The short video industry is Kwai ting from the incremental to the stock switch stage, while the competition is increasing and the revenue growth is slowing down.
Kwai's traffic is still growing. In the second half of 2021, Kwai daily active users and total traffic grew by 18% and 58% respectively, and the number of users living in the four seasons last year reached a historic high of 323 million.
The latest results show that Kwai's revenue in 2021 was 81 billion 100 million yuan, up 38% over the same period last year, and 18 billion 900 million after adjustment, representing a 1.4 fold increase over the 7 billion 800 million loss in 2020.
With the intensification of competition and the slowing down of users, Kwai's sales and marketing expenses rose sharply to 44 billion 200 million yuan in 2021, and the growth rate reached 66%, accounting for more than half of revenue, reaching 55%. In 2020, the expenditure was 26.6 billion, accounting for only 45% of the revenue. The cost of sales increased by 34.6% from 35 billion yuan in 2020 to 47.1 billion yuan in 2021, accounting for 58% of revenue. These two items alone exceeded the annual revenue.
However, Kwai TSE executives also said at the conference that they had confidence in the net profit being adjusted after the adjustment of China's business in the quarter.
Kwai pointed out that the proportion of gross profit businesses such as advertising and electricity providers will further increase in revenue, and will carry out more cost control work under different lines of business, hoping to better control the cost of income sharing and will be prudent in content input.
On the down payment, the Kwai Fu pointed out that the cost of acquiring and maintaining the single user will keep decreasing, hoping that the absolute value of sales and marketing expenses this year will not be higher than that in 2021, which will make the proportion of users decrease significantly.
e-commerce revenue doubled
long term opportunities to see 6 trillion
From the 2021 revenue structure, Kwai has 42 billion 600 million yuan from online marketing services, 31 billion yuan for live reward, the rest from other services including electricity providers income 7 billion 400 million yuan.
As a new way of making money for live broadcasting platforms, the live broadcast of goods has always been a concern for investors. In 2021, the total volume of Kwai TSE e-commerce reached 680 billion yuan, up nearly 8 from the 381 billion 200 million increase in 2020.
Kwai has also completed the closed loop layout on the electronic commerce line. In December 2021, the fast hand closed loop business Kwai Kwai shop contributed 98.8% of the total electricity supplier's total transaction, and now there are over 500 service providers on the platform. In the fourth quarter of 2021, Kwai Chi strengthened the trust based electricity supplier mode, and the repeat purchase rate of e-commerce business grew by more than five percentage points over the same period.
From the 2021 revenue structure, Kwai has 42 billion 600 million yuan from online marketing service, 31 billion yuan for live broadcast reward, the rest from other services including electricity providers income 7 billion 400 million yuan, electricity providers and other income than the 2020 growth of 1 times. However, the income of e-commerce has not been listed separately, and its contribution to the overall profit is not high.
In 2021, the total volume of Kwai TSE e-commerce reached 680 billion yuan, up nearly 8 from the 381 billion 200 million increase in 2020.
In December 2021, the fast hand closed loop business Kwai Kwai shop contributed 98.8% of the total electricity supplier's total transaction, and now there are over 500 service providers on the platform. In the fourth quarter of 2021, Kwai Chi strengthened the trust based electricity supplier mode, and the repeat purchase rate of e-commerce business grew by more than five percentage points over the same period.
Kwai Tat executives also pointed out at the telephone conference that the live content experience of live broadcast providers can better satisfy the shopping needs of users, and the lively atmosphere in the live room can further stimulate users' purchase intention and facilitate transformation. In the long run, the total transaction volume of the live broadcast e-commerce industry has the opportunity to reach 6 trillion yuan.
This year, Hongkong market share of the general network fell sharply, but Kwai Kwai shares closed up during the year, rising nearly 9%, indicating that the market is still relatively optimistic about the rapid development of business.
