Meituan Hits Record Daily Orders with 150 million Amid Fierce Instant Delivery Competition

Meituan, China’s top on-demand delivery platform, set a new record with 150 million daily transactions, solidifying its dominance amidst fierce competition from JD.com and Alibaba. The company plans to invest 100 billion yuan to support merchants and boost demand. JD.com and Alibaba are also expanding aggressively, with JD.com focusing on premium services and Alibaba integrating Ele.me into its core platform. Despite rivals’ efforts, Meituan retains a 70% market share, highlighting its resilience and leadership in the fast-growing instant delivery market.

Meituan, the leading on-demand delivery platform in mainland China, has achieved a significant milestone, reporting a new record in daily orders. On Sunday, the company revealed that its platform handled 150 million transactions in a single day, just days after surpassing the 120 million mark. This achievement underscores Meituan's ability to maintain its dominance in the face of growing competition from rivals like JD.com and Alibaba Group Holding.

The surge in Meituan's daily orders, which span both food delivery and retail goods, comes at a time when Chinese e-commerce giants are ramping up investments to capture a larger share of the instant delivery market. Meituan's founder and CEO, Wang Xing, has emphasized the company's unwavering commitment to solidifying its leadership in this sector. During a post-earnings call in March, Wang stated that Meituan would do "whatever it takes to win" in this increasingly competitive arena.

A Pledge to Strengthen the Food Service Industry

As part of its strategy, Meituan announced plans to invest a staggering 100 billion yuan (approximately $13.9 billion USD) in the food service industry. This investment aims to support merchants across various categories and stimulate consumer demand. The announcement followed JD.com's recent entry into the food delivery market, a space that has long been dominated by Meituan.

JD.com has been making aggressive moves to establish itself in the segment, including offering lucrative compensation packages and enhanced insurance benefits to attract full-time delivery couriers. To entice consumers, JD.com has also rolled out significant discounts. The company recently committed more than 10 billion yuan to elevate the quality of "benchmark restaurants" on its platform, positioning itself as a provider of premium meals and services. As of last month, JD.com reported 25 million daily food delivery orders.

Alibaba’s Strategic Overhaul in Instant Delivery

Alibaba, a major player in the Chinese e-commerce landscape, has also intensified its efforts to gain traction in the instant delivery market. The company recently announced a structural overhaul, integrating its food delivery service, Ele.me, into its core e-commerce platform. Analysts view this move as a strategy to seamlessly bridge its food and retail delivery operations, enabling Alibaba to better compete in the broader instant retail market.

To further bolster its position, Alibaba unveiled a 50 billion yuan subsidy program aimed at incentivizing both consumers and merchants over the next 12 months. This initiative is part of its Taobao instant commerce business, which seeks to stimulate consumption and drive growth. Combined daily orders across Alibaba’s Ele.me and Taobao instant delivery services have reached 80 million, according to company reports.

Meituan’s Market Leadership and Industry Outlook

Despite the increasingly crowded market, Meituan remains the dominant force, commanding a 70% share of China's on-demand delivery market, according to internal data cited by Chinese tech media outlet Leiphone.com. The company's sustained growth and ability to set new benchmarks highlight its resilience and strategic foresight.

As the instant delivery market continues to heat up, the competition among these tech giants is reshaping the landscape, benefiting consumers with improved services, better deals, and more options. For now, Meituan's record-breaking performance serves as a testament to its leadership and its commitment to innovation in this dynamic industry.