On March 20, Pinduoduo Group released its 2023 fourth-quarter and full-year earnings report for the period ending December 31. Revenue for the quarter was RMB 88.9 billion, representing 123% year-over-year growth. Operating profit under non-GAAP was RMB 22.4 billion. Full-year revenue reached RMB 247.6 billion, marking an increase of 90% year-over-year.
Last year was the start of Pinduoduo's concerted efforts towards quality development. A series of merchant support and consumer welfare initiatives rolled out as part of this strategy have garnered positive feedback and broad support from both users and merchants. Against the backdrop of a steady recovery in overall consumer spending, the platform's all-channel consumption performance in the fourth quarter continued to improve, with demand for quality domestic products and premium agricultural products fueling growth.
"2024 will be an important year for Pinduoduo to deepen its quality development strategy," said Cheng Jiazhen, Executive Director and Co-CEO of Pinduoduo Group. "These results have motivated us to make long-term investments in quality development with greater determination, continuing to increase our investment in both 'more affordability' and 'better service', and empowering consumers to realize high-quality consumption upgrades."
Quality development cannot be achieved without the impetus of new-quality productivity. The financial report shows that Pinduoduo Group's R&D expenses in the fourth quarter of last year were RMB 2.9 billion, with full-year R&D expenses reaching RMB 11 billion. "This year, we will maintain the intensity of our investment, exploring and cultivating new-quality productivity to support the development of agriculture and manufacturing sectors with cutting-edge technologies," said Lei Chen, Chairman and Co-CEO of Pinduoduo Group.
Empowering Merchants, Benefiting Consumers
Last year, Pinduoduo made quality development the core of its annual strategy, effectively helping consumers save money, enabling quality merchants to sell more products, and consolidating the platform's virtuous ecosystem.
"The growth in our revenue is a result of the effective consumption promotion initiatives we have implemented and the overall recovery in consumer spending," said Cheng Jiazhen. "It also reflects the growing value we are creating for both consumers and merchants."
2023 is a crucial year for boosting consumption, with various regions across the country rolling out policies to restore and expand consumption. Pinduoduo has observed in its engagement with platform users a widespread and growing demand for consumption upgrades. At the same time, consumers are looking for more economical and convenient ways to enhance their quality of life.
拼多多助力品质升级和消费升级
在四川丹棱，被誉为“中国桔橙之乡”，拼多多用户赵刚凭借直播间售卖优质桔橙，一举夺得当地不知火技术大比武“果王”称号。
拼多多着重于提供更多优质产品和匹配的补贴资源，促进商品品质和消费升级双向奔赴。通过11.11、12.12等促销活动，平台关注民生福祉，降低消费门槛， 释放消费潜力，让更多人能过上更美好的生活。
除了帮助用户省钱，拼多多还积极为商家创造更多被消费者看到和认可的机会。以11.11为例，活动期间，秒杀频道为超过10万家中小商家提供增量引擎，农产品、国货和全球精选商品等40多个细分类目实现翻倍增长。入驻百亿补贴的农产品、国货商家同比增长超过两倍；在全球购业务中，排名前100的品牌中有21个实现同比增长超过300%，单日销售额超过百万美元的商品达到59个。
除了国内市场，拼多多去年加快推动中国制造走向全球市场。目前，多多跨境已覆盖50个国家和地区。“我们的业务还很年轻，我们始终怀着向消费者学习、向市场学习的诚恳态度，探索更多技术和模式创新。”拼多多联合创始人兼CEO陈磊说。
今年是拼多多深化高质量发展战略的关键一年。除了继续提升“多实惠+好服务”的平台能力，陈磊表示，“我们将精进供应链洞察和技术能力，助力制造业工厂降本增效，打造更多爆款；大力扶持既懂农业、又懂电商的新农人、新农商，带动当地就业与农民增收；充分发挥‘百亿生态’专项的正向激励作用，支持、帮扶优质商户、品牌及中小企业。”
Pinduoduo's R&D Investment Surpasses 10 Billion Yuan Again
Guided by its high-quality development strategy, Pinduoduo's focus last year was on technological innovation and agricultural strategy.
For tech companies, R&D is essential. After exceeding 10 billion CNY in R&D spending in 2022, Pinduoduo Group's 2023 R&D investment once again surpassed 10 billion CNY, setting a new record. This year, Pinduoduo will continue to prioritize R&D to drive technological innovation for high-quality development.
Agriculture is Pinduoduo's foundation and was a key area of investment last year. In the fourth quarter, Pinduoduo provided extensive support for the second Tech Farm Hackathon and offered traffic and subsidies to agricultural universities and research institutions developing innovative agricultural products. This aims to accelerate the transformation of agricultural scientific and technological achievements and foster new, high-quality agricultural productivity.
In Fujian's Zhangzhou, Liu Yedong from Fujian Agriculture and Forestry University (right) has set up a permanent technology center to assist farmers in reducing fertilizer costs, enhancing the sweetness of grapefruits, and creating a high-end product supported by Pinduoduo.
Last year, Pinduoduo launched the "Agriculture Cloud" initiative, reaching farming regions in Shaanxi, Sichuan, Shanxi, Yunnan, Hubei, Fujian, Shandong, and Jiangsu. It provided e-commerce training and personalized guidance to local businesses, promoting rural economy revitalization and job creation. The initiative was recognized as a "National Model Case for County Revitalization" by the National Development and Reform Commission's China Center for Urban and Small Town Reform and Development.
"This year, we will increase investment in key agricultural projects like the 'Agriculture Cloud' and agricultural research competitions," said Chao Jiazhen. "We aim to create more resilient digital agricultural zones, contributing to rural revitalization and farmers' income growth."
Supporting domestic brands is another key focus for Pinduoduo. Through livestreaming campaigns and promotional events like the "National Goods Team Building" festival, the platform has provided significant traffic and subsidies to help manufacturing brands expand their reach. During the festival, for instance, the daily sales of a domestic laundry detergent spiked tenfold, leading to a threefold increase in factory production and workforce.
"We will continue to explore new channels for both emerging and established domestic brands," said Chao Jiazhen. "Together, we can provide consumers with better products and high-quality shopping experiences."
Beyond platform development, Pinduoduo actively engages in social relief efforts. Following the 6.2-magnitude earthquake in Gansu's Linxia Hui Autonomous Prefecture last December, Pinduoduo immediately donated RMB 20 million to the Gansu Charity Federation for winter supplies, disaster relief, and reconstruction.
Committed to post-earthquake reconstruction in Jishi Mountain, Pinduoduo has, in addition to financial donations, donated coal, folding beds and other materials to the disaster area in Qinghai. Photo by Zhang Zhouzheng
“In the eight years since our founding, we have focused on e-commerce while boldly experimenting with innovative business models to meet diverse consumer demand. During this time, our team has grown rapidly, with the emergence of many young, bold leaders stepping up to take on greater responsibility,” said Chen Lei. “Our organization is full of vitality thanks to the creativity and energy of our young people, and we remain confident in our ability to continue to create unique value for the vast majority of consumers.”
