TENCENT(HK:00700) Xin Lang Cai Jing·2026-01-27 05:09Core Insights - The article discusses Tencent's WeChat and its evolving ecosystem, particularly focusing on the WeChat Mini Store and its growth potential in 2026 [3][32] - Tencent's CEO, Ma Huateng, emphasizes the importance of patience and time in developing new technologies within WeChat, particularly for video accounts and e-commerce [3][32] - The WeChat ecosystem is expected to see significant growth in user engagement and transaction volume, with a focus on enhancing the user experience and expanding the platform's capabilities [4][37] WeChat Mini Store Growth - In 2025, the WeChat Mini Store transitioned from a supplementary channel to a primary platform for brand operations, with brand sales growth exceeding the market average by 430% [4][38] - The number of active merchants increased by 170%, and the cost per thousand impressions (PPM) rose by 150% [4][38] - The user demographic has shifted, with a 336% increase in users aged 25, and over 32% of users are from high-tier cities [4][38] Ecosystem Strategy - WeChat's strategy prioritizes ecosystem growth over immediate revenue, focusing on metrics like Gross Merchandise Volume (GMV) and user growth while minimizing short-term income assessments [8][37] - The platform aims to ensure that partners, merchants, and service providers benefit financially, indicating a long-term vision for ecosystem expansion [8][37] Service Provider Dynamics - Over 5,900 new service providers joined in 2025, contributing to a monthly growth rate of 37.6% for new stores [9][39] - The retention rate for core service providers is 64%, attributed to stable policies and the complexity of platform rules [9][39] - Service providers play a crucial role in bridging the gap between the platform and brands, offering comprehensive support for account setup, traffic operation, and data growth [9][39] Future Projections for 2026 - The WeChat Mini Store is expected to enhance its service matching capabilities and simplify platform policies, aiming for broader scene and category access [12][41] - Key areas of focus for service providers will include expanding supply chains and improving marketing capabilities [12][41] - The platform will continue to leverage social attributes to explore C2C and B2C models, enhancing private domain operations [12][42] E-commerce Trends - The online retail penetration rate is nearing 40%, with significant room for growth in core categories that remain below 50% [16][43] - The WeChat ecosystem is witnessing a doubling of transaction volumes for influencers, indicating a shift towards quality over quantity in product offerings [16][43] New Features and Tools - In 2026, WeChat plans to introduce new features to enhance user interaction during live broadcasts, such as gift-giving and collaborative purchasing [24][54] - The platform will also optimize content matching and incentivize high-quality content creators with traffic support and rewards [25][55] - New functionalities will include enhanced tools for public and private domain integration, allowing for better user engagement and conversion [27][56] Incentive Policies - WeChat will implement various incentive policies in 2026, including additional commission rewards for new merchants and service providers [49][53] - The platform aims to foster healthy competition among service providers and enhance training and support systems [52][52] - A focus on brand exposure and conversion will be emphasized through upgraded promotional events and reduced commission structures [52][53]