Core Insights - Pinduoduo's recent financial report reveals a significant shift in strategy, with marketing expenses growth plummeting from 43% to 4.5%, indicating a focus on restructuring the supply-side ecosystem rather than competing aggressively on user subsidies [1][2] - The company's revenue for Q2 2025 reached 1039.85 billion yuan, a year-on-year increase of 7.14%, while net profit decreased by 4% to 307 billion yuan, highlighting a strategic choice to alleviate merchant burdens through a "100 billion support" plan [1][2] Group 1: Strategic Shifts - Pinduoduo's marketing expenses have drastically reduced, allowing for the reallocation of funds towards enhancing the merchant ecosystem, contrasting with competitors like JD and Meituan who are engaged in high-cost subsidy wars [2][3] - The company's focus on long-term returns over short-term profits is evident, as stated by Pinduoduo's executives, emphasizing the importance of ecological support for sustainable growth [2][3] Group 2: Merchant Support Initiatives - The "100 billion reduction" policy has significantly benefited over 2.7 million merchants, with promotional fee refunds exceeding 110 billion yuan in Q2 2025, resulting in an average annual savings of 180,000 yuan per merchant [3][4] - Pinduoduo's agricultural sector initiatives have shown remarkable growth, with a 47% increase in agricultural product sales and a 54% rise in quality agricultural SKUs, demonstrating the platform's commitment to supporting rural economies [3][4] Group 3: Market Expansion and Brand Transformation - The company's logistics expansion into western regions has led to a 40% increase in order volume, with notable growth in daily necessities and high-ticket items, indicating a successful penetration into previously underserved markets [4][5] - Pinduoduo's support for local brands has enabled traditional manufacturers to pivot towards new brand identities, with examples of companies successfully leveraging the platform to enhance their market presence and sales [5][6]