medium-sized cities everyone else overlooked, achieving scale effects to attract investment.

In fact, this strategy proved highly effective, as evidenced by Meituan taking the top seat in the group-buying industry.

Pei Yi gave Wang Xin no opportunity whatsoever, pressing Meituan front-to-back, using Kuipao's efficient operational system, stable cash flow, and excellent product performance to attack Meituan's weaknesses with his own strengths.

In just one week, Meituan's market share plummeted from first in the industry to second place; Dianping took advantage, leaping to become the leader in the group-buying industry.

At the same time.

In a private club in Hongqiao, Shanghai.

Sequoia Capital's Shen Nanpeng, Google Investment and M&A Division Director Zheng Qun, Today Capital's Xu Xin, Mama Ali Investment Department's Ji Gang, and others sat together, discussing recent changes in the group-buying market.

"Now that there is a disruptor, the Gu plan must come to an end; if we don't provide Meituan with more funding soon, Wang Xin might be forced out early," Sequoia Capital's Shen Nanpeng said, pushing up his glasses and looking at Ji Gang.

Among this group, only Mama Ali had also invested in Meituan, and its shareholding exceeded that of Kuipao.

"Sorry, President Shen, Mama Ali won't wade into muddy waters. Chen Yansen, when fighting for market share, cares nothing for costs; to secure market share in the courier industry, he poured in 7 billion in losses and acquisition funds combined. Mama Ali simply cannot afford that much."

Ji Gang shrugged and decisively rejected Shen Nanpeng's proposal.

Zheng Qun and Xu Xin exchanged glances; as major investors in Dianping, the move by Kuipao to enter the group-buying business and ignite a price war clearly threatened their interests.

Shen Nanpeng frowned and couldn't help but mutter inwardly: Mama Ali doesn't want to pay, so why did you come here?

Ji Gang let out a dry laugh, eyes on his nose, nose on his heart, adopting the posture of an outsider.

"President Shen, what are your thoughts?" Xu Xin of Today Capital smiled faintly, lifted the teacup before her, took a sip, and said.

Shen Nanpeng was the initiator of this gathering; clearly, the other party had come prepared.

"Merge Meituan and Dianping, concentrate resources, and respond to Kuipao's challenge." Shen Nanpeng replied unhurriedly.

"Will Wang Xin agree?" Ji Gang interjected.

"I can persuade Zhang Tao to accept this plan." Shen Nanpeng looked at Ji Gang and said with full confidence.

"I do not agree to the merger. Dianping's momentum in first-tier cities is fierce; who will win and who will lose remains to be seen." Xu Xin of Today Capital snorted coldly, giving Shen Nanpeng no face whatsoever.

At this moment, Dianping was the industry leader; she had no reason to foot the bill for Shen Nanpeng's investment.

"President Shen, I'm sorry, but I also cannot agree to the merger plan; this does not align with Google's interests."

Zheng Qun shrugged, indicating he could do nothing to help.

Seeing this, Shen Nanpeng knew the matter could not be accomplished; suppressing his anger, he briefly communicated with the others before hastily taking his leave and departing by car.

"It seems Meituan's market share has declined severely; otherwise, Shen Nanpeng would not be so anxious."

Xu Xin chuckled, speaking with implied meaning in front of Ji Gang, Zheng Qun, and the others.

Upon hearing this, Ji Gang and Zheng Qun remained silent; carrying their own thoughts, they left the club one after another.

Shen Nanpeng's first merger discussion meeting ended in failure without even delving into the details.

……

……

Zhu Xianzhuang Technology Park, top-floor office of Building Nine.

"Kuipao's group-buying business (including Nuomi. com data): last week's total sales were 110 million, a 46.5% increase from the previous period, ranking fourth in the industry..."

After reviewing Pei Yi's work email, Chen Yansen finally understood how rotten Nuomi. com's organizational structure and ground promotion team had become; the markets in third- and fourth-tier cities relied entirely on agents.

Without the agents, market share would plummet by sixty to seventy percent.

Pei Yi dared not make sweeping corrections, fearing chaos; he could only proceed step by step, using reserve management personnel cultivated by the "Thousand People, Baicheng" plan to gradually replace agents along the Huadong, North China, and South China regions, thereby reclaiming management authority over merchants and activities.

"No wonder Chen Yizhou loses over 30 million US dollars a year; regarding loopholes in risk control and management, only Cheng Wei can compare with him."

Chen Yansen commented inwardly.

The second email was a sales data summary sent by Yan Peng, Director of the E-commerce Department at Chengzi Technology, covering new products as well as sales figures for Chengzi C1, Chengzi C2, and Chengzi D1, along with progress in developing the East African market.

Chengzi C3 and Qingcheng D1s had been on the market for eleven days, with sales of 1.49 million units and 3.72 million units respectively, totaling 5.21 million units and generating total revenue of 8.47 billion yuan.

However, as the market saturated, daily sales over the last two days had dropped to around 170,000 units.

After all, the domestic market in 2012 was only this big; to advance further, one had to go global.

Regarding overseas markets, Chen Yansen had entrusted Zhou Shouzhi with overall management.

Suddenly, the phone on the table rang; Chen Yansen glanced at it and saw it was Zhou Hongyi again. He didn't even need to guess the other party's intent.

(PS: In 2012, the national smartphone shipment ranking: 210 million nationwide, plus feature phones totaling 360 million.)

(End of this chapter)