Meituan CEO Wang Xing is rallying employees around the firm’s instant commerce efforts, overseas expansion and greater social security for delivery workers, more than a week after reporting a sharp fall in second-quarter earnings amid a bruising price war with Alibaba Group Holding and JD.com.
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In his all-hands letter to staff over the weekend that was widely shared online, Wang said Meituan had served more than 770 million users over the past 12 months through the 14.5 million merchants on its platform.
In the instant commerce segment, where Alibaba and JD.com compete, Meituan had achieved daily peak orders of 150 million, as its delivery crew numbered 3.36 million on a monthly average basis.
Beijing-based Meituan’s overseas expansion was also under way, with plans to bring its Keeta delivery service to Brazil as part of its initiative to grow in Latin America, according to Wang’s letter. He said Keeta was already the top food delivery platform in Hong Kong and a top three provider in Saudi Arabia.
In addition, Wang said Meituan would provide more social security coverage to its delivery crews, as the company looked to roll out “subsidies to pension insurance” for all these workers across the country in 2025.
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The CEO’s morale-boosting letter reiterated the company’s message during its earnings call last month, when it said operations would not be “greatly affected by a short-term price war”.