Hu Xiu·2025-08-28 06:53Core Viewpoint - Meituan's Q2 financial report has generated significant discussion, revealing a much worse performance than anticipated, with a drastic decline in operating profit and core local business revenue growth [1][2]. Financial Performance - Operating profit for Q2 2025 was 226 million yuan, with a profit margin of 0.2%, a staggering decrease of 98% compared to 11.257 billion yuan in the same period last year [3]. - Core local business revenue growth was only 1.6% quarter-on-quarter, a sharp decline from 11.1% in Q2 2024 [5]. Competitive Landscape - The intense competition in the food delivery sector, particularly from JD.com and Alibaba, has significantly impacted Meituan's market position, suggesting that its competitive advantages may be weakening [7]. - JD.com has effectively targeted Meituan during its peak, leading to a shift in consumer behavior where users are now more inclined to compare prices across platforms [8][10]. Strategic Insights - Alibaba and JD.com are not primarily focused on the food delivery business but rather on acquiring users who order food, leveraging high-frequency delivery to boost their e-commerce operations [12]. - The "high-frequency to low-frequency" model that worked for Meituan may not be applicable to e-commerce platforms due to the lack of immediate satisfaction in their offerings [13][15]. Operational Strengths - Meituan possesses a significant operational advantage through its extensive infrastructure, including data, algorithms, and a well-established ground team, which competitors may struggle to replicate in the short term [17]. - The granularity of Meituan's offline store operations is considered the highest in the industry, providing a competitive edge in executing targeted marketing strategies [18][19].