Zhong Guo Jing Ying Bao·2025-08-13 13:12Core Viewpoint - Kuaishou is expanding into self-operated e-commerce by launching the "Kuaishou Official Self-Operated Flagship Store" within its app, aiming to enhance its e-commerce ecosystem and improve service capabilities [2][3]. Group 1: Business Model and Operations - The flagship store is operated by Chengdu Pinong Technology Co., Ltd., which is 100% controlled by a Kuaishou affiliate, and has achieved over 220,000 sales with a fan base exceeding 10,000 [2]. - The store utilizes a factory-direct shipping model, reducing intermediaries, but lacks a nationwide warehousing network, which may affect delivery efficiency [2][4]. - Kuaishou's self-operated model is designed to attract price-sensitive consumers by offering competitive pricing through direct partnerships with factories [3][4]. Group 2: Market Position and Financial Performance - Kuaishou's e-commerce segment is becoming increasingly significant, with a reported GMV of 3,323.252 billion yuan in Q1 2025, up from 2,880.725 billion yuan in the same period last year [4]. - The company reported Q1 2025 revenue of 32.61 billion yuan, a 10.9% year-on-year increase, with an adjusted net profit of 4.58 billion yuan, reflecting a net profit margin of 14.0% [4]. Group 3: Competitive Landscape - The launch of the self-operated flagship store is seen as a complement to Kuaishou's existing third-party merchant and live-streaming sales model, potentially enhancing overall user trust and driving third-party sales [4]. - The self-operated model is expected to provide valuable quality control and operational experience that can benefit the management of third-party merchants, promoting a more standardized e-commerce ecosystem [4].