4 million cooperative companies, the vast majority of which are small and medium-sized enterprises.
Frequent downtime events have also made multi-cloud backup a hot topic. For example, SHEIN uses AWS and Azure HE Tuber services at the same time, and applications such as Zuoyebang and TT Voice deploy servers on at least two cloud service vendors. This is obviously not good news for Alibaba Cloud, which is bent on competing for a larger market share and even resorts to price cuts.
Secondly, large companies continue to cut employee welfare expenses and communication budget
which also makes downstream group meal suppliers, communication agencies, and media struggling.
Recently, a screenshot of what appears to be the Moments of Warwick, the co-founder and CEO of Interface News, has been circulated on the Internet. This well-known media person and the head of the country's leading news organization sincerely hopes that "brothers and sisters can increase their investment, no matter how much", because the task at the end of the year cannot be completed and the pressure is too great.
The authenticity of this screenshot needs to be verified, but it is an indisputable fact that major manufacturers have cut their communication budgets.
Alibaba and Tencent's marketing expenditures rarely returned to positive growth in the third quarter, but their revenue share is still slowly declining.
The growth rate turned from negative to positiv
largely because the year-on-year base number was too low - the second half of last year was the climax of this round of cost reduction and efficiency improvement campaigns. Alibaba’s marketing expenditure in the third quarter was actually only 25.49 billion yuan, which is incomparable with the scale of more than 30 billion before starting cost reduction and efficiency improvement in 2021.
When things have developed to this stage, when and how large manufacturers will end their efforts to reduce costs and increase efficiency has become a topic of national concern.
If you want to know the answer, you need to conduct a comprehensive analysis from the phased effects of cost reduction and efficiency improvement, end goals, and whether there are new performance growth points.
Judging from the results, after implementing cost reduction and efficiency improvement for the past two years, the financial reports of major manufacturers are much better than before. In the third quarter of this year, the profit growth rate of most giants such as Tencent, Alibaba, Baidu, Meituan, Pinduoduo, NetEase, and Didi exceeded expectations. Among them, Tencent's net profit increased by 39% year-on-year to 44.92 billion yuan, Alibaba's net profit increased by 27% year-on-year to 42.8 billion yuan, and Baidu, Meituan, and NetEase increased by 23%, 22%, and 12% respectively.
The ultimate goal of major manufacturers to reduce costs and increase efficiency is to survive the industry downturn in the past two years, completely reverse the previous strategy of high-flying and trading profits for scale, and turn to healthy development.
Byte CEO Liang Rubo said at the beginning of the year that he would focus on his main business. Alibaba broke the situation of eating from one big pot, split off six major business groups, and established priority projects such as 1688, Xianyu, DingTalk, and Quark, all of which indicate that internal resource integration has begun.
Achieve results and no longer indulge in disorderly expansion.
In the next year, it is difficult to say whether cost reduction and efficiency improvement will come to an end. At least the major manufacturers have survived the most difficult days. The job market has not yet seen obvious signs of rebound, but the demand for high-end talents has begun to increase, especially in cutting-edge technology fields such as AI large models and autonomous driving. These positive signals are enough to give people hope.
One day in the future, cost reduction and efficiency improvement will eventually become a historical term to commemorate a top-down, internal and external self-rescue movement in the Internet industry, and will be firmly engraved in the history of China's Internet development. I only hope that major manufacturers can learn from this round of cost reduction and efficiency improvement campaigns and the variousthat have resulted from it, and not make the same mistakes again.
Editor: Hernanderz; Source: Lei Technology Internet Group
Source public account: Lei Technology (ID: leitech), focusing on technology and life.
Original title: Didi, collapsed! ! !
This article is authorized by everyone is a product manager cooperative media @雷科技. Reprinting without permission is prohibited.
The title picture comes from Unsplash, based on the CC0 agreement
The opinions in this article represent only the author's own. The Renren Product Manager platform only provides information storage space services.
