#Laogao E-commerce Newsletter# [E-commerce Morning News on August 4]

      Morning News: State Post Bureau: International and domestic mail and express workers should avoid cross-operation; Douyin launches the "Account Penalty Public Notice" function to improve transparency in the crackdown on violations; Alibaba: Ant Group contributed 4.494 billion yuan in net profit in the first quarter; Amazon faces insufficient warehouse capacity, which may invest US$1 billion to expand; Tencent Cloud and Xiaoetong launch "Tencent Cloud Enterprise Live Broadcast"...

      Lao Gao provides everyone with the latest and most valuable Internet and e-commerce information every day.

E-commerce newsletter

1. Zhang Yong talks about "platform interconnection and opening up": interconnection will generate new reform dividends

      On August 3, at Alibaba's Q1 financial report analyst meeting in 2022, Zhang Yong, Chairman and CEO of Alibaba Group, said that the Internet is the original intention of the Internet, and opening up is the foundation of the digital ecology. The social value that the big cycle between platforms can generate must be far greater than the small cycle within a single platform. Zhang Yong said that the interconnection between platforms will be open, and the result will be a win-win situation. For small and medium-sized enterprises, lifting the external link shield can reduce traffic costs, help reduce operating costs, and bring better operating convenience; for consumers, it will help improve living convenience. (E-commerce News)

2. Alibaba: Ant Group contributed 4.494 billion yuan in net profit in the first quarter

      According to August 3, Alibaba released its first quarter financial report for the 2022 fiscal year ended June 30, 2021 today. The financial report shows that in the three months ended June 30, 2021, Ant Group contributed RMB 4.494 billion in net profit to Alibaba. Starting from September 2019, Alibaba chose to hold 33% of Ant Group's equity and postpone the accounting for one quarter according to the equity method, and included in the profit and loss share of Ant Group. Based on this calculation, Ant Group's net profit in the first quarter of 2021 was 13.618 billion yuan, a year-on-year increase of 48.12%. (E-commerce News)

3. State Post Bureau: International and domestic mail and express delivery operators should avoid cross-operation

      According to the WeChat public account "State Postal Bureau", the number of cases of the new crown pneumonia epidemic has recently involved many provinces, and the prevention and control situation is very serious. The State Post Bureau issued a notice requiring the entire system and industry to effectively prevent and control the current COVID-19 epidemic in the postal industry. The notice requires that international and domestic mail and express delivery personnel should be stationed in fixed positions to avoid cross-operation. We must carry out risk investigation and prevention of imported epidemics around relevant logistics support personnel, outsourcing transportation vehicles, etc. to avoid cross-infection of the virus. (E-commerce News)

4. TikTok launches the "Account Penalty Publicity" function to improve transparency in cracking down on violations

      On August 4, Douyin announced the launch of the "Public Announcement of Penalties for Violation Accounts". The function will display the user's penalties on the homepage of the account of the violation user. Depending on the content of the violation account being punished, the module will display different violation prompt information. Douyin said that in order to promote the transparency of Douyin's work on combating illegal content and accounts, so that netizens can clearly understand the progress and situation of the platform's crackdown and governance, starting from August, the "public announcement of illegal account penalties" function test will be launched for some violations, content and accounts. In the future, the scope of violations covered by functions will be gradually liberalized and gradually covered all violations, content and accounts on the platform. (Cailianshe)

Cross-border newsletter

5. Amazon may invest $1 billion in expansion when it faces insufficient warehouse capacity

      According to reports, Amazon's warehouse and delivery system capacity is also in a hurry, and Amazon will need to spend billions to expand its warehouse and delivery system capacity, as sales growth slowed in the third quarter. It is reported that Amazon's warehouse and transportation networks have almost doubled in the past 18 months, and labor market tensions have forced Amazon to raise wages ahead of schedule and increase signing bonuses to attract full-time and part-time employees. In the second quarter of 2021, Amazon hired 64,000 full-time and part-time employees to use Amazon's transportation. (E-commerce News)

6. Alibaba's cross-border and global wholesale commercial revenue in Q1 2022 fiscal year increased by 37% year-on-year

      According to August 3, Alibaba released its first quarter financial report for the 2022 fiscal year. The financial report shows that in the three months ended June 30, 2021, cross-border and global wholesale commercial revenue was RMB 4.402 billion, an increase of 37% from RMB 3.204 billion in the same period in 2020. The main reasons for the growth are the increase in the number of paid members in Alibaba.com and the increase in the average revenue of paid members, as well as the increase in revenue from value-added services related to cross-border operations. (E-commerce News)

7. News says Turkish e-commerce Trendyol plans to raise $1.5 billion

      On August 3, according to foreign media reports, people familiar with the matter said that Trendyol, a Turkish e-commerce company supported by Alibaba Group Holdings, is negotiating with investors including General Atlantic, planning to raise about $1.5 billion, with the transaction as soon as next week. The amount of the round will be used to expand its operations in Türkiye and abroad. Foreign media said that Trendyol's valuation will reach US$16.5 billion after this round of financing, making it the largest startup in Türkiye. Trendyol was reported to be valued at $9.4 billion earlier this year, when its largest shareholder Alibaba invested $350 million. (E-commerce News)

8. Australian e-commerce Catch cooperates with Open Sky, a US supply chain technology provider

      August 3, according to foreign media reports, recently, Australian e-commerce Catch announced that it would cooperate with US supply chain technology providers to help it upgrade its warehouse management system that it had previously deployed in cooperation with US AI software developers, and design labor management solutions to support its large-scale e-commerce business. Open Sky is one of Blue Yonder’s WMS implementation partners, and this collaboration will help Catch upgrade these two system solutions. It is understood that Catch only has one distribution center in Victoria, but due to surge in demand for e-commerce in Australia, they plan to open a second distribution center in Sydney in 2022. (E-commerce News)

Internet Information

9. Tencent Cloud and Xiaoetong launch "Tencent Cloud Enterprise Live"

      August 3rd news, today, Tencent Cloud and Xiaoetong held a theme press conference on "Opening a New Private Domain Live Track". Based on the needs of private domain operation live broadcasts, it launched "Tencent Cloud Enterprise Live" to provide enterprises with one-stop digital transformation solutions. At present, the new product has been officially launched and is open to the entire industry. Based on this product, enterprises can set up exclusive live broadcast rooms within 1 minute as soon as possible to realize live broadcast marketing and in-depth user operations, and help enterprises improve operational efficiency. (E-commerce News)

10. Yonghui launches its own brand "Hui Ma Home" to enter the Kuaishou Cuisine Track

      On August 3, Yonghui Supermarket launched its own brand "Hui Ma Home" and entered the Kuaishou Cuisine Track. It is reported that "Hui Ma Home Departure" is based on the concept of "just time to enjoy delicious food", combining regional diet preferences and business characteristics, and through customized product research and development, intelligent cold chain warehousing and distribution, personalized user services and other links, the full-link control of the product is achieved, creating a high-quality, cost-effective Kuaishou main course. At present, the first batch of more than 10 products of "Hui Ma Home" have been launched in Jiangsu, Zhejiang and Shanghai, including grandma braised pork, plum vegetable braised pork, sweet and sour rice and other Internet celebrity products. (E-commerce News)