#Laogao E-commerce Newsletter#[November 21 E-commerce Evening News Brief]

Evening information: Douyin e-commerce releases an announcement on the governance of information related to the illegal use of the "World Cup"; Kuaishou has added the "Standards for the Handling of Virtual Product Disputes"; Pinduoduo will release its third quarter financial report for 2022 on November 28; Atome and Ctrip Group's overseas brand Trip.com; Shopee Japan Station: Double 11 cross-border seller sales increased by more than 10 times...

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

E-commerce newsletter

1. Douyin e-commerce releases an announcement on the governance of information related to the illegal use of the "World Cup"

On November 21, Douyin e-commerce recently issued a governance announcement on the illegal use of information related to the "World Cup" stating that the platform has recently discovered that the number of infringement scenarios related to the World Cup has increased. Starting from now on, the platform will increase the investigation and punishment of World Cup-related products and content. This governance mainly targets merchants and creators who use the official World Cup logo without authorization, sell World Cup licensed products without authorization, and publish products containing World Cup related information, causing consumers to be confused or misunderstood. (E-commerce News)

2. Pinduoduo will release its third quarter financial report for 2022 on November 28

According to news on November 21, Pinduoduo announced that it will release its third quarter 2022 financial report as of September 30 before the opening of the US stock market on November 28, Eastern Time. After the financial report is released, the Pinduoduo management team will hold an financial report conference call at 7:30 a.m. Eastern Time on November 28. According to the financial report, Pinduoduo's total revenue in the second quarter of this year was 31.4396 billion yuan, an increase of 36% from 23.0462 billion yuan in the same period last year. In the quarter, Pinduoduo's revenue from online marketing services and other services was 25.1727 billion yuan, an increase of 39% year-on-year; transaction service revenue was 6.2162 billion yuan, an increase of 107% year-on-year; commodity sales revenue was 50.7 million yuan, a decrease of 97% year-on-year. (E-commerce News)

3. Kuaishou added the "Standards for Handling Virtual Product Disputes"

On November 21, Kuaishou E-commerce issued an announcement today stating that in order to improve the service level of merchants, protect the rights and interests of both parties to the transaction, and provide better platform services and consumer experience, the "Standards for the Handling of Virtual Product Disputes" rules were added. These rules were issued on November 21, 2022 and came into effect on November 28, 2022. Specifically, the pre-delivery dispute scenario handling standards: the risk of the goods before delivery of non-customized goods or services is borne by the merchant; when the buyer applies for a refund, the merchant must agree to the buyer's request for a refund. (Kuaishou E-commerce)

Internet news

4. Guosheng Securities: Reaffirm JD Group's "buy" rating target price of HK$272

On November 21, Guosheng Securities released a research report saying that it reiterated JD Group's "buy" rating, with an estimated revenue of 10461/11931/13863 billion yuan in 2022-24, non-GAAP's net profit attributable to shareholders of 262/304/373 billion yuan, and a target price of HK$272. The company's net profit attributable to shareholders was 10 billion yuan in 2022, with a strong growth, with non-GAAP's net profit margin attributable to shareholders being 4.1%. The revenue in 2022Q3 was 243.5 billion yuan, of which the proportion of service revenue reached 19%, a record high. The report stated that JD.com's retail recovery is accelerated during the period and omni-channel development is rapid. Q3 retail revenue was 211.9 billion yuan, up 7% year-on-year and accelerated month-on-month. From the perspective of category, the growth rate of home appliances, fresh food, health, sports, pets, etc., as well as omni-channel and same-city businesses is better than that of the market. (Zhitong Finance)

5. Alibaba International Station will remove products such as wooden toy clips with transparent hard yarn

On November 21, Alibaba International Station issued a recall announcement on the product recall of wooden toy clips with transparent hard yarn bags today. Young children may place small portions in their mouths, and parents/carers may not notice them in time, as small portions may block the child’s respiratory tract. This product does not meet the requirements of the Toys (Safety) Regulations 2011. Merchants should inspect the goods and inventory they publish on the platform based on the following recall information, and ensure that the relevant recalled goods are no longer sold on Alibaba International Station. Any products that are substantially similar and may pose similar safety hazards should also be removed from the shelves. (Alibaba official website)

6. China Securities: Maintain Alibaba Buy Rating

It is also optimistic that its long-term multi-engine drives steady growth, and its business model is relatively mature. Although the growth rate is slower than that of comparable companies, it has high certainty. In addition, we are also optimistic about the long-term health and sustainability of the company's overall business. The report said that Alibaba's main business of FY2023Q2, online physical sales GMV of Taobao and Tmall fell by the same period last year. If the industry average growth is around 7%, it has not recovered in the core market yet. Coupled with the continued severe competitive landscape, customer management revenue fell by 7% year-on-year this quarter. (Sina Hong Kong Stocks)

Cross-border newsletter

7. AliExpress Black Five promotion will be launched on November 22 and officially sold on the 24th.

According to November 21, this year's AliExpress Black Five promotion will start warming up on November 22 and enter the official sales period on the 24th. This Black Friday is one of AliExpress’s biggest promotions at the end of the year. In the context of global consumer demand explosion, AliExpress has created momentum online and offline all-media and has been exposed in a major event. Cross-border sellers must seize the business opportunities to make the store explode and lock in traffic as soon as possible. The popular products that successfully register for the platform's shortlisted event will receive additional traffic in the promotional search recommendations and venues. The pre-warming period for this AliExpress Black Five promotion is 2 days, and the official period will last for six days, and the end time is 23:59:59 on November 29. (Alibaba AliExpress)

8. Jitu International connects with the French e-commerce platform Cdiscount backend carrier service

On November 21, in order to meet the more diverse logistics needs of Chinese sellers, Jitu International officially connects with Cdiscount backend carrier services, providing new cross-border logistics options for convenient, affordable and stable cross-border logistics, protecting Chinese sellers from orders in France and hot sales in Europe. The operation steps of Cdiscount background are: Carrier selection drop-down and select other; Carrier name manually fill in J&T International; fill in Jitu International tracking order number. According to reports, Jitu International Cdiscount exclusive green entry channel, fast timeliness for store access, exclusive platform account managers can also get Jitu exclusive discounted prices. (Jitu International)

9. Atome reached a cooperation with Ctrip Group's overseas brand Trip.com

On November 21, Atome, the Asian first-to-earning and later payment brand, recently reached a strategic cooperation with one-stop travel platform Trip.com, to provide Singaporean passengers with interest-free installment payment method of "booking first and then paying". Passengers can automatically install the fee without paying additional fees and interest when booking air tickets/hotels on Trip.com official website or Trip.com App. This cooperation means that Trip.com has established a cooperative relationship with the BNPL platform for the first time. The two parties will use Singapore as a pilot and are expected to expand this cooperation to other markets in the Asia-Pacific region in 2023. (Atome cross-border)

10. Shopee Japan Station: Double 11 cross-border seller sales increased by more than 10 times

On November 21, Shopee Japan Station recently announced that the number of orders from Japanese cross-border sellers during Double Eleven increased significantly, and sales increased by about 10 times compared to usual. According to statistics, one-half of the users who purchase cross-border products in Japan are purchasing cross-border products in Japan for the first time. In Southeast Asia and Taiwan, the demand for cross-border goods in Japan in the categories of "health care/cosmetics", "home/life" and "food" has increased, and some sellers' sales have increased by about 16 times. Sales of Japanese cross-border sellers serving ads increased by about three times compared to the normal average. (Shopee official website)