Alibaba Revenue was 114,314 million yuan (US$16,144 million) in Q1 2020, an increase of 22% year-over-year. The total revenues for its fiscal year reached 509,711 million yuan (US$71,985 million), an increase of 35% year-over-year.
Annual active consumers on Alibaba’s China retail marketplaces reached 726 million, an increase of 15 million from the 12-month period ended December 31, 2019. Mobile MAUs on its China retail marketplaces reached 846 million in March 2020, an increase of 22 million over December 2019.
In March 2020, over 300 million daily active users visited Alibaba China retail marketplaces to browse and purchase from billions of listings.
Alibaba has developed its Taobao app to the largest social commerce platform in China, offering rich, highly relevant and curated content and features that enable merchants to engage with consumers through live-streaming, short-form videos, interactive games and microblogs.
Taobao Live, where merchants and key opinion leaders (“KOLs”) use live-streaming to market to their fans and customers, has become one of the fastest-growing sales channel on its China retail marketplaces. Daily active merchants using live streaming on Taobao Live grew 88% year-over-year for the three months ended March 31, 2020.
In the fiscal year ended March 2020, GMV generated from live-streaming grew over 100% year-over-year.
Annual active consumers for the Alibaba Digital Economy reached 960 million globally, including 780 million consumers in China and 180 million consumers outside China.
GMV transacted in the Alibaba Digital Economy was 7,053 billion yuan (US$1 trillion) for the fiscal year 2020, which mainly included China retail marketplaces GMV of 6,589 billion yuan (US$945 billion), as well as international retail marketplaces and local consumer services GMV.
The consumer commerce businesses of the Alibaba Digital Economy, mainly comprised of the China retail marketplaces, international retail marketplaces, and local consumer services, reached 7,053 billion yuan (US$1 trillion) of GMV in the twelve months ended March 31, 2020.
In September 2019, on the occasion of its 20th anniversary, Alibaba set its strategic goals for the next five years, consistent with its mission “to make it easy to do business anywhere” to:
- Continue to expand the globalization efforts;
- Serve more than 1 billion Chinese consumers; and
- Facilitate more than 10 trillion of consumption on its platforms.
These five-year goals are guideposts for Alibaba’s vision for 2036 to:
- Serve 2 billion global consumers;
- Enable 10 million businesses to be profitable; and
- Create 100 million jobs.
For the twelve months ended March 31, 2020, 780 million consumers in China purchased goods or services on Alibaba’s China retail, local consumer services, and digital media and entertainment platforms.
These consumers account for around 85% and 40% of the Chinese population in developed and less developed areas, respectively.
Alibaba has also expanded into international markets, with over 180 million annual active consumers on the international retail marketplaces.
Tmall online physical goods GMV, excluding unpaid orders, grew 10% year-over-year, driven by growth of FMCG, including daily necessities and household goods, and resilient demand for consumer electronics, which together grew about 25% year-over-year, offset by negative growth in other major categories such as apparel and accessories, home furnishing and auto parts.
Tmall online physical goods GMV, excluding unpaid orders, grew 23% year-over-year in fiscal year 2020.
In addition to Tmall, Alibaba has multiple fast growing platforms, including Juhuasuan and Taobao Deals, that offer attractively priced products from brands, retailers and factories.
Check out the upcoming Tmall 618 here.
Xiaoyu (Idle Fish) is the largest C2C community and marketplace in China for long-tail products, including secondhand, recycled, refurbished and for-rent products, with approximately 200 billion yuan GMV in fiscal year 2020.
Combined customer management and commission revenues grew 1% year-over-year, reflecting an increase of 3% in customer management revenue and a decrease of 2% in commission revenue.
Alibaba’s local consumer services business recorded an 8% year-over-year revenue decline during the quarter ended March 31, 2020, reflecting mass closure of restaurants and local merchants.
AliExpress revenue growth was significantly slower year-over-year, primarily due to supply chain and logistics disruptions that negatively impacted GMV growth from sales to North and South America and Europe.
Lazada experienced some negative impact in certain countries beginning in March, but order growth remained strong.
Its businesses that involve travel, transportation, and offline entertainment, including Fliggy, Alibaba Pictures, Damai and Amap, have all been negatively impacted by the pandemic.
In March 2020, daily packages handled by Cainiao Post’s neighborhood stations grew over 100% year-over-year. Cainiao operates a network of neighborhood stations, campus stations, and smart pick-up lockers, helped consumers and delivery personnel during this period of logistics disruptions.
New Retail (grocery category) – HemaFresh, or Freshippo, revenue showed strong growth in February and March were driven by an increased number of online customers, higher purchase frequency and larger order size.
Online purchases represented approximately 60% of HemaFresh GMV in Q1 2020, up by 10 percentage points year-over-year.
As of March 31, 2020, Alibaba had 207 self-operated HemaFresh stores in China, primarily located in tier one and tier two cities.
Alibaba also runs Taoxianda business, which enables on-demand delivery for its partner grocery retailers with physical stores, also generated increased online revenue for these stores.
Enterprise communication and collaboration platform
In March, DingTalk, Alibaba’s remote working collaboration platform, grew its average daily active users on workdays to 155 million. DingTalk also made significant penetration in the education sector as schools adopted the platform for their teachers and students.
In March, DingTalk conducted on average over one million active classroom sessions each workday.
Alibaba Cloud is the largest cloud computing service provider in the Asia Pacific region, as measured by market share for IaaS (Infrastructure as a Service) and IUS (Infrastructure Utility Service) according to Gartner (April 2020).
Cloud computing revenue grew 58% year-over-year to 12,217 million yuan (US$1,725 million) in the quarter ended March 31, 2020 and 62% year-over-year in the fiscal year 2020 to 40,016 million yuan (US$5,651 million), primarily driven by increased revenue contribution from both the public cloud and hybrid cloud businesses.
The digital media and entertainment segment revenue grew 5% year-over-year in the quarter ended March 31, 2020 and 12% year-over-year in fiscal year 2020 as the industry underwent rationalization and tighter regulatory scrutiny on content.
Youku continued to focus on delivering a superior user experience and increasing paying subscribers. Youku’s daily average subscriber base continued to grow at a healthy rate, increasing over 50% and 60% year-over-year during fiscal year 2020 and the March 2020 quarter, respectively.