Meituan-Dianping

Meituan-Dianping (Chinese: 美团网; pinyin: Mĕituánwǎng) is a Chinese shopping platform for locally found consumer products and retail services including entertainment, dining, delivery, travel and other services.[3] The company is headquartered in Beijing and was founded in 2010 by Wang Xing. The company operates different apps and websites for different services. The Meituan site offers deals of the day by selling vouchers on local services and entertainment. By May 2014, the company had 5,000 employees.[4] In 2015, Meituan merged with Dazhong Dianping and changed its name to "Meituan-Dianping".[5] dianping.com (大众点评网) hosts consumer reviews of restaurants, similar to Yelp and TripAdvisor,[6] and also offers group buying similar to Groupon. Meituan-Dianping is one of the world's largest online and on-demand delivery platforms.[7] It has over 290 million monthly active users and 600 million registered users as of April 2018.[8]

Meituan-Dianping

Meituan-Dianping Front Page
Type of business	Public
Traded as	SEHK: 3690
Founded	May 2010 (2010-05)
Headquarters	Beijing, China
No. of locations	1000+
Area served	China
Founder(s)	Wang Xing
Industry	Internet company
Services	Voucher selling
Revenue	CN¥97.53 billion (US$13.7 billion, 2019)[1]
Employees	46,662 (until April 30, 2018)
URL	www.meituan.com
Alexa rank	2,002 (As of 14 August 2018)[2]
Launched	29 March 2009 (2009-03-29)
Current status	Active

Company

Meituan.com is a group-discount website which sells vouchers from merchants for deals, subject to a minimum number of buyers who demand a discount, from which Meituan generates commissions.[4] Meituan.com generates most of its revenue from mobile application services. The company has partnering agreements with over 400,000 Chinese local businesses. Meituan accounts for the largest market share by revenue, followed by Lashou, 55tuan and 58tuan [4][9]

History

Piloted in Shanghai and Beijing, Meituan had rapidly expanded to second-tier and third-tier cities, totalling 200 million users in 2015. Meituan.com became a dominating company in China after a rapid consolidation of the deal-of-the-day companies. Earlier estimates show that there were 2000 voucher selling companies in the mid 2000s and due to intense competition in the industry only a few have emerged as dominant players.[10] In 2014 it accounted for 60% of the market share of deal-of-the-day group-buying websites in China. The company received initial funding of $12 million from Sequoia Capital. In May 2014, global growth equity firm General Atlantic led a $300 million series C funding round with two other investors.[11][12][13][14] On 8 October 2015, Meituan and Dianping, a Chinese group buying site, became one company.[15] On 19 January 2016, Meituan Dianping announced that it has raised more than $3.3 billion.[16] On September 20, 2018 Meituan Dianping debuted on the Hong Kong stock exchange at an IPO price of HK$69 per share.[17]

Meituan networking marketing

Meituan is a Chinese O2O (online-to-offline) local life service platform, connecting over 240 million consumers and five million local merchants via a comprehensive array of e-commerce services and products.[18] It has 600 million users and almost 4.5 million business partners that cover nearly all China. About 35 million people use the service everyday. Meituan offers a one-stop “travel life” service platform for users in order to achieve coverage of full consumption in different places. Therefore, now there are 70 million users of hotel and travel business in total.[19]

Management and administration

The company is headquartered in Beijing and was founded in 2010 by Wang Xing.[20] Prior to starting Meituan, Wang founded Xiaonei and Fanfou, which were based on Facebook and Twitter respectively.[10]

References

1. "ANNOUNCEMENT OF THE RESULTS FOR THE YEAR ENDED DECEMBER 31, 2019" (PDF). Retrieved 3 May 2020.
2. "Meituan.com Site Info". Alexa Internet. Retrieved 14 August 2018.
3. "Meituan Dianping - Company Profile and News". Bloomberg. Retrieved 4 August 2020.
4. Chen, Lulu Yilun (12 May 2014). "Alibaba-Backed Buying Site Meituan Considering U.S. IPO". Bloomberg News. Retrieved 21 February 2015.
5. Browning, Jonathan; Chen, Lulu Yilun (7 October 2015). "China's Meituan Agrees to $15 Billion Dianping Merger". Bloomberg.com. Retrieved 21 July 2018.
6. Chinese local review site Dianping: A lot more than a "Yelp for China"
7. "Meituan-Dianping Becomes the First Worldwide On-Demand Delivery Platform to Process More Than 10 Million Orders and Deliveries Per Day". Archived from the original on 15 June 2017. Retrieved 2 April 2017.
8. Windsor, Richard. "Meituan-Dianping: Finally, A Chinese Tech IPO With Some Value". Forbes. Retrieved 22 February 2019.
9. Lim, Jason (28 December 2011). "Meituan to End 2011 as China's No.1 Group Buying Site". 'Tech Node'. Tech Node. Retrieved 22 March 2015.
10. Epstein, Gady (11 April 2011). "The Cloner". 'The Forbes'. The Forbes. Retrieved 22 March 2015.
11. Liu, Yi, and Juliana Sutanto. "Buyers' purchasing time and herd behavior on deal-of-the-day group buying websites." Electronic Markets 22.2 (2012): 83–93
12. ChinaRetailNews.com Editor (7 January 2015). "Meituan.com Chinese Group Buying Platform Reached CNY46 Billion For 2014". ChinaRetailNews.com. Retrieved 19 February 2015.
13. Shu, Catherine. "Meituan, China's Leading Group Deals Site, Raises $700M At $7B Valuation". TechCrunch. Retrieved 4 November 2015.
14. Xiang, Nina. "General Atlantic Leads $300M Series C For China's Meituan.Com". Retrieved 4 November 2015.
15. "Meituan and Dianping, China's Top Group Deals Sites, Merge In Multi-Billion Dollar Deal". Retrieved 19 January 2016.
16. "Chinese online group Meituan Dianping raises $3.3bn". Retrieved 19 January 2016.
17. Pham, Sherisse. "China's app for everything Meituan Dianping jumps in IPO". CNNMoney. Retrieved 27 September 2018.
18. Meituan-Dianping. "Meituan-Dianping Taps into B&B Market With the Launch of Its Hazelnut B&B App". www.prnewswire.com. Retrieved 10 May 2017.
19. "Meituan-Dianping Hotel & Travel Business Group – ITB China". www.itb-china.com. Retrieved 10 May 2017.
20. Su, Wiki (15 January 2015). "Meituan.com Receives $700M Series D Financing". China Money Network. Retrieved 19 February 2015.